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The company or individual who is the owner of the works.
When a land owner requires works such as the building of a multitude of flats or houses which in turn he then sells on, the owner will often be referred to as a developer.
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Option agreements—acting for the buyer—checklist Call or put option? In a 'call' option the buyer will have control in that it may call for a transfer of the property. A 'put' option gives the seller control in that it can require the buyer to take a transfer of the property and therefore the buyer should be especially vigilant in ensuring that the terms for the transfer (particularly those relating to valuation and, if appropriate, insurance) are as favourable as possible. Seller's charges If the property is already mortgaged at the date of grant of the option agreement, there is a risk that the mortgagee may overreach the option by exercising its power of sale. Therefore ensure that the mortgagee either: • joins into the agreement (this is rare in practice), or • provides written consent to the granting of the option In either case, the mortgagee should confirm that if the buyer exercises the option it will acquire the property free from the charge or, if the mortgagee...
Ireland—Option agreements—acting for the purchaser—checklist Call or put option? In a ‘call’ option the purchaser will have control in that it may call for a transfer of the property. A ‘put’ option gives the vendor control in that it can require the purchaser to take a transfer of the property and therefore the purchaser should be especially vigilant in ensuring that the terms for the transfer (particularly those relating to valuation and, if appropriate, insurance) are as favourable as possible. Vendor’s charges If the property is already mortgaged at the date of grant of the option agreement, there is a risk that the mortgagee may overreach the option by exercising its power of sale. Therefore ensure that the mortgagee either: • joins into the agreement (this is rare in practice), or • provides written consent to the granting of the option In either case, the mortgagee should confirm that if the purchaser exercises the option it will acquire the property free from the charge or, if the mortgagee exercises its...
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Agreements made under section 106 of the Town and Country Planning Act 1990 (TCPA 1990) (formerly section 52 agreements), also known as 'planning obligations' and ‘s 106 agreements’, are agreements between developers/landowners and local planning authorities (LPAs) that require developers to contribute towards a range of infrastructure and services, such as community facilities, public open space, transport improvements and/or affordable housing, to mitigate the impacts of their development. They bind land and are enforceable against successors in title.See Practice Note: Planning obligations—key points and Checklist for drafting a section 106 agreement.Standard form planning obligations/section 106 agreementLPAs usually provide the first draft of the s 106 agreement, based on their standard agreements or model clauses. The developer then amends it and negotiations are undertaken to come to an agreed form. Although each s 106 agreement will be unique and respond to the particular development which it regulates, there are a number of provisions which one would expect to see in all s 106 agreements, see Precedent: S 106 agreement.It is a...
Varying public contracts Stop Press: On 24 February 2025, the main provisions of the Public Procurement Act 2023 (PA 2023) come into force. We are reviewing and updating our content accordingly. Note, however, that procurements begun on or after 24 February must be carried out under PA 2023, whereas those begun under the previous legislation (the Public Contracts Regulations 2015 (PCR 2015), the Utilities Contracts Regulations 2016, the Concession Regulations 2016, and the Defence and Security Public Contracts Regulations 2011) must continue to be procured and managed under that legislation. For information, see Practice Note: Key Implications of the procurement Act 2023 for Construction Lawyers. Brexit impact—public procurement The UK public procurement regime derives from EU public procurement laws, and is therefore impacted by the UK’s withdrawal from the EU. For general updates on the process and preparations for Brexit, see Practice Note: Brexit timeline. For further reading on the impact of Brexit on public procurement, see Practice Note: Brexit—the implications for public procurement [Archived]. Of particular relevance to the variation of public contracts are the...
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Statutory declaration — adverse possession pre-Land Registration Act 2002 I, [name], of [address], do solemnly and sincerely declare that: 1 As the result of a transfer dated [date] made between (1) [name of seller] and (2) myself [and my [wife OR husband OR [other]] ], [I OR we] acquired the freehold land ('the Red Land') registered under title number [title number of declarant’s property] shown [edged OR coloured OR hatched] red on the plan (now produced and shown to me and marked ‘1') attached to this declaration ('the Plan'). The Red Land comprises the house and garden situated at [address or other description]. On the day of completion of the transfer, [I OR we] entered into possession of the Red Land and have been in continuous possession of it ever since. Shortly after completion, [my OR our] solicitors also applied for [me OR us] to be registered as proprietor[s] of the Red Land and that registration was completed on [date]....
