Most people get involved in family giving or lending with the best of intentions and wishes. But what happens if things go wrong or circumstances change. Can you afford to loose that money?
All too often the outcomes of these informal loans are very disappointing. Prior to entering into such a situation it is advisable to seek legal input into such lending arrangements.
For more information regarding family loans please contact the friendly team at Auckland law firm – Quay Law.
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Posted by Auckland Law Firm, Quay Law on 04/09/2012
Property Law – Due Diligence Clause in your Sale and Purchase Agreement.
In a recent High Court case, the decision clarified when a property purchaser may lawfully exercise the right of cancellation in a conditional sale and purchase agreement pursuant to a due diligence clause.
The Court held that an agreement can be worded so as to make the satisfaction of a condition entirely a matter for subjective determination of a property purchaser.
This case is based on what the parties had done using a similar phrase to those below in their property agreement:
“.. the Purchaser being satisfied that…”
“In the event that the Purchaser is not satisfied with any aspect…”
“… the Purchaser shall not be obliged to give reasons …”
The Court stressed that it is a matter of wording in respect of the individual agreement. If a clause provides for a subjective determination without any obligation to disclose reasons, it is difficult to see how it can restrict the matters that the property purchaser can take into account.
This case highlights the importance of fully understanding and being aware of the implications of any legal contract and reinforces the importance of taking legal advice before signing a legally binding contract.
For further conveyancing information on your Agreements or Contracts contact Auckland law firm, Quay Law in Remuera.
Ph: (09) 5232408
Posted by Auckland Law Firm, Quay Law on 13/12/2011
Often our property lawyers at Quay Law NZ receive calls regarding conditions to include within an Agreement for Sale and Purchase of a property.
It is advisable to consult with your property lawyer prior to signing the agreement however it should be noted that on the fall of the hammer at a property auction the agreement becomes an unconditional legal agreement.
Considerations to be taken into account prior to signing a property agreement are detailed below but please note that each property law transaction is unique and your own set of considerations may differ from those outlined below.
1. How do you intend to purchase the property. What legal entity is the most appropriate for your circumstances?
2. Your settlement date for either giving (sale) or taking (purchase) possession of the property.
3. When is your deposit payable? What is the amount of deposit you will be required to pay? Is it payable upon signing of the agreement or is payable upon the agreement becoming unconditional?
For more information on your property transaction, please contact the property team at Quay Law NZ, an Auckland based law firm.
Quay Law NZ Phone Number: (09) 523-2408
Posted by Auckland Law Firm, Quay Law on 26/07/2011
The legal team at Quay Law recommends that you engage your lawyer to review any agreement for sale and purchase prior to executing same, as this will afford you the opportunity to make any suggested amendments. It is extremely important to remember that once you have signed the agreement, a legally binding contract comes into force with the ensuing legal obligations.
Posted by Auckland Law Firm, Quay Law on 17/01/2010