Explanation of purchase agreement

Congratulations, you are about to sign the purchase agreement. Because the agreement can be a comprehensive and often difficult document, we have written the explanation of the purchase agreement below. If there are any ambiguities in the agreement, the broker can always help you!

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EXPLANATION OF THE CONSUMER PURCHASE AGREEMENT*

*) Attached to model contract of sale for an apartment right (model 2023)

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1. Model purchase agreement with explanatory notes.

The model purchase agreement for an apartment right has been jointly established by Vereniging Eigen Huis, Vastgoedpro, VBO Association of estate agents and valuers and the Dutch Cooperative Association of Estate Agents and Valuers NVM U.A. All four of these organizations use the same model contract.

 

The model purchase agreement assumes a kind of standard situation. Because no two situations are exactly alike, the purchase agreement can be adapted to specific circumstances. To this end, the parties involved in the transaction and their brokers can include additional agreements between the parties in the purchase agreement. Of course, the parties may also deviate from what is standard in the purchase agreement.

 

2. Purchase Agreement

If you are buying or selling an apartment, the arrangements are recorded in a purchase agreement. If you are buying or selling an apartment through a real estate agency, the real estate agent involved will assist you with this. It is always wise to enter into the purchase of an apartment in writing, but in most cases it is even necessary. A verbal (sales) purchase of an apartment is usually not valid. After signing by all parties, the sales contract will be sent to the notary named in the sales contract. In most cases the buyer will have a reflection period. This cooling-off period will be discussed in more detail in the notes on Article 19.

 

3. Deed of delivery

The notary draws up a deed of transfer based on the information in the purchase agreement. The deed of delivery is the legal elaboration of the purchase agreement already concluded, necessary to effect the actual legal transfer. This deed of transfer is first sent in draft to all parties. The notary will invite you in time to sign the deed of transfer.

On that day, the notary goes over the main contents of the deed of delivery with the buyer and seller. The deed of transfer is signed by the buyer, the seller (unless a power of attorney has been granted by the buyer or the seller) and the notary.

The notary ensures that the deed of transfer is registered in the public registers. At the moment of registration in the public registers, the buyer officially becomes the owner. This is processed in the land register. Later, the buyer receives a copy of this deed from the notary: the "proof of ownership."

 

4. Note

Along with the draft deed of transfer, you will receive a "bill of settlement" from the notary. This bill includes (usually) the purchase price for the buyer, the settlement of charges, the transfer tax, the costs of the land register and so on. The seller's bill of settlement includes, among other things, the amount of any mortgage loan to be repaid with the associated costs. It is customary that the brokerage fees not already paid and the consultancy fees of any mortgage loan are settled at the notary. Brokerage fees are paid by the person who engaged the broker.

At the bottom of the bill is the amount that you, the buyer, still have to pay or that you, the seller, will receive or have to pay extra.

 

5. The apartment right

An apartment right is a designated share in a building with appurtenances, which gives the power of exclusive use of a certain private part of that building.

All owners collectively have ownership of the entire building and each owner may co-use those portions of the building designated for common use (for example, the stairwell, elevator, hallway, etc.).

An apartment right arises because a building or other real estate is legally divided into apartment rights.

To divide a building into apartments, a notarized deed of division must be drawn up. The deed of division includes a drawing showing the boundaries of the parts of the building intended to be used as a separate entity. Only when the division deed is registered in the public registers is the division a fact and the apartment rights arise. These can then be sold separately and mortgaged.

Every apartment owner is a member of the Owners' Association (hereafter referred to as: VvE). The VvE manages the common parts of the building. The members of the VvE meet at least once a year at the meeting of owners. At that meeting, decisions are made regarding the management of the common parts of the building. The members also discuss at that meeting, among other things, financial matters, such as the financial statements for the past fiscal year, the budget for the new fiscal year and the periodic contributions due from the owners. Resolutions can also be passed. The management of the VvE is conducted by one person, unless the VvE's bylaws provide otherwise. You can contact the board if you want information about the functioning of the VvE, or if you want to see the annual accounts and budget. The chairman (of the meeting) leads the VvE meetings. The chairman of the meeting is usually not also a director, but often an apartment owner who is himself entitled to vote. Meetings can also be led by an administrator.

 

6. Energy Label

In principle, every seller is obliged to provide the buyer with a valid energy label when transferring ownership of his apartment right. An energy label shows how energy efficient the apartment is and what could be improved. From the insulation of the roof, walls, floor(s) and windows to the energy efficiency of heating systems. If the seller does not have an energy label upon delivery, the seller risks a penalty.

There are some exceptions to the main rule that the seller must provide a valid energy label when transferring ownership of his apartment right. An exception is, for example, a protected monument. Your real estate agent can inform you about this. You can also obtain information on the website of the national government: www.rijksoverheid.nl   

 

7. Explanation purchase agreement

 

What follows now is a point-by-point explanation of the text of the purchase agreement.

 

Party data

On the cover sheet of the purchase agreement at A, the seller's details are filled in. Insofar as already known, the seller's future address and telephone number are also given; this is for the benefit of any further communication with the notary and the Land Register (for sending the deed of transfer, for example). If there is a co-seller, including a spouse or registered partner, their details are also entered under A.

 

At B the buyer's data are entered. Again, if there is a co-buyer, his data are also entered under B.

If the spouse or registered partner does not act as a co-buyer or co-seller, but signs the purchase agreement as an expression of consent, it is sufficient to include his or her name at the bottom of the deed.

 

Co-signature by spouse/registered partner

The Civil Code, Article 1:88 (1) (a) states:

"A spouse shall require the consent of the other spouse for the following legal acts: agreements purporting to alienate, encumber or occupy, and legal acts purporting to terminate the use of a dwelling occupied jointly by the spouses or by the other spouse alone, or of items belonging to such dwelling or to its contents."

Household effects" here means all movable property that serves as household effects and as furnishings for a home, with the exception of books and collections of works of art, science or history. If the other spouse is absent or unable to declare his/her wishes and therefore does not give his/her consent, the decision of the court may be invoked.

The same rules apply to registered partners as to spouses.

In implementation of what is provided in this section of the law, the spouse or registered partner of the seller must usually co-sign the purchase agreement for permission to sell. No consent is required under this article of law for the purchase of the buyer's spouse or registered partner; however, consent and countersigning is required for the establishment of a mortgage with respect to the property. The cover sheet shall indicate who the buyer(s) and seller(s) are.

Unmarried or registered cohabitants do not have to give each other permission to sell the home they live in together, but the cohabitation contract may have agreed otherwise. If cohabitants are joint owners, they do need each other's cooperation for the sale of the home.

 

Article 1 Sale and purchase

 

Option A: Ownership*

 

Seller sells to buyer, who buys from seller the apartment right including .............................................................................................................................................................................................................................................................................., among other things entitled to the exclusive use of the apartment: - locally known (incl. postal code): ......................................

                        - cadastral municipality ......................,

                          section .................... number ......A.........,

comprising the ......................... share in the community consisting of the building with appurtenances, yard and land, at the time of the subdivision:

- cadastral municipality .................................................., section .................... number............

- Big ......... acres, ......... are, ........... centiare,

at a purchase price of € ........................, say ...................................................,

hereinafter also referred to as the immovable property,

including the items described in the list attached to this purchase agreement.

The movable property included in the purchase price is valued by the parties at € ........................, say ...................................................

 

Option B: Leasehold*

 

1.1. Seller sells to buyer, who buys from seller the apartment right including ............................................................................................................................................................................................................................................................................................, among other things entitled to the exclusive use of the apartment: - locally known (incl. postal code): ......................................

                        - cadastral municipality .........................,

                                       section .............. number ........A.......,

comprising the ......................... share in the community consisting of the leasehold right established over a parcel of land with a building and appurtenances, belonging to [(name of owner)].................................................... with the leaseholder's right to the building erected thereon with land and appurtenances, at the time of the division:

- cadastral municipality .................................................., section .................... number ...............

- Big ......... acres, ......... are, ........... centiare,

at a purchase price of € ........................, say ...................................................,

hereinafter also referred to as the immovable property,

including the items described in the list attached to this purchase agreement.

The movable property included in the purchase price is valued by the parties at € ........................, say ...................................................

1.2. The following ground lease terms apply to the property: ......................................................................................................

Buyer declares to have taken note of the contents of the applicable terms and conditions, attached to the purchase agreement.

1.3. The right of leasehold is perpetual/perpetual/temporary* and runs through .........

The right of leasehold may be reviewed for the first time at .........

1.4. The canon has been bought off in perpetuity/The canon has already been paid in advance until ..... *
The canon is payable periodically and currently amounts to € ...... per .....

The canon can be adjusted for the first time at ..........

The canon may be indexed for the first time at ..........

 

Article 1

 

Option Ownership/Leasing

This article should indicate whether the apartment complex is on leasehold land or whether there is ownership of the land. In the case of ownership, the buyer becomes co-owner of the land and the apartment complex. Leasehold is a right that gives the leaseholder the authority to hold and use the real estate (the land with the / building(s) located on it), which is owned by another person. Because another person is and remains the owner of the immovable property, there are conditions attached to the leasehold right and, in many cases, a fee ("canon") must be paid for the use of the land. These conditions are indicated in the Leasehold Option under Article 1.2. Articles 1.3 and 1.4 indicate exactly what the ground lease entails and the amount of the canon.

 

Property description

Details of the property are entered, such as the street, house number, municipality and cadastral data. The size of the land area is usually based on the data given in the public registers. These data may differ from the actual situation, see Article 6.11. It is also possible to enter what exactly is meant by the apartment right, for example whether a parking space is also included in the description.

The apartment is part of a building. Therefore, it is also filled in which building the apartment is part of. Finally, the purchase price is entered, first in numbers and then written in full.

