l would be grateful to Forum members for their comments on the following Deed (an anonymized version); much has happened – which I’ll share if anyone is sufficiently interested - but for the time being, rather than overload with factual information, I thought it would help if we could treat this rather like an exam question: “Discuss” (Hint as to present situation: at the outset, seller gave buyer a POA to enable buyer to conduct the matter, which the seller has revoked in the last month; buyer has not yet complied with clause 5; both are British citizens, UK resident and domiciled, although originate from outside UK):
Date 30th October 2015
(1) Seller (the Trustee)
(2) Buyer [the Beneficiary].
Purchase price €145,000.00
Mortgage sum: € 126, 000.00
Repair, unpaid service charge and other liabilities, estimated €6, 500.00
Total liabilities €132,500.00
Due to the Trustee on signing this agreement as a full and final consideration €12,500.
the property known as [property in Spain -apartment)
2 Trust of land
2.1 The Trustee is the owner of the Property
2.2 The parties declare that the Trustee:
2.2 .1 holds the Property in trust for the Beneficiary absolutely
2.2.2 will at the request of the Beneficiary transfer the Property or any part or parts of it either to the Beneficiary or to anyone else as the Beneficiary directs
2.2.3 will apply to the Land Registry or relevant authority in Spain as necessary to give effect to any required transfer or dealing or to enable the interest of the Beneficiary to be protected.
3 The Beneficiary covenants with the Trustee that it will keep the Trustee indemnified from all costs, expenses, claims, demands and liabilities in respect of the Property and any matters to which it may from time to time be subject.
4 The Trustee will not be required to incur any expenditure in respect of the Property unless and until monies have been provided by the Beneficiary for that purpose.
5 The Beneficiary undertakes to complete the transfer of the property to the Beneficiary or to anyone else within two years of the date of this agreement.
6 Nothing in this Deed is intended to confer on any person any right to enforce any term of this Deed which that person would not have had but for the Contracts (Rights of Third Parties) Act 1999.
7 Executed by the parties as a deed and delivered today
Signed as a deed by seller in the presence of a conveyancing paralegal at a firm of solicitors at which the Beneficiary worked at the time
Signed as a deed by the Beneficiary before the same witness.