deed

A form of contract whereby an interest, right or property passes or an obligation to bind a person. There is no requirement for consideration to move from either party, as opposed to contracts which are void and unenforceable unless consideration moves from the promisee.

Traditionally, a deed must either (1) transfer an interest, legal or equitable right or property, (2) create a legal obligation intended to be enforceable on one or more, or all of the parties, or (3) confirm some act by which an interest, right or property has passed.

Up until 1990, deed were required to be signed, sealed and delivered. 

The Law of Property (Miscellaneous Provisions) Act 1989 relaxed most of these formal and substantive requirements. Deeds have certain formal requirements in order to be enforceable. Modern law does not restrict the matters upon which a deed may be made; deeds are no longer required to be sealed in most circumstances (most importantly, when signed by individuals or companies), provided that they are witnessed by a person who attests the signature, and the document states that it is intended to be a deed. The deed must be delivered.

A deeds is either deed poll or an indenture.  Deed poll is a deed signed by (1) one person expressing an intention or (2) a number of persons expressing the same, common intention. The other, more common form is an indenture which records an agreement or intention that is not common the sense required by a deed poll.

Properly drawn deeds should contain:

1. Introduction: The parties names and addresses and the type of deed which follows;
2. Recitals: Usually commences with the word, "Whereas". The recitals are used to explain the purpose of the deed and/or the circumstances leading up to its execution, to give the document context.
3. Operative provisions: These are the provisions that implement the purpose of the deed, whether promises, the intentions of the parties and/or the agreement recorded. The section commences with the words "Now this deed witnesseth as follows"
4. Testimonium: The space provided for the parties to sign, which commences with the words, "Sign, sealed and delivered", "In witness whereof" or some other appropriate form of words .

Sealed: means the seal of a company or other entity. Note that deed must still be sealed by corporations sole.

Delivery: means that the document must be communicated in writing by the person signing it or an authorised agent, such as a solicitor, certified notary public or licensed conveyancer.

Usage: A confidentiality agreement was signed by an employee as a deed.

Related Words: consideration; signed, sealed and delivered; agreement; deed poll; mortgage; property; Land Registry; land; corporation; separate legal entity; separate legal personality; testimonium; recitals; debenture.