Boat Sale Deposit Agreement Template for Nigeria

The Boat Sale Deposit Agreement is a critical document used in Nigerian maritime transactions when a potential buyer wishes to secure their interest in purchasing a vessel by paying a deposit. This agreement serves as an interim contract between the full purchase agreement, protecting both parties' interests during the period between deposit payment and final sale completion. It must comply with Nigerian maritime law, including the Merchant Shipping Act 2007 and NIMASA regulations. The document typically includes vessel specifications, deposit terms, conditions for proceeding to full sale, and circumstances under which the deposit may be refunded or forfeited. It's particularly important in high-value vessel transactions where significant due diligence, such as marine surveys or sea trials, may be required before proceeding to final sale.

1. Parties: Identification of the Seller and Buyer with full legal names and addresses

2. Background: Context of the transaction, including the Seller's ownership of the vessel and Buyer's intention to purchase

3. Definitions: Definitions of key terms used throughout the agreement including 'Vessel', 'Deposit', 'Purchase Price', 'Completion Date'

4. Vessel Details: Essential details of the boat including make, model, registration number, and key specifications

5. Deposit Amount and Payment: Specification of deposit amount, payment method, and timing

6. Deposit Status: Clear statement of whether deposit is refundable or non-refundable, and conditions for each case

7. Purchase Price and Balance: Total purchase price, how deposit will be applied, and balance payment terms

8. Conditions for Completion: Conditions that must be met before proceeding to final sale, including survey and sea trial if applicable

9. Seller's Obligations: Seller's commitments regarding vessel condition, documentation, and maintenance until completion

10. Buyer's Obligations: Buyer's commitments regarding inspection, insurance, and completion of purchase

11. Termination: Circumstances under which agreement can be terminated and consequences for deposit

12. Governing Law and Jurisdiction: Specification of Nigerian law as governing law and jurisdiction for disputes

13. Execution: Signature blocks and execution requirements