Sunday, February 17, 2013

Deed of Agreement



DEED OF AGREEMENT

THIS AGREEMENT is made on _________________ day of ______________at[         ], ,  
between
 [ ] incorporated under the laws of Pakistan, with its head office  through its [], [Mr/Ms []] duly authorised vide [](here in after called the First Party which expression shall include  its representatives, successors in interest and assignees).
and
 [ ] incorporated under the laws of United Kingdom, with its head office situated at [] through its [], [Mr/Ms []] duly authorised vide [] (here in after called the Second Party which expression shall include  its representatives, successors in interest and assignees).
(Both the First Party and the Second Party are collectively referred to as the “Parties” where the context so permits).


WHEREAS:
I

NOW, BASED UPON THEIR RESPECTIVE REPRESENTATIONS,  THEREFORE THE PARTIES MUTUALLY AGREE AS UNDER:
1.      That both the Parties mutually agreed on 50% partnership subject to the conditions of performance which are as follow.
(a)   That the Second Party shall be bound to sell the member ship of total project (which is approx. 15700 members with Membership fee £1200/= each) within the agreed time period of 3 years which shall be categorized in 3 phases.
(b)   That the first phase shall be based on 3 months after signing this agreement, in which the Second Party shall sale out approx. 7300 member ship for phase one which cover 200 apartments build on 66 plots.
(c)    That the Second Party shall sale out the remaining memberships (8400) in  2nd and 3rd phase. Second phase in 12 months and third phase in 21 months consecutively after the end of first phase.
(d)   That the Second Party shall not invest in the construction of the said project.
(e)   That both the Parties agreed for Escrow Collection Account.
(f)     That no single Party shall withdraw any amount from Escrow Account.

2.      That both Parties shall mutually agreed for remittance under the following conditions.
(a)   That the said project shall be liable to be completed first from the remittances and the Second Party shall have the right to conduct the audit.
(b)   Secondly, First Party’s initial investment Rs.450 million will be paid back once the project is completed in all respect.
(c)    That the Second Party shall bear all the marketing/advertising cost of total project and will be paid back after the completion of condition a & b.
(d)   That both the Parties shall share the 50% profit afterwards.
3.      That both the Parties shall agree that in case of any dispute the First Party shall have the complete right to withdraw the initial invested amount of Rs.450 million from the Escrow Account than work to resolve the dispute.
4.      That the Second Party shall not invest amount up till the completion of all construction work. However, the Second party shall check any construction related matter for its own satisfaction.
5.      That in case of failure to achieve the performance based targets mentioned in clause 1, than the First Party shall have complete right to run and complete the project solely.
6.        That the First Party shall agree to share it’s 25% (75:25) profit in case of property selling. However, the Second Party shall not sale his portion of property without the prior permission of the First Party.
7.      That this is to verify that both the Parties have studied this Agreement, the translation of which has been explained in the language they understand, and they, after understanding and following all the clauses, have affixed their signatures.



IN WITNESS WHEREOF the Parties above named have signed those present and The Parties have affixed their stamps, in the presence of the witnesses noted below.


__________________                                                                     ___________________
    THE FIRST PARTY                                                                THE SECOND PARTY


WITNESSES:                 1.___________________________

                                    2.___________________________

3.___________________________

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