Document background
The Deposit On Purchase Agreement serves as a crucial document in purchase transactions where a deposit is required to secure the buyer's intention to complete the purchase. This document is commonly used across the United States in various transactions, from real estate to large equipment purchases. It protects both parties by clearly defining the deposit terms, conditions for its return or forfeiture, and the obligations of each party. The agreement becomes particularly important in high-value transactions where significant deposits are involved and where there may be a substantial time gap between deposit payment and final purchase completion.