 

List of cases

The purchase agreement also includes a list of items. The list is intended to record what is included in the purchase. It includes both movable and immovable items. If the buyer and seller do not clearly agree which items are included in the purchase, this can lead to problems. For example, the buyer may argue that the front fireplace is included in the sale, while the seller has a very different opinion. If the parties disagree about what exactly is included in the sale, they sometimes have to cut the Gordian knot using the legal distinction between movable and immovable property. However, that distinction is often difficult to handle - even for lawyers. To prevent buyers and sellers from having to navigate a legal maze, the list of items has been prepared. It is wise to go through the entire list together. Of course, things can be added to or removed from the list.

 

Valuation of movable property

The list of items prevents discussion of what is and is not included in the purchase. This does not mean that parties no longer need to look into the distinction between movable and immovable at all. That distinction can be important for both buyer and seller for tax reasons. For the transfer of immovable property, for example, transfer tax must be paid. For the transfer of movable property, this is not the case. On the other hand, interest expenses related to the purchase of movable property are not deductible for income tax purposes. Moreover, the proceeds of the property may affect the amount the seller can borrow in the future while retaining mortgage interest deduction.

 

The purchase contract will state the amount at which any moveable property sold with the property is valued. If movable property that has been co-sold is actually valued, the notary must indicate in the deed of conveyance which items are concerned, the amount for which they were acquired and whether that amount is included in the price for the property.

Of course, the amount entered for movable property must be real. The tax authorities can check this and ask for further clarification. If the amount is not in proportion to the actual value of the movable property in question, the buyer runs the risk of an additional tax assessment and a fine.

Since the notary usually does not have a concrete picture of the sold property, it is pleasing to the notary if the list of items indicates which items are movable according to the parties. By the way, whether something is movable or immovable follows from the law. So the parties can negotiate about what is included in the sale (list of items), but not about whether the items sold with the sale are movable or immovable.

 

Article 2 Costs/ Transfer tax

2.1. The costs related to the legal transfer and charged by the notary, such as transfer tax, notary fees and land registry fees, shall be borne by buyer/seller*. The notary will be appointed by buyer/seller*.

The costs charged by the notary in connection with the repayment of bridging loans and/or redemption and cancellation of mortgages and/or attachments resting on the immovable property shall be borne by the seller.

The costs charged by the notary in connection with the establishment of a mortgage relating to the real estate shall be borne by the buyer.

Any other costs charged by the notary, such as the cost of a power of attorney and the cost of an interpreter, will be borne by the party using them.

2.2. If the transfer tax is payable by the Buyer and the transfer tax due is reduced pursuant to Article 13 of the Dutch Transfer Tax Act (WBR), the Buyer will/will not* pay the Seller the difference between, on the one hand, the transfer tax that would be due without the application of Article 13 of the WBR and, on the other hand, the transfer tax actually due (hereinafter referred to as the "Article 13 difference"). If the Article 13 difference is paid to the seller, then the buyer will (also) owe transfer tax on it. The parties agree that the transfer tax due on the Article 13 difference will be deducted from the Article 13 difference to be paid to the seller. This will ensure that the total amount the buyer pays in transfer tax plus the difference in Article 13 to be paid to the seller will be equal to the amount the buyer would have owed in transfer tax without the application of Article 13 of the WBR.

If the parties agree that the said difference will be paid to the seller, this will be done through the notary simultaneously with the payment of the purchase price.

 

Article 2

This article specifies who pays the costs: buyer or seller. If the seller pays these costs, it is called "v.o.n." (freehold). If the buyer pays these costs, we speak of "k.k." (costs-to-buyer). (buyer's costs). These costs include notary fees for the deed of conveyance (including VAT), land registry fees and transfer tax.

It does not include brokerage fees and mortgage costs, among others! It is separately stated which costs charged by the notary will be borne by the seller or buyer. The transfer tax is a percentage of the purchase price. If the value of the apartment is higher than the purchase price, the transfer tax is calculated on this value.

There is a chance that sales tax (VAT) will be due on the purchase price. For example, if there has recently been a renovation, or if a practice room is included in the sale. It must then be clear who will pay this VAT. With new construction, VAT is usually included in the purchase price. Your real estate agent can inform you about this.

 

Article 2.2 applies if the seller sells and transfers the apartment within a certain period of time after the seller becomes the owner. At the time this model was drafted, the specified period under Article 13 of the Legal Transactions (Taxation) Act was six months. Pursuant to Article 13 paragraph 1 WBR, the amount on which transfer tax or sales tax was due in respect of that previous acquisition may be deducted from the tax base. This is also referred to as the 'basis reduction'. A transfer tax advantage then arises due to the redelivery of the immovable property within a certain period of time, to which the buyer is entitled pursuant to Article 13 WBR. If the seller wishes to make use of this advantage, the seller must agree this with the buyer during the negotiations. In Article 2.2, "not" is then crossed out and the buyer then pays the seller this benefit as compensation.

Previously, it was approved that this consideration to the seller was not subject to transfer tax. This approval expired on July 1, 2011. Since then, the compensation paid by the buyer to the seller has again been included in the consideration and must therefore also be subject to transfer tax. The last sentence of Article 2.2 stipulates that the buyer never pays more transfer tax than the buyer would have paid if there had been no resale pursuant to Article 13 WBR. The disadvantage arising from the expiry of the approval is therefore borne by the seller.

Article 13 paragraph 4 WBR provides that, in deviation from Article 13 paragraph 1 WBR where a yardstick deduction applies, not the yardstick, but the tax due in respect of the previous acquisition can be deducted from the tax due on the acquisition of the home within six months of the previous acquisition. Allowing a tax deduction instead of a basis deduction in these situations prevents the deduction from exceeding the accumulation of tax. The application of Article 13 paragraph 4 WBR does require that the reduced rate mentioned in Article 14 paragraph 2 WBR has been rightly applied. In principle, Article 13 paragraph 4 WBR only applies if, due to unforeseen circumstances, the residence was not reasonably or temporarily used as the principal residence within six months after the acquisition.

Example transfer tax (The example assumes the legal transfer tax rate in effect at the time this model was created)
Non-starter B acquires a house for € 350,000 and pays 2% transfer tax on it (2% of € 350,000 is € 7,000). B will live in the home for a very short time, but, due to unforeseen circumstances, transfers the home to K for € 360,000 within six months. K will not or only temporarily use the home as his main residence and therefore does not qualify for the exemption or the reduced rate of 2%. K therefore, in principle, owes € 37,440 (10.4% of € 360,000). However, pursuant to Article 13 paragraph 1 WBR, K can reduce the taxable amount by the value on which transfer tax has already been paid (€ 350,000). As a result, K would owe only 10.4% transfer tax on €10,000 (€360,000 minus €350,000). This is €1,040. The tax benefit for K due to B's short-term occupancy of the property amounts to €36,400. But Article 13 paragraph 4 WBR ensures that the benefit cannot exceed the amount due in respect of the previous acquisition at the 2% rate. K can therefore only apply a reduction of €7,000 and owes €30,440 (€37,440 minus €7,000). If the parties agree in Article 2.2 that the buyer will pay the saved transfer tax - also called the Article 13 difference - to the seller, the buyer will pay the seller this benefit of €7,000 as compensation. In the third sentence of Article 2.2, the buyer and seller have agreed that the transfer tax due on the Article 13 difference will be deducted from the Article 13 difference to be paid to the seller, so that ultimately the seller in this example is entitled to compensation of €6,340.58 (€7,000/110.4 x 100). The amount of € 659.42 is the transfer tax due on the Art. 13 difference. This ensures that the total amount the buyer pays in transfer tax plus the Article 13 difference to be paid to the seller will be equal to the amount the buyer would have owed in transfer tax without the application of Article 13 WBR.

article 3 Payment

Payment of the purchase price, fees and taxes is made through the notary when the deed of transfer is executed.

Seller agrees to the notary holding the purchase price until it is certain that the real estate is delivered free of mortgages, attachments and registrations thereof.

 

Article 3

The notary receives the purchase price from the purchaser and - after first paying the seller's creditors, including mortgage lender(s) and distraining creditor(s), who should be paid from the purchase price in connection with the correct completion of the sale and delivery in accordance with the professional and policy rules applicable to the notary - pays the remainder of that purchase price to the seller. Because the notary must ensure that the sold property is unencumbered by, for example, mortgages or attachments upon registration in the public registers and the notary only receives official confirmation of this after the date of delivery, the notary may - also for insurance purposes - only pay out the purchase price on behalf of the purchaser once the notary has this confirmation, usually several days after the date of delivery.

 

article 4 Legal transfer

4.1. The deed of transfer shall be executed on .................................... or so much earlier or later as the parties together may further agree, in the presence of a notary associated with notary office ...................... established at ...................................., hereinafter referred to as notary.

4.2. Seller warrants its authority to sell and legally transfer at the time of the execution of the deed of transfer.

 

Article 4

There are different types of transfers. The most important are the legal transfer and the actual transfer. The legal transfer (also called legal delivery, title transfer or transport) takes place at the notary through a notarial deed of transfer and its registration in the public registers. The actual transfer takes place by handing over the keys and taking possession of the apartment.

There may be two dates for the different transfers (see Article 7), but often the two dates coincide. In Article 4, enter the date of the legal transfer. If the actual transfer precedes the legal transfer, there may be a transfer of beneficial ownership. In that case, it may be wise to contact the notary in connection with possible transfer tax liability. This article also enters the name of the notary office that handles the deed of transfer. The choice of notary usually lies with the buyer, except if the seller announces before the conclusion of the purchase agreement, to reserve the choice of notary. This often happens with new construction to have the entire project delivered to the same notary.

