Piotrnikitin Aug 18, 2011:

For the avoidance of doubt Solicitors for the parties would usually agree over the phone by email that they are ready to sign and date the contracts simultaneously. Legally speaking, this is the point when "exchange of contracts" happens. Of course, they will send the signed copies to each other soon thereafter by post or courier, literally "exchanging" the physical copies.

Piotrnikitin Aug 18, 2011:

See also the (very basic) explanation below What’s the difference between exchange and completion?
“Exchange” means the exchange of contracts. Many years ago the solicitors for the seller and buyer would meet and actually exchange contracts in identical form signed by their respective clients. Of course this does not happen today and exchange is usually agreed by the solicitors over the telephone. On exchange there is a legally binding contract between seller and buyer for the sale and purchase of a property. One of the terms of the contract will be the completion date. This is the date on which title to the property is transferred by the seller to the buyer and the buyer takes possession of the property. There is inevitably a period between exchange and completion and this period can vary from a few seconds if exchanged and completion take place on the same day or several months, even years. In current practice the usual period is between 5 and 20 working days.
(http://www.actlegal.co.uk/faq/buying-house-faqs/25/)

Piotrnikitin Aug 18, 2011:

exchange of contracts13:28 @Alexander Your link does state that title passes upon exchange of contracts but that is not correct, or rather not entirely correct. What passes on exchange of contracts is "equitable" title. "Legal" title only passes on "completion", and can be registered in the name of the new owner only after "completion". What the parties (or rather their lawyers) do on exchange of contracts is exactly "обмениваются копиями контрактов". I know this because I have seen it done in practice. If "обмен копиями контрактов" does not sound good enough, then "oбмен контрактами" should do. http://www.google.co.uk/#hl=en&cp=40&gs_id=5v&xhr=t&q="title...

Alexander Teplitsky Aug 18, 2011:

exchange of contracts The link I supplied show the source that clearly states what happens at the moment of "exchange of contracts". Strictly speaking one contract (an offer) exchanged for the other (obligation to buy). The parties are not "обмениваются копиями контрактов". Therefore, "обмен копиями контрактов" version is not correct.

Piotrnikitin Aug 18, 2011:

Exhcange of contracts In English law, the buyer and seller first sign the contract for sale/purchase of property and exchange signed copies. A 10% deposit is usally paid at this time. Once this is done, an obligation arises to transfer title (ownership) to the property. Title itself passes when the seller signs a "deed of transfer", a few weeks after "exchange of contracts". This is called "completion". This is also when the buyer pays the balance of the purchase price. Therefore, Alexander's version is not, strictly speaking, accurate. Irina's version on the other hand seems appropriate. Here is a pretty good text explaining the position in russian: http://meget.kiev.ua/nedvizimost-za-rubezom/nedvizhimost-ang...

Alexander Teplitsky Aug 17, 2011:

exchange of contracts Уважаемые коллеги, пожалуйста не подходите к легальным терминам так легко - это может повлечь серьёзные последствия.