Document background
The Intent of Sale Agreement is a crucial preliminary document used in Nigerian business transactions when parties wish to formally express their serious intention to enter into a sale transaction while finalizing details and conducting due diligence. This document type is particularly valuable in complex transactions where immediate execution of a final sale agreement is not practical or desirable. The agreement typically includes provisions for exclusivity periods, confidentiality obligations, and basic terms of the proposed transaction, while being governed by Nigerian contract law. While not binding as to the final sale, an Intent of Sale Agreement creates certain enforceable obligations and provides a structured framework for moving towards a definitive agreement. It's commonly used in both corporate and individual transactions, particularly in high-value sales or where regulatory approvals may be required.
