What are the risks associated with the Additional Terms and Conditions Section of the agreement?
- Improper calculation of time periods
- Improper notice
- Ineffective cancellation notice
Section 8.a Lines 344-389
Section 8.b Lines 390-393
Any loss or damages to the premises after the date of contract acceptance and before COE is the responsibility of the Seller to repair unless the total cost of damages exceeds 10%.
Section 8.c, 8d, 8e Lines 394-397
- Brokers are granted permission to advise the public of the contract.
- The contract is governed by Arizona Law
- The parties acknowledge that time is of the essence in the performance of the duties agreed to in the contract.
Section 8.f Lines 398-403
- Compensation is addressed by a separate written agreement and shall be delivered to the escrow company for payment through title at the close of escrow.
- If seller is obligated to pay the Broker(s), then the contract assigns seller proceeds to be paid through title at close of escrow
- If compensation is being by the buyer, it is to be collected by title as a condition of the close of escrow.
Section 8.g Lines 404-408
- Faxes and electronic agreements are still considered originals
- Agreements signed in counterpart are still considered a single agreement
What is the single exception to the counterpart rule?
Section 8.h Lines 409-410
All reference to days in the contract are calendar days beginning at 12:00 am and ending at 11:59 pm
Section 8.i Lines 411-415
- All timelines specified in the contract require full calendar days
- The first day of the event doesn’t count
- The last day does count
Section 8.j Lines 416-418
- The contract is the sole agreement between the parties—no other agreements exist
- Contract can only be modified by signed written agreement
- Failure to initial any page does not invalidate the agreement
Section 8.k Lines 370-371
- Seller has the right to accept additional offers as backup offers
- Any subsequent offer accepted by the seller must be contingent on the cancellation of the existing offer
Section 8.l Lines 421-423
- Either buyer or seller can exercise their contractual rights to cancel the contract
- All cancellations must be in writing
- All cancellations must state the reason for cancellation
Section 8.m Lines 424-427
- All contract notices must be in writing
- Delivery is made when:
- Hand delivered
- Overnight courier service
Section 8.n Lines 428-434
Buyer and seller release Broker(s) harmless and release them from liability and responsibility regarding:
- Property Condition
- Square Footage
- Lot Lines & Boundaries
- Property values
- Environmental Problems
- Sanitation Systems
- Wood Infestation
- Building Codes
- Government Regulations
- All matters relating to the value or condition of the property
Section 8.o Lines 384-390
Acceptance occurs, and the offer becomes binding when the fully executed contract is delivered.
Section 8.p Lines 440-442
Buyer and Seller have advised the contract consisted of Ten pages plus incorporated addenda and cautioned to read all documents.
Section 8.q & 8.r & 8s Lines 443-456
- Identification of Buyer
- Identification of Buyer Broker
- Confirmation of Broker Agency
Line 444 is identical to line 445, and line 458 is identical to line 459. Why have identical lines been added?
Section 9.a & 9.b 9.c Lines 457-473
- Identification of Listing Broker
- Identification of Seller
- Confirmation of Broker Agency
- Provides for Counter Offer
- Provides for Seller Rejection
Lines 467 and 468 were revised to state that, in the event, a Counter Offer is attached and incorporated by reference, “Seller must sign and deliver both this offer and Counter Offer.” Why?