Legal Question in Business Law in Colorado

I'm buying a business and will have to lease the RE. We want to buy the RE eventually and have asked the current owner for a right of first refusal clause in the lease. He has agreed but wants to it exclude the "sale or transfer to a family member". I understand a transfer to his wife should he die, but that terminology seems extremely vague and unreasonable. Is that language normal?


Asked on 7/26/12, 9:57 am

1 Answer from Attorneys
Robert Murillo Pivotal Legal Ltd.

Without seeing the clause and the entire lease it is impossible to say. I hope you have good business counsel as buying a business involves very complicated issues and options. Also, the first refusal clause may not be the best way to structure this. Finally, if buying the RE is critical to this business you should shift some of that risk of this not getting done to the seller through clawback or escrow provisions.

Good luck and I hope your business attorney is advising you on all the issues.

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Answered on 7/26/12, 4:24 pm


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