A sales contract is a legal document between seller and buyer that defines terms and conditions for both parties. Sales contract deals with the sale of different products such as property, power, technology, software, business, and any other manufactured goods or under-process product, etc. It takes account of the rights of both parties along with specified terms for dealing as when the project will start, at which date delivery will be made, and what will be the mode of delivery and payment, according to law. The sales contract is the key document in buying the company assets or stock of a corporation. You need to analyze the document in minute detail to assure it sketch outs the terms you have approved too. It is in this contract that you should define everything that you intend to purchase of the business and its assets, customer lists, intellectual property, and goodwill.
Also, I have tried my best o post as many sections as possible. So please add/remove as per your situation. Here is a preview of this Sale Contract,
If you don’t have a lawyer to help you outline the terms of the sale, you should at least have one appraisal agreement prior to signing it. These important and basic items should be addressed in this important document to enhance its quality.
- Names of seller, buyer, and business or product
- Addresses of both buyer and seller
- The agreement should be signed by at least two reliable witnesses with their full addresses
- Background information
- Possessions being sold along with the location
- Purchase price and allotment of belongings
- Modes of payment should clearly be defined
- Treaty not to compete
- Any modifications to be made
- Terms of the agreement and payment terms
- List of inventory included in the sale
- Acquiescence with the Bulk Sales laws of the state
- Any illustration and assurances of the vendor
- Any illustration and assurances of the purchaser
- The determination as to the access to any industry information
- The determination as to the running of the business prior to closing
- Contingencies
- The potential of having the seller prolong as a counselor
- Fees, including dealer’s fees
- Date of closing
In case of property sale buyer should get all information vigilantly and consult a lawyer to avoid any mistakes, although there is the possibility of errors and omissions in agreements by any of the persons, seller, purchaser, or dealing agent. Necessary information in this regard includes the following.
- Does it have a separate title or a joint one?
- Obtain a copy of the property title
- Ensure that the deal is being in process with the owner o the property or his duly sanctioned representative; any other person will not be authorized to make a legal commitment about the property.
- Confirm the ownership of the owner evidently in case the title of the property is not available; also view documentary proof of previous ownership if the present owner is a second or third-hand owner.
- Make sure that property is not pledged with any loaning authority. For this purpose, a bank statement can be acquired as proof or a redemption statement. Clearance of utility deposits should also be getting confirmed before finalizing a sale contract.
Please download this Sales Contract template from the link below,
