An example of a property reserve clause for external materials is the JCT Standard Form of Building Contract 2011 and 2016 Editions, which provides for payment for materials stored off-site and the right to pass if certain conditions are met. The contract identifies “listed items” whose value must be included in the interim payments and stipulates that the security is transferred to the employer when the value of these materials has been included in an interim payment. There are also special conditions that must be met before payment can be made, including: (i) the article mentioned is in accordance with the treaty; (ii) proof that they are entrusted to the contractor and that they are covered by an insurance policy that protects them from loss or damage caused by certain hazards until they are delivered to the site; (iii) that, at the place of storage, the listed objects are clearly and visibly identified as belonging to the employer and detached from other materials; and (iv) the contractor must, if necessary, borrow an approved guarantee (in a form given by JCT) allowing the employer to recover the amount it paid to the contractor if it is unable to receive the goods concerned. When will ownership of the goods be transferred from a contractor to an employer? This can be a critical issue, especially when a party in the project has become insolvent. In a recent English case, this issue and the application of vesting clauses and certificates were examined. A construction contract under Scottish law should not be referred to as a sales contract, so the contractor generally gives a separate contract for the purchase of the materials by the contractor (or, if necessary, a subcontractor), so that the materials are no longer part of their contract. Note that this goes beyond a simple vesting certificate, which is not enough in Scotland to achieve the title. A free movement clause is a contractual clause relating to the transfer of ownership of goods and materials and a certificate of free movement is a document attesting to the transfer of ownership of those goods or materials. A property reserve clause may be refused by a good faith buyer without notice of a value commitment. In other words, if the employer has paid for goods and does not know of a withholding clause on goods or materials, it can claim priority over the goods. Therefore, the general rule of construction contracts is that materials or goods contained in an architect`s certificate and paid for by the employer become the property of the employer even if there is a property reserve clause, provided the employer is aware of the existence of a property reserve clause. Although the language of the Vesting certificates was ambiguous, as it dealt with the immediate appropriation of a future event, the court found that the Vesting certificate was part of the payment process.