11(1)This paragraph applies where—E+W
(a)the pre-completion transaction is an assignment of rights, and
(b)either the subject-matter of the original contract is transferred to the transferee or the original contract is substantially performed by the transferee.
(2)This paragraph does not apply if the original contract is itself a free-standing transfer (see Part 3 of this Schedule for the treatment of such cases).
(3)The general rule is that in relation to a relevant land transaction, references in this Act to the seller are to be read as references to the seller under the original contract (but see sub-paragraphs (4) and (5)).
(4)In cases where the original contract was substantially performed before the transferee became entitled to call for a transfer of the whole or part of the subject-matter of the original contract, references in this Act to the seller are to be read as references to the person who was the buyer under the original contract when it was substantially performed.
(5)In relation to a relevant land transaction, references to the seller in any of the following provisions are to be read as including the seller under the original contract and the transferor under any relevant assignment of rights—
(a)paragraph 8(1)(a) of Schedule 4 (debt as consideration);
(b)paragraph 11(2)(c) of that Schedule (carrying out of works);
(c)paragraph 14 of that Schedule (indemnity given by buyer);
(d)paragraph 1(1) and (2) of Schedule 20 (transfers involving public bodies);
(e)paragraph 2(1)(a) of Schedule 21 (compliance with planning obligations: conditions for relief).
(6)The following are ““relevant land transactions””—
(a)the land transaction given effect by the transfer mentioned in sub-paragraph (1)(b) or treated as having been given effect by the substantial performance mentioned in that sub-paragraph;
(b)the notional land transaction mentioned in paragraph 8(1) and any additional notional land transaction under paragraph 8(3).
(7)In determining under section 8(1) whether or not a relevant land transaction such as is mentioned in sub-paragraph (6)(a) is linked to another transaction, it may be assumed that any of the following is the seller in the relevant land transaction—
(a)the seller (determined in accordance with sub-paragraph (3)), or
(b)the transferor under any relevant assignment of rights.
(8)The following are “"relevant assignments of rights”” in relation to a relevant land transaction—
(a)the assignment of rights mentioned in sub-paragraph (1)(a);
(b)any other transaction that is an assignment of rights in relation to the original contract and has some subject-matter in common with the assignment of rights mentioned in paragraph (a).
Commencement Information
I1Sch. 2 para. 11 in force at 1.4.2018 by S.I. 2018/34, art. 3