 

Article 5 Bank guarantee/ Deposit

5.1. As security for the Purchaser's compliance with his obligations, the Purchaser shall, no later than ......, arrange for a written bank guarantee issued by a banking institution in the amount of €............, say ................................................ This bank guarantee shall be unconditional, shall continue for at least one month after the agreed date of legal transfer and shall contain a clause to the effect that the bank in question shall, at the first request of the Notary, pay out the amount of the guarantee to the Notary. If the amount of the guarantee is paid to the Notary, the Notary shall act with it as provided in Article 14. If the provisions of Article 14.5(d) occur, the bank guarantee shall be extended in the absence of which the parties shall oblige the Notary pursuant to this purchase agreement to collect the bank guarantee. The Notary is hereby obliged and to the extent necessary irrevocably authorized, as soon as the Purchaser has complied with his obligations and the legal transfer has been completed, to inform the banking institution that the bank guarantee provided by the Purchaser may lapse. Bank institution in this Article means a bank or insurer within the meaning of Article 1:1 of the Financial Supervision Act.

5.2. Instead of providing this bank guarantee, the Purchaser may deposit a security deposit in the amount specified in Article 5.1 in the hands of the Notary through his trust account.

The deposit must be credited to the said account no later than the day specified in Article 5.1.

Subject to the provisions of Article 14, this deposit shall be set off against the purchase price insofar as the purchase price and the other amounts payable by the Purchaser are not paid from a loan taken out by the Purchaser. That part of the deposit which is not set off shall be repaid to the Purchaser as soon as the Purchaser has fulfilled his obligations under this purchase agreement.

No interest will be paid by the seller on the deposit.

If the notary pays interest on the deposit, this interest accrues to the buyer.

5.3. If the buyer is declared bankrupt or is admitted to the debt rescheduling arrangement for natural persons and the trustee or administrator does not wish to honour this purchase agreement, the amount of the bank guarantee or deposit referred to in Article 5.1 shall be forfeited to the seller by operation of law as a penalty as referred to in Article 14.2.

 

Article 5

It is customary to agree that the buyer will provide a bank guarantee in the amount of 10% of the purchase price after the sales agreement is concluded. This is a statement from the bank guaranteeing that the bank will pay this amount if the buyer fails to meet his obligations. Setting up a bank guarantee takes some time. Usually the bank guarantee is issued within a few days of the expiration of the financing reservation. The bank charges a fee for a guarantee statement.

Instead of providing a bank guarantee, the buyer can deposit a security deposit. It is common and prudent to deposit any deposit with the notary. If the buyer is buying as a consumer, the deposit or bank guarantee is often not allowed by law to exceed 10% of the purchase price.

 

Article 5 aims to provide seller with a certain security that buyer will fulfill its obligations. If necessary, the penalty mentioned in Article 14 can be recovered from the bank guarantee or deposit. If the deposit is of any size or is not already in the notary's possession for a short time, the notary will usually pay interest to the buyer.

 

Article 6 State of the property/ Use.

6.1. The real estate shall be transferred to the Purchaser in the condition in which it is at the conclusion of this purchase agreement, therefore with all associated rights and claims, prevailing easements and qualitative rights, visible and invisible defects and free from mortgages, attachments and registrations thereof. The Purchaser accepts this state and therefore also the public law restrictions resting on the real estate insofar as these are not 'special encumbrances'.

 

6.2. The Buyer expressly accepts all easements, special charges and restrictions, separate rights in rem, perpetual clauses and qualitative obligations attached to the real estate, all this insofar as evidenced and/or resulting from:

a. the last and previous notarial deed(s) of delivery and/or establishment of a restricted

right to the immovable property, or evidenced and/or resulting from a separate

notarized;

b. the deed of subdivision;

c. the regulations;

d. the bylaws of the Owners' Association.

The Purchaser declares to have taken cognizance of the contents of these deeds, including the regulations, the Articles of Association of the Owners' Association and the last statement of operations. The Seller has supplied the literal text (in copy) of all these notarial deeds and documents to the Purchaser.

Seller has informed buyer that the following public law restrictions apply to the property:

.............

Buyer expressly declares its acceptance of these special (public law) charges.

6.3. Upon legal transfer, the property will possess the actual properties necessary for normal use as:.....................................

If the actual delivery takes place earlier, the immovable property shall at that time possess the properties required for normal use. Seller does not guarantee any properties other than those required for normal use.

Defects which impede normal use and which are known or apparent to Buyer at the time of the formation of this purchase agreement shall be at Buyer's expense and risk.

For defects which impede normal use and which were not known or known to the buyer at the time this purchase agreement was concluded, the seller shall only be liable for the repair costs. When determining the repair costs, the deduction "new for old" shall be taken into account.

Seller shall not be liable for other (additional) damages unless Seller is at fault.

6.4.1. The Seller is not aware or/At buyer's knowledge that* the immovable property contains contamination which is detrimental to the use described in Article 6.3 or which has led or could lead to an obligation to clean up the immovable property or take other measures.

6.4.2. To the seller's knowledge, the real estate does/do not* contain an underground tank for storing (liquid) substances.

Insofar as the Seller is aware of the presence of an underground tank for the storage of (liquid) substances, the Seller declares the following with regard to whether or not it is still in use and/or has been rendered unserviceable in accordance with legal regulations: ...........................................

6.4.3. The seller is not aware if/At buyer is aware that* the real estate contains asbestos.

6.4.4. The seller is not aware if/An acquirer is aware that* with respect to the immovable property restriction decrees for soil have been taken by the competent authority.

6.5. Buyer shall have the right to inspect the real estate inside and out immediately prior to the execution of the deed of transfer.

6.6. Seller warrants that up to the date Seller signed this purchase agreement, no improvements or repairs have been required or announced by the government or by utility companies that have not yet, or not properly, been completed.

If, on or after the day of signing and before the time of delivery, an improvement or repair is announced or prescribed by the government or utility companies, the consequences of the announcement or writing shall be at the buyer's expense and risk. The announcement or write-up shall be for the seller's account and risk if it is related to the seller's failure to comply with obligations arising from the law or this purchase agreement.

6.7.1. The Seller is not aware whether/At buyer is aware that* the immovable property has been designated or is involved in a procedure for designation:
a. as a national monument within the meaning of the Heritage Act;
b. as a provincial monument or municipal monument pursuant to a provincial ordinance, municipal ordinance, zoning plan or environmental plan.

6.7.2. The Seller is not aware whether/ The Buyer is aware that* the immovable property is situated within an area that has been designated or for which a procedure is in progress for designation:
a. as a nationally protected town or village view as referred to in Article 9.1 paragraph 1 under a of the Heritage Act or Article 2.34 paragraph 4 of the Environment Act, respectively;

b. as a protected city or village landmark under a provincial ordinance, municipal ordinance, zoning plan or environmental plan.

6.8. Vendor declares that with respect to the real estate there are no obligations to third parties due to right of first refusal, right of option, right of repurchase.

6.9. To the Seller's knowledge, the real estate is/is not* included in a (provisional) designation as referred to in the Municipal Preferential Rights Act. Chapter 9 of the Environment Act, respectively.

6.10. The sale does not include that to which tenants assert rights under their statutory right of removal.

6.11. Difference between stated and actual size shall not confer any right on either party. Notwithstanding this, the parties agree as follows: ......

6.12. Seller declares that the charges for previous years, insofar as the assessments have been imposed and canons that have become due, have been paid. Insofar as the said assessments and/or canons have not yet been paid, the seller declares to pay them upon first request.

6.13. The mere statement that seller is not aware of certain facts or circumstances does not constitute a warranty or indemnity for buyer or seller.

 

Article 6

Article 6.1 states that the buyer buys the immovable property in the condition it is in at the time of entering into the purchase agreement. The main rule is that, in principle, the seller does not warrant the absence of (hidden) defects.

In other words, ownership of the real estate will be transferred to the buyer including all visible and invisible defects. All risk is therefore placed in the first instance with the buyer. This applies both to actual defects and to other defects insofar as they are not to be regarded as 'special burdens' within the meaning of Article 7:15 of the Civil Code. Article 6.2 deals with those 'special burdens'.
Given the main rule that all risk rests with the buyer in the first instance, the buyer is required to do some research. For example, the purchaser must, in principle, inquire with the municipality which zoning/function applies to the real estate under the zoning plan/environmental plan in force at the location. However, the seller must provide the buyer with the information known to the seller: in principle, therefore, the seller must tell the buyer what the seller knows about the properties and (actual) defects of the immovable property.

An important exception is made in Article 6.3 to the aforementioned main rule that all risk rests with the purchaser in the first instance, as far as the actual properties of the immovable property are concerned. Detailed consideration of this exception is given below in the notes to Article 6.3.

Article 10 details the situation where the apartment cannot be delivered in the condition it is in at the conclusion of this contract of sale because the property has been lost in whole or in part after the sale - but before delivery.

 

The real estate is delivered free of mortgages, attachments and registrations thereof. The seller must pay off the existing mortgages and ensure that they are also no longer registered in the public registers. In practice, the notary arranges the latter. The seller also ensures that there are no attachments on the property. Should there be an attachment on the immovable property, the delivery cannot usually take place until the attachment is lifted.

 

Article 6.2 deals with 'special charges and restrictions' resting on the immovable property (a term derived from Art. 7:15 of the Civil Code). 'Special charges and restrictions' (hereinafter: 'special charges') are legal restrictions resting on the immovable property. These can be private law restrictions such as (suffering) easements, qualitative obligations and so-called 'chain clauses'. Based on such restrictions, another person (than the owner) has a claim on the immovable property (for example, a right of way over the land). It may also involve public law restrictions such as a decision to establish a municipal preferential right. The seller must inform the buyer prior to the sale about the legal restrictions that rest on the immovable property as 'special charges'. To this end, the Seller shall provide the Purchaser with (copies of) the (previous) notarial deeds in the Seller's possession. The Buyer can then read in these deeds which special encumbrances rest on the immovable property. It follows from Article 6.2 that the Purchaser (explicitly) accepts the special burdens arising from these deeds.

