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Buying and Selling in Lockdown

The key requirement for transactions affected by the lockdown right now is to ‘make things work’.

This is a time when the practical solution must often trump theoretical rights.

As the Law Society acknowledges that ‘the vast majority of transactions due to settle over the next four weeks of Level 4 lockdown will most likely have parties that are not in a position to settle. Even if the prerequisite documentation has been attended to, moving companies will not be operating so vendors will be unable to give vacant possession; equally purchasers will have no means of moving their own furniture. Any such relocation will likely be a breach of the Level 4 lockdown requirements.’

For these and other reasons, the Property Law Section of the Society recommends using the following clause to amend existing Agreements for Sale and Purchase or Auction Agreements due to settle during the Level 4 lockdown:

“The parties agree that settlement is hereby deferred to the 10th working day after the Government reduces the Covid-19 Level to Level 2 or below, or to such other date as may be mutually agreed. For the sake of clarity neither party shall have any claim against the other in relation to this deferral.”

If you have an issue with a settlement or for further information contact us or call (03) 477 8080

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