Petition Ban the use of 'claw-back' or 'overage' clauses in property sales
An overage clause (also called uplift clause or, more appropriately in our view, claw-back clause) on a property for sale, means in essence that if there is future development, then a buyer must pay a percentage on any increase in value to the previous seller.
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Some overage clauses can cover 25-50% of the increased value, and be in place for 25yrs, or longer.
We don’t believe there is an equivalent in other contexts, where it is contractually legal for a previous owner to demand a share of future values in something they no longer own!
As a parallel – if one were to buy a regular van and convert it to a luxury camper – would the original owner ask for a share in the uplift in value of the transformed vehicle?
At 10,000 signatures...
At 10,000 signatures, government will respond to this petition
At 100,000 signatures...
At 100,000 signatures, this petition will be considered for debate in Parliament