The Purchase Agreement In French
A sale compromise is what can generally be considered a purchase and sale contract, since there is a clear bilateral obligation. Once you have signed one of the two forms of contract, you are required to acquire the property, subject to all the conditions that may be included in the contract and the expiry of the 10-day “cooling period. The duration of the option for routine purchases is agreed between the parties, usually about three months. In other cases, it may be a year or more, especially with regard to development real estate. At the time of signing the contract, a down payment of 10% of the purchase price is paid. The buyer has a period of ten days during which he can terminate the contract without penalty. Under the contract, the owner agrees to sell to the buyer and the buyer agrees to purchase from the owner, subject to any contractual terms. If they do not resign before that date, they are legally required to acquire the property within the option period (subject to the terms of the contract). This is particularly the case for conditional clauses (suspended conditions) or latent defects (hidden vices), so you need to have your mind about yourself regarding the terms that can be included in the contract. Perhaps just as important, the conditions that may not be in the treaty! Despite the variation, each notary (or real estate agent) has its own model, which it will use for most transactions. Many legal circles are concerned that the application of standard contractual clauses is too widespread, with critics arguing that all contracts should be developed in a clear manner to reflect the clear intentions of the parties. In practice, there is not much to choose from and we describe each one in more detail below.
You can learn more about this in an article in our newsletter When is a Promise (Of Sale) No Promise? Also be careful with the terminology used. These contracts are sometimes referred to as pre-treaty, which in some ways implies that the documents precede the treaty itself. This is not true, so don`t be misled by a misinterpretation of the term. Notaries use both forms of the treaty, but compromises are more frequent and preferable, since there is a clear mutual obligation in the treaty, whereas this is not technically the case for the promise. This is why the technical term for this type of contract is called synallagmatic sales promise. There are two different types of contracts that can be used, so don`t be persuaded that you have to accept it only because it is a standard form of the treaty or is neutral. You need to make sure it contains all the clauses you need, for example.B. mortgage, planning, status, access, facilities, etc. Here is an example of a standard form of sales compromise. Remember, these contracts vary in the form they take, but what is said above is a good example of such a contract, although shorter than some we have encountered.
. Its full title is the unilateral promise of sale, or a “unilateral offer to sell” made by the seller for a certain price and for a certain duration. We have seen contracts that vary considerably in the detail they contain, so do not assume that all these contracts are equal; They`re not. So be warned, while the option may be available for several months, after ten days, you may lose the down payment if you decide not to continue later. The seller can also force the sale. The promise of unilateral sale is often used by real estate professionals who wish to obtain an “option” for the purchase of land or land on which they can apply for a building permit or a land meeting, but while the content of the two types of contracts can be very similar, notaries and real estate agents use their own or different forms of contracts. , which can be beneficial to either party.