The Law Society of Ireland has published their new 2019 General Conditions of Sale which are recommended for use in all conveyancing transactions commencing on or after the 1st January 2019. These new Conditions of Sale bring the traditional method of investigating title in line with that which has become common in practice, in particular with the sale of new properties in a development or receiver sales.
Effectually, the new method will be to investigate title fully prior to entering into the contract.
The main changes include:-
Effectually, the new method will be to investigate title fully prior to entering into the contract.
The main changes include:-
- Requisitions on title will issue to the purchaser when issuing the contract and vouching title thereby enabling a full review of matters prior to committing to the contract for sale.
- Pursuant to General Condition 6 the purchaser confirms he has received the documents and requisitions on title, acknowledges that he accepts the title offered and has had an opportunity to raise any rejoinders.
- The Purchaser may only raise requisitions post contract on issues on title which were not apparent from either (a) the documents/contract provided, (b) an inspection of the property (c) an inspection of the planning register or (d) not otherwise known to the Purchaser prior to the Date of sale. In such circumstances the Purchaser must raise the matter with the vendor within 5 working days. If the Purchaser does not raise the requisition within 5 working days then it is deemed waived. This clearly places an onus on the Purchaser to act promptly in relation to matters which were not apparent from the title and contract.
- The non- title sheet is no longer appended to the contract for sale as the information previously contained therein is incorporated in the Requisitions on title.
- General condition 11 in relation to Identity (formerly general condition 14) provides that the purchaser cannot call on the Vendor to produce a declaration of identity unless this has been allowed in the special conditions. The identity of the property in sale must be established pre-contract.
- In cases of registered title, the vendor is obliged under general condition 10(c) to produce an up to date land registry sealed and certified folio and file plan prior to entering into binding contracts.
For more information on Conditions of Sale, or any other matters in respect of Conveyancing Transactions contact Julie Sweeney or Dario Di Murro or your usual contact in OSM Partners.