If the seller is aware that there are (also) special encumbrances on the real estate which are not apparent from the deeds made available to the buyer, then the seller will have to notify the buyer of these special encumbrances, so that the buyer is aware of them when the purchase agreement is concluded. For restrictions under public law (resting on the immovable property as a special burden), these are by no means always mentioned in previous notarial deeds. Public law restrictions with which the Seller is familiar may be explicitly mentioned in Article 6.2. The Purchaser (explicitly) accepts the restrictions mentioned in Article 6.2.

It is important that the seller tells the purchaser what the seller knows, and that the purchaser knows, on the basis of what is stated in Article 6.2 and the previous notarial deeds (copies of which have been provided to the purchaser), what special charges (under private and public law) rest on the real estate. If the seller fails to provide information, the seller may later face a claim for damages. Because the special charges concern claims of others on the immovable property, the seller will often not be able to lift these charges (or only with great difficulty). If removal proves impossible, the buyer will in principle be able to claim damages from the seller. It is therefore important that the seller tells the buyer which special charges rest on the real estate (so that the buyer can accept them).

 

Article 6.3 makes a far-reaching exception to the main rule that the immovable property will be transferred to the buyer in ownership including all visible and invisible defects. Article 6.3. stipulates that the immovable property will possess the actual properties required for normal use at the time of legal transfer.

Normal use in a home means, among other things, that the home must be able to be lived in safely and with a certain degree of durability. If a defect hinders normal use, the buyer can hold the seller liable. However, it does not mean that every defect hinders normal use. The buyer of an existing home will, depending on its age and price, to some extent have to take into account a certain degree of immediate (overdue) maintenance and adaptations to the requirements of the time, even if the need for this was not immediately apparent at the time of the conclusion of the sale. In addition, Article 6.3 stipulates that defects that impede normal use and are "known" or "knowable" to the buyer at the time of the conclusion of this purchase agreement will be at the buyer's expense and risk. An example. Seller sells a home with a non-working private central heating boiler. It has been determined that the non-working private central heating boiler interferes with the normal use of the home. Buyer is aware of this when the purchase agreement is signed. Buyer cannot sue seller after signing the purchase agreement because the "normal use" in Article 6.3 is obstructed by the non-working private central heating boiler. After all, at the time the purchase agreement was signed, the buyer was aware of this, and the parties have agreed that defects that impede normal use and that are known or apparent to the buyer at the time the purchase agreement was concluded will be at the buyer's expense and risk. The term "knowable" is broader than "known." Even defects which are not known to the buyer but which the buyer should have discovered if the buyer had exercised sufficient care are "known". So the buyer cannot simply assume that everything is in order. The buyer is expected to ascertain - or have ascertained - whether the item meets the buyer's requirements. The saying "what you don't know won't hurt you" does not apply here. If in doubt, the buyer must ask questions and/or carry out his own investigations or have them carried out. This does not mean that the seller can always keep his mouth shut. The seller has a duty of disclosure. The seller must inform the buyer of defects which the seller should know are important to the buyer and which the seller knows or suspects that the buyer is unaware of.

This duty of disclosure is not limited to the aforementioned defects. If the buyer has indicated that the buyer wishes to use the real estate for a special purpose, if the seller knows that the sold property is not suitable for that use, the seller will have to notify the buyer. Although it follows from Article 6.3 that the seller does not vouch for the suitability of the sold property for its intended special use, the seller does have a duty of disclosure. If seller does not fulfill the duty of disclosure, buyer -if he did not know about the defect- can hold seller liable.

The saying "what you don't know won't hurt you" does not apply to the seller either. If, despite adequate investigation by the buyer, it subsequently transpires that at the time of the legal transfer there was a defect that prevents normal use, the seller can in principle be held liable. This also applies to soil contamination. If both the seller and the buyer are completely unaware of the presence of soil pollution, then if the normal use of the real estate is at issue, the risk will in principle rest with the seller. If contamination does not prevent normal use, the risk will in principle rest with the buyer.

The seller's obligation to deliver a good that possesses the properties required for its normal use also applies, in principle, to the co-sold (movable) goods. In that case, too, the seller must inform the buyer about defects that impede normal use and that are not immediately perceptible to the buyer. If the buyer himself has reason to doubt, the buyer-seller must ask questions or examine the co-sold item (or have it examined).

 

The second-to-last sentence of Article 6.3 deals with repair costs. For defects which hinder normal use which were not known or known to the Purchaser at the time of the conclusion of this purchase agreement, the Seller is only liable for the repair costs. The seller bears the risk of making the real estate suitable for normal use. When determining the repair costs, the deduction 'new for old' must be taken into account. When determining the 'new for old' deduction, the costs of renewal on the one hand and the lifespan of the part to be replaced on the other are taken into account. An example: the buyer has held the seller liable under Article 6.3 of the purchase agreement for a non-functioning private central heating boiler. The central heating boiler needs to be replaced in its entirety. A central heating contractor has estimated the cost of replacing the central heating boiler at € 2,500.00. The expected lifespan is estimated at 20 years. At the time of purchase, the central heating boiler was 10 years old. The deduction "new for old" is then 50%, namely € 1,250.00. The seller must therefore pay half of the repair costs to the buyer.

The buyer bears the risk of the other (consequential) damage, unless the seller is at fault. Seller is at fault if, for example, seller knowingly conceals defects that impede normal use.

 

Article 6.4.1 allows the parties to state their knowledge of whether or not the property is contaminated. Such a clause is known as a '(dis)knowledge declaration.' Articles 6.4.2, 6.4.3, 6.4.4, 6.7.1 and 6.7.2 are also examples of (un)knowledge declarations. Such clauses have an evidential and a signaling function. The evidential function lies in preventing "yes-no discussions." For example, if the buyer declares that the buyer is aware of the presence of an oil tank (declaration of familiarity), it is difficult for the buyer to claim afterwards that the seller has neglected his duty to give notice of that presence. It is clear from the purchase agreement that the presence was known. Conversely, if the seller declares that he was not aware of the presence of an oil tank (declaration of unfamiliarity), it is difficult for the seller to claim in retrospect that the seller informed the buyer of the tank's presence or that the presence of the tank was clearly visible to the buyer. After all, it is stated in black and white that seller did not know whether there was an underground tank. The signal function is fulfilled because the parties are made aware of the issue. They are more or less forced to record something about it. This encourages the seller to fulfill his duty of disclosure and the buyer to fulfill his duty to investigate. In order to avoid any misunderstanding, Article 6.13 explicitly states that a statement of non-disclosure is not intended as a guarantee or exclusion/limitation of liability. As indicated above, the saying "what you don't know won't hurt you" applies neither to the buyer nor to the seller. Whether the buyer can make a claim against the seller follows in principle from Articles 6.1 and 6.3 of the purchase agreement, whereby known defects are at the buyer's risk. The parties can, of course, deviate from the standard allocation of risk in the purchase agreement on a case-by-case basis.

 

Article 6.4.2 covers underground storage tanks for storing (liquid) substances, such as oil tanks and septic tanks. In particular, special rules apply to the use and remediation of underground oil tanks. The seller can indicate whether the tanks are still in use, whether they have been decommissioned, if so, when this was done and whether the legal requirements were observed in the process. If an unoccupied oil tank has not been disabled, the buyer and seller would be wise to make arrangements for the remediation or removal of the tank and the associated costs. Such agreements can be recorded in the open space left below the article. If the seller does not know whether oil tanks are still present, the buyer would be well advised to research the presence of oil tanks in advance. If there is a tank in the garden that has not yet been remediated or not in accordance with the Decree on activities in the living environment, the competent authority may impose an obligation to (re)remediate or remove the tank. This first requires a soil investigation into possible soil contamination that may have occurred as a result of an oil spill and which requires the soil to be remediated. The method of remediation depends on the degree of contamination and must be done by a licensed remediation contractor.

 

Section 6.4.3 requires the seller to disclose whether or not the seller is aware of whether or not asbestos has been incorporated into the apartment complex. This also applies if, for example, asbestos has been used in common areas, a shed or shed roof or in the paving of a garden path. When asbestos is removed, special measures must be taken. If asbestos has been found, the parties can, if they wish, include in the purchase agreement whether, and at whose expense, it will be removed. Again, if the seller does not know if asbestos was used in the house, the buyer can have it investigated.

 

Article 6.4.4 deals with land restriction decrees. If the seller knows that such a decision has been made, the seller must notify the buyer.

 

Article 6.4 lists a number of common cases. This is not an exhaustive list. Depending, for example, on the age of the building and/or the region where the building is located, other matters may also be important for the buyer to know. Consider the risk of flooding, foundation problems, the presence of lead pipes and/or the presence of cotton wiring. For buyers, it is wise to review the questionnaire that the seller has (usually) filled out. This contains a lot of information about the building, the apartment and the plot. By the way, this questionnaire is not exhaustive. The questionnaire is not intended to give any guarantees, but it is of great significance for the interpretation of the contract and in particular for what the buyer can expect. The questionnaire has an informative character and is an aid for the seller to fulfill his obligation of disclosure. 

 

It follows from Article 6.5 that immediately prior to the execution of the deed of transfer at the notary, the purchaser may inspect the apartment inside and out. It has been decided to do this just before execution of the deed of transfer because this is the best time. After all, many things can still change about the apartment. Therefore, here is another opportunity to check that the apartment is in the same condition as when it was purchased. If a real estate agent is involved in the sale of the property, they will often be present at the inspection.

