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Intent To Purchase Agreement for Nigeria

Intent To Purchase Agreement Template for Nigeria

This Intent to Purchase Agreement is a formal legal document governed by Nigerian law that establishes a preliminary commitment between parties regarding a potential purchase transaction. The document outlines the basic terms and conditions under which the prospective buyer intends to purchase specific assets, property, or business interests from the seller. It serves as a precursor to a final purchase agreement while providing a framework for due diligence, establishing exclusivity periods, and defining key commercial terms. The agreement incorporates relevant provisions of Nigerian contract law and commercial regulations, ensuring compliance with local legal requirements while protecting both parties' interests during the pre-acquisition phase.

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What is a Intent To Purchase Agreement?

The Intent To Purchase Agreement is a crucial preliminary document used in Nigerian business transactions when a potential buyer wishes to formally express their serious intention to purchase assets, property, or business interests, while maintaining legal protections for both parties. This document is particularly relevant in scenarios where significant due diligence is required before finalizing a purchase, or where parties need to establish exclusive negotiation rights. The agreement typically includes provisions for purchase price, due diligence requirements, exclusivity periods, and conditions precedent, all structured within the framework of Nigerian law. It serves as a stepping stone to the final purchase agreement while providing sufficient legal certainty to protect the parties' interests during the preliminary phase of the transaction. The document is commonly used in both domestic Nigerian transactions and international investments into Nigeria, requiring careful consideration of local legal requirements and business practices.

What sections should be included in a Intent To Purchase Agreement?

1. Parties: Identification and details of all parties involved in the agreement, including their legal status and addresses

2. Background: Context of the transaction and relationship between the parties

3. Definitions: Clear definitions of key terms used throughout the agreement

4. Subject Matter: Detailed description of the asset or property intended to be purchased

5. Purchase Price: Proposed purchase price and any conditions or mechanisms for price adjustment

6. Due Diligence: Terms regarding the buyer's right to conduct due diligence and the seller's obligations to facilitate this

7. Conditions Precedent: Conditions that must be satisfied before proceeding with the final purchase

8. Duration and Exclusivity: Period during which the intent to purchase remains valid and any exclusivity arrangements

9. Deposit Terms: Details of any deposit required, including amount, payment terms, and conditions for refund or forfeiture

10. Confidentiality: Obligations regarding confidential information shared during the process

11. Governing Law and Jurisdiction: Specification of Nigerian law as governing law and jurisdiction for dispute resolution

What sections are optional to include in a Intent To Purchase Agreement?

1. Break Fee: Terms regarding any break fee payable if either party withdraws from the transaction - include if there's significant due diligence cost or risk

2. Regulatory Approvals: Section dealing with required regulatory approvals - include if the transaction requires government or regulatory consent

3. Financing Conditions: Terms regarding the buyer's financing arrangements - include if purchase is subject to financing

4. Asset Management: Provisions regarding management of the asset during the interim period - include for business or property purchases

5. Employee Matters: Provisions regarding employees if the purchase involves a business - include for business acquisitions

6. Environmental Matters: Environmental considerations and responsibilities - include for industrial property or business purchases

7. Intellectual Property: Provisions regarding IP rights - include if the purchase involves intellectual property

What schedules should be included in a Intent To Purchase Agreement?

1. Asset Description Schedule: Detailed description of the asset or property intended to be purchased

2. Due Diligence Requirements: List of documents and information required for due diligence

3. Timeline Schedule: Proposed timeline for key milestones including due diligence, negotiations, and completion

4. Required Approvals: List of required regulatory or third-party approvals

5. Excluded Assets: List of assets specifically excluded from the intended purchase, if applicable

6. Form of Final Agreement: Proposed form or key terms of the final purchase agreement

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Nigeria

Document Type

Purchase Agreement

Cost

Free to use
Relevant legal definitions






























Clauses





























Relevant Industries

Real Estate

Manufacturing

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Technology

Retail

Agriculture

Mining

Healthcare

Financial Services

Telecommunications

Construction

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Relevant Teams

Legal

Corporate Development

Mergers & Acquisitions

Business Development

Finance

Operations

Risk & Compliance

Property Management

Procurement

Executive Leadership

Investment

Strategy

Relevant Roles

Chief Executive Officer

Managing Director

Business Development Manager

Legal Counsel

Corporate Lawyer

Investment Manager

Property Manager

Acquisitions Manager

Chief Financial Officer

Commercial Director

Operations Director

Real Estate Manager

Procurement Manager

Company Secretary

Risk Manager

Compliance Officer

Industries








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Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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