Colorado Contracts & Forms Review (2hr) #109783-GENERAL PROVISIONS (Sections 18

GENERAL PROVISIONS (Sections 18 - 29 of the CBS1)

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Sections 18-28 of the CBS1 contract outline various provisions relating to the condition of the property, disputes, termination, and notice requirements. <br /><br />Section 18 covers causes of loss, insurance, damage to inclusions and services, condemnation, and walk-through. It details the procedures and remedies for property damage, repair or replacement of inclusions or services, and the effects of condemnation actions on the contract. <br /><br />Section 19 recommends the consultation of legal and tax counsel before signing the contract, particularly in the case of water rights, mineral rights, or leased items being included or excluded in the sale. <br /><br />Section 20 establishes that time is of the essence in the contract, and outlines the remedies for default by either party, including specific performance, liquidated damages, or damages. <br /><br />Section 21 stipulates that the prevailing party in any arbitration or litigation relating to the contract is entitled to recover all reasonable costs and expenses, including attorney fees. <br /><br />Section 22 requires the parties to first attempt mediation in the event of a dispute, before resorting to legal action. The costs of mediation are shared equally between the parties. <br /><br />Section 23 addresses disputes regarding the release of earnest money, providing options for the earnest money holder in cases of controversy. <br /><br />Section 24 discusses the right to terminate the contract and the effects of termination, relieving the parties of their obligations. <br /><br />Section 25 states that the contract constitutes the entire agreement between the parties, and any subsequent modifications must be made in writing. It also stipulates that successor parties receive the benefits and obligations of the contract. <br /><br />Section 26 outlines the requirements for notice and delivery of documents, including physical or electronic delivery, with email and facsimile as acceptable methods. It also specifies that the contract is governed by the laws of the State of Colorado. <br /><br />Section 27 establishes the need for written acceptance of the contract and the creation of a binding contract between the parties. <br /><br />Section 28 emphasizes the obligation of both parties to act in good faith throughout the contract process.

Keywords

CBS1 contract

property condition

disputes

termination

notice requirements

causes of loss

insurance

condemnation

walk-through

legal counsel