Fyba Purchase and Sale Agreement

Florida law governs all disputes under the IYBA PSA. The choice of law according to the PSA YBAA is located in the state of the registered office of the selling broker. The courts of different States interpret treaties differently. The way one state perceives an agreement is different from the way another state views an agreement. Florida, for example, requires specific disclosures for a contractual provision providing for lump-sum damages to be effective, while other states have no similar requirements. Because the PSA YBAA may be subject to the laws of different states, depending on where the selling broker`s office is located, it may make sense for a local attorney to take a quick look at the contract. These are some of the important differences between the PSA YBAA and the PSA IYBA to consider when choosing which agreement to use for your next transaction. Most brokerage yachts on the East Coast and the Caribbean are bought and sold under one of two agreements: either the International Yacht Broker`s Association (“IYBA PSA”) Brokerage Vessel Purchase and Sale Contract or the YBAA Vessel Purchase and Sale Agreement (“YBAA PSA”). Although they are very similar in many ways, there are a few notable ones. This article examines the main differences between these two agreements.

The IYBA PSA requires that any claim or proceeding relating to the Agreement be filed in a court in the State of Florida, either in the county of the selling broker`s main office or in Broward County, if the selling broker does not have an office in Florida and no other jurisdiction is listed in the void in the contract. Disputes under the PSA YBAA will be submitted to arbitration under the rules of the American Arbitration Association in the city and state of the Selling Broker`s Office. So, if you have a transaction where the seller broker`s office is located in Maine and the buyer, seller and boat are in North Carolina, then (i) the parties would find themselves in arbitration under the PSA YBAA in Maine, and (ii) under the IYBA PSA, the parties would end up in Broward County courts, FL (provided no other jurisdiction is in writing). YachtCloser offers a simple and turnkey approach to manage all the forms and contracts necessary for the management of your boat and yacht sales business. YachtCloser comes pre-installed with over 100 different forms and contracts so you can start selling boats. In addition to the standard YachtCloser forms, we have also partnered with the country`s leading broker associations, which only allow members to access their proprietary forms through YachtCloser. Both agreements contain a clause that makes the seller liable for any damage to the boat after acceptance, but before closing. The IYBA PSA has different results depending on the severity of the damage. According to the IYBA PSA, damages that cost 5% of the ship`s purchase price or less and take less than 30 days for repair must be repaired by the seller, but the contract is adjusted and the deadlines are extended by the many days needed to repair the damage. If the damage is greater, either party may terminate the contract. According to YBAA PSA, the Seller must repair all damage to the ship, regardless of the size of the repair, subject to the consent of the Buyer, who has the right to request a reasonable price adjustment or cancel the sale if significant damage cannot be repaired to its satisfaction. New provision: If the ship is damaged and repaired after acceptance, the buyer now has the express right to inspect these repairs: if the ship is damaged after acceptance, the seller is required in paragraph 7 PSA to carry out repairs if they can be carried out for less than 5% of the purchase price and take less than 30 days.

Previously, the PSA did not indicate the evidence that a buyer has the right to inspect these repairs (and turn them into a problem if the repairs have not been done correctly). The update clarifies that the buyer has the right to examine these repairs. New provision: The buyer guarantees that he does not rely on the assurances of the seller or broker: Paragraph 10 has been revised to clarify that a buyer guarantees that he does not rely on the assurances of the seller or broker. The previous version contained only the broker. This change underscores the concept that the sale is truly “as is” and that the buyer cannot rely on anything other than what is written in the PPE. YachtCloser offers its customers an unlimited amount of document storage. .