# Companies Act 1985, Paragraph 14: Sale and option to resell transactions

Extent: E+W+S

(1) The following rules apply where a company is a party to a sale and option to resell transaction.
(2) Where the company is the transferor of the assets under the transaction it shall not include in its balance sheet the assets transferred but it shall enter under Memorandum item 2 an amount equal to the price agreed in the event of repurchase.
(3) Where the company is the transferee of the assets under the transaction it shall include those assets in its balance sheet.

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Source: https://www.legislation.gov.uk/ukpga/1985/6/schedule/9/paragraph/14 (the official version)
Page: https://openlegislation.uk/companies-act-1985/schedule-9/paragraph-14
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.