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REAL ESTATE PURCHASE CONTRACT
This is a legally binding Real Estate Purchase Contract (“REPC”) . Utah law requires real estate licensees to use this form. Buyer and Seller, however, may agree to alter or delete its provisions or to use a different form. If you desire legal or tax advice, consult your attorney or tax advisor.
EARNEST MONEY DEPOSIT
On this _____ day of ____________, 20____ (“Offer Reference Date”) (“Buyer”) offers to purchase
from ______________________ ____________________ (“Seller”) the Property described below and agrees to deliver no later than four (4)
calendar days after Acceptance (as defined in Section 23), an Earnest Money Deposit in the amount of $_______________ in the form
of__________________ _________________ . After Acceptance of the REPC by Buyer and Seller, and receipt of the Earnest Money by the
Brokerage, the Brokerage shall have f our (4) calendar days in which to deposit the Earnest Money into the Brokerage Real Estate Trust Account.
OFFER TO PURCHASE
1. PROPERTY: _________________________________________________________________________________________________________
City of , County of , State of Utah, Zip _______ Tax ID No. ______________
(the "Property"). Any refer ence below to the term “Property” shall include the Property described above, together with the Included Items and water
rights /water shares , if any, referenced in Sections 1. 1, 1.2 and 1. 4.
1.1 Included Items. Unless excluded herein, this sale include s the following items if presently owned and in place on the Property: plumbing,
heating, air conditioning fixtures and equipment; solar panels ; ovens, ranges and hoods; cook tops; dishwashers; ceiling fans; water heaters; water
softeners; light fixtures a nd bulbs; bathroom fixtures and bathroom mirrors; all window coverings including curtains, draperies, rods, window blinds and
shutters; window and door screens; storm doors and windows; awnings; satellite dishes; all installed TV mounting brackets; al l wal l and ceiling
mounted speakers; affixed carpets; automatic garage door openers and accompanying transmitters; security system; fencing and any landscaping.
1.2 Other Included Items. The following items that are presently owned and in place on t he Property have been left for the convenience of
the parties and are also included in this sale (check applicable box) : [ ] washers [ ] d ryers [ ] refrigerators [ ] microwave ovens [ ] other
(specify)
The above checked items shall be conveyed to Buyer under separate bill of sale with warranties as to title. In addition to any boxes ch ecked in this
Section 1.2 above, there [ ] ARE [ ] ARE NOT additional items of personal property Buyer intends to acquire from Seller at Closing by separate
written agreement.
1.3 Excluded Items. The following it ems are excluded from this sale: _____________________________________ ___________________
_____________________________________________________________________________ __________________________________________
1.4 Water Service. The Purchase Price for the Property shall include all water rights/water shares, if any, that are the legal source for Seller ’s
current culinary water service and irrigation water service, if any, to the Property. The water rights/water shares will be conveyed or otherwise
transferred to Buyer at Closing by applicable deed or legal instruments. The following water rights/water shares, if applicab le, are specifically excluded
from this sale:
2. PURCHASE PRICE.
2.1 Payment of Purchase Price. The Purchase Price for the Property is $ _______________ _____ . Except as provided in this Section, t he
Purchase Price shall be paid as provided in Sections 2 .1(a) through 2.1(e) below. Any amounts shown in Sections 2.1(c) and 2 .1(e) may be adjusted
as deemed necessary by Buyer and the Lender (the “Lender”) .
$ (a) Earnest Money Deposit. Under certain conditions described in the REPC , this deposit may become totally non -
refundable.
$ (b) Additional Earnest Money Deposit (see Section 8.4 if applicable)
$ (c) New Loan. Buyer may apply for mortgage loan financing (the “Loan”) on terms acceptable to Buyer : If an FHA/VA
loan applies, see attached FHA/VA Loan Addendum.
