Where either party fails to complete on the contractual completion date and it does not appear as if matters can be resolved, the other party’s solicitor or conveyancer may serve a Notice to Complete.
The defaulting party has 10 working days in which to complete. If they do not complete within this period the aggrieved party may sue for breach of contract. In addition to the right to sue, if the buyer is the defaulting party they forfeit their deposit.
If the defaulting party is late completing but completes within the 10 working days after receiving the Notice to Complete, they will still be liable to pay interest to the aggrieved party at the rate stated in the contract. They may also have to pay compensation to the aggrieved party. The terms of the contract should be checked for this.
The special conditions will usually refer to a Notice to Complete and the solicitors’ costs in the event a Notice needs to be served. The costs are usually £150 to £200 plus vat. The aggrieved party should not serve a Notice to Complete unless they themselves are ready to complete.