A buy-sell agreement is an agreement between the owners of the business for purchase of each others interest in the business. Such an agreement will spell out the terms governing sale of company stock to an outsider and thus protect control of the company. It can be triggered in the event of the owner's death, disability, retirement, withdrawal from the business or other events. Life insurance owned by the corporation is often used to provide the funds to purchase the shares of a closely held company if one of the owners dies.
The time to prevent disputes is before they occur. Experience proves that owners anxieties created in dealing with one another are inversely proportional to the effort they spend addressing business problems in the event that they should happen. Dealing with these contingencies before they manifest themselves is the secret to a harmonious business relationship with other owners, Use the checklist below to determine areas where you may need assistance.
Oklahoma Checklist — Buy/Sell Agreement— - Contingencies When engaging in a buy/sell agreement in Oklahoma, it is crucial for both buyers and sellers to be aware of certain contingencies that should be included in the agreement. These contingencies act as safeguards, protecting the interests of both parties involved in the transaction. Here are some key contingencies to consider when drafting a buy/sell agreement in Oklahoma: 1. Financing Contingency: One important contingency to include is a financing contingency. This clause ensures that the buyer's purchase is contingent upon securing adequate financing for the property. If the buyer fails to secure financing within a specified timeframe, the agreement can be terminated without any penalties. 2. Inspection Contingency: It is essential to include an inspection contingency in the buy/sell agreement. This clause allows the buyer to conduct inspections of the property to identify any potential issues or defects. If any major problems are discovered during the inspection, the buyer has the option to either negotiate repairs or credits with the seller or terminate the agreement altogether. 3. Appraisal Contingency: Including an appraisal contingency is prudent when dealing with real estate transactions. This contingency ensures that the property is appraised at or above the agreed-upon purchase price. If the appraisal comes in lower than the purchase price, the buyer can renegotiate the price or terminate the agreement. 4. Title Contingency: Oklahoma buyers should insist on a title contingency, which ensures that the seller has legal ownership of the property and that there are no outstanding liens or encumbrances. If any title issues are identified, the seller is obligated to resolve them within a specific timeframe. Failure to do so allows the buyer to terminate the agreement. 5. Contingencies for Specific Scenarios: Depending on the nature of the transaction, additional contingencies may need to be included. For example, if the buyer intends to use the property for a specific purpose, such as commercial or residential development, obtaining necessary permits and zoning approvals can be included as a contingency. In summary, an Oklahoma Checklist — Buy/Sell Agreement— - Contingencies should include important safeguards such as financing contingencies, inspection contingencies, appraisal contingencies, title contingencies, and contingencies for specific scenarios. These clauses give both buyers and sellers peace of mind and protect their respective interests throughout the transaction. Different types of Oklahoma Checklist — Buy/Sell Agreement— - Contingencies may include contingencies tailored to specific industries or property types, such as agricultural land, commercial buildings, residential properties, or vacant lots. These contingencies account for industry-specific regulations, requirements, or considerations that may arise during the buying or selling process.Oklahoma Checklist — Buy/Sell Agreement— - Contingencies When engaging in a buy/sell agreement in Oklahoma, it is crucial for both buyers and sellers to be aware of certain contingencies that should be included in the agreement. These contingencies act as safeguards, protecting the interests of both parties involved in the transaction. Here are some key contingencies to consider when drafting a buy/sell agreement in Oklahoma: 1. Financing Contingency: One important contingency to include is a financing contingency. This clause ensures that the buyer's purchase is contingent upon securing adequate financing for the property. If the buyer fails to secure financing within a specified timeframe, the agreement can be terminated without any penalties. 2. Inspection Contingency: It is essential to include an inspection contingency in the buy/sell agreement. This clause allows the buyer to conduct inspections of the property to identify any potential issues or defects. If any major problems are discovered during the inspection, the buyer has the option to either negotiate repairs or credits with the seller or terminate the agreement altogether. 3. Appraisal Contingency: Including an appraisal contingency is prudent when dealing with real estate transactions. This contingency ensures that the property is appraised at or above the agreed-upon purchase price. If the appraisal comes in lower than the purchase price, the buyer can renegotiate the price or terminate the agreement. 4. Title Contingency: Oklahoma buyers should insist on a title contingency, which ensures that the seller has legal ownership of the property and that there are no outstanding liens or encumbrances. If any title issues are identified, the seller is obligated to resolve them within a specific timeframe. Failure to do so allows the buyer to terminate the agreement. 5. Contingencies for Specific Scenarios: Depending on the nature of the transaction, additional contingencies may need to be included. For example, if the buyer intends to use the property for a specific purpose, such as commercial or residential development, obtaining necessary permits and zoning approvals can be included as a contingency. In summary, an Oklahoma Checklist — Buy/Sell Agreement— - Contingencies should include important safeguards such as financing contingencies, inspection contingencies, appraisal contingencies, title contingencies, and contingencies for specific scenarios. These clauses give both buyers and sellers peace of mind and protect their respective interests throughout the transaction. Different types of Oklahoma Checklist — Buy/Sell Agreement— - Contingencies may include contingencies tailored to specific industries or property types, such as agricultural land, commercial buildings, residential properties, or vacant lots. These contingencies account for industry-specific regulations, requirements, or considerations that may arise during the buying or selling process.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