$_______________ ____ (d) Seller Financing (see attached Seller Financing Addendum)
$ (e) Balance of Purchase Price in Cash at Settlement
$ PURCHASE PRICE. Total of lines (a) through ( e)
2.2 Sale of Buyer’s Prope rty. Buyer’s ability to purchase the Property, to obtain the Loan referenced in Section 2.1(c) ab ove, and/or any
portion of the c ash referenced in Section 2.1(e) above [ ] IS [ ] IS NOT conditioned upon the sale of real estate owned by Buyer. If checke d in the
affirmative, the terms of the attached subject to sale of Buyer’s property addendum apply.
3. SETTLEMENT AND CLOSING.
3.1 Settlement . Settlement shall take place no later than the Settlement Deadline referenced in Section 24( d), or as oth erwise mutually
agreed by Buyer and Seller in writing. “Settlement" shall occur only when all of the following have been completed: (a) Buyer and Seller have signed
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and delivered to each other or to the escrow/closing office all documents required by the R EPC , by the Lender , by the title insurance and
escrow/closing offices, by written escrow instructions (including any split closing instructions, if applicable) , or by applicable law; (b) any monies
required to be paid by Buyer or Seller under these documen ts (except for the proceeds of any Loan) have been delivered by Buyer or Seller to the
other party, or to the escrow/closing office , in the form of cash , wire transfer, cashier’s check, or other form acceptable to the escrow/closing office.
3.2 Closing . For purposes of the REPC, “Closing” means that: (a) Settlement has been complete d; (b) the proceeds of any new L oan have
been delivered by the Lender to Seller or to the escrow/closing office; and (c) the applicable Closing documents have been re corded in the office of the
county recorder (“Recording”) . The actions described in 3.2 (b) and (c) shall be completed no later than four calendar days after Settlement.
3.3 Possession. Except as provided in Section 6.1(a) and (b), Seller shall deliver physical possession of the Property to Buyer as follows: [ ]
Upon Recording ; [ ] _____Hours after Recording; [ ] Calendar Days after Recording. Any contracted rental of the Property prior to or after
Closing, between Buyer and Seller, shall be by separa te written agreement. Seller and Buyer shall each be responsible for any insurance coverage
each party deems necessary for the Property including any personal property and belongings. The provisions of this Section 3. 3 shall survive Closing. 4. PRORATIO NS / ASSESSMENTS / OTHER PAYMENT OBLIGATIONS .
4.1 Prorations. All prorations, including, but not limited to, homeowner’s association dues, property taxes for the current year, rents, and
interest on assumed obligations , if any, shall be made as of the Settlement Deadline referenced in Section 24(d) , unless otherwise agree d to in writing
by the parties . Such writing could include the settlement statement . The provisions of this Section 4.1 shall survive Closing.
4.2 Special Assessments . Any assessm ents for capital improvements as approved by the homeowner’s association (“ HOA ”) (pursuant to
HOA governing documents) or as assessed by a municipality or special improvement district , prior to the Settlement Deadline shall be paid for by:
[ ] Sel ler [ ] Buyer [ ] Split Equally Between Buyer and Seller [ ] Other (explain ) _________________ _______________________________ .
The provisions of this Section 4.2 shall survive Closing.
4.3 Fees/Costs/Payment Obligations.
(a) Escrow Fees. Unless otherwise agreed to in writing, Seller and Buyer shall each pay their respective fees charged by the
escrow/ closing office for its services in the settlement/closing process. The provisions of this Section 4.3(a) shall survive Closing.
(b) Rental Deposits/Prepaid Rents. Rental deposits (including, but not limited to, security deposits, cleaning deposits and pr epaid rents)
for long term lease or rental agreements, as defined in Section 6.1(a), and short -term rental bookings, as defined in Section 6.1(b), not expiring prior to
Closing, shall be paid or credited by Seller to Buyer at Settlement. The provisions of this Section 4.3(b) shall survive Closing.
(c) HOA/Other Entity Fees Due Upon Change of Ownership . Some HOA’s, special improvement districts and/or other specially planned
areas, under their governing documents charge a fee that is due to such entity as a result of the transfer of title to the Property from Seller to Buyer.
