Part 2 Pre-Completion Transactions which are Assignments of Rights

Pre-completion transactions which are assignments of rights

A pre-completion transaction is an “assignment of rights” if the entitlement of the transferee referred to in paragraph 3(1)(a) is an entitlement to exercise rights under the original contract.

Assignments of rights: application of rules about completion and consideration

(1)     This paragraph applies if the pre-completion transaction is an assignment of rights.

(2)     If the subject-matter of the original contract is transferred to the transferee, the transfer is taken to be the completion of the original contract (despite section 10 and in particular subsection (10)(a) of that section).

(3)     Sub-paragraphs (4) to (8) apply if—

(4)     The transferee is taken to be the buyer in the land transaction effected as mentioned in section 10(3), or treated as effected under section 10(4).

(5)     For the purpose of determining the chargeable consideration for that land transaction, the land transaction is taken to give effect to a contract the consideration under which is the consideration paid