Originally Posted by JulieMor
FYI: I'm not a lawyer, but I was raised by one and that and $5 will buy a small coffee at Starbucks, maybe.
I'm guessing any broker aware of the existence of the YBAA agreement is going to use it. I've been over that agreement several times with a fine tooth comb. I can't find a single loophole that would allow a seller to sue the broker for anything.
But that shouldn't be a surprise. It's a contract created for the brokers by their attorneys and designed to protect the brokers, first and foremost.
As I stated, my question was directed to actual attorneys. The reason for that is because I am looking for an answer based on law not opinion or emotion.
You might have been raised by attorneys but so what? You are no more qualified to answer the legal question than if you had been raised by wolves. OK, redundant, never mind.
I will address your characterization of the YBAA contract. Back in the early 90’s when there was not much of an internet and YBAA was YABA, professional brokers saw the need for industry wide standardized listing and purchase agreements. If you saw the differing agreements that were then in use you would understand why. YABA undertook the task of providing them. There was much discussion and legal consultation and the first contracts were created. They have been modified a bit over the years but the intent remains the same; to provide a fair basis for all parties to them.
Now it’s true that lawyers generally don’t like “standard” contracts as they want to write something that favors their client not something that is “fair”. That is their legal obligation and what they get paid to do. No problem except when the other attorney wants to do the same thing. Gridlock can ensue but both lawyers get paid even if they kill the deal over the language. It doesn’t happen that often and I am not knocking lawyers here. It is what it is and not unique to the marine industry.
Speaking of language, how often have you seen the wording that the sale is “contingent” on survey and/or sea trial? What does “contingent” legally mean and what are the consequences and remedies under “contingency”?
I was taught to write something like: “The Buyer and Seller agree that the Buyer may cancel this sale on or before_______ without penalty if he is not satisfied with the Yachts performance at a sea trial to be provided by the Seller or if no sea trial is provided by the Seller by that date and/or the results of an inspection of the Yacht to be paid for by the Buyer”. Nothing is fool proof but those words sure sounds a lot more explicit to me. An attorney’s comment on this would be appreciated as well.
Yes, A Buyer can cancel the sale over pretty much anything as long as he does it by the specified dates. OTOH, the Seller is under no contractual obligation to do much of anything except make the boat available for contingencies and go to settlement with the correct documents.
Sometimes it’s a miracle that anything gets bought and sold.