Which Law Society Formula would you use to exchange contracts for the sale of 3a John Street and state why you would use this particular Formula?

• A. Formula B
• B. Formula C
• C. Formula A
• D. Formula D

Answer: (B)

The thing being tested is choosing the standard contract template that matches the type of property transaction. For exchanging contracts when the property is leasehold, Formula C is used because it is designed to handle lease-specific transfers. It provides the necessary provisions for assigning the lease to the buyer, dealing with the landlord’s consent if required, and detailing rent, service charges, and any notices or charges tied to the lease. It also aligns the mechanics of completion with the lease terms and any mortgage arrangements. Using Formula C ensures the contract reflects the realities of a leasehold title and gives clear, appropriate protections for both sides.