Signing a Contract

Gazumped_2

I have just been given a completion date for our move.
As we have been waiting for a while we have got the contract ready to sign minus the completion date and deposit section being filled in.

Now we have been given a completion date, the sellers solicitors have said they want to exchange ASAP.

I have said to my solicitors that I do not want to sign my contract with out the completion date and deposit (5% gifted and 10% myself) section being filled in.

They then started having a go at me saying that this is standard practice and that they always fill the date in themselves before they exchange. The client always signs a contract with just the bare bones completed, and the solicitors must complete the rest when they exchange contracts.

Is this right, as I am not completely easy about it? Especially when it could mean I have to pay an extra 5% deposit.

Thanks for your help.

CloudCuckooLand

Certainly the dates need to be left blank, as you never know when a gremlin will push things back by 24 hours, and you don't want further delays getting new contracts out to you and signed everytime that happens...

Re the deposit. What if you got your maths wrong? They'd have to issue fresh contracts. The solicitor should reconcile all the deposit/mortgage offer figures to arrive at an accurate number, plus is legally obliged to protect your interests. Ok, we are all human and they may make a mistake.

But personally I trust my solicitor. If you don't trust yours, why are you using them?

80schild

I think this is normal- we signed the contract and transfer AGES ago for our sale but as our purchase has STILL not gone through due to Countrywide being ultra slow our solicitors said they will keep it back until all parties are ready to exchange so in our case there were no dates on the contract!

G_M

This is not just 'normal', it's how it always happens.

Your solicitor is a professional. He works for you. He will only Exchange when YOU tell him, at the price YOU tell him, with the Completion date YOU tell him, using the deposit amount YOU tell him. But he needs the paperwork ready in order to do it.

If you don't trust him, get a new solicitor who you DO trust.

When Exchange happens, it will happen with all the solicitors in the chain on the phone. If they all have to then wait while all the contracts are sent to all the buyers and returned, which could take days, it would only need one thing to happen in that time to one party, for the whole Exchange to be delayed, meaning new Exchange and/or Completion dates, meaning new documents and new signitures.

80schild

Forgive me for jumping in, but who does the contract go to first, the buyer or the seller?

G_M

???

There are two copies, one signed by each party. On' Exchange of contracts', the, errr... 'contracts' are, well, 'exchanged'.

80schild

ok no need for the sarcasm!!!!! I mean who gets their copy sent out first or is it both at the same time? The reason I ask is back at the start of December my solicitor (acting for my sale-I have 2 different ones due to one being instructed by the Estate agent and one by my mortgage broker) sent me out a contract and transfer to sign along with a letter saying 'your buyers have indicated they are ready to proceed please return the contract'. To which I did, although I then had to ask them to delay exchange until our vendor was ready. Was just wondering if my buyer will have been sent a contract too?

Richard_Webster

Was just wondering if my buyer will have been sent a contract too?

Possibly, but your solicitor doesn't get told every single thing that the buyer's solicitor does. All you are concerned about is that by the time you get to exchange of contracts the respective solicitors have signed contracts in their hands.

G_M

80schild wrote: »

ok no need for the sarcasm!!!!! I mean who gets their copy sent out first or is it both at the same time?

As explaimed above:

"When Exchange happens, it will happen with all the solicitors in the chain on the phone. If they all have to then wait while all the contracts are sent to all the buyers and returned, which could take days, it would only need one thing to happen in that time to one party, for the whole Exchange to be delayed, meaning new Exchange and/or Completion dates, meaning new documents and new signitures. "

Once (telephone) exchange has taken place, the solicitors all post off the respective contracts to each other. However, under solicitors rules, the 'telephone exchange' is legally binding. It can only happen if all the solicitors have their clients' signed contracts in their hands.

Of course, if you are acting for yourself, without a solicitor, other solicitors will not accept your word on the phone. They will insist on physical possession of the signed contract, usually achieved by attending the other solicitor's office and giving it to them.

timmyt

Gazumped wrote: »

I have just been given a completion date for our move.
As we have been waiting for a while we have got the contract ready to sign minus the completion date and deposit section being filled in.

Now we have been given a completion date, the sellers solicitors have said they want to exchange ASAP.

I have said to my solicitors that I do not want you take your lawyers advice as they are on your side....but those details are filled in at the point of an exchnage anyway to sign my contract with out the completion date and deposit (5% gifted and 10% myself) section being filled in.

They who the other lawyers then started having a go at me saying that this is standard practice indeed it is and quite right in having a go of sorts and that they always fill the date in themselves before they exchange. The client always signs a contract with just the bare bones completed, and the solicitors must complete the rest when they exchange contracts.

Is this right, as I am not completely easy about it? Especially when it could mean I have to pay an extra 5% deposit.

Thanks for your help.

do as they advise, 100% usual practice

Gazumped_2

Thank you for everyones help.