Glossary – P

PACT – Professional Arbitration on Court Terms (PACT) is a scheme used as an alternative dispute resolution (ADR) for lease renewal disputes. The decision of all or some terms of a lease renewal are delegated to an independent third party, who may act either as an “arbitrator” or as an “independent expert”.

Part 36 Offer – A mechanism which allows both parties to offer and settle a claim in a legal dispute.

Peaceable Re-entry – This is a method of summarily ending a business lease. Landlords should proceed with caution if they are to contemplate this drastic step. They will be in danger of breaking the law if they should use force or violence to re-possess the property. Entering when the property is empty and changing the locks is still legal, though this is under legal review.

PICES – Property Information Systems Common Exchange Standard – PISCES is an electronic data exchange standard, based on the industry standard XML, developed for the UK property industry.

Premium – The price paid for a lease where one tenant assigns its interest to another new tenant.

Prime Investment – A high value property investment, usually a modern or highly refurbished building in a popular location.

Private Treaty – A sale of a property for a price which is agreed directly between the seller and buyer. This is the most common form of buying and selling a property.

Privity of Contract – Legal doctrine that a contract confers rights and establish liabilities only on its contracting parties.

Public Liability – Public liability is covered by the common law of tort which affects civil wrongs. When a accident occurs the applicant (an injured party) would usually sue a respondent (the owner, occupier or landlord) under common law based on negligence or damages.

Purchase Costs – A combination of purchase costs a property buyer will incur such as legal fees, VAT and stamp duty.