SCS/SCPS - key conditions

Question 1

What is the default completion date

Answer 1

20 WD after date of contract

Question 2

What is the default completion time?

Answer 2

2pm

Question 3

How many days does a party have to complete once a notice to complete is served?

Answer 3

Within 10 WD after NTC is served. Time starts day after served

Question 4

What can an innocent seller claim if NTC is served? (4)

Answer 4

They may rescind the contract and in doing so:

1. keep deposit
2. interest for each day of delay on full purchase price (minus deposit)
3. resell property
4. contractual compensation

Question 5

What can an innocent seller claim if NTC is served and completion does not take place at all? What happens to any interest paid for delay?

Answer 5

Damages

Any interest paid for delay is deducted

Question 6

What may an innocent buyer claim if NTC is served? (4)

Answer 6

They may rescind the contract and in doing so:

1. claim deposit back
2. claim interest for each day of delay on full purchase price
3. contractual compensation
4. specific performance

Question 7

How is contractual compensation calculated? (amount and time period)

Answer 7

it is a % as stated under the contract on the full purchase price (minus deposit if a buyer)

Period between completion date and actual completion

Question 8

When is VAT payable? (2)

Answer 8

1. property less than 3 years old
2. seller has opted in to tax

Question 9

How much VAT is payable on commercial properties?

Answer 9

20% of purchase price