Party Wall Awards and Change of Ownership: what really happens when the neighbours (or you) sell

Party Wall Awards and Change of Ownership: what really happens when the neighbours (or you) sell

Summary: The Party Wall etc. Act 1996 does not spell out, in black and white, what happens to a Party Wall Award when either the Adjoining Owner (AO) or the Building Owner (BO) sells up. Practitioners take different views. This note sets out the statutory position, the competing interpretations, and a risk-managed, surveyor-friendly way to handle sales mid-process or post-award.

What the Act says (and doesn’t)

• The Act defines “owner” widely (freeholders, most leaseholders, receivers of rent, and people with contracts to purchase). That breadth matters when properties change hands. (Legislation.gov.uk)
• Section 10 gives surveyors power to resolve disputes and to make more than one award on “any other matter arising out of or incidental to the dispute.” This is often relied upon for supplemental/further awards where details change (for example, to record new owner details). (Legislation.gov.uk)
• Government guidance explains the overall framework but does not decide the successor/transfer point. (GOV.UK)

Bottom line: The statute is silent on automatic transfer of awards to successors; it neither clearly says they “run with the land” nor that they are purely personal.

The two competing practitioner views

1. Awards are personal to the named parties
Several legal and surveying commentaries say an award is personal; there is no express mechanism in the Act to “assign” its benefits to a buyer. On that view, a change of owner should trigger fresh notices (or at least a formal step to put matters on a proper footing). (Osbornes Law, Lexology, eastonbevins.co.uk, woodwardsurveyors.co.uk)

2. Awards generally follow the AO, but not the BO
Some respected guidance suggests it is generally accepted that a valid award will bind a new Adjoining Owner, but will not automatically bind a new Building Owner. Even here, commentators acknowledge that the Act is not explicit, so careful practice is still required. (pyramusandthisbesociety.org, harrisonclarke.co.uk)

Why the divergence?The Act’s definitions of “owner” and the surveyors’ wide powers under s.10 allow pragmatic solutions, but there is no definitive statutory clause or widely cited court decision settling the point. Even Practical Law notes the lack of clear authority. (constructionblog.practicallaw.com)

Scenario A — The Adjoining Owner sells

Risks: The buyer was not served the original notice and is not named in the award. Relying on “constructive” transfer can invite challenge.

Best practice:
• If works have not started: Serve fresh notices on the new AO, or obtain their written adoption/consent and commission a supplemental award under s.10 to update party names and any conditions (access routes, timings, protection, etc.). (Legislation.gov.uk)
• If works are underway: Seek a letter of reliance/adoption from the new AO and issue a further award confirming the change of AO and any consequential adjustments (e.g., access windows, protection measures). If the new AO objects, consider re-serving notices to protect validity. (Legislation.gov.uk)
• Conveyancing tip (for AOs): The AO’s conveyancer should raise party wall enquiries and, where appropriate, seek assignment of benefits/claims in the sale contract, recognising that the Act itself provides no express assignment mechanism. (Osbornes Law)

Scenario B — The Building Owner sells

Key point: Many practitioners caution that a new BO is not automatically bound by an existing award in another person’s name. Proceeding on an old award can be attacked as invalid or unenforceable against the newcomer. (pyramusandthisbesociety.org)

Best practice:
• Before works commence: The incoming BO should serve fresh notices in their own name. If timing is tight, issue a supplemental award recording the name change and ensure there is proper notice coverage to the AO. Where there is any doubt, re-serve. (Legislation.gov.uk)
• Mid-project sale: Arrange a confirmatory notice sequence and a further award under s.10 that (i) substitutes the new BO, (ii) rolls forward method statements, and (iii) deals with liabilities, insurance, and security for expenses. This reduces argument about enforceability against the new BO. (Legislation.gov.uk)
• Conveyancing tip (for BOs): The sale contract should deal with indemnities and step-in on liabilities for damage and making-good under s.7(2), recognising enforcement risks if an award names the former owner. Many firms advise not relying on an award that names the seller. (Osbornes Law)

Practical checklist for surveyors and conveyancers
1. Identify the status: notices served? consent or dissent? award made? works started? expiry clauses?
(Many awards include a 12-month commencement clause.) (Osbornes Law)

2. If an owner changes:
o Prefer fresh notices or, at minimum, a written adoption plus a supplemental/further award updating parties and any logistics. (Legislation.gov.uk)

3. Tidy the paperwork:
o Update access licences, method statements, and any schedules of condition in the further award.
o Reconfirm insurance, security for expenses, and contractor details. (Legislation.gov.uk)

4. Conveyancing enquiries:
o Ask for copies of notices, consents, awards, drawings, schedules of condition, and any damage/compensation correspondence.
o Record who keeps the benefit of claims and who bears liabilities post-completion. (Osbornes Law)

FAQs
Does an award ever “expire”?
The Act is silent, but many awards include a commencement window (commonly 12 months). If works do not start in time, the award can state it becomes null and void, requiring a fresh process. Check the wording of your award. (Osbornes Law)

Can surveyors just issue a “name-change” award?
Surveyors can make further awards on matters “arising out of or incidental to the dispute” (s.10). Used carefully, this can record a change of parties and keep control of method and protection, but it is not a substitute for proper service of notices where needed. (Legislation.gov.uk)

Is there a single, definitive answer on successors in title?
No. Commentaries openly acknowledge the lack of explicit statutory text or authoritative case law squarely on point. That is why cautious practitioners either re-serve or regularise by adoption plus a supplemental award. (constructionblog.practicallaw.com)

Take-away for your files and client advice
• Treat a change of AO as a trigger to re-serve or regularise.
• Treat a change of BO as a near-certain trigger to re-serve; do not rely on an award that names the seller.
• Use section 10 powers for supplemental/further awards to keep control of access, method and protection when parties change.
• Bake party wall matters into the conveyancing on both sides.

This approach aligns with the statute’s wording (definitions in s.20; surveyors’ broad s.10 powers), recognises the divergent published views on transfer, and keeps your projects enforceable and defensible. (Legislation.gov.uk, Osbornes Law, pyramusandthisbesociety.org)