When a developer plans to build a new estate road intended for residential, industrial, or general purpose traffic, Section 38 agreements (S38) are a section of the Highways act 1980 that can be used. Such roads may be proposed to the Highway Authority for adoption as public highways. In this article, What Is A Section 38 Agreement, we take a look at the process and mechanism involved.
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For a free initial discussion with a member of our New Enquiries Team, get in touch with us today. We are experienced in dealing with all the legal aspects of S38 agreements, and once instructed, we will review your situation and discuss the options open to you in a clear and approachable manner. Early expert legal assistance can help ensure you are on the best possible footing from the start and also avoid the stress of dealing with these issues on your own. Simply call us on 0345 901 0445 or click here to make a free enquiry and a member of the team will get back to you.
S38 agreements in more detail
When a developer wishes to construct a new estate road for industrial, residential, or general traffic, Section 38 of the Highways Act 1980 applies. Such a road may then be proposed to the highways authority for adoption as a public highway. This may also include drainage, lighting, and supporting structures, among other associated infrastructure.
When a highway is adopted at the public expense, the highways authority agrees to assume maintenance of the road beginning at a mutually agreed upon date. The highways authority will require that these roads be constructed in accordance with a specified standard, which will vary from local authority to local authority due to the fact that each local authority is unique.
The developer must have obtained planning permission, including approval of any reserved matters, prior to entering into a section 38 agreement. The planning permission will typically encompass a proposed road layout.
Section 38 agreements have the capacity to include clauses that pertain to any or all of the following:
- Specifics regarding the planning permission
- Diagrams illustrating the dimensions of the land to be adopted
- Provision for the dedication of land
- Technical specifications of the works to be carried out
- A schedule detailing the completion of the works and the subsequent adoption of the roads
- Provision for certification and verification of the completed work
- Agreement regarding the adoption (or not) of supporting structures.
Typically, the agreement will also stipulate that the developer is responsible for any fees associated with the agreement. This may encompass expenses related to the production of the agreement, inspections, ongoing maintenance, and design verification. Additionally, the agreement may stipulate that the highways authority may require a bond from the developer to insure against the developer failing to execute the works, failing to execute them to the required standard for adoption, or failing to maintain them during the agreed initial maintenance period (typically one year). The highways authority may then utilise the bond to remedy any breach by the developer.
How we can help
We have a proven track record of helping clients deal with S38 agreements. We will guide you through the process and ensure all checks are carried out swiftly and efficiently and we firmly believe that with the right solicitors by your side, the entire process will seem more manageable and far less daunting.
How to Contact Our Commercial Property Solicitors
It is important for you to be well informed about the issues and possible implications of S38 agreements. However, expert legal support is crucial in terms of ensuring a positive outcome to your case.
To speak to our Commercial Property solicitors today, simply call us on 0345 901 0445, or click here to make a free enquiry. We are well known across the country and can assist wherever you are based. We also have offices based in Cheshire and London.
Disclaimer: This article provides general information only and does not constitute legal advice on any individual circumstances.
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