Condemnation Clauses: Contract for Real Property

• Category: Contracts - Clauses
• State: Multi-State
• Control #: US-C-CL-710-1
• Format: Word; Rich Text

Description

A clause dictates the conditions under which the contract is legally enforceable and determines the terms of the contract. Contracts often contain boilerplate clauses or standard clauses found across most contracts. These standard clauses do not require a lot of negotiation. Included is a Sample Condemnation Clauses for a Contract for Real Property. Typically, a condemnation clause permits a landlord or a tenant to either terminate the lease or abate the rent in the event of a government "taking" of the leased property. The clause may require notification be made between Seller and Buyer. Condemnation Clauses: Contract for Real Property, also known as "expropriation clauses," are clauses in a real estate contract that provide for financial compensation to the buyer if the property is taken by a government agency. These clauses are used to protect the buyer in the event of a taking of the property through eminent domain. There are two types of condemnation clauses, which are known as “Inverse Condemnation” and “Direct Condemnation”. Inverse Condemnation occurs when the government takes the property without making an offer. In this case, the buyer will be compensated for the fair market value of the property plus any other damages incurred. Direct Condemnation occurs when the government makes an offer to buy the property. In this case, the buyer is entitled to the amount offered by the government plus any additional damages. In either case, the clause is designed to protect the buyer and ensure that they receive appropriate compensation in the event of a taking.

Condemnation Clauses: Contract for Real Property, also known as "expropriation clauses," are clauses in a real estate contract that provide for financial compensation to the buyer if the property is taken by a government agency. These clauses are used to protect the buyer in the event of a taking of the property through eminent domain. There are two types of condemnation clauses, which are known as “Inverse Condemnation” and “Direct Condemnation”. Inverse Condemnation occurs when the government takes the property without making an offer. In this case, the buyer will be compensated for the fair market value of the property plus any other damages incurred. Direct Condemnation occurs when the government makes an offer to buy the property. In this case, the buyer is entitled to the amount offered by the government plus any additional damages. In either case, the clause is designed to protect the buyer and ensure that they receive appropriate compensation in the event of a taking.