PDS and GDS

The sale and purchase contract is the definitive agreement between the seller and the buyer, and is legally binding after both parties have signed and each party’s signed copies have been exchanged. This is commonly known as the ‘exchange of contracts’, with a completion date being agreed and becoming a fundamental term of the contract.

Since no two practices are the same, each sale and purchase agreement will include clauses specific to that transaction. However, the contents of every agreement can be divided under common headings.

The contract will open by naming the parties to the sale and defining particular expressions to be used later in the document in the interest of brevity. If the practice being sold has more than one owner, or all of its assets are not jointly owned or is a limited company, the full details of ownership and addresses of every participant in the transaction must be recorded.