Car Form Residential Purchase Agreement
The AIR agreement provides for a passive or automatic emergency elimination of financing and physical inspection risks. This means that if the buyer does not inform the seller that he is not eliminating his eventualities, it is presumed that the eventualities have been abandoned and that the transaction continues. For example, in paragraphs 5.2 and 9.1, the AIR Form provides in part that the AIR Agreement requires arbitration under the American Arbitration Association`s Business Rules, requires the loss of many normal rights in disputes, and requires each arbitrator to be an impartial real estate agent with at least 5 years of full-time experience in the field where the property is located. and the nature of the immovable property concerned. Personally, I do not want a non-lawyer (or non-judge) to make a final decision that cannot be appealed. Active elimination of contingency. With regard to lump sum damages retained by the seller, I think that both forms do not protect the seller. The law abhors forfeiture and section 1671 of the Civil Code provides for a very heavy burden for the seller to keep the deposit. But I have a secret way to help sellers find another contribution, maybe 😉. Paragraph 22.2 of the AIR Agreement benefits the seller if the seller wins. It ensures this in part: CAR is always buyer-friendly.
I like paragraph 25 because it makes it clear that a clause added by a broker (or a seller`s lawyer) that attempts to change the intent of the CAR form is not valid. . . .