Document background
A Business Deed of Sale is utilized when transferring ownership of business assets or an entire business operation in Hong Kong. This formal legal instrument is essential for significant commercial transactions where parties require the additional security and enforceability provided by a deed format. The document captures all critical aspects of the transaction, including detailed descriptions of assets being sold, purchase price mechanics, warranties, indemnities, and completion procedures. It must comply with Hong Kong's legal requirements for deed execution and incorporate relevant provisions from key legislation such as the Sale of Goods Ordinance, Companies Ordinance, and Conveyancing and Property Ordinance. The deed format is particularly important as it provides certain legal advantages over simple contracts, including a longer limitation period for enforcement and no requirement for consideration.
