A purchase and sale agreement is an agreement between two parties, the buyer and seller. It is a legal contract that obligates a buyer to buy and a seller to sell a product or service. The agreement contains the complete description of the asset being sold to the buyer, the kind of transaction being entered into, the purchase consideration etc. The agreement specifies the accuracy of financial statements, state of receivable accounts, liabilities, contractual documents, representation and warranties given to the seller. The document also contains contingencies, risk of loss, tax & assessment details.
The agreement includes some more essential details such as names and addresses of the parties, date of agreement, terms and conditions of the asset, address of the asset, payment details and closing date of the contract. It is essential for the agreement to be signed by both the parties so as to agree to the terms and conditions specified in it.
Sale and Purchase Agreement
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