Independent Consideration Clause in a Purchase and Sale Agreement (Commercial Real Estate) (TX) | Practical Law

Independent Consideration Clause in a Purchase and Sale Agreement (Commercial Real Estate) (TX) | Practical Law

A Standard Clause that provides for independent consideration in a Texas commercial real estate purchase and sale agreement. This Standard Clause is used to avoid the potential risk for a purchaser that a purchase and sale agreement with a free-look period is found by a Texas court to be an option contract that is revocable by a seller. This Standard Clause has integrated notes with important explanations and drafting and negotiating tips for both purchasers and sellers.

Independent Consideration Clause in a Purchase and Sale Agreement (Commercial Real Estate) (TX)

by Practical Law Real Estate
MaintainedTexas
A Standard Clause that provides for independent consideration in a Texas commercial real estate purchase and sale agreement. This Standard Clause is used to avoid the potential risk for a purchaser that a purchase and sale agreement with a free-look period is found by a Texas court to be an option contract that is revocable by a seller. This Standard Clause has integrated notes with important explanations and drafting and negotiating tips for both purchasers and sellers.