What is the effect of providing an undertaking to discharge a mortgage on completion, and what is the consequence if it is not fulfilled?

• A. The undertaking is binding only on the client.
• B. There are no consequences if not fulfilled.
• C. The undertaking creates a personal liability for the solicitor.
• D. An undertaking is binding on the firm giving it and must be complied with, with potential breaches under the SRACC.

Answer: (D)

Providing an undertaking to discharge a mortgage on completion is a formal promise by the solicitor’s firm to do the discharge by the completion date, so the buyer’s title can pass free of that mortgage. This undertaking is binding on the firm that gives it, not just on individual staff, and the firm must fulfil it. If the undertaking isn’t fulfilled, the client (and often the lender) can pursue remedies for breach, and the firm may face regulatory consequences under the SRA framework (as referenced by SRACC). In short, it’s a firm-bound promise with real potential penalties if it isn’t honoured.