 

Article 6.6 deals with so-called notices issued by the government or by utility companies. The government or a utility company can impose an obligation on an owner to improve or repair his immovable property in a certain respect, for example, a utility company's notice that one must improve the electrical installation or a municipality's notice that the owner must refurbish the facade. It is important for the buyer to know whether this has been done. After all, fulfilling such an obligation costs money and, moreover, it has to be done within a certain period of time. The provision should prevent any surprises for the buyer. A summons usually does not come unexpectedly, in the sense that it has usually been clear for some time that something is not right. If the buyer and seller have fulfilled their obligation to investigate and notify, the buyer will already be aware of the defects. In connection with this, the costs will in principle be borne by the buyer if the government or utility company, after the signing of the purchase agreement but before the legal transfer, imposes an obligation to repair or improve. Demands in connection with building without, or in violation of, a permit are in principle for the seller's account.

 

Article 6.7.1 deals with monuments. There are national monuments, provincial monuments and municipal monuments. Even under the Environment Act, a distinction is made between different types of monuments. A national monument is designated under the Heritage Act before and also after the introduction of the Environment Act.

A provincial monument will be designated under the Environment Act pursuant to a provincial environment ordinance. Until then, a provincial monument will be designated under a provincial monument ordinance.

The intention is that a municipal monument will be designated under the Environment Act as part of the environmental plan. After the introduction of the Environment Act, every municipality will automatically have a "temporary" environmental plan. This temporary environment plan will eventually be converted into a definitive environment plan. However, municipalities have until the end of 2029 at the latest to convert the temporary environment plan into a final environment plan. Thus, a so-called transitional phase applies until no later than the end of 2029. Municipalities may designate municipal monuments under the environmental plan but also under the municipal heritage ordinance until the end of this transition phase.    

 

Incidentally, Articles 6.7.1 and 6.7.2, which deal with monuments and protected city or villagescapes, respectively, refer to "has been designated or is involved in a procedure for designation. In purely legal terms, the Environment Act no longer refers to designation. Under the Environment Act, monuments and protected city or village views will no longer be designated, but the function 'monument' or the function 'protected city or village view' will be assigned to a location.

 

Article 6.10 If the sold property is a rented apartment, and it has been agreed with the tenant that he will vacate the apartment before the execution of the deed of transfer, then it must be taken into account that a tenant has, in principle, the right to take with him those items that the tenant has installed. Tenant must deliver the apartment in the original condition in which tenant received it at the start of the lease. There is an exception for permitted alterations and additions and that which has been destroyed or damaged by age. It is important for buyer and seller to keep each other well informed about what belongs to the sold property.

 

Article 6.11 covers all surface areas, such as the cadastral area of the plot and the floor area of the property. Because the buyer has viewed the situation on the ground and therefore the buyer sees what the buyer is buying, it often does not matter much if the stated size differs from the actual size. Therefore, it is common to agree that there will be no settlement if there is a difference between the stated and actual size. Sometimes it can still be important to the buyer that the actual area is correct or nearly correct with the stated area. In deviation from the main rule, the parties can then agree something else. This can be done on the dotted line in Article 6.11. For example, the parties can stipulate that the buyer is entitled to compensation from the seller if the surface area turns out to be at least 5% less than stated. Also lay down the amount of the compensation, for example, an amount for each m2 that exceeds the area specified. Since the purchase agreement does not mention the usable area of the house, it is wise to include this on the dotted line as well. The selling broker can help with this. Realtors (belonging to NVM, VBO or Vastgoedpro) are obliged to measure the property according to the 'measuring instruction utilization area houses', so that the data are known. The size of the plot is also mentioned in Article 1 of the purchase agreement.

 

Article 6.13 emphasizes that the seller's declaration that the seller is unaware of, for example, soil contamination, says nothing about who bears the risk for soil contamination. Buyer may not infer from the declaration of ignorance that there is no soil contamination. So the buyer does not get a guarantee. However, there is also no exclusion of liability. The seller therefore does not place the risk on the buyer with a declaration of ignorance, see the notes to Articles 6.3 and 6.4.1. Risk allocation is a matter of agreement. A declaration of ignorance involves actual knowledge and not an agreement. You simply cannot negotiate about whether or not you know something.

 

Article 7 Actual delivery/ Transfer of claims.

7.1. Actual delivery and acceptance shall take place at the time of signing the deed of delivery as shown in Article 4.1, unless a different time is agreed upon between the Seller and the Buyer, free of rental, lease and/or hire-purchase agreements with the exception of the following agreements which are honored by the Buyer:

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7.2. Insofar as nothing to the contrary arises from Clause 7.1, the Seller warrants that the immovable property shall be free of claims to use, unclaimed, and, except for any movable property sold with it, empty and vacated at the time of actual delivery.

7.3. If buyer accepts the immovable property in whole or in part subject to the fulfillment of current rental, lease or hire-purchase agreements:

a. the Seller warrants that at the time of actual delivery the Seller has not already received payments for future installments and that no attachment has also been placed on such installments;

b. Seller warrants that, as of the coming into existence of this purchase agreement, existing rental, lease and/or hire-purchase agreements will not be amended, the real estate will not be rented out in whole or in part, given on hire-purchase, or in any other way surrendered for use, except with Buyer's written consent; and

c. declares that the buyer is familiar with the contents of the said rental, lease and/or hire-purchase agreements to be taken over.

7.4. This purchase agreement includes, to the extent possible, the transfer of all claims that the seller can or will be able to enforce with respect to the real estate against third parties, including the builder(s), (sub)contractor(s), installer(s), architect(s) and supplier(s), such as on account of work carried out or in respect of damage caused to the real estate, without the seller being obliged to indemnify. This transfer shall take place as of the date of the legal transfer. If the actual transfer takes place on an earlier date than the signing of the deed of conveyance, the transfer of the above-mentioned claims becomes effective as of that earlier date. In the latter case, the Vendor undertakes to provide the Purchaser with the relevant information known to the Vendor at the time of the actual delivery, and the Vendor hereby authorizes the Purchaser, insofar as necessary, to have this assignment of claims notified to the relevant third parties in accordance with the statutory provisions on behalf of the Purchaser.

 

Article 7

The actual transfer takes place by handing over the keys and taking possession of the apartment. This article indicates that the actual transfer takes place at the time of signing the deed of transfer at the notary, unless a different time has been agreed between the seller and buyer. It also specifies how the delivery takes place, namely free of rental, lease or hire-purchase agreements with the exception of any agreements to be completed. This is therefore not only a question of whether the immovable property is wholly or partially faris rented, as well as whether seller has certain components such as the boiler or kitchen gerented or leased. If the property is delivered free of rent, etc., Articles 6.10 and 7.3 do not apply.

If the seller and buyer agree on a different time of actual delivery, additional agreements are generally desirable, for example regarding the time at which the risk passes (Article 10). In such cases, consult in advance with your insurer and mortgage lender.

 

Article 7.4 states that all claims that the seller can assert pass to the buyer. This concerns, for example, a guarantee that the seller has on a renovation, on double glazing or on the roofing. The enumeration given in Article 7.4 is not exhaustive. If the SWK, Woningborg, Bouwgarant or GIW guarantee and warranty scheme applies to the property to be purchased, the guarantee is automatically transferred. Information about the terms and the procedure to be followed can be found in the relevant guarantee scheme.

 

article 8 Income, charges and canons

The benefits, charges, taxes, levies and canons payable, including levies arising from the deed of subdivision and/or the regulations, shall be for the account of the Purchaser as of ..................................................The benefits, charges, taxes, levies and canons then in progress shall be settled pro rata as of that date between the parties.

The settlement of the charges arising from the deed of subdivision and/or the regulations will take place as far as possible on the basis of the CoE budget prepared for the current year. According to the latest known data, the charges and obligations amount to: .............................................................................................These settlements shall take place simultaneously with the payment of the purchase price. Insofar as any government taxes and/or levies are levied in respect of the immovable property, these will not be settled between the parties.

 

Article 8

This specifies the date on which the benefits, charges, taxes, levies and canons due pass to the buyer. Consider such things as rent, real estate taxes and water board owner charges. It is usually agreed that these pass from the date of legal transfer, see Article 4.

 

The budget, rules of subdivision and bylaws can be requested from the board of the CoE.

Taxes and/or levies charged against the use of the immovable property shall not be settled between the seller and the buyer. If the seller moves to another municipality, then the seller is usually entitled to relief from the taxes and/or levies charged against the use of the immovable property for the remaining full months of the year. If the seller moves to another property in the same municipality, then the assessment usually remains in place. For more information on taxes and/or charges against the use of the immovable property, consult your municipality.

 

article 9 Joint and several liability

If seller and/or buyer are two or more (legal) persons, the following applies:

a. the (legal) persons who are seller or buyer, respectively, can only jointly exercise the rights arising for them from this purchase agreement, respectively fulfill the obligations arising for them from this purchase agreement;

b. the (legal) persons who are respectively seller and buyer hereby irrevocably authorize each other to exercise the rights arising from this purchase agreement on behalf of each other, respectively to perform the obligations arising for them from this purchase agreement; and

c. the (legal) persons who are seller or buyer, respectively, are jointly and severally liable for the obligations arising from this purchase agreement.

 

Article 9

For practical purposes, the effect of this article is that, when there are several persons on either the selling or buying side (for example, spouses or heirs), it is sufficient to address one of them; one is then deemed to have also addressed the other(s). A letter addressed to one of three buyers, therefore, is deemed sufficient to notify all three. The multi-person party thus acts toward the other party as if there were only one person.

 

 

 

Article 10 Transfer of risk/ Damage due to force majeure

10.1. The immovable property shall be at buyer's risk as of the time of signing the deed of delivery, unless the actual delivery takes place earlier, in which case the risk shall pass to buyer as of that time.

10.2. If the immovable property is damaged or lost in whole or in part before the time of transfer of risk, or is no longer suitable for normal use due to damage to the building of which the immovable property is a part, the seller shall be obliged to notify the buyer immediately.