Precedent bond agreement DATE [insert date] Parties 1 [insert name] of [insert address] [incorporated in England and Wales with company registration number [insert number]] (the ‘Surety’) 2 [insert name] of [insert address] (the ‘Council’) 1 Definitions 1980 Act • the Highways Act 1980 Bond • this bond agreement in the amount of the Bond Sum Bond Sum • the sum of [insert bond sum specified in the Highway Agreement or agreed with the Council] Default Notice • a written notice served by the Council on the Surety under clause 5.2 of this Bond certifying that the Developer has failed to carry out and/or complete the Works in accordance with the terms of the Highway Agreement, and specifying the sum of money that is, in the [ Proper Officer’s] opinion, required to carry out and complete the Works in accordance with the terms of the Highways Agreement and/or to remedy any defects or default of the Developer in the carrying out and completion of those works Developer •...
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In a construction context, if an insolvency officeholder (purports) to assign the right to claim construction debts and retentions to a buyer, but there is a specific non-assignment clause in the contract between the (now) insolvent contractor and the employer, is the assignment still valid? Can the assignee still pursue debts or can employer rely on non-assignment clause as full defence? The extent of a party’s entitlement to assign any rights under a construction contract, and the question of whether any purported assignment is valid, will in all cases depend upon the particular facts and the terms of the contract and the assignment. We can therefore only answer this question in general terms. Assignment in construction contracts Assignment is the transfer of a right or an interest vested in one party (the assignor) to another party (the assignee). Only rights or benefits under a contract may be assigned. Burdens under a contract (eg an obligation to pay or, in the construction context, complete the works) cannot be assigned the same...
How would the Infrastructure Bill affect the construction industry? The Infrastructure Bill The coalition government's proposed Infrastructure Bill is intended to improve funding, planning management and maintenance of national infrastructure. The government believes that the Bill, if enacted, will boost the economy by £2.6 billion over ten years. The Bill and related information is available on the Parliament website. The Bill had its first reading in the House of Lords on 5 June 2014. The government intends to bring the Infrastructure Bill into law before the general election in 2015 (and this will affect several pieces of existing legislation). However, as some of the Bill's proposed elements (particularly in relation to fracking) are controversial it may not be possible to enact the entire Bill before the general election. How would the Infrastructure Bill affect the construction industry? The Infrastructure Bill covers various subjects (including control of invasive non-native species, the right for communities to buy into renewable energy generation and, subject to consultation, will cover shale gas...
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Construction analysis: The Scottish Government introduced the Building Safety Levy (Scotland) Bill into the Scottish Parliament on 5 June 2025. The bill seeks to introduce a new tax: the Scottish Building Safety Levy (SBSL). The levy will be charged on the construction or conversion of residential property developments, and used to fund building safety expenditure by the Scottish Government. In this article, we give an overview of the background to the bill and its key provisions.
The Scottish Government has introduced the Building Safety Levy (Scotland) Bill in Parliament. If passed, the Bill will impose a new tax on the construction of certain new residential properties. The legislation, set to come into force on 1 April 2027, aims to raise £30m annually to help fund the remediation of residential buildings with unsafe cladding that have no linked developer. The Bill provides exemptions for social and affordable housing developments, with specific tax rates to be determined through subsequent regulations. Subject to Parliamentary approval, secondary legislation and preparatory work by Revenue Scotland will be required before the Building Safety Levy (BSL) can be implemented. In addition, the Bill includes a provision for regular reviews of the BSL to assess revenue targets in light of prevailing housing market conditions, wider economic factors, and the evolving scale and cost of cladding remediation work. The Scottish Government has also published an analysis of responses to its September 2024 public consultation on the BSL.
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