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Sub Sale Agreement for Pakistan

Sub Sale Agreement Template for Pakistan

A Sub Sale Agreement is a legal document used in Pakistan for the transfer of property rights from an original purchaser (Sub-Vendor) to a new purchaser (Sub-Vendee) before the original purchaser has obtained complete title to the property. This agreement is governed by Pakistani property law, including the Transfer of Property Act 1882 and Contract Act 1872. It details the terms and conditions of the property transfer, including purchase price, payment schedule, completion requirements, and obligations of both parties. The document must comply with local registration requirements and stamp duty regulations, while incorporating necessary warranties and representations to protect both parties' interests.

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Sub Sale Agreement

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What is a Sub Sale Agreement?

The Sub Sale Agreement is a crucial document in Pakistani property transactions where a property is being resold before the original purchase is fully completed. This type of agreement is commonly used in developing property markets, new construction projects, and pre-completion property sales. It must comply with Pakistani property law, including the Transfer of Property Act 1882, Registration Act 1908, and relevant provincial regulations. The document typically includes detailed information about the property, payment terms, warranties, and completion requirements. It's particularly important in scenarios where properties are sold during the development phase or when investors are looking to transfer their purchase rights before obtaining full title. The Sub Sale Agreement serves to protect both the Sub-Vendor's and Sub-Vendee's interests while ensuring legal compliance and proper documentation of the transaction.

What sections should be included in a Sub Sale Agreement?

1. Parties: Identification and details of the Sub-Vendor (original purchaser) and Sub-Vendee (new purchaser)

2. Background: Context of the transaction, including reference to the original purchase agreement and current owner's rights

3. Definitions: Key terms used throughout the agreement, including Property, Completion Date, Purchase Price, etc.

4. Sale and Purchase: Core agreement to sell and purchase the property, including the exact property description

5. Purchase Price: Details of the consideration, payment schedule, and payment methods

6. Completion: Timeline and process for completing the transaction, including documentation requirements

7. Sub-Vendor's Representations and Warranties: Warranties regarding property title, encumbrances, and authority to sell

8. Sub-Vendee's Representations and Warranties: Warranties regarding financial capacity and compliance with laws

9. Registration and Transfer: Process and obligations for property registration and transfer

10. Costs and Taxes: Allocation of transaction costs, stamp duty, and other applicable taxes

11. Governing Law and Jurisdiction: Specification of Pakistani law as governing law and relevant jurisdiction

12. Notices: Process and requirements for formal communications between parties

13. Execution: Signature blocks and execution requirements

What sections are optional to include in a Sub Sale Agreement?

1. Condition Precedents: Specific conditions that must be met before completion, used when there are preliminary requirements

2. Due Diligence: Process and timeline for property investigation, included when buyer requires detailed property examination

3. Mortgage or Financing: Terms related to property financing, included when purchase involves bank financing

4. Property Possession: Terms for physical possession transfer, needed when immediate possession transfer is not concurrent with sale

5. Development Requirements: Specific terms for undeveloped or partially developed property, included for incomplete properties

6. Assignment Rights: Terms governing the right to assign the agreement, included when assignability is a concern

7. Force Majeure: Provisions for unforeseen circumstances, included in areas prone to political or natural disruptions

8. Dispute Resolution: Detailed dispute resolution procedures, included when parties prefer specific resolution mechanisms

What schedules should be included in a Sub Sale Agreement?

1. Property Description: Detailed description of the property including boundaries, measurements, and registration details

2. Payment Schedule: Detailed breakdown of payment installments and due dates

3. Title Documents: List of all relevant property ownership and transfer documents

4. Property Encumbrances: Details of any existing mortgages, liens, or other encumbrances

5. Completion Requirements: Checklist of documents and actions required for completion

6. Original Purchase Agreement: Copy or key terms of the original purchase agreement

7. Property Plans: Architectural plans, maps, or surveys of the property

8. Regulatory Approvals: List of required governmental or regulatory approvals

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

Pakistan

Document Type

Sale Agreement

Cost

Free to use
Relevant legal definitions





























Clauses






























Relevant Industries

Real Estate

Property Development

Construction

Commercial Property

Residential Property

Industrial Property

Agriculture

Retail

Hospitality

Manufacturing

Relevant Teams

Legal

Real Estate

Compliance

Property Management

Business Development

Investment

Operations

Contract Administration

Risk Management

Corporate Affairs

Relevant Roles

Real Estate Manager

Property Developer

Legal Counsel

Property Lawyer

Compliance Officer

Real Estate Agent

Property Consultant

Business Development Manager

Investment Manager

Contract Administrator

Property Portfolio Manager

Land Acquisition Manager

Real Estate Investment Analyst

Property Operations Manager

Transaction Manager

Industries








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