10.3. If the immovable property is damaged or lost in whole or in part due to force majeure before the time of passing of risk, or is no longer fit for normal use due to damage to the building of which the immovable property is a part, this purchase agreement shall be dissolved by operation of law, unless within four weeks after the calamity, but in any case before the agreed day of legal transfer:

a. the Purchaser requires performance of this purchase agreement, in which case the Seller shall deliver the immovable property to the Purchaser on the agreed date of the legal transfer in the condition in which it is then located, without any special consideration in addition to the purchase price determined, together with all rights to which the Seller is entitled against third parties in respect of the loss - whether on account of insurance or otherwise. Delivery of these rights shall take place in accordance with the provisions of article 7.4; or

b. the seller declares that he will repair the damage at his expense before the agreed date of the legal transfer or, if the calamity occurs in the four weeks preceding the agreed date of the legal transfer, within four weeks after the calamity. In the latter case, any previously agreed date of the legal transfer shall be postponed to the day following that on which the four weeks after the mishap have elapsed. If rectification does not take place to the satisfaction of the Purchaser, this purchase agreement shall still be dissolved, unless the Purchaser states, within fourteen days after rectification should have taken place on the basis of this Article, that he still wishes to exercise the right granted to the Purchaser under clause 10.3(a), in which case the legal transfer shall take place on the agreed date or, if the disaster occurs within four weeks prior to the agreed date of the legal transfer, no later than six weeks after the disaster.

In case both buyer and seller declare their intention to use the rights granted in Article 10.3, buyer's choice shall prevail.

10.4. If, after the legal transfer, the Purchaser has dissolved the sale on good grounds as referred to in Article 7:10, paragraph 3, of the Civil Code, the risk shall, in deviation from that provision, remain with the Purchaser until the time of transfer back to the Seller, if and insofar as that risk is insured by the Purchaser or - failing that - if and insofar as that risk is normally covered by a customary building insurance policy for an object such as the sold property. For the other risks against which the Purchaser is not insured and which do not normally have to be insured for an object like the sold property, the provisions of Article 7:10 paragraphs 3 and 4 of the Civil Code shall remain in force.

 

Article 10

According to Article 6 of the sales contract, the apartment must be delivered in the condition it is in when the sales contract is concluded. Between this time and the time of the legal transfer, anything can happen that changes the condition. From the time of the notarial transfer of title, the apartment is at the buyer's risk. If the actual delivery takes place earlier than the legal transfer, the risk rests with the buyer from the actual delivery. However, it is possible for the purchaser to dissolve the purchase contract after the transfer has taken place. If Article 7:10 paragraph 3 BW would apply in that case, the risks associated with the immovable property would have remained with the seller due to the dissolution of the purchase agreement. This can have major consequences for the seller, because after the transfer, the seller will no longer be insured for the sold property. By excluding the application of Article 7:10 paragraph 3 BW for those risks which are covered by a customary building insurance, it is prevented that after dissolution of the purchase agreement on good grounds by the buyer, certain risks for the immovable property will revert to the seller and those risks will remain with the buyer who will be insured for them.

Article 10 regulates what should happen in case of force majeure (for example, lightning strike or arson by third parties) that neither buyer nor seller can do anything about.

If the apartment is completely or partially destroyed by fire, for example, before the legal transfer, both parties are no longer bound by the purchase agreement. If the buyer still wants to take the apartment, the seller must transfer to the buyer the rights from, for example, buildings insurance.

The seller can also arrange for ownership of the apartment to still be transferred in accordance with the purchase agreement. The seller must then inform the purchaser in good time that the seller will restore the apartment at his own expense before the agreed date of legal transfer (or within four weeks of the mishap, if later).

If the situation referred to in this article arises, it is wise for the parties to consult with each other first. The parties may ultimately, should they not reach an acceptable solution, choose to maintain the dissolution of the purchase agreement. It is wise to put such an agreement in writing.

 

Article 11 Property insurance

Buyer agrees to participate in the current building insurance policy.

 

Article 11

It is required by law to insure the building for the benefit of the joint apartment owners. As a rule, collective building insurance is taken out for the complex of which the apartment is a part, that is, for all the apartments and the common areas together. Each owner then pays a portion of the premium in proportion to his share.

You can find in the subdivision regulations what dangers the building must be insured against and who is responsible for taking out the insurance. Usually the responsibility lies with the board. The building insurance policy should include an apartment clause, this will not void the insurance if one of the owners is at fault for causing the damage through negligence or willful intent.

Since there is collective insurance on the total building, an individual buyer cannot evade that insurance. Hence, this article in the purchase agreement requires buyer to co-pay for the building insurance.

 

Article 12 Regulations/ Deed of subdivision

Purchaser undertakes to comply with the provisions of the regulations laid down in the deed of subdivision dated ........... including any provisions therein regarding an Owners' Association.

Buyer has received a copy of these regulations.

 

Article 12

The deed of subdivision includes: the location of the building (or land) as a whole, a description of the individual portions created (i.e., the apartments), the share each owner has in the entire building and the subdivision regulations.

The subdivision regulations list the important issues, for example, debts and expenses that are jointly borne by all owners, regulations on the maintenance of the building, insurance, the composition of the VvE, usage rules for the apartments, etc.

It is important that you read the regulations carefully and that you also understand what they say. This is because by this article in the purchase agreement, you are declaring that you will comply with the provisions of the regulations. This is why the purchase agreement states that you have received a copy of it.

In addition to the rules and regulations, there may also be by-laws. If there are by-laws, it is wise to ask for a copy of them as well.

 

article 13 Finance Owners' Association

13.1. The purchase includes the seller's share in the reserve and maintenance funds present at the time of the legal transfer or actual delivery. The Buyer is aware that the value of said share may be subject to change. Seller does not warrant that the value of the share at the date of the legal transfer or actual delivery is the same as the value of the share at the time of the coming into existence of this purchase agreement or any earlier time. According to the statement of .............................................. the said share constituted on ..................................(date) an amount of €...........................................

13.2. The Seller warrants that up to the date of the realization of this purchase contract, the Owners' Association will not have any debts other than those which are to be regarded as normal charges and taxes in respect of the building with the land attached thereto and/or in respect of the operation, insurance and administration thereof.

13.3. The Seller warrants that, up to the date of conclusion of this purchase contract, the Owners' Association has not taken any decisions which would result in a significant increase in existing financial obligations for the apartment owners. The Seller is not aware of any concrete plans to make such decisions*: .................................................................................

13.4. The rights and obligations arising from resolutions passed by or on behalf of the Owners' Association after the conclusion of this purchase contract shall, unless the nature of the resolution is contrary to this, be for the benefit or account of the Purchaser respectively. In that case, the Purchaser declares that he will take over the implementation of the Seller's decision.

The Seller undertakes to inform the Purchaser as soon as possible of (intentions to proceed with) decision-making by the Owners' Association and to provide the Purchaser with any written documents relating thereto.

To the extent possible, the Seller hereby does/do* authorize the Purchaser to attend, speak at and exercise the right to vote at the Owners' Meeting on behalf of the Seller from the date that this purchase agreement can no longer be rescinded by virtue of a resolutive condition but no earlier than ..........

 

Article 13

The budget is adopted by the VvE. When the budget is established, the advance contribution is determined. From this all common expenses are paid, such as maintenance, common insurance and utilities. It is also common - and often mandatory - for a portion of the advance contribution to be used to save for future major maintenance of the common parts of the building, such as the roof and elevator. This saving is done in a reserve fund.

Upon the owner's departure, the owner will not receive any distribution from the funds deposited by the owner. The notary ensures that a statement is attached to the deed of transfer stating the size of the reserve fund. This statement is issued by the board of the VvE.

The size of the reserve fund can also be derived from the board's annual report. In addition, you may find therein details of any maintenance to be paid in the short term. The risk of changes in the amount of the seller's share in the reserve fund already passes to the buyer when the agreement is concluded.

When an apartment is sold, there may be debts, such as unpaid service charges. By law, not only the old owner but also the new owner of the apartment is (jointly and severally) liable for contributions owed to the VvE that have become due in the current or previous financial year. However, the subdivision regulations may have deviated from this. In connection with the purchaser's joint and several liability, the notary shall ensure that a statement is attached to the deed of transfer, originating from the board of the VvE, stating what the former owner owes the association for the current and previous financial year. Buyer is not liable beyond the specified amount. If the buyer or seller is sued by the VvE for any payment, they may be able to recover from the other. It follows from Article 13.4 that, from the conclusion of the contract, the buyer takes over the seller's rights and obligations with regard to BoE resolutions taken from that moment on (unless the nature of the resolution opposes this). If the VvE sues the seller in respect of such a decision, the seller can recover from the buyer. It is therefore important that the seller informs the buyer as soon as possible of the (intentions to take) CoE decisions. The seller can also authorize the buyer to attend the CoE meeting on his behalf, to speak and to co-decide on matters under discussion.

Article 14 Notice of Default/Dissolution

14.1. If one of the parties, after having been given notice of default, is or remains negligent in the performance of one or more of its obligations under this purchase agreement for eight days, the other party of the negligent party may rescind this purchase agreement without judicial intervention by written notice to the negligent party.

14.2. Dissolution on the grounds of breach is only possible after prior notice of default. Upon dissolution of the purchase agreement on the grounds of culpable breach, the defaulting party shall forfeit for the benefit of the other party an immediately payable penalty of ten percent (10%) of the purchase price without judicial intervention, without prejudice to the right to additional damages, if the actual damages exceed the immediately payable penalty, and without prejudice to compensation for costs of recourse.

