Recent Answers to Purchase Agreement Law Questions

Dolan W.

Answered Oct 29, 2024

I'm so sorry about this situation! So legally speaking, the answer is no. Under California law, a breach of contract occurs when one party fails to fulfill a legal duty the contract created and causes damages for the plaintiff. (California Civil Jury Instructions Number 303.) The measure of damages is the amount that will compensate the aggrieved party for all the detriment caused thereby or likely to result therefrom. (Cal. Civ. Code § 3300.) You may also seek specific performance of the agreement, too. You have some options you can explore: You can send them a demand for performance or some financial compensation. I have a template letter you can use here - https://www.contractscounsel.com/t/document-form-checkout/119 Otherwise, you can file a lawsuit in your local court. If you’ve already sent a bunch of letters, then the truth is this is the only way to compel them to do anything. Best of luck!

Merry K.

Answered Dec 15, 2023

I'm not 100% sure what you are asking, but in negotiatons of purchases of businesses, business real estate, and personal real estate, it's not unusual to sign amendments extending the date by which an agreement must be made, or by which closing will occur. There can be many, many reasons for this, but generally, at least in my experience, both parties must agree in writing to any extensions of any sort of dates or deadlines. Here are two very common reasons a purchase and sale agreement may need to be extended: (1) Obtaining financing or (2) Obtaining an inspection I hope that helps! Best wishes, Merry

Merry K.

Answered Nov 28, 2023

Purchasing a business without a binding agreement would be extremely risky (and, I'm sorry to be blunt, but extremely foolish). For example, without an agreement in which the seller is responsible for debts incurred prior to the sale, creditors could come after you.

Sarah S.

Answered Nov 14, 2023

The purchase agreement includes essential clauses such as the identification of parties, a detailed description of the property or assets, the specified purchase price, payment terms, closing date, representations and warranties, indemnification provisions, details regarding default and remedies, confidentiality agreements, and termination conditions.

Merry K.

Answered Nov 14, 2023

I hope that you used the assistance of a WA State commercial real estate attorney to advise you in the writing and presentation of your offer to purchase a commercial property, as these can be extremely complicated. (Or, at the very least, I hope you were represented by an experienced and knowledgeable buyer's agent). To my knowledge, this type of PSA agreement is not required to be confidential unless you included that language in your offer. Please be aware that once the sale closes, the amount of the purchase price will be public information, in county records.

Merry K.

Answered Nov 10, 2023

A well-written purchase offer usually includes several ways for a buyer to back out of the purchase without any penalty - for example, if the buyer doesn't like the inspector's report, one can usually back out on that basis - another typical one is failing to obtain a loan. I hope your buyer's agent wrote up the offer in a way that gave you 2 or 3 "escape clauses" - you should talk with your agent, but if there are problems, I would recommend that you have a real estate attorney review your offer and help you get out of the offer - if possible - with minimal or no cost to you.