header-logo header-logo

Home Login E-newsletter About us
19 July 2024 / Fern Schofield , Michael Ranson
Issue: 8080 / Categories: Features , Profession , Property , Conveyancing
printer mail-detail

The ABCs of overage

© Copyright LexisNexis 2026. All Rights Reserved.
182211
Fern Schofield & Michael Ranson set out the various means of securing overage obligations
  • Securing overage obligations raises a variety of legal, practical and commercial difficulties.
  • In order to advise clients about how best to secure overage, practitioners need to be aware of a variety of legal principles, statutes and case law.
  • This article is a guide to those legal issues, with suggestions as to three different ways in which overage obligations might be secured and a warning about the use of restrictive covenants.

When it comes to securing overage obligations, a number of different options present themselves, each with their own advantages and disadvantages. Which is the best choice in the context of any given transaction will depend on the legal landscape and various practical and commercial priorities.

Why is it difficult to secure overage obligations?

Before turning to the different methods of securing obligations to pay overage, and the advantages and disadvantages of each, it is helpful to take a step back and consider why it is that successfully securing an obligation to pay

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Read All
Sponsored by
Hogan Lovells—Lisa Quelch

Hogan Lovells—Lisa Quelch

Partner hire strengthens global infrastructure and energy financing practice

Sherrards—Jan Kunstyr

Sherrards—Jan Kunstyr

Legal director bolsters international expertise in dispute resolution team

Muckle LLP—Stacey Brown

Muckle LLP—Stacey Brown

Corporate governance and company law specialist joins the team

NEWS
Read All
Legal notice: Notice under the Trustee Act 1925

NOTICE UNDER THE TRUSTEE ACT 1925

HERBERT SMITH STAFF PENSION SCHEME (THE “SCHEME”)

NOTICE TO CREDITORS AND BENEFICIARIES UNDER SECTION 27 OF THE TRUSTEE ACT 1925
Emergency lawyers on call as international regulatory actions soar
Law firm HFW is offering clients lawyers on call for dawn raids, sanctions issues and other regulatory emergencies
NLJ this week: Employment law’s fine margins
From gender-critical speech to notice periods and incapability dismissals, employment law continues to turn on fine distinctions. In his latest employment law brief for NLJ, Ian Smith of Norwich Law School reviews a cluster of recent decisions, led by Bailey v Stonewall, where the Court of Appeal clarified the limits of third-party liability under the Equality Act
NLJ this week: Promises broken on non-molestation orders?
Non-molestation orders are meant to be the frontline defence against domestic abuse, yet their enforcement often falls short. Writing in NLJ this week, Jeni Kavanagh, Jessica Mortimer and Oliver Kavanagh analyse why the criminalisation of breach has failed to deliver consistent protection
NLJ this week: Assisted dying under the legal microscope
Assisted dying remains one of the most fraught fault lines in English law, where compassion and criminal liability sit uncomfortably close. Writing in NLJ this week, Julie Gowland and Barny Croft of Birketts examine how acts motivated by care—booking travel, completing paperwork, or offering emotional support—can still fall within the wide reach of the Suicide Act 1961
Copyright © 2026 LexisNexis
back-to-top-scroll