Contract of sale

A sales contract is a contract in which the seller undertakes to transfer the ownership (property right) of a thing/service to the buyer, as well as to hand it over to him, that is, to provide it in the case of a service. On the other hand, based on this contract, the buyer is obliged to pay the price in money, as well as to take delivery of the goods.

 

The Law on Obligations recognizes the term sales contract. The condition for concluding the contract is that the person concluding the sales contract has legal capacity, and in the case of partial legal capacity, that he has the approval of his legal representative. The Law on Obligations regulates in detail the concept of sales contracts in almost a hundred provisions.

The sales contract is an informal contract, and therefore it can be concluded verbally, however, it is most often concluded in written form.

When buying and selling real estate, there is an obligation regarding the form of the contract, which is a written form. If the prescribed form is not fulfilled in the purchase and sale of real estate, the contract is considered null and void and cannot produce legal effects.

 

The subject of the sales contract is most often things, however, other rights may also be the subject, such as claim rights, copyrights, etc.

Also, the subject of purchase must exist at the time of concluding the contract. Also in terms of deviations from this, future certain things may appear, such as the conclusion of a sales contract regarding the purchase of wheat in a few months.

 

The thing that is the subject of the contract may fail until the conclusion of the sales contract, and if it is a partial failure, the Law on Obligations leaves the possibility for the buyer to terminate the sales contract or to ask for a price reduction instead of termination. A sales contract can remain in force if the partial failure does not interfere with the purpose of the contract or if there is such a custom in the trade for a certain thing (refers to sales contracts in the economy).

 

One of the essential elements of the sales contract is the price. The buyer owes the seller the price for the thing sold, which price must be fair, fixed or determinable. As regards sales contracts between natural persons, the price must be determined, and as regards sales contracts in the economy, it is sufficient that the price is determinable.

 

The seller has the obligation to deliver the goods, i.e. hand over the thing that is the subject of the contract to the buyer. These are all those actions that enable the buyer to acquire a state item.

 

Movable property is transferred in various ways, such as: transfer from hand to hand, in a symbolic way (e.g. handing over the keys to an apartment), when the buyer already owns the thing sold to him for some reason (e.g. he lives in a rented house now bought) etc. The significance of handover lies in the moment when the risk is considered to pass from the seller to the buyer. Until delivery, the seller bears the risk of failure of the item, and after delivery the buyer.

 

If you need any consultation regarding the drafting of the contract, please feel free to contact us via the contact form on the website or at the phone number specified on the website. Our team of lawyers and legal experts will check all supporting real estate documentation, perform a complete check or write pre-contracts and contracts, negotiate with the opposite party in order to best protect clients, and undertake all other necessary actions to protect your contractual interest from regular and extraordinary risks.