Sale AgreementScroll for more
The Sale agreement is a temporary agreement between the Seller and the Buyer to define their relationship between the date of agreeing the deal and the intended date of completion.
The delay between these two events can be for many reasons but typically it will be driven by the mutual diaries of both parties as to when an inspection can take place.
Other reasons why there might be a delay are:
- Arrange a survey – the majority of shares sell without a survey, indeed the majority of share located overseas sell unseen
- Buyer awaiting funds
- Allow a seller to have a final holiday
The content of a sale agreement will be:
- Definition of the yacht and the share to be sold
- The details of the buyer and Seller
- The price agreed and how this will be paid – normally 10% (min £1000) as a deposit on signing the Sale agreement and the balance on completion of the deal
Note – all monies are paid to Yacht Fractions Client account
The conditions which must be satisfied for the deal to complete:
- Acceptance by the buyer to enter into the Share agreement
- Acceptance that the insurance company will accept the buyer as a skipper
- Other conditions specific to the sale
- Details of who will pay brokerage fees, survey fees etc.
- Definition of how the Buyer may withdraw from the deal following an inspection/survey
- Definition of the conditions under which the deposit will be paid to the seller or returned to the buyer.
- Delay or default by the Buyer in completing by the agreed date