A letter of intent is used in a commercial purchase and sale transaction and provides a written expression of the key terms in that transaction. When agreed to by the parties to a transaction, the letter of intent forms the basis for negotiation of a final, definitive agreement. This letter of intent is valid for use in the state of California.

Document Overview

A letter of intent is essentially a document that declares the preliminary commitment of each party to do business with one another. The document outlines the key terms of a prospective commercial deal (for this document, the purchase and sale of a property). The letter of intent is not intended to include all of the terms of the purchase and sale transaction, but should include enough material terms so that the parties have some assurance that they will ultimately be able to arrive at a deal.

Use this Letter of Intent (Purchase and Sale) if:

• You are a prospective purchaser or seller of property, looking to close in on a commercial deal with the other party; or

• You are looking to purchase property on behalf of another person (the 'assignee').

What does this Letter of Intent (Purchase and Sale) provide:

• Critical commercial provisions relating to purchase price and closing costs, and deposits;

• A provision relating to inspection periods; and

• Other provisions relating to seller representations, closing dates, closing conditions, confidentiality and marketing.