Party Wall Agreement

What the document actually is, what it has to contain to be worth having, and when the case needs an award instead

A party wall agreement is the written document that settles how party wall work will be carried out and what happens if the neighbouring property is affected. It is the name people use for two documents that are legally quite different: a written consent or licence, used where the owners agree the works on terms they accept, and an award, made by the surveyor or surveyors appointed under section 10 of the Act where they do not.

Key takeaway

The difference between the two documents is consent. An agreement is something both owners accept — it cannot be imposed, and either owner can decline it. An award is a determination of the dispute and binds both owners whether or not either accepts the outcome. If the adjoining owner has dissented, or has not responded to the notice within fourteen days and is deemed to have dissented, there is no agreement left to reach and the case will be decided by award. Getting the wrong one is the most common and most expensive confusion in party wall work.

Most of the downside in a party wall case is not the work itself but the absence of a record: what condition the neighbouring property was in before, what hours were to be worked, who was to make good a crack that appears in month three. Both documents exist to create that record. This page is about the agreement half — what it contains, what makes one worth having, and where it stops being the right instrument.

The three documents people call a party wall agreement

1. Consent — you agree to the notice

The adjoining owner's consent to a party structure notice, given by written notice, ends the statutory process at its first step. There is no dispute, so no surveyors are appointed and no award is made. What remains is the commercial record of the terms: what is being built, when, with what protection for the neighbour's property, and who is responsible for damage.

2. A written agreement or licence — you agree terms

Where owners are content for the work to proceed but want conditions recorded, they can set them out in a written agreement between them, usually called a licence. This is the document that replaces the award in a consented case, and its usefulness depends entirely on how specifically it is drafted. A licence that says “the works will be carried out to a good standard” has recorded nothing useful.

3. An award — you do not agree

Where the adjoining owner dissents, or does not respond within fourteen days and is deemed to have dissented, the matter is settled by award. The award is the document the contractor builds to: it records the condition beforehand, sets out what may be done and how, imposes conditions on timing and method, and decides who makes good damage and who pays which costs. It binds the owners and anyone who later acquires the property.

Note that only the third is a statutory decision. Consent and a licence are contracts between owners; an award is a determination made under the Act, and it carries a statutory right of appeal to the county court within fourteen days of service. If you are being offered something described as a party wall agreement while there is an active dispute, ask which of the three it is before signing anything.

What a party wall agreement should contain

The test of a party wall agreement is not whether it exists but whether a stranger could pick it up six months later and know what was decided. Nine things need to be in it:

  • The parties and the properties. Space clear and precise enough to identify a subsequent owner, including the leasehold or freehold position where they differ.
  • The works, described precisely. Not “a rear extension” but the depth of the excavation, the position of the new wall in relation to the boundary, and the method of support. An agreement that describes the works vaguely describes nothing.
  • The record of condition. A Schedule of Condition on the adjoining property made before work starts, with photographs and the date. This is the document that decides damage disputes, and its absence is what most agreements are trying to compensate for.
  • Working hours and access. When the contractor may be on site and on the neighbour's side, and how access is requested. Most neighbour friction in London is about when the work happens, not what it is.
  • Protection of specific features. Cornices, finishes, chimney breasts, glazing, garden walls — anything a heavy scheme could damage and that a generic “make good” clause would not properly cover.
  • Making good. Who does it, to what standard, by when, and what happens if the two sides disagree about whether a crack is attributable to the work.
  • Insurance. Whose policy responds, what the contractor is required to carry, and what is notified to the neighbour in advance.
  • Costs. Which costs the building owner bears. In a dispute, section 11 makes the building owner carrying out the work responsible for both sides' reasonable surveyor fees; in a consented case the parties are free to agree something different, and should.
  • A statement of what was agreed versus what was not. Anything left unresolved should be named as unresolved rather than left silent, because silence is read as permission.
The one clause that matters most

Of the nine, the record of condition is the one that carries the weight. Everything else can be argued from the drawings or from what the contractor did. The condition of the neighbouring property before work started cannot be reconstructed afterwards — once a crack has opened, no one can prove whether it was there in April. Where works involve excavation, underpinning or heavy temporary works, a party wall agreement without a Schedule of Condition is close to worthless as protection.

What a good one looks like — a worked example

Suppose a terraced house in south-west London is having a rear side-return extension with a new foundation close to the neighbour's wall, and the neighbour has consented but wants the terms recorded. A properly drafted agreement for that case runs something like this:

  • Recitals. The two owners, the two properties, the date, and the fact that consent to the notice was served on a stated date — so the file shows the statutory step was taken and when.
  • The works. The drawing references, the extent of the excavation, the depth of the new foundation, the method of soil support, and the length of boundary affected. A number, not an adjective.
  • The record of condition. Annexed Schedule of Condition dated before commencement, with photographs referenced by number, covering the flank wall, the neighbour's rear extension if any, and the boundary structures.
  • Working hours. Stated hours for weekdays and Saturdays, and the notice required before any Sunday or out-of-hours working.
  • Monitoring and make good. Who inspects the flank wall as the excavation proceeds, at what intervals, and the point at which a crack is assessed and attributed.
  • Costs. What the building owner is paying for, including the fee for the Schedule of Condition, and what the adjoining owner is responsible for.
  • Signatures and date. Both owners, dated, with the surveyor's details if the agreement was prepared with their involvement.

