Assigning of a Sales contract

2 Replies

Hi...I was just wondering why a buyer would have "contract may be assigned" clause  yet  also state that they are still responsible legally/liable for the closing?  I am just curious of the different reasons for this....

..I overheard someone talking about it but could not hear the details.

Thanks!

@Vanessa Deluca , they may be undecided on what entity they will take title - LLC, personal name, etc.

They also may be doing a 1031 exchange which involved assigning the purchase rights to their QI.

They may want the actual purchasing entity to remain anonymous for a while - think celebrities etc.

They might be trying to simply get it under contract and then find a different end buyer.

When the clause doesn't remove their liability to perform it eliminates most of the unscrupulous type wholesalers and is probably nothing nefarious..