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Deposit Agreement Of Purchase And Sale
"I need a Deposit Agreement of Purchase and Sale for a commercial property transaction in Kuala Lumpur, where the deposit will be held by a law firm and released in two installments by March 2025."
1. Parties: Identification of the Vendor and Purchaser with full legal names and addresses
2. Background: Context of the transaction, including brief description of the property and parties' intention to enter into a sale and purchase agreement
3. Definitions: Key terms used throughout the agreement including 'Deposit', 'Property', 'Purchase Price', and 'Completion Date'
4. Deposit Payment: Amount of deposit, payment method, and timing of payment
5. Acknowledgment of Receipt: Vendor's acknowledgment of deposit receipt and holding terms
6. Purpose of Deposit: Clarification that the deposit is part payment of the purchase price and demonstration of serious intent
7. Treatment of Deposit: How the deposit will be held, whether in a stakeholder account or otherwise
8. Conditions for Release: Circumstances under which the deposit will be released to either party
9. Sale and Purchase Agreement: Commitment to enter into the main sale and purchase agreement and timeline
10. Default Provisions: Consequences of either party's failure to proceed with the main agreement
11. Governing Law: Specification that Malaysian law governs the agreement
12. Execution: Signature blocks and execution requirements
1. Stakeholder Provisions: Required when deposit is held by a third party stakeholder (typically a lawyer)
2. Multiple Payment Terms: Used when deposit is to be paid in installments
3. Property Inspection: Include when deposit is conditional on satisfactory property inspection
4. Financing Condition: Include when deposit return is conditional on purchaser obtaining financing
5. Foreign Investment Approval: Required for foreign purchasers needing regulatory approval
6. GST/Tax Provisions: Include when GST or specific tax considerations apply to the transaction
7. Agent Commission: Include when real estate agents are involved in the transaction
8. Digital Signing Provisions: Include when agreement may be executed electronically
1. Schedule 1 - Property Details: Detailed description of property including lot number, title details, and address
2. Schedule 2 - Payment Schedule: Breakdown of deposit payments if paid in installments
3. Schedule 3 - Special Conditions: Any special conditions affecting the deposit or future sale
4. Appendix A - Property Documents: Copies of relevant title documents or property information
5. Appendix B - Form of Sale and Purchase Agreement: Draft or template of the main sale and purchase agreement to be entered into
6. Appendix C - Due Diligence Checklist: List of documents and information to be verified before proceeding to main agreement
Authors
Real Estate
Property Development
Construction
Banking and Finance
Legal Services
Property Investment
Residential Property
Commercial Property
Industrial Property
Hospitality
Legal
Real Estate
Sales
Compliance
Property Management
Business Development
Operations
Finance
Risk Management
Customer Relations
Real Estate Agent
Property Lawyer
Conveyancing Executive
Property Developer
Sales Director
Legal Counsel
Property Manager
Investment Manager
Contract Administrator
Compliance Officer
Real Estate Broker
Transaction Manager
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