The Law Society Library explains where you can find sources of clauses for overage payments and development clawback.

The Law Society Library maintains a database of enquiries called Common Queries. These include results from research to find forms, precedents, rules, regulations and guidance. These records can be freely accessed via the library catalogue Library Search.  

Overage payments and development clawback agreements

The following are precedents and clauses to use in the sale of property where a share in the future enhanced value is to be paid to the vendor. The seller reserves an entitlement to an increment in sale price if the buyer makes a profit on resale. For example, a successful application for planning permission.

  • Commercial Property Development Precedents (loose leaf)
    • C21: Overage: development profits
    • C22: Overage: profit from letting a development
    • C23: Overage: participation in development value of land;
  • Encyclopaedia of Forms and Precedents Volume 2(2) Agriculture (2015)
    • Form 7: Development clawback deed;
  • Encyclopaedia of Forms and Precedents Volume 38(2) Sale of Land (2012)
    • Forms 65 to 79 include a development clawback agreement for agricultural land and transfer schedules for all land;
  • Encyclopaedia of Forms and Precedents Volume 13(1) Covenants relating to Land (2018)
    • Forms 195 to 199 include various covenants relating to overage;
  • Precedents for the Conveyancer (loose leaf) volume 2
    • Section 16-K including clauses concerning agricultural land and clauses for payment of future moneys if planning permission is subsequently obtained;
  • Le Chat, Property Development, 2nd ed. (2014)
    • Form E6: Overage agreement: planning overage
    • Form E7: Overage agreement: sales overage
    • Form E8: Overage agreement: revenue overage;
  • Further commentary can be found in Le Chat, Property Development, 2nd edition (2014) and Jessel, Development Land Overage and Clawback 2nd edition (2007).

Record last checked 06/07/18

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While every effort has been made to ensure the accuracy of the information in this article, it does not constitute legal advice and cannot be relied upon as such. The Law Society does not accept any responsibility for liabilities arising as a result of reliance upon the information given.