Holiday Cottage Co-ownership Agreement

Holiday House Sharing Agreement

PROP.HOL.13
This Holiday House Sharing Agreement can be used by the owners of a holiday house or cottage that is in shared ownership. It sets out how the co-owners will use the property and how the upkeep will be arranged and paid for. Having a detailed written agreement will make day to day management easier and will reduce the scope for disputes.

This version of the Sharing Agreement does not include a declaration of trust. If a declaration of trust is required please use the Holiday House Sharing Agreement (with Declaration of Trust). This version, without the declaration of trust, should be used where a declaration of trust has already been made, e.g. when the property was purchased.

The Sharing Agreement sets out the main details at the beginning, being the owners’ names, their percentage shares in the property and the address of the property.

Clause 1 makes reference to the percentage shares in which the owners own the property. This means the percentages set out in the existing declaration of trust.

Clause 2 deals with the contents of the property. There is a statement that the contents are owned in the same proportions as the property itself. Any items that are not jointly owned can be listed.

Clause 3 covers management of the property. The Agreement provides for one of the owners to act as the manager and to be responsible for arranging repairs and maintenance, paying bills, etc.

Clause 4 deals with decision making by the co-owners. It provides for regular and ad hoc meetings to be held.

Clause 5 relates to expenditure on the property. Certain expenses are paid for by the owners in proportion to their shares in the property. Other expenses can have different payment arrangements.

Clause 6 contains the procedure for booking a stay at the property. There is the option to number the weeks of the year 1 – 52 and allocate particular weeks to particular owners. If this option is taken, you will need to attach a chart identifying the dates of each week in each year. Alternatively, reference can be made to a timeshare website which has such a weeks chart.

Clause 7 sets out the owners’ covenants with each other. These cover payment of expenses, careful use of the property and other practical matters. There are three versions of the “pets” clause: no pets; one well behaved dog; and pets allowed only with the express consent of the owner.

Clause 8 deals with service of notices by the owners on each other and incorporates section 196 of the Law of Property Act 1925. This means that notices should be delivered by hand or sent by recorded or special delivery post. If the notice is sent by recorded or special delivery post, service is deemed to occur at the time at which the letter would “in the ordinary course” be delivered.

Clause 9 contains standard legal interpretation clauses and clause 10 is a jurisdiction clause.

The Agreement should be executed as a deed by each owner signing in the presence of a witness.

Optional phrases / clauses are enclosed in square brackets. These should be read carefully and selected so as to be compatible with one another. Unused options should be removed from the document.

This Holiday House Sharing Agreement is in open format. Either enter the requisite details in the highlighted fields or adjust the wording to suit your purposes.

Once you have purchased access to the appropriate document folder click on the “Download Document” button below. You will be asked what you want to do with the file. It is recommended that you save the document to a location of your choice prior to viewing.
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