The Intent to Sell Agreement serves as a crucial preliminary step in sale transactions across the United States. This document is typically used when parties have reached a general understanding but need to formalize their intentions before proceeding with a definitive purchase agreement. It includes key elements such as price ranges, timeline expectations, due diligence requirements, and any exclusivity periods. While generally non-binding for the final sale, it often contains binding provisions regarding confidentiality and negotiation terms. The document helps establish clear expectations and demonstrates commitment while allowing flexibility for detailed negotiations.
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1. Parties: Identifies all parties involved in the agreement, including legal names and addresses
2. Background/Recitals: Explains the context and purpose of the agreement
3. Definitions: Defines key terms used throughout the agreement
4. Subject Matter: Describes the asset(s) or property intended to be sold
5. Purchase Price: States the agreed-upon price and payment terms
6. Timeline: Specifies the intended timeline for executing the final sale agreement
7. Due Diligence: Outlines the buyer's right to investigate the asset(s)
8. Governing Law: Specifies which jurisdiction's laws govern the agreement
1. Exclusivity Period: Section preventing seller from negotiating with other parties during a specified timeframe
2. Confidentiality: Provisions protecting sensitive information exchanged during negotiations
3. Conditions Precedent: Specific conditions that must be met before proceeding with the final sale
4. Break-up Fee: Terms for compensation if the deal doesn't proceed, typically used in high-value transactions
1. Asset Description Schedule: Detailed description of assets to be sold
2. Due Diligence Checklist: List of documents and information to be reviewed
3. Timeline Schedule: Detailed timeline of key dates and deadlines
4. Price Calculation Schedule: Details of how purchase price was calculated, if complex
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