A purchase and sale agreement is a legally binding contract that will define the terms of an agreed upon real estate transaction. Sometimes real estate contracts need to be amended for unforseen reasons. A standard amendment to purchase and sale agreement might include information concerning changes or additions in price, date of delivery, inspection requirements, financing conditions, title policy provisions, etc. Amendments can also be referred to as 'addendums'.
The amendment can be created to meet your specific needs for your deal. Typically you would have an attorney draft up an amendment if it's not already included in the original PSA document. Once the amendment to a purchase and sale agreement is drafted, it will be signed by both parties to become legally binding.
Below is a list of common sections included in Amendment To Purchase And Sale Agreements. These sections are linked to the below sample agreement for you to explore.
FIRST AMENDMENT TO PURCHASE AND SALE AGREEMENT
This First Amendment to Purchase and Sale Agreement (this “ First Amendment ”), is dated as of April 19, 2012, by and between Energy & Exploration Partners, LLC , a Delaware limited liability company (“ Seller ”), and Halcón Energy Properties, Inc. , a Delaware corporation ( and f/k/a RWG Energy, Inc.) (“ Buyer ”). Seller and Buyer are sometimes referred to herein individually as a “ Party ” and collectively as the “ Parties .”
WHEREAS, Buyer and Seller entered into that certain Purchase and Sale Agreement (Non-Producing Properties) dated as of March 5, 2012 (the “ Purchase Agreement ”); and
WHEREAS, Buyer and Seller desire to amend the Purchase Agreement, as provided herein. Capitalized terms used but not otherwise defined herein shall have the meanings attributed to them in the Purchase Agreement.
NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein and in the Purchase Agreement, Buyer and Seller hereby agree as follows:
AGREEMENT AND AMENDMENT
1. Exhibit A . Exhibit A attached to the Purchase Agreement is hereby deleted in its entirety, and is hereby replaced for all purposes with Exhibit A attached to this First Amendment. The amendments to Exhibit A include (i) supplementing certain recording information and other information regarding the Initial Properties that was missing from the original Exhibit A (and the Initial Properties to be sold at the First Closing shall be identified in Part 1(a) of Exhibit A ), and (ii) providing the descriptions and information required for the Supplemental Leases acquired by Seller prior to the Initial Cut Off Date (defined below). Exhibit A shall distinguish between the Initial Properties and such Supplemental Leases (and the Supplemental Leases acquired prior to the Initial Cut Off Date that are to be sold at the Interim Closing shall be as identified in Part 2(a) of Exhibit A ); and (iii) identifying those former Initial Leases that will be part of the Properties to be sold at the Interim Closing, as further described in Section 2 of this Amendment below (and identified in Part 2(b) of Exhibit A ).
2. Initial Cut Off Date and Interim Properties . The last two sentences of Section 2(a) of the Purchase Agreement are hereby deleted in their entirety, and are hereby replaced for all purposes with the following:
“To the extent any Supplemental Leases are acquired by Seller on or before 5:00 pm, CDT, on April 13, 2012 (“ Initial Cut Off Date ”), then (i) Seller shall provide a supplement to Exhibit A that shall include the legal description, recording information, and other information relating to such Supplemental Leases that is being provided with regard to the Initial Properties; (ii) subject to all of the other terms and conditions described herein relative to the Initial Properties (with the timetables for notices established herein for the Initial Properties to be deferred fourteen (14) days with regard to the Interim Properties (as hereinafter defined) prior to the Interim Closing (as defined below), except as otherwise specified with regard to notices for Title Defects concerning the Interim Properties, which shall be made no later than 5:00 pm, CDT, on the date that is two (2) days prior to the Interim Closing Date), the Parties shall close (herein the
“ Interim Closing ”) the sale by Seller to Buyer of the undivided interests set forth in Section 1(a) in and to the Supplemental Leases acquired by Seller prior to the Initial Cut Off Date, together with the other related interests described in clauses (b) , (c) , (d) , and (e) of Section 1 (collectively, the “ Interim Properties ”), together with those Leases and related interests which were formerly part of the Initial Properties that are now identified on Part 2(b) of Exhibit A as being part of the Supplemental Leases (and which shall be deemed to constitute additional Interim Properties for purposes hereof), on the date that is fourteen (14) days after the First Closing Date (the “ Interim Closing Date ”), pursuant to the other terms of this Agreement. Notwithstanding the preceding provisions of this Section 2(a) , Seller shall be entitled to add to the Interim Properties additional Supplemental Leases acquired after the Initial Cut Off Date if (x) Seller provides to Buyer, no later than three (3) Business Days prior to the Interim Closing Date, notice regarding the Supplemental Leases proposed to be added to the Interim Properties (which notice shall comply with the requirements of clause (i) of the first sentence of this Section 2(a)) and (y) Seller is able to establish, to the reasonable satisfaction of Buyer, that Seller has acquired Defensible Title to such Supplemental Leases. If an oil and gas lease that would otherwise constitute an Initial Lease or an Interim Property for purposes of this Agreement is withheld from, as applicable, the First Closing or the Interim Closing pursuant to Section 19(a)(ii) , such oil and gas lease, to the extent it is not ultimately excluded from this Agreement by operation of Section 19(a)(ii), shall be treated, for all purposes hereof, as a Supplemental Lease.”
3. Interim Closing; Purchase Price and Other References .