Summary Completion, Post-completion & Remedies.

Completion, Post-Completions & Remedies-

Preparing for completion – Buyers Solicitor-

Buyers solicitor must:

 Draft the transfer
 Submit the Completion Information and Undertakings form
 Obtain finance (from buyer / lender)
 Submit pre completion searches

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Drafting the transfer-

The buyers solicitor will draft the transfer after exchange of contracts and send it to the sellers solicitor
for approval – SCPC 7.3.2

LPA ‘25 s52 – the Transfer must be in the form of a deed

Form of Transfer of a whole of a registered title is – Form TR1

You’ll need the official copies of the seller’s title & the contract

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Registered Land-

Standard form TR1 – is used to transfer the whole of an existing freehold/ leasehold

 TR1 - Transfer of a whole of a registered title
 TP1 – Transfer of part of a registered title
 TR5 – Transfer of a portfolio of registered titles

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Unregistered land- (more is Chapter 5)

No prescribed form of wording for a conveyance here. A traditional form of conveyance can be used but
it is more usual for the buyer’s solicitor to use a Form TR1.

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Appointment of second trustee-

If, for either, registered or unregistered, a second trustee needs to be appointed (because the sale is by
a sole surviving tenant in common), then, the Land Registry will expect the following wording in Panel 11
of TR1:

 ‘For the purpose of giving a valid receipt for the purchase price, [NAME OF SOLE PROPRIETOR]
(‘Current Trustee’) in exercise of the power under section 36(6) of the Trustee Act 1925 appoints
[NAME OF ADDITIONAL TRUSTEE] to be a trustee of the Property with the Current Trustee’

Second trustee will be a party to the TR1

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Execution of the TR1-

Land Registry guidance notes

 Transferor must always execute the TR1
o The transferee must execute if:
 there are transferee’s covenants/ declarations / applications in the TR1
 There is more than one transferee and Panel 10 has been completed

For the purposes of the LPC, if an exclusion of the Contracts (Rights of Third Parties) Act 1999 is included
in panel 11 of the TR1, the transferee should also execute the TR1.

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Submit Completion Information and Undertaking Form; TA13-

Can also use an ‘in house’ version of the form

Info required from the sellers solicitor

 Sent by the buyers solicitor to the sellers solicitor
 It obtains practical information about the completion arrangements so that completion runs
smooth

The information requested would include:

 Where the seller has a mortgage, an undertaking in respect of it. Any outstanding mortgage(s)
will need to be repaid (discharged) prior to or on completion. The giving of an undertaking
means that the solicitor is bound to honour their promise (O(11.2)).
o would usually undertake to forward sufficient monies to the seller’s lender to redeem
the mortgage immediately on completion taking place.
o From the buyer’s perspective, as long as an appropriate undertaking is given before
completion it does not matter exactly when this is done.
 The seller’s completion statement setting out the balance of funds required from the buyer to
complete
 Bank details of the seller’s solicitor
 Information about where keys to the property can be collected from and how the title deeds will
be sent to the buyer’s solicitor (if completion is by post).

SCPC 4.1.3 - requires the seller to give the buyer written details about any matters concerning anything
covered in SCPC 4.1.2 (Incumbrances affecting the property)

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Finance-

Seller’s solicitor’s completion statement-

, Before completion the buyers Sol, from the sellers Sol - will usually receive a Completion Statement
(often in the TA13).

It has;

 The sale price
o + any price of chattels
o - Less the deposit paid at exchange
o +/- any apportionments – e.g.: insurance , rent if leasehold

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Buyers solicitor financial statement -

Buyers Sol sends to the buyer, a financial statement and the bill for legal fees

 Total sum due in order for the buyers sol to complete the purchase
 Including SDLT, registration fees, disbursements etc

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Source of buyers funds-

The source of funds should therefore be discussed with the client well in advance of completion so any
logistical or timing issues can be taken into account in the overall timing of exchange and completion.

Additionally, in order to be able to complete, these funds need to have cleared through the account of
the buyer’s solicitor by the day of completion in order for them to be sent on to the seller’s solicitor.
Therefore, if the buyer sends a cheque it needs to have been received by the buyer’s solicitor a number
of days before completion.

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Financing of a property transaction-

Rarely funded without the a loan from a third party.

In relation to large commercial properties the additional funding source may be a clearing, secondary or
merchant lender or other ‘institutional lender’ which usually invests in commercial property (for
example, pension funds and insurance companies)

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Can you act for the lender as well as the borrower?-

O3.5 - can’t act if there is client conflict / significant risk of

You will discover that in most residential property transactions the same solicitor will usually act for the
lender and the borrower – as they have similar objective. However, in commercial property
transactions it is extremely rare for the same solicitor to act for both the lender and borrower, partly
because lenders have historically insisted on using their own ‘independent’ solicitor but also because of
the Code’s restrictions.