Such fees are sometimes referred to as transfer fees, community enhancement fees, HOA reinvestment fees, etc. (collectively r eferred to in this
section as “change of ownership fees”). Regardless of how the change of ownership fee is titled in the applicable governing documents, if a change of
ownership fee is due upon the transfer of title to the Property from Seller to Buyer, that change of ownership fee shall, at Settlement, be paid for by:
[ ] Seller [ ] Buyer [ ] Split Equally Between Buyer and Seller [ ] Other (explain) ___________________ _____________________________.
The provisions of this Section 4.3(c) shall survive Closing.
(d) Utility Services. Buyer agrees to b e responsible for all utilit ies and other services provided to the Property after the Settlement
Deadline. The provisions of this Section 4.3(d) shall survive Closing.
(e) Sales Proceeds Withholding . The escrow/closing office is authorized and directed to withhold from Seller’s proceeds at Closing,
sufficient funds to pay off on Seller’s behalf all mortgages, trust deeds, judgments, mechanic's liens, tax liens and warrant s. The provisions of this
Section 4.3 (e) shall survive Closing.
5. CONFIRMATION OF AGENCY DISCLOSURE. Buyer and Seller acknowledge prior written receipt of agency disclosure provided by their
respective agent that has disclosed the agency relationships confirmed below. At the signing of the REPC:
Seller’s Agent(s) , repres ent(s) [ ] Seller [ ] both Buyer and Seller as Limited Agent(s);
Seller’s Agent(s) Utah Real Estate License Number(s): .
Seller’s Brokerage , represents [ ] Seller [ ] both Buyer and Seller as Limited Agent;
Seller’s Brokerage U tah Real Estate License Number: .
Buyer’s Agent(s) , represent(s) [ ] Buyer [ ] both Buyer and Seller as Limited Agent(s);
Buyer’s Agent(s) Utah Real Estate License Number(s): .
Buyer’s Brokerage , represents [ ] Buyer [ ] both Buyer and Seller as a Limited Agent.
Buyer’s Brokerage Utah Real Estate License Number: . 6. TITLE & TITLE INSURANCE.
6.1 Title to Property . Seller represents that Seller has fee title to the Property and will convey marketable title to the Property to Buyer at
Closing by general warranty deed. Buyer does agree to accept title to the Property subject to the contents of the Commitment for Title Insurance (the
“Commitment”) provided by Seller under Section 7, and as reviewed and approved by Buyer under Section 8.
(a) Long -Term Lease or Rental Agreements. Buyer agrees to accept title to the Property subject to any long -term tenant lease or
rental agreements (meaning for periods of thirty (30) or more consecutive days) affecting the Property not expiring prior to Closing. Buyer also agrees
to accept title to the Property subject to any existing rental and property management agreements affecting the Property not expiring prior to Clo sing.
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The provisions of this Section 6.1(a) shall survive Closing.
(b) Short -Term Rental Bookings. Buyer agrees to accept title to the Property subject to any short -term rental bookings (meaning for
periods of less than thirty (30) consecutive days) aff ecting the Property not expiring prior to Closing. The provisions of this Section 6.1(b) shall survive
Closing.
