Document background
The Forward Purchase Agreement is a crucial commercial document used when parties wish to secure a future transaction with predetermined terms. It is particularly relevant in situations where the actual transfer of assets or goods needs to occur at a future date, but parties want to lock in commercial terms, including price and conditions, in the present. Under Danish law, these agreements must comply with the Danish Contracts Act and related legislation, while also considering EU regulations where applicable. The document typically includes detailed provisions on purchase price calculations, conditions precedent, completion mechanics, and risk allocation. Forward Purchase Agreements are commonly used in various sectors, from real estate development to commodity trading, and can be adapted to different transaction types while maintaining their core purpose of securing future purchases.
