Paragraph 6

England and Wales

Where there is a relevant disposal which is an exempted disposal by virtue of paragraph 4(1)(d) or paragraph 4(1)(e) above—

(a)

the covenant required by paragraph 1 above is not binding on the person to whom the disposal is made or any successor in title of his; and

(b)

that covenant and the charge taking effect by virtue of paragraph 2 above cease to apply in relation to the property disposed of.

F1and

(c)

the covenant required by paragraph 2A above is not binding on the person to whom the disposal is made or any successor in title of his; and

(d)

that covenant ceases to apply in relation to the property disposed of.

Annotations

F1: Sch. 11 para. 6(c)(d) and word inserted (18.1.2005) by Housing Act 2004 (c. 34), ss. 204(2), 270 (with s. 204(3))