A promise of sale (konvenju) implies that a promisor is binding himself to sell to the promissee on a particular date which would be agreed upon between the parties and appointed for the final deed to take place. The importance of a promise of sale ultimately lies in its binding nature. Knowledge on this legal vehicle and awareness of the consequences which a promise of sale brings about, should surely not be overlooked. This is because ultimately, the acceptance of a promise of sale obliges the promisor to carry out the sale and endows the promissee the right of requesting its specific performance. If the execution of the obligation is no longer possible, the promissee is entitled to claim damages and interest.

The Civil Code of Malta affords different remedies if the promisor fails to appear on the final deed. While damages and interest are only awarded when it is impossible for the promisor to execute his promise, if the sale is still possible, then specific performance (i.e. forced execution of the contract) is resorted to.

Any promise of sale agreement must contain a number of requirements for it to be considered valid. This has been stipulated many a time in local jurisprudence. One must ensure that all relevant requirements are included so that a promise of sale can hold water and not be rendered void. A missing salient requirement could mean that the only element which is binding the potential sale never really existed in the first place.

The term of validity of promise of sale is imperative. Once this lapses, the promise of sale stands no longer. If the formalities required by law are not observed, the promise of sale loses its effectiveness and on the date of expiration, the parties return to the position they were in prior to entering the agreement. This unless the relevant measures which are stipulated by law are resorted to in time.

The defences which a promisor can put forward to unbind himself from a promise of sale are as various as they are difficult to prove. Such defences are provided for in our Civil Code but must be dealt with both professionally and meticulously. The success of such defences before our Courts lies in the defence counsel’s capability of producing the adequate evidence to satisfy the rigorous manner in which such Court proceedings are judged.