MEMORANDUM OF AGREEMENT
KNOW ALL MEN BY THESE PRESENTS:
This MEMORANDUM OF AGREEMENT (“Agreement”), made and
executed this ____ day of March 2020 in the city of __________, by and between:
________________________, of legal age, Filipino, and
resident of _____________________________, hereinafter
referred to as the SELLER;
and
_________________________________________________
_________________________________________________
_________________________________________________
______, hereinafter referred to as the BUYER;
Collectively known as the “PARTIES”
WITNESSETH THAT:
WHEREAS, the SELLER is the lawful owner of a House and Lot
(“PROPERTY”) located at _____________________________, consisting of
________________ square meters, and covered by Transfer Certificate of Title No.
_________________, issued by the Register of Deeds of _________;
WHEREAS, the SELLER acquired the PROPERTY from its previous owner
by virtue of a sale, and the transfer of the title in the name of the SELLER is
already being processed;
WHEREAS, the SELLER offered to sell the aforementioned PROPERTY
and the BUYER has agreed to buy the same on an “AS IS WHERE IS” basis,
subject to the terms and conditions hereinafter specified;
NOW, THEREFORE, for and in consideration of the above premises, the
PARTIES, hereto agree as follows:
1. CONSIDERATION. The total purchase price for the PROPERTY
shall be Philippine Pesos: TWO MILLION SIX HUNDRED FORTY
THOUSAND (Php2,640,000.00) net of all taxes and expenses which shall be
paid by the BUYER in the following manner:
1.1 Upon signing of this Agreement, the BUYER shall pay the
SELLER the sum of SIX HUNDRED FORTY THOUSAND
(Php 640,000.00) Philippine Currency as down payment for
the sale of the subject PROPERTY.
1.2 The remaining balance of TWO MILLION (Php2,000,000.00)
Philippine Currency, shall be paid upon execution of the
Deed of Absolute Sale.
2. EXECUTION OF DEED OF SALE. Upon transfer of the title of the
subject PROPERTY in the name of the SELLER, the SELLER shall have ________
days within which to execute a Deed of Absolute Sale in favor of the BUYER.
3. TAXES. Payment of Capital Gains Tax (CGT), Documentary Stamp
Tax (DST), Transfer Tax, and other fees relative to the transfer of title in the name
of the BUYER shall be borne by the BUYER exclusively.
4. SELLER ALLOWS BUYER TO ENTER PROPERTY AND
CONDUCT REPAIRS. Upon payment of the down payment by the BUYER as
provided under Section 1 of this Agreement, the SELLER shall allow the BUYER
to enter the PROPERTY and conduct repairs, i.e., electricity, plumbing and the
like, therein. The cost for the repair referred to in this Section shall be for the sole
account of the BUYER.
5. CANCELLATION BY SELLER. In case of default or voluntary
cancellation of this agreement by the BUYER without any cause on the part of the
SELLER or if the BUYER fails to comply with his obligations, then the SELLER
shall have the right to terminate this Agreement in which case the down
payment in the amount of SIX HUNDRED FORTY THOUSAND (Php
640,000.00) Philippine Currency, shall be forfeited in favor of the SELLER as
liquidated damages. The BUYER shall likewise not be entitled to reimbursement
for the cost of the repairs referred to in the previous Section.
6. ENTIRETY. This Agreement sets forth the entire agreement and
understanding of the PARTIES with respect to the transactions contemplated
hereby and supersedes all prior agreements, arrangements, understandings, and
negotiations, whether written or verbal, relating to the subject matter, including
any prior agreements between the PARTIES.
7. AMENDMENTS OR MODIFICATIONS. This Agreement shall not
be modified or amended except by written document expressly made to modify,
supplement, or amend this Agreement, and signed and executed by the PARTIES
hereto.
8. SEVERABILITY. Any provision of this Agreement that may be
declared by a competent court to be null and void shall not affect the rest of the
provisions herein, which shall continue to be in full force and effect.
9. GOVERNING LAW. This Agreement shall be governed by and
construed in accordance with the laws of the Philippines as to all matters,
including, but not limited, to matters of validity, construction, effect,
performance, and remedies.
IN WITNESS WHEREOF, the PARTIES have hereunto affixed their
signatures on the date and place first above written.
SELLER BUYER
___________________________ ___________________________
SIGNED IN THE PRESENCE OF:
______________________ _____________________
ACKNOWLEDGMENT
REPUBLIC OF THE PHILIPPINES )
CITY OF _______________________ )S.S.
BEFORE ME, a Notary Public for and in ____________________ this
__________________ at __________________, Philippines, personally appeared
the following:
Name Competent Evidence of Date/Place Issued
Identity
personally known to me and to me known to be the same persons who executed
the foregoing instrument, and they acknowledged the same to be the free and
voluntary act and deed of the persons/corporation they represent.
This instrument refers to the Memorandum of Agreement, consisting of
four (4) pages including the page where this acknowledgment is written but
excluding the annexes attached thereto, signed by the parties and their
instrumental witnesses on each and every page thereof.
IN WITNESS WHEREOF, I have hereunto set may hand and seal on the
date and at the place first above written.
Doc. No. _____; NOTARY PUBLIC
Page No. _____;
Book No. _____;
Series of 2020.
