This section outlines that if the First Party wanted to sell their section of the property, the Second Party would have the first choice of purchasing it from them. The Second Party in this case would be known as the ‘Continuing Party’.
3. TRANSFERRING OWNERSHIP & RIGHT TO PURCHASE
3.1 In the event of one Party intending to sell or transfer their interest in the Property (the "Seller"), the Seller must provide a written Transfer Notice to the Continuing Party.
3.2 Should this transfer be to a third party, the Seller must provide details to the Continuing Party of the Purchaser, price and any other material terms agreed by the Seller.
3.3 The sale must be completed within 180 days from the receipt of the Transfer Notice.
3.4 Upon receiving a Transfer Notice, the Continuing Party has the first choice to choose to buy the Seller's interest in the Property in full. This purchase will be for the price noted in the Transfer Notice (unless otherwise agreed by the Seller and Continuing Party). The Continuing Party cannot choose to purchase only a portion of the Seller's interest.
3.5 Notice of purchase from the Continuing Party must be provided within 30 days of receiving the Transfer Notice.
4. TERMS OF TRANSFER
4.1.1 Should either party wish to transfer their interests in the Property to the Continuing Party or a Third Party, the following terms will apply:
4.1.2 The Continuing Party/Third Party will become responsible for all obligations of the Seller effective from the transfer completion date.
4.1.3 The Continuing Party/Third Party will pay the full price of the Seller's interest in the Property by cheque (or other payment option agreed in writing) to the Seller prior, to or on the completion date.
4.1.4 All parties will ensure that all transfer documents and duties are re-registered in the name of the Continuing Party/Third Party.
4.1.5 If the Seller transfers their interest in the Property to a Third Party, the Third Party will enter into a Tenancy in Common Agreement with the Continuing Party and shall uphold the Seller's obligations of the pre-existing Agreement.