6.2 Title Insurance . At Settlement, Seller agrees to pay for and cause to be issued in favor of Buyer, through the title insurance agency
that issued the Commitment (the “Issuing Agent”), the most current version of the ALTA Homeowner’s Policy of Title Insurance (the “ Homeowner’s
Policy ”). If the Homeowner’s Policy is not available through the Issuing Agent, Buyer and Seller further agree as f ollows: (a) Seller agrees to pay for the
Homeowner’s Policy if available through any other title insurance agency selected by Buyer; (b) if the Homeowner’s Policy is not available either
through the Issuing Agent or any other title insurance agency, then S eller agrees to pay for, and Buyer agrees to accept, the most current available
version of an ALTA Owner’s Policy of Title Insurance (“Owner’s Policy ”) available through the Issuing Agent. 7. SELLER DISCLOSURES. No later than the Seller Disclosure Deadl ine referenced in Section 24(a), Seller shall provide to Buyer the following
documents in hard copy or electronic format which are collectively referred to as the "Seller Disclosures": (a) a written Seller property condition disclosure for the Property, completed, signed and dated by Seller as provided in Section10.3;
(b) a Lead -Based Paint Disclosure & Acknowledgement for the Property, completed, signed and dated by Seller (only if the Property was built prior
to 1978);
(c) a Commitment for Title Insurance as referenced in Section 6.1;
(d) a copy of any restrictive covenants (CC&R’s), rules and regulations affecting the Property;
(e) a copy of the most recent minutes, budget and financial statement for the homeowners’ association, if any;
(f) a copy of any long -term tenant lease or rental agreements affecting the Property not expiring prior to Closing;
(g) a copy of any short -term rental booking schedule (as of the Seller Disclosure Deadline) for guest use of the Property after Closing;
(h) a copy of any existing property management agreements affecting the Property;
(i) evidence of any water rights and/or water shares referenced in Section 1.4;
(j) written notice of any claims and/or conditions known to Seller relating to environmental p roblems and building or zoning code violations;
(k) In general, the sale or other disposition of a U.S. real property interest by a foreign person is subject to income tax withh olding under the Foreign
Investment in Real Property Tax Act of 1980 (FIRPTA). A “foreign person” includes a non -resident alien individual, foreign corporation,
partnership, trust or estate. If FIRPTA applies to Seller, Seller is advised that Buyer or other qualified substitute may be legally required to
withhold this tax at Closing. In order to avoid closing delays, if Seller is a foreign person under FIRPTA, Seller shall advise Buyer in writing ; and
(l) Other (specify) _______________________________________________________________________________________________________ 8. BUYER’S CONDITIONS OF PURCHASE.
8.1 DUE DILIGENCE CONDITION. Buyer's obligation to purchase the Property: [ ] IS [ ] IS NOT conditioned upon Buyer ’s Due Diligence
as defined in this Section 8.1(a) below. This condition is referred to as the “Due Diligence Condition.” If checked in the af firmative, Sections 8.1(a)
through 8.1(c) apply; otherwise they do not.
(a) Due Diligence Items. Buyer’s Due D iligence shall consist of Buyer’s review and approval of the contents of the Seller Disclosures
referenced in Section 7, and any other tests, evaluations and verifications of the Property deemed necessary or appropriate b y Buyer, such as: the
physical cond ition of the Property; the existence of any hazardous substances, environmental issues or geologic conditions; the square fo otage or
acreage of the land and/or improvements; the condition of the roof, walls, and foundation; the condition of the plumbing, electrical, mechanical, heating
and air conditioning systems and fixtures; the condition of all appliances; the costs and availability of homeowners’ insuran ce and flood insurance, if
applicable; water source, availability and quality; the location of prop erty lines; regulatory use restrictions or violations; fees for services such as HOA
dues, municipal services, and utility costs; convicted sex offenders residing in proximity to the Property; and any other mat ters deemed material to
Buyer in making a deci sion to purchase the Property. Unless otherwise provided in the REPC, all of Buyer’s Due Diligence shall be paid for by Buyer
and shall be conducted by individuals or entities of Buyer's choice. Seller agrees to cooperate with Buyer’s Due Diligence. B uyer agrees to pay for any
damage to the Property resulting from any such inspections or tests during the Due Diligence.
(b) Buyer’s Right to Cancel or Resolve Objections. If Buyer determines, in Buyer’s sole discretion, that the results of the Due
Dilige nce are unacceptable, Buyer may either: (i) no later than the Due Diligence Deadline referenced in Section 24(b), cancel the REPC by providing
written notice to Seller, whereupon the Earnest Money Deposit shall be released to Buyer without the requirement of further written authorization from
Seller; or (ii) no later than the Due Diligence Deadline referenced in Section 24(b), resolve in writing with Seller any obje ctions Buyer has arising from
Buyer’s Due Diligence.
(c) Failure to Cancel or Resolve O bjections . If Buyer fails to cancel the REPC or fails to resolve in writing with Seller any objections
Buyer has arising from Buyer’s Due Diligence, as provided in Section 8.1(b), Buyer shall be deemed to have waived the Due Dil igence Condition, and
excep t as provided in Sections 8.2(a) and 8.3(b)(i), the Earnest Money Deposit shall become non -refundable.