None of that is unusual or expensive to produce where a surveyor is already involved. What it is not is a template downloaded from a search result: the sections that actually matter — the extent of the excavation and the record of the flank wall's condition — are specific to the property, and a template cannot supply them.

This is a description of structure, not legal advice, and not a substitute for a document drafted for your property. Party wall documents carry statutory consequences and the wording matters.

When you need an award instead

An agreement is the right instrument only while consent is available. It stops being an option at the point the adjoining owner dissents, or fails to respond within the fourteen days allowed after a party structure notice and is therefore deemed to have dissented. At that point the matter is a dispute under the Act, and a dispute is determined by an award — not by an agreement, however willing the building owner is to negotiate.

The same applies where a counter notice has been served, where the works engage a section of the Act that the notice did not cover, and where a neighbour cannot be identified or located. In each case the appointment follows under section 10, and the surveyor or surveyors will settle the matters in dispute by award.

What it costs

A consented case with a written agreement avoids the award fee entirely, because no dispute means no surveyors need be appointed and no award is made. Where the case goes to award, our fees are published rather than quoted case by case: serving notice is £165 plus VAT per adjoining property, a Schedule of Condition is £620 plus VAT, and an award acting for the Building Owner is £350 plus VAT per adjoining property. A one-neighbour case that goes all the way to an award is therefore £1,135 plus VAT all-in. In a dispute those costs sit with the building owner under section 11, not with the neighbour.

The full schedule, including two-neighbour arithmetic and the separate basement package, is on our party wall surveyor fees page. Nothing there is an offer; a formal written quote follows a review of the plans.

Party wall agreements — frequently asked questions

What is a party wall agreement?

The everyday name for the written document that settles how party wall work will be carried out and what happens if the neighbouring property is affected. It covers two legally different instruments: a written consent or licence where the owners agree, and an award made by surveyors under section 10 where they do not.

Is a party wall agreement the same as a party wall award?

No. An agreement is reached by consent and either owner can decline it. An award is a determination of the dispute that binds both owners and can be appealed to the county court within fourteen days of service. Our award page sets out what the award contains and who it binds.

Do I need an agreement or an award?

If the adjoining owner consents in writing, there is no dispute, no award is required, and an agreement recording the terms is the right instrument. If the owner dissents — or does not respond within fourteen days and is deemed to have dissented — the case is resolved by award.

What should a party wall agreement contain?

The parties and properties, the works described precisely enough to be built to, a Schedule of Condition recording the adjoining property beforehand, working hours and access, protection of specific features, who makes good damage and by when, the insurance position, and who bears which costs.

Does a party wall agreement have to be in writing?

Consent to the notice must be given by written notice, so the consent is written. Beyond that, writing is about evidence: a written record of what was agreed and what condition the neighbouring property was in beforehand is the only thing that settles the question later or binds a subsequent buyer.

Can a party wall agreement be changed later?

Yes, by agreement — provided the change is recorded, which is easier the more precisely the original was drafted. Where the terms are in an award rather than an agreement, the routes are an appeal to the county court within fourteen days of service, or a further award dealing with works that were not before the original surveyors.

Who prepares a party wall agreement?

The owners can prepare it directly, or the surveyors acting for them can. Where a surveyor is involved, the works description and Schedule of Condition are prepared to the same standard as an award, which is what makes the agreement worth having. Take legal advice where the case is unusual — a listed building, a long lease with a freeholder's interest, or a scheme with significant excavation.

Do I need a party wall agreement if my neighbour consents?

Not always, but often you should have one. Consent means no surveyors and no award, but it does not record the condition of the neighbouring property, set working hours, or say who makes good damage. Where excavation, underpinning or heavy temporary works are involved, recording the condition beforehand is the whole point.

Have a party wall agreement drafted properly

If your neighbour has consented and the terms need recording, or the case has tipped into a dispute and you need an award instead, the first conversation is free.

  • Consents, licences and awards prepared to the same standard of description.
  • Schedules of Condition recorded before work starts, not reconstructed after.
  • A fixed fee quoted for your case, before any work starts.
  • Cover across South and West London, and Greater London within the M25.

Call 020 8150 3762 or email info@greyandassociates.co.uk.

Related: party wall awards, party wall notices, Schedules of Condition, appointing a surveyor, the notice timeline, and our published fees.

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