Oregon Conditional Sales Contract

State:
Multi-State
Control #:
US-01690-AZ
Format:
Word; 
Rich Text
Instant download

Description

This form is a sample conditional sales contract for the sale of goods owned by one party by a seller to third parties, but various conditions protecting owner's interest apply. Adapt to fit your circumstances.
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FAQ

What Is a Conditional Sales Agreement? A conditional sales agreement is a financing arrangement where a buyer takes possession of an asset, but its title and right of repossession remain with the seller until the purchase price is paid in full.

Broadly, a conditional contract is a contract that is subject to one or more conditions in the contract of sale. If a condition in the contract is not met, then either one or both of the buyer or seller will be able to terminate the contract.

The Conditional Sale Agreement If you buy equipment on an installment plan, for example, it's yours only if you meet the condition of making all the payments. The buyer gets the equipment sooner than if they paid full price; the seller has security because they can repossess the equipment.

The seller's acceptance cannot be unilaterally withdrawn without risking a claim from the buyer for specifically enforcement of the contract; and. The terms of the Sale Agreement cannot be changed unless all parties agree in writing. [1]

The two main avenues a seller can use to cancel a contract legally are: For reasons spelled out in the contract. The seller can back out for reasons written into the contract, including (but not limited to) contingencies. The buyer is in breach of the contract.

You can also back out after your offer is accepted if funding falls through. If you don't have a contingency to protect you if that happens, you'll most likely lose your earnest money deposit and, in some cases, be subject to other penalties, however.

The cancellation provisions are found in Paragraphs 14C (1) and (2), and in Paragraph 14E of the CA-RPA. Regardless of the reason, the seller must give some type of notice to the buyer, however (either a Notice to Perform or a Demand to Close Escrow) before the seller can cancel.

Can a seller pull out after accepting an offer? If there is an available contingency in the contract, the buyer can't secure funding, or there is fraud on the part of the buyer, the seller may usually cancel the contract. You may also cancel the sale during the attorney review period.

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Oregon Conditional Sales Contract