B1.14: Settlements - Holding Items as Undelivered

Where settlement items, including settlement funds, are sent to be held as undelivered pending purification of a condition, they should be so held if the condition is not purified. Settlement will not take place until they can be treated as delivered.

It is good practice, where practicable, to agree with other parties that settlement items are to be held as undelivered pending purification of certain conditions in advance.

For more Guidance on this matter in a conveyancing context, refer to Cheques to be Held as Undelivered but note that the core principle, as set out above, is of general application and is not restricted to conveyancing transactions.

Last reviewed: 15 March 2022