14.3. If the other party does not exercise its right to rescind the purchase contract and demands fulfillment, the defaulting party shall, for the benefit of the other party after the expiration of the eight-day period specified in Art. 14.1, for each day that has elapsed since then until the day of performance, the defaulting party shall owe an immediately payable penalty of three per mille (3‰) of the purchase price with a maximum of ten percent (10%) of the purchase price, without prejudice to the right to additional damages, if the actual damages exceed the immediately payable penalty, and without prejudice to compensation for costs of recourse.

If the other party still rescinds the purchase agreement after the lapse of time, then the defaulting party shall owe a penalty of ten percent (10%) of the purchase price less the amount already paid in the form of a daily penalty, without prejudice to the right to additional damages, if the actual damages exceed the immediately payable penalty, and without prejudice to compensation for costs of recourse.

14.4. If the negligent party, after having been given notice of default within the aforementioned period of eight days, still fulfills its obligations, the negligent party shall nonetheless be obliged to compensate the other party for its loss as a result of the late fulfillment.

14.5. The notary public is hereby required, and to the extent necessary is irrevocably authorized by the parties, to:

a. if Buyer owes a penalty, pay the amount of such penalty from the amount of the bank guarantee paid to the notary or from the deposit paid to the notary, to Seller;

b. if the seller owes a penalty, return the bank guarantee provided to the notary to the banking institution or refund to the buyer the deposit paid by the buyer to the notary;

c. if the case of Article 5.3 occurs, to pay the amount of the bank guarantee or deposit, respectively, as a penalty to the Seller;

d. if both parties are in default or the Notary is unable to assess adequately which of the two parties is in default or if there is a default, to retain the bank guarantee or deposit - unless the parties have given a unanimous order to pay - until it has been decided by final judgment or an enforceable decree to whom the Notary must pay the amount.

14.6. Fines may no longer be forfeited pursuant to Article 14.2 and/or Article 14.3 once the purchase price has been paid and delivery of the property has taken place. Fines forfeited pursuant to Article 14.3 up to that point shall remain due. The circumstance that fines can no longer be forfeited pursuant to Article 14.2 and/or Article 14.3 (after the purchase price has been paid and the immovable property has been delivered to the Buyer) shall not affect a party's right to claim damages if the applicable legal requirements for this are met.

 

 

 

Article 14

If one of the parties fails to fulfill its obligations (set forth in the purchase agreement or by law), that party is in default (breach of contract). The premise of this article is that breach of contract must always be clearly established before the other party can take any action based on breach of contract.

This finding is made by giving the other party notice of default, that is, notifying it in an official document that it is not fulfilling its obligations. This must be accompanied by a summons to still fulfill the obligation within eight days. This gives the other party a last chance, as it were.

 

Article 14 now says that the purchase contract may be rescinded by written notice to the defaulting party if nothing has happened after the expiration of this last opportunity, eight days after the notice of default. The second paragraph of Article 14 states that the "wrong" party must pay a penalty in the amount of ten percent of the purchase price if the purchase contract is rescinded. Should the actual damages exceed the penalty, additional damages may be claimed. Paying the damages alone does not always get the wrong party off the hook. The so-called costs of recovery, which are, for example, collection costs, may also be claimed.

 

In doing so, however, neither buyer nor seller achieved what they originally wanted. The "good" party therefore has the option after the expiration of the 8-day period to demand performance of the purchase agreement instead of rescission. Of course, the party demanding fulfillment will want compensation for the damages suffered.

To enforce his claim, such party may claim a penalty per day from the ninth day after the notice of default until the purchase contract is fulfilled. The amount of the penalty is set at three per mille of the purchase price of the apartment, with a maximum of ten percent of the purchase price, without prejudice to the right to additional damages if the actual damages exceed the immediately payable penalty, and without prejudice to compensation for costs of recourse. If the party seeking performance nevertheless decides to still rescind the purchase contract, the defaulting party shall be liable to pay a penalty of ten percent of the purchase price, less the daily penalty already paid (pursuant to Article 14.3), but without prejudice to the right to additional damages if the actual damages are higher and without prejudice to reimbursement of costs of recovery. Even if a defaulting party, who has been given notice of default, nevertheless proceeds to fulfill its obligations, the other party shall be entitled to compensation if it has suffered damage.

 

If the penalty payable leads to an excessive and unacceptable result under the circumstances then the court may mitigate the penalty. In doing so, the court will have to consider not only the relationship between the actual damage and the amount of the penalty, but also the nature of the contract, the content and scope of the clause and the circumstances under which it was invoked.

 

Article 14.6 provides that the penalty regime contained in Articles 14.2 and 14.3 is "extinguished" once the purchase price has been paid and the purchaser has become the owner of the immovable property (because the notarial deed of delivery has been registered in the public registers). Should a party have previously forfeited penalties under Article 14.3, these penalties remain forfeited. Should it later turn out that there has been a shortcoming (for example, because the immovable property does not appear to have the actual properties as described in Article 6.3), then no penalty may be claimed, but damages may be claimed under the provisions of the Civil Code.

 

Article 15 Residence

This purchase agreement shall be sent to the notary and the parties shall elect domicile in respect of this purchase agreement at the notary's office.

 

Article 15

Choice of domicile means choosing legal residence for the enforcement of a legal act. A letter received at the address of choice of domicile is deemed to have been received by each of the parties. Choice of domicile, is primarily intended as a backstop. For example, if one of the parties is difficult to reach, the other can still always reach the other party. It can also be important to prove that a particular letter was sent. In that context, it is often convenient to send the letter both to the actual residential address and to the address of the choice of domicile.

 

Article 16 Registration purchase agreement

The parties hereby do/do* instruct the notary to have this purchase agreement registered in the public registers as soon as possible. The registration shall not take place before......

In the event that the purchase agreement is dissolved, the parties hereby grant the notary a power of attorney to arrange for the cancellation of the registration of the purchase agreement in the public registers.

The costs associated with this registration and cancellation of the registration shall be borne by the buyer/seller*.

 

Article 16

Once the purchase agreement is signed by both parties, there is the possibility of having it registered in the public registers. Whether or not the parties want this is indicated in Article 16. After receiving the purchase agreement, the notary will take care of the registration.

Having the purchase agreement registered in the public registers has the effect of protecting the buyer against subsequent bankruptcies, transfers, attachments, and later established preferential rights. The registration thus has a dual basis: registration under the Civil Code (as protection against later bankruptcies, transfers and attachments) and registration under the Municipalities Preferential Rights Act/Onvironmental Law (as protection against a pre-emptive right established later).

If the execution of the deed of transfer (see Article 4) is scheduled more than six months after the purchase, it is wise to seek further advice on the best time for registration. This is because the registration has a validity period of six months. Incidentally, even if the notary is not immediately instructed to have the purchase agreement registered, the buyer retains the right to have this done at his own expense. This also applies to having it registered at an earlier time than stated in the purchase agreement.

In case the purchase agreement does not go through, for example because the buyer invokes the financing reservation, the notary is already given power of attorney to cancel the registration of the purchase agreement.

 

 

Article 17 Identity of Parties

Buyer and Seller agree, that if requested by either party, the other party shall identify itself to the requesting party by presenting a valid ID.

 

Article 17

Both buyer and seller have an interest in seeing the purchase agreement come to a successful conclusion. Therefore, it may also be important to know which party one is dealing with. Therefore, both buyer and seller can require each other to identify themselves. Before drawing up the deed of transfer, the notary will also ask you for proof of identification. Valid 'ID proof' includes the following: a valid passport, a valid Dutch identity card, a valid Dutch driving license and a valid Dutch alien's document (residence permit).

 

article 18 Binding conditions

18.1. This purchase agreement may be rescinded by purchaser if no later than:

a. on................... buyer for the financing of the property in the amount of ................, say .............. no obtained a binding offer of a mortgage loan from an approved lending banking institution, at a gross annual charge not exceeding .............. say ..........., or an interest rate not exceeding ....... , for the following form of mortgage:.........................................................

Banking institution in this article means a bank or insurer within the meaning of Section 1:1 of the Financial Supervision Act; or

b. on .................... buyer has not obtained a National Mortgage Guarantee corresponding to the mortgage loan applied for; or

c. on.................. the report of a building inspection carried out by ........... (name of inspector) / to be determined * shows that the costs of immediately necessary repair of defects and overdue maintenance exceed an amount of €.................., say ............, or if additional specialist research is recommended. If the inspector specifies a range of repair costs for components in the report, the highest amount will be assumed.

18.2. This purchase agreement may be rescinded by either party if:

a. pursuant to the Municipalities Preferential Rights Act or Chapter 9 of the Environment Act, respectively, the Seller is unable to transfer ownership of the real estate on the agreed date. The Seller shall be obliged, as soon as it becomes clear that the Seller cannot or will not be able to fulfil its obligation to deliver on time pursuant to the said Act, to inform the Buyer thereof in writing; or

b. no later than .................... the Owners' Association has not granted the Purchaser permission to occupy the immovable property himself with his own, if such permission is required under the regulations.

18.3. The parties mutually undertake to do everything reasonably possible in order to obtain the financing and/or National Mortgage Guarantee and/or consent and/or undertaking(s) and/or other items referred to above.

The party invoking rescission shall ensure that notice that rescission is invoked is received by the other party or his broker no later than the ......... business day after the date referred to in the relevant resolutive condition.

Such notice shall be in writing and properly documented by common means of communication. If the Purchaser wishes to invoke dissolution as a result of the (timely) lack of financing as referred to in Article 18.1 under a., unless the parties agree otherwise, "well documented" shall mean that one rejection from a recognized lending banking institution must be submitted to the Seller or his broker. In addition to this/ In deviation thereof*, the parties agree that purchaser shall submit the following document(s) to satisfy the requirement of 'well documented': .................................................... If the Purchaser wishes to invoke dissolution as a result of the building survey referred to in Article 18.1(c), 'well documented' shall mean that a copy of the survey report, containing an overview of the costs for the immediately necessary repair of defects and overdue maintenance, must be submitted to the Seller or his estate agent. Then both parties shall be released from this purchase agreement. Deposits already made by the buyer shall then be refunded. Those who hold these deposits are hereby obliged, and so far as necessary irrevocably authorized, to do so.