8.2 APPRAISAL CONDITION . Buyer's obligation to purchase the Property: [ ] IS [ ] IS NOT conditioned upon the Property appraising for
not less th an the Purchase Price. This condition is referred to as the “Appraisal Condition.” If checked in the affirmative, Sections 8. 2(a) and 8.2(b)
apply; otherwise they do not.
(a) Buyer’s Right to Cancel. If after completion of an appraisal by a licensed appr aiser, Buyer receives written notice from the Lender or the
appraiser that the Property has appraised for less than the Purchase Price (a “Notice of Appraised Value”), Buyer may cancel the REPC by providing
written notice to Seller (with a copy of the Noti ce of Appraised Value) no later than the Financing & Appraisal Deadline referenced in Section 24(c);
whereupon the Earnest Money Deposit shall be released to Buyer without the requirement of further written authorization from Seller.
(b) Failure to Cance l. If the REPC is not cancelled as provided in this section 8.2, Buyer shall be deemed to have waived the Appraisal
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Condition, and except as provided in Sections 8.1(b) and 8.3(b)(i), the Earnest Money Deposit shall become non -refundable.
8.3 FINANCING CONDITION. (Check Applicable Box)
(a) [ ] No Financing Required. Buyer’s obligation to purchase the Property IS NOT conditioned upon Buyer obtaining financing. If
checked, Section 8.3(b) below does NOT apply.
(b) [ ] Financing Required. Buyer’s obligation to purchase the Property IS conditioned upon Buyer obtaining the Loan referenced in
Section 2.1(c). This Condition is referred to as the “Financing Condition.” If checked, Sections 8.3(b)(i), (ii) and (iii) ap ply; otherwise they do not. If the
REPC is not cancelled by Buyer as provided in Sections 8.1(b) or 8.2(a), then Buyer agrees to work diligently and in good fait h to obtain the Loan.
(i) Buyer’s Right to Cancel Before the Financing & Appraisal Deadline. If Buyer, in Buyer’s sole discreti on, is not satisfied with the
terms and conditions of the Loan, Buyer may, after the Due Diligence Deadline referenced in Section 24(b), if applicable, can cel the REPC by
providing written notice to Seller no later than the Financing & Appraisal Deadline r eferenced in Section 24(c); whereupon $ ___________ of Buyer’s
Earnest Money Deposit shall be released to Seller without the requirement of further written authorization from Buyer, and th e remainder of Buyer’s
Earnest Money Deposit shall be released to Buy er without further written authorization from Seller.
(ii) Buyer’s Right to Cancel After the Financing & Appraisal Deadline. If after expiration of the Financing & Appraisal Deadline
referenced in Section 24(c), Buyer fails to obtain the Loan, meaning that the proceeds of the Loan have not been delivered by the Lender to the
escrow/closing office as required under Section 3.2, then Buyer shall not be obligated to purchase the Property and Buyer or Seller may cancel the
REPC by providing written notice t o the other party.
(iii) Earnest Money Deposit(s) Released to Seller. If the REPC is cancelled as provided in Section 8.3(b)(ii), Buyer agrees that all of
Buyer’s Earnest Money Deposit, or Deposits, if applicable (see Section 8.4 below), shall be rele ased to Seller without the requirement of further written
authorization from Buyer. Seller agrees to accept, as Seller’s exclusive remedy, the Earnest Money Deposit, or Deposits, if a pplicable, as liquidated
damages. Buyer and Seller agree that liquidated damages would be difficult and impractical to calculate, and the Earnest Money Deposit, or Deposits,
if applicable, is a fair and reasonable estimate of Seller’s damages in the event Buyer fails to obtain the Loan.
