This clause is a seller's promise that a building or development has all the necessary government approvals to exist and operate legally. In the UK and US, you cannot legally use land for most purposes without planning permission (or zoning approval in the US). If the seller warrants this but permission was actually never obtained—or has expired—you could face a forced demolition, fines, or inability to sell the property later. This matters because discovering missing permissions after purchase can cost tens of thousands of pounds to fix or make the property worthless.
Ask the seller to provide copies of the actual planning permission documents and any renewal certificates, not just their word. If documents are old or missing, insist the seller obtain a professional search from a conveyancer or title company before you commit to buying—this costs a few hundred pounds but saves you from inheriting a legal nightmare. ---
Frequently Asked Questions
What does this clause mean in simple terms?
This clause is a seller's promise that a building or development has all the necessary government approvals to exist and operate legally.
Why should I care about this clause?
In the UK and US, you cannot legally use land for most purposes without planning permission (or zoning approval in the US).
What are my options?
If the seller warrants this but permission was actually never obtained—or has expired—you could face a forced demolition, fines, or inability to sell the property later.
How does this affect small businesses?
This matters because discovering missing permissions after purchase can cost tens of thousands of pounds to fix or make the property worthless.