§ Mr. Clinton Davisasked the Secretary of State for the Environment if he will introduce legislation to stop the position where, until exchange of contracts in respect of a house purchase, both buyer and seller are at liberty to break any oral or written agreement made subject to contract without incurring any legal obligation.
§ The Attorney-GeneralI have been asked to reply.
I am aware of this problem, but there are considerable difficulties in imposing obligations of a contractual nature on parties who have not entered into a binding contract. My noble Friend, the Lord Chancellor, is referring the matter to the Law Commission.