Document background
The Preliminary Sales Agreement is a crucial document used in Danish business transactions when parties have reached initial understanding on key terms but require additional time for due diligence, negotiation, or fulfillment of conditions before proceeding to a final sale. This document type is particularly relevant in complex commercial transactions where detailed investigation of the subject matter is necessary, or where regulatory approvals may be required. Governed by Danish law, including the Købeloven and Aftaleloven, it provides a framework for moving forward while managing expectations and protecting both parties' interests. The agreement typically combines binding commitments (such as exclusivity and confidentiality) with non-binding provisions regarding the proposed transaction terms, creating a clear roadmap towards the final sale agreement while maintaining necessary flexibility.
