The principal risk described arises from which event?

• A. A delayed completion date
• B. Third party interests gaining priority due to delayed registration
• C. Defects found in the title search
• D. Changes in stamp duty rates

Answer: (C)

In conveyancing, the main risk is that the title turns out to be defective once the title search is carried out. The title search reviews who owns the property and what rights, charges, or restrictions attach to it. If defects are uncovered—such as unregistered interests, conflicting entries, a hidden lease, a restrictive covenant, or forged or inadequate deeds—the buyer may not obtain a good, marketable title or may face difficulties registering the transfer. That threatens the whole transaction, potentially causing completion to stall or fail and leaving the buyer exposed to further costs.

The other options describe different kinds of risk that don’t strike at title quality itself: a delayed completion date is a logistical risk, third-party interests gaining priority due to delayed registration relates to timing of registration rather than defects in the title, and changes in stamp duty rates affect cost, not title integrity.