Under Standard Conditions of Sale, who typically holds the deposit and cannot access it before completion?

• A. The buyer directly
• B. The mortgage lender
• C. The seller's solicitor as stakeholder
• D. The vendor's designee

Answer: (C)

The key idea is that, under Standard Conditions of Sale, the funds paid as a deposit are held in trust by the seller’s solicitor as a neutral stakeholder. This arrangement protects both sides by preventing either party from accessing the money before completion and by ensuring there are funds ready to apply to the purchase price when the time comes. The deposit is released on completion (often credited toward the price to the seller) and, if there’s a breach, dealt with in line with the contract terms—typically the seller can claim the deposit if the buyer fails to complete. The mortgage lender does not hold the deposit, and a vendor’s designee is not the standard arrangement in these conditions, making the seller’s solicitor as stakeholder the usual custodian.