8.4 ADDITIONAL EARNEST MONEY DEPOSIT. If the REPC has not been previously canceled by Buyer as provided in Sections 8.1, 8.2 or
8.3, as applicable, then no later than the Due Diligence Deadline, or the Financing & Appraisal Deadline, whichever is later, Buyer: [ ] WILL [ ] WILL
NOT delive r to the Buyer’s Brokerage, an Additional Earnest Money Deposit in the amount of $_________________. The Earnest Money Deposit and
the Additional Earnest Money Deposit, if applicable, are sometimes referred to herein as the “Deposits”. The Earnest Money De posit, or Deposits, if
applicable, shall be credited toward the Purchase Price at Closing. 9. ADDENDA. There [ ] ARE [ ] ARE NOT addenda to the REPC containing additional terms. If there are, the terms of the following addenda are
incorporated int o the REPC by this reference: [ ] Addendum No. ________ _____ [ ] Seller Financing Addendum [ ] FHA/VA Loan Addendum
[ ] Other (specify) .
10. HOME WARRANTY PLAN / AS -IS CONDITION OF PROPERTY.
10.1 Home Warranty Plan. A one -year Home Warr anty Plan [ ] WILL [ ] WILL NOT be included in this transaction. If included, the Home
Warranty Plan shall be ordered by [ ] Buyer [ ] Seller and shall be issued by a company selected by [ ] Buyer [ ] Seller . The cost of the Home
Warranty Plan shall not exceed $ _______ and shall be paid for at Settlement by [ ] Buye r [ ] Seller .
10.2 Condition of Property/Buyer Acknowledgements. Buyer acknowledges and agrees that in reference to the physical condition of the
Property: (a) Buyer is p urchasing the Property in its “As -Is” condition without expressed or implied warranties of any kind; (b) Buyer shall have, during
Buyer’s Due Diligence as referenced in Section 8.1, an opportunity to completely inspect and evaluate the condition of the Pr operty; and (c) if based on
the Buyer’s Due Diligence, Buyer elects to proceed with the purchase of the Property, Buyer is relying wholly on Buyer’s own judgment and that of any
contractors or inspectors engaged by Buyer to review, evaluate and inspect the Property. The provisions of Section 10.2 shall survive Closing.
10.3 Condition of Property/Seller Acknowledgements . Seller acknowledges and agrees that in reference to the physical condition of the
Property , Seller agrees to : (a) disclose in writing to Buy er defects in the Property known to Seller that materially affect the value of the Property that
cannot be discovered by a reasonable inspection by an ordinary prudent Buyer ; (b) carefully review, complete, and provide to Buyer a written Seller
property co ndition disclosure as stated in S ection 7(a) ; (c) deliver the Property to Buyer in substantially the same general condition as it was on the
date of Acceptance, as defined in Section 23, ordinary wear and tear excepted ; (d) deliver the Property to Buyer in broom -clean condition and free of
debris and personal belongings; and (e) repair any Seller or tenant moving -related damage to the Property at Seller’s expense . The provisions of
Section 10.3 shall survive Closing. 11. FINAL PRE -SETTLEMENT WALK -TH ROUGH INSPECTION. No earlier than seven (7) calendar days prior to Settlement, and upon reasonable
notice and at a reasonable time, Buyer may conduct a final pre -Settlement walk -through inspection of the Property to determine only that the Property
is “as represented,” meaning that the items referenced in Sections 1.1, 1.2 and 8.1(b)(ii) ("the items") are respectively present, r epaired or corrected as
agreed. The failure to conduct a walk -through inspection or to claim that an item is not as represented sh all not constitute a waiver by Buyer of the right
to receive, on the date of possession, the items as represented. 12. CHANGES DURING TRANSACTION. Seller agrees that except as provided in Section 12.5 below, from the date of Acceptance until the date o f
Closing the following additional items apply:
12.1 Alterations/Improvements to the Property. No substantial alterations or improvements to the Property shall be made or undertaken
without prior written consent of Buyer .
12.2 Financial Encumbrances/Ch anges to Legal Title. No further financial encumbrances to the Property shall be made, and no changes in
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the legal title to the Property shall be made without the prior written consent of Buyer.
12.3 Property Management Agreements. No changes to any ex isting property management agreements shall be made and no new property
management agreements may be entered into without the prior written consent of Buyer.