 

Article 18

Article 18.1 may include one or more dates for resolutive conditions. A resolutive condition offers one or more parties the possibility of dissolving the purchase agreement in certain cases. For example, if the buyer is unable to obtain financing (a), does not obtain a National Mortgage Guarantee (b) or if the building inspection is negative (c). It is sensible to set the deadlines realistically, depending on the period needed to obtain the financing, National Mortgage Guarantee or a building inspection. In addition to the resolutive conditions for the financing, the National Mortgage Guarantee and the building inspection mentioned in Article 18, paragraph 1, the parties can agree on other resolutive conditions. It is important that all agreed resolutive conditions are properly recorded in the sales contract.

 

Because of the Mortgage Directive, a lender may not make a preliminary offer, that is, an offer with reservations. Under the directive, the lender makes a binding offer, also called a binding quotation. This is an offer with no reservations. As a result, the lender must have all the necessary information from the buyer, such as income details, an employer's statement and a valuation report, prior to making the binding offer. In connection with the term of the resolutive condition for financing, it is therefore important for the buyer to provide all the necessary documents as soon as possible.

 

The gross annual burden means the total amount paid annually in mortgage interest, repayment and (risk) premiums together, as well as any additional repayments in connection with the National Mortgage Guarantee issued.

 

Buyer can also waive one or more resolutive conditions, for example, because seller does not agree to a resolutive condition. However, there are risks associated with this. For example, if the parties do not agree to a resolutive condition for financing and strike out Article 18.1 under a, the consequence is that if the buyer does need a money loan and does not obtain it, that is not a reason to dissolve the purchase contract. The success or failure of the financing of the real estate is then entirely at the buyer's expense and risk. A similar consequence results from waiving the reservation of a building inspection. If the parties choose not to make use of the resolutive condition for a building inspection by crossing out Article 18.1 under c, this has the consequence that the purchaser does not have the possibility of dissolving the purchase agreement if the costs of immediately necessary repairs to defects and overdue maintenance are higher than the costs the purchaser had reckoned with. The seller may otherwise still be liable for hidden defects under the purchase agreement or the law.

 

The third paragraph contains a best-efforts obligation of the parties to do everything reasonably possible to obtain the financing and/or National Mortgage Guarantee, commitments or other items.

 

However, the dissolution of the purchase agreement does not happen automatically, but must be made known to the other party by the one who dissolves. The parties must agree, within how many workdays after the date the resolutive condition expires, the notice of dissolution must have been received by the other party or his broker. Saturdays, Sundays and generally recognized holidays do not count in the calculation. At the end of the period specified in Article 18.1, it is established whether the resolutive condition has been invoked can become. At the end of the period specified in Article 18.3, it is established whether the resolutive condition has actually been invoked.

 

Recourse to rescission must be "in writing and properly documented by common means of communication." Written means that a phone call is not sufficient. What "properly documented" means depends on the content of the resolutive condition. By default, the purchase agreement states that the buyer must provide one rejection to invoke the financing reservation. In many cases, this will be sufficient. Lenders today are so bound by rules under the Financial Supervision Act that it can be assumed that a rejection from a lender is based on a thorough assessment of the buyer's financial situation, even if the rejection is worded summarily. As a result of codes of conduct and legislation, underwriting conditions of lenders differ little, if at all. Submitting an application to a second lender is therefore also likely to result in a rejection. In addition, the ban on commissions has been in force since January 1, 2013. For a buyer, this means that the buyer must pay advisory fees to the mortgage advisor or lender. If after one rejection it is clear that the financing will not be completed, it is inconvenient for the buyer to have to pay a second rejection fee. In addition, the time factor can cause problems if the process has to be gone through again after the first rejection. The period of the resolutive conditions may be too short. Therefore, in many cases the submission of one rejection will be sufficient to justify dissolution. The parties are free to agree that several rejections must be submitted or that, in addition to a rejection, other relevant document(s) should be submitted which the buyer has or should reasonably be able to obtain. If the parties wish to make use of this, the required documents can be filled in on the dotted line in Article 18.3. This could include, for example, a copy of the mortgage application, copies of pay stubs, etc. If the purchaser wishes to invoke dissolution as a result of the building inspection referred to in Article 18.1(c), "well documented" means that a copy of the inspection report, containing an overview of the costs for the immediately necessary repair of defects and overdue maintenance, must be submitted to the seller or his estate agent.

 

By common means of communication means, for example, that a communication is made by registered mail. The advantage of this is that it can be proven that the communication actually took place. However, if communication between seller and buyer (with or without the intervention of a real estate agent) was made by email, that may also be a "common means of communication" between parties involved.

 

Article 19 Reflection Period

The buyer who is a natural person and not acting in the exercise of a profession or business has a reflection period to dissolve this purchase agreement. The cooling-off period lasts for three days and begins at 0.00 a.m. of the day following the day on which the purchase agreement (in copy) signed by the parties is given to the buyer.

If the reflection period ends on a Saturday, Sunday or generally recognized holiday, it will be extended up to and including the next day that is not a Saturday, Sunday or generally recognized holiday.

The reflection period shall be extended, if necessary, to the extent that it includes at least two days that are not a Saturday, Sunday or generally recognized holiday.

If buyer wishes to rescind the purchase agreement within the cooling-off period, buyer must ensure that the rescission statement reaches seller or his broker before the end of the cooling-off period. 

 

Article 19

When a consumer buys an apartment, the buyer has three days to consider whether the buyer wants to go through with the purchase. In almost all cases, this cooling-off period stems from the law. The statutory cooling-off period may not be shortened. However, the parties may agree to give the buyer a longer cooling-off period.

The law has no cooling-off period for seller. The parties can agree that the seller will also have a cooling-off period.

The cooling-off period begins on the day following the date on which the buyer received (a copy of) the purchase agreement signed by both parties. Usually (the seller's) broker will hand a copy of the purchase agreement to the buyer immediately after both parties have signed. The (broker of the) seller will then request a receipt from the buyer. The receipt must bear a date so that it is clear when the buyer received the copy of the purchase agreement. For the start of the cooling-off period, it is not necessarily necessary for the buyer to personally hand over the (copy) sales contract. Although handover is preferable, the purchase agreement can also be sent, for example by registered mail. If the sales contract is sent rather than handed over, it is recommended that it be sent both to the actual residential address and to the address of choice of residence (see Article 15).

If the buyer renounces the purchase within the cooling-off period, the buyer must ensure that the cancellation notice reaches the seller or his broker before the end of the cooling-off period. There are no legal requirements for the form in which the buyer must inform the seller that the buyer is cancelling the purchase. But it is always advisable to cancel the purchase in a provable manner, for example by registered letter. For optimal use of the cooling-off period, the choice of domicile (see Article 15) is very important. If, at the last moment, the purchaser wants to dissolve the purchase agreement, but the seller or his estate agent cannot be reached, the purchaser can inform the notary of the dissolution. As a result of the domicile selection, the notice that the purchase agreement has been dissolved is deemed to have reached the seller. This is particularly important in the context of the position of proof.

 

Article 20 Written record

20.1. No obligations arise from this purchase agreement until both parties have signed this purchase agreement.

20.2. The party that signs this purchase agreement first does so under the reservation that this party has received (a copy of) the purchase agreement signed by both parties no later than on the ....... business day after this party has signed the purchase agreement. If the party who signed first has not received (a copy of) the purchase agreement signed by both parties in time, this party has the right to invoke the reservation, as a result of which this party is not (or no longer) bound. This right shall lapse if it is not exercised at the latest on the second working day after (a copy of) the purchase agreement signed by both parties has been received.

 

Article 20

In many cases, it already follows from the law that both parties must sign the purchase agreement. Often parties will do so immediately after each other. However, it can happen that there is some time between the moment one party signs the purchase agreement and the moment the other party does so. This situation occurs, for example, when one party sends the contract to the other. Article 20 paragraph 2 prevents the parties from leaving each other in uncertainty for an unnecessarily long time. If the first signatory does not receive back the purchase agreement signed by the other party within the agreed time, the first signatory can waive the purchase agreement for a certain period of time. Of course, the first signatory does not have to do so, but has the choice. There are no requirements as to the form in which the first signatory must rescind the agreement. Of course, it is wise to do so in a manner that can be proven after the fact.

 

article 21 Dutch law

This purchase agreement is governed by Dutch law.

 

Article 21

This provision is included to avoid ambiguity regarding parties of different nationalities involved in the purchase agreement. By declaring Dutch law applicable, the Dutch court has authority to settle any disputes arising from the purchase agreement.

 

Article 22 Annexes

Attached to this purchase agreement are the following attachments:

- explanation of the sales contract for consumers;

- list of issues;

- questionnaire selling apartment including VvE checklist;

- acknowledgement of receipt;

...........................

...........................

 

Article 22

Seller may indicate here which attachments belong to the purchase agreement.

 

article 23 Further agreements

.......................................

 

Article 23

Article 23 may contain additional provisions on matters that the parties have also agreed upon but are not included in the pre-printed text of the purchase agreement. It is very important to carefully word and describe these additional provisions. A real estate agent can assist with this.

 

*) The text included in the boxes is the text included in the purchase agreement. There is no need to fill them in.

 

 

 

Seen:

 

 

Vendor(s)                                                        

 

 

__________________________ __________________________

name: name:

place: place:

date: date:                                                  

 

 

Buyer(s)

 

 

__________________________ __________________________

name: name:

place: place:

date: date:                                                  

 

 

Provided by brokerage firm: