Q&As

In relation to a newbuild property, the sale contract incorporates the standard conditions of sale with modification so that the property is at the seller's risk up and until completion. The contract also provides that where the seller has issued a certificate of practical completion and the property is destroyed, insurance proceeds will be paid to the buyer. What effect does this have on completion if the property is destroyed?

read titleRead full title
Produced in partnership with Carl Fain of Tanfield Chambers
Published on LexisPSL on 24/06/2020

The following Property Q&A produced in partnership with Carl Fain of Tanfield Chambers provides comprehensive and up to date legal information covering:

  • In relation to a newbuild property, the sale contract incorporates the standard conditions of sale with modification so that the property is at the seller's risk up and until completion. The contract also provides that where the seller has issued a certificate of practical completion and the property is destroyed, insurance proceeds will be paid to the buyer. What effect does this have on completion if the property is destroyed?

In relation to a newbuild property, the sale contract incorporates the standard conditions of sale with modification so that the property is at the seller's risk up and until completion. The contract also provides that where the seller has issued a certificate of practical completion and the property is destroyed, insurance proceeds will be paid to the buyer. What effect does this have on completion if the property is destroyed?

If the Standard Conditions of Sale (SCS) (5th Edn) are being used, Condition 5.1 reflects the usual market position that the property is at the buyer’s risk from the date of the contract (this is also the open contract position). Where Condition 5.1 applies, damage to or destruction of the property between exchange and completion will not entitle the buyer to refuse to complete, nor to

Related documents:

Popular documents