12.4 Long -Term Lease or Rental Agreements. No changes to any existing tenant lease or rental ag reements shall be made and no new
long -term lease or rental agreements, as defined in Section 6.1(a), may be entered into without the prior written consent of Buyer .
12.5 Short -Term Rental Bookings. If the Property is made available for short -term renta l bookings as defined in Section 6.1(b), Seller MAY
NOT after the Seller Disclosure Deadline continue to accept short -term rental bookings for guest use of the property without the prior written consent of
Buyer. 13. AUTHORITY OF SIGNERS. If Buyer or Sel ler is a corporation, partnership, trust, estate, limited liability company or other entity, the person
signing the REPC on its behalf warrants his or her authority to do so and to bind Buyer and Seller.
14. COMPLETE CONTRACT . The REPC together with its a ddenda, any attached exhibits, and Seller Disclosures (collectively referred to as th e
“REPC ”), constitutes the entire contract between the parties and supersedes and replaces any and all prior negotiations, representations, warranties,
understandings or c ontracts between the parties whether verbal or otherwise . The REPC cannot be changed except by written agreement of the
parties.
15. MEDIATION. Any dispute relating to the REPC arising prior to or after Closing : [ ] SHALL [ ] MAY AT THE OPTION OF THE PARTIES first
be submitted to mediation. Mediation is a process in which the parties meet with an impartial person who helps to resolve th e dispute informally and
confidentially. Mediators cannot impose binding decisions. The parties to the dispute mu st agree before any settlement is binding. The parties will
jointly appoint an acceptable mediator and share equally in the cost of such mediation . If mediation fails, the other procedures and remedies available
under the REPC shall apply. Nothing in this Section 15 prohibit s any party from seeking emergency legal or equitable relief , pending mediation. The
provisions of this Section 15 shall survive Closing. 16. DEFAULT.
16.1 Buyer Default . If Buyer defaults, Seller may elect one of the following rem edies: (a) cancel the REPC and retain the Earnest Money
Deposit , or Deposits, if applicable , as liquidated damages ; (b) maintain the Earnest Money Deposit , or Deposits, if applicable, in trust and sue Buyer to
specifically enforce the REPC ; or (c) return t he Earnest Money Deposit , or Deposits, if applicable, to Buyer and pursue any other remedies available at
law.
16.2 Seller Default . If Seller defaults, Buyer may elect one of the following remedies: (a) cancel the REPC , and in addition to the return of the
Earnest Money Deposit , or Deposits, if applicable, Buyer may elect to accept from Seller , as liquidated damages, a sum equal to the Earnest Money
Deposit , or Deposits, if applicable ; or (b) maintain the Earnest Money Deposit , or Deposits, if applicable , in trust and sue Seller to specifically enforce
the REPC ; or (c) accept a return of the Earnest Money Deposit , or Deposits, if applicable, and pursue any other remedies available at law. If Buyer
elects to accept liquidated damages, Seller agrees to pay the liquidated damages to Buyer upon demand. 17. ATTORNEY FEES AND COSTS /GOVERNING LAW . In the event of litigation or binding arbitration arising out of the transaction contemplated by
the REPC , the prevailing party shall be entitled to costs and reason able attorney fees. However, attorney fees shall not be awarded for participation in
mediation under Section 15. This contract shall be governed by and construed in accordance with the laws of the State of Utah. The provisions of this
Section 17 shall surv ive Closing. 18. NOTICES. Except as provided in Section 23, a ll notices required under the REPC must be: (a) in writing; (b) signed by the Buyer or Seller giving
notice; and (c) received by the Buyer or the Seller, or their respective a gent, or by the b rokerage firm representing the Buyer or Seller , no later than the
applicable date referenced in the REPC . 19. NO ASSIGNMENT . The REPC and the rights and obligations of Buyer hereu nder, are personal to Buyer. The REPC may not be assigned by
Buyer withou t the prior written consent of Seller. Provided , however, the transfer of Buyer’s interest in th e REPC to any business entity in which Buyer
holds a legal interest, including, but not limited to, a family partnership, family trust, limited liability compan y, partnership, or corporation ( collectively
referred to as a “P ermissible Transfer ”), shall not be treated as an assignment by Buyer that requires Seller’s prior written consent. Furthermore, the
inclusion of “and/or assigns” or similar language on the li ne identifying Buyer on the first page of the REPC shall constitute Seller’s written consent only
to a Permissible Transfer. 20. INSURANCE & RISK OF LOSS.
