Recent Answers to Representations and Warranties Law Questions
Is it necessary to have a non-compete clause in a SaaS Reseller Agreement?
Representations and Warranties
SaaS Reseller Agreement
Texas
I am in the process of negotiating a SaaS Reseller Agreement with a software company, and I am unsure whether it is necessary to include a non-compete clause in the agreement. As a reseller, I will be selling the software to clients and potentially competing with other resellers, but I want to ensure that my interests are protected and that I am not restricted from working with other software companies in the future. I would like to understand the potential benefits and drawbacks of including a non-compete clause in this agreement, and whether it is common practice in the SaaS industry.
Darryl S.
No - this is not at all a required clause in a SaaS reseller agreement and in fact is likely to cause some confusion if not carefully drafted. The other resellers already compete with you and you will sell other software, sometimes that competes with the provider. Please review this clause carefully if it is included.
Property condition in a purchase and sale agreement?
Representations and Warranties
Purchase and Sale Agreement
California
I am in the process of buying a house and am in the process of signing a Purchase and Sale Agreement. I have a question regarding the property condition stated in the agreement and would like to understand what my rights and responsibilities are in regards to the property condition. I am primarily concerned with any potential liabilities I may have if the property is not in the condition specified in the agreement.
Myrna L.
First, have a professional contractor inspect the property and provide you a report on the condition, i.e. roof, plumbing, electrical, sewer, etc. Contractor should look for defects, both latent and visible defects. Second, compare contractor’s report with the stated condition of the property in the proposed Purchase Sale Agreement. Third, if contractor finds defects, negotiate with seller on the costs of repairs of defects , either through a reduction in purchase price of property or hold money to repair defects in escrow.