A Maryland purchase agreement is a legally binding contract between a buyer and a seller that outlines the terms and conditions of the sale. It’s not a binding contract until both parties have signed, and once it’s binding, is difficult to get out of.
It’s usually only used for purchases over $500 but can be used for lesser amounts. It can be utilized for many different kinds of goods and is especially helpful for complex transactions that may, for example, involve the delivery of goods or complex terms of payment.
You can find templates for them online, draft your own, or have a lawyer do it for you. Well-crafted agreements help both parties avoid misunderstandings by clearly stating what is expected so it’s worth it to take your time upfront.
All Maryland purchase agreements operate similarly by working out the terms and conditions in great detail.
In Maryland, there are two different real estate purchase agreements: one for residential and one for commercial property. They both establish the terms and conditions of the transaction but a commercial agreement is more complicated than a residential one.
The seller can negotiate the price by contesting the purchase offer until an agreement is reached. Once the price is settled, the rest of the agreement can be completed with:
- How the buyer will finance
- Responsibilities of the buyer and seller
- Any additional terms and conditions either party wants to add like:
- Who’s responsible for closing costs
- Closing date
- Home inspection requirements
- Contingency clauses
- Any repairs seller is responsible for
In Maryland, it’s required by law that the seller provide the buyer with a residential property disclosure that details the condition of the residence, especially the presence of lead paint.
A Maryland business purchase agreement (BPA) is a legal contract that allows for a fair market valuation of all company assets and liabilities and then the transfer of that company from a seller to a buyer. It also comes in the forms of asset purchase and stock purchase agreements.
The elements required for this agreement are the same as the real estate agreement, you can just replace the word home with business in the above list.
The Maryland asset purchase agreement is a legal contract that’s used only when parts of a business are being bought or sold. This could include anything like products, clients, contracts, employees, or trademarks.
Assets don’t include cash, bank balances, securities, or accounts receivable. This agreement operates similarly to a business purchase agreement but puts more focus on defining the transferred assets and legal matters like liabilities and taxes.
A Maryland land purchase agreement details the terms and conditions of the sale of vacant land. It includes details such as the purchase price, description of the land, and any financial contingencies.
The seller of improved land for residential use has to provide this disclosure form before the contract can be carried out. The deeds have to be submitted to the property’s county clerk at the Circuit Court along with a completed Land Intake sheet.
A Maryland stock purchase agreement is a type of business purchase agreement but it does not involve the entire business. It’s also a legal contract that sets up the relationship between the buyer and the seller, so the more detailed, the better.
Stocks can be especially complicated so it may be in your best interests to consult a lawyer or an expert when dealing with the buying or selling of stock.