20.1 Insurance Coverage. As of Closing, Buyer shall be responsible to obtain casualty and liabi lity insurance coverage on the Property in
amounts acceptable to Buyer and Buyer’s Lender , if applicable.
20.2 Risk of Loss . If prior to Closing, any part of the Property is damaged or destroyed by fire, vandalism, flood, earthquake, or act of God, the
risk of such loss or damage shall be borne by Seller; provided however, that if the cost of repairing such loss or damage would exceed ten percent
(10%) of the Purchase Price referenced in Section 2, either Seller or Buyer may elect to cancel the REPC by pr oviding written notice to the other party,
in which instance the Earnest Money Deposit, or Deposits, if applicable, shall be returned to Buyer. 21. TIME IS OF THE ESSENCE. Time is of the essence regarding the dates set forth in the REPC . Extensions must be agreed to in writing by all
parties. Unless otherwise explicitly stated in the REPC : (a) performance under each Section of the REPC which references a date shall absolutely be
required by 5:00 PM Mountain Time on the stated date; and (b) the term "day s" and “calendar days” shall mean calendar days and shall be counted
beginning on the day following the event which triggers the timing requiremen t (e.g. Acceptance ). Performance dates and times referenced herein shall
not be binding upon title companies, lender s, appraisers and others not parties to the REPC , except as otherwise agreed to in writing by such non -
party.
Page 6 of 6 pages Buye r’s Initials ________ Date Selle r’s Initials ________ Date
22. ELECTRONIC TRANSMISSION AND COUNTERPARTS. The REPC may be executed in counterparts. Signatures on any of the Documents,
whether execute d physically or by use of electronic signatures, shall be deemed original signatures and shall have the same legal effect as original
signatures. 23. ACCEPTANCE. "Acceptance" occurs only when all of the following have occurred : (a) Seller or Buyer has signed the offer or counteroffer where
noted to indicate acceptance; and (b) Seller or Buyer or their agent has communicate d to the other party or to the other party’s agent that the offer or
counteroffer has been signed as required.
24. CONTRACT DEADLINES . Buyer and Seller agree that the following deadlines shall apply to the REPC :
(a) Seller Disclosure Deadline (Date)
(b) Due Diligence Deadline (Date)
(c) Financing & Appraisal Deadline (Date)
(d) Settlement Deadline (Date)
25. OFFER AND TIME FOR ACCEPTANCE. Buyer offers to purchase the Property on the above terms and conditions. If Seller does not accept this
offer by: _______ _ [ ] AM [ ] PM Mountain Time on (Date), this offer shall laps e; and the Brokerage shall return any
Earnest Money Deposit to Buyer.
__________________________________________________ __________________ ________________________________________
(Buyer’s Signature) (Date) (Buyer’s Signature) (Date)
ACCEPTANCE/COUNTEROFFER/REJECTION
CHECK ONE:
[ ] ACCEPTANCE OF OFFER TO PURCHASE: Seller Accepts the foregoing offer on the terms and conditions specified above.
[ ] COUNTEROFFER: Seller pr esents for Buyer ’s Acceptance the terms of Buyer ’s offer subject to the exceptions or modifications as specified in
the attached ADDENDUM NO. .
[ ] REJECTION: Seller rejects the foregoing offer.
________ _________________________________________________ _
(Seller’s Signature) (Date) (Time) (Seller’s Signature) (Date) (Time)
THIS FORM APPROVED BY THE UTAH REAL ESTATE COMMISSION AND THE OFFICE OF THE UTAH ATTORNEY GENERAL,
EFFECTIVE SEPTEMBER 1, 2017 . AS OF JANUARY 1, 2018, IT WILL REPLACE AND SUPERSEDE THE PREVIOUSLY APPROVED VERSION OF THIS FORM .
