Sentence Of Hire Purchase Agreement
If the seller has the resources and the legal right to sell the goods on credit (which in most countries usually depends on a licensing system), the seller and owner will be the same person. But most sellers prefer to receive a cash payment immediately. To do this, the seller transfers ownership of the goods to a financial company, usually at a reduced price, and it is that company that makes the goods and sells them to the buyer. This establishment of a third party complicates the transaction. Suppose the seller makes false claims about the quality and reliability of the goods that encourage the buyer to « buy ». In a conventional sales contract, the seller is liable to the buyer if these representations prove to be false. In this case, the seller issuing the representation is not the owner who sells the goods only after payment of all payments to the buyer. To combat this, some jurisdictions, including Ireland, place the seller and the financial house jointly liable for breaches of the sales contract. 26. With respect to the exercise of the option and the payment of the price of the machinery and equipment and other funds covered in point 25, the sale of these machines and equipment to the tenant is considered to be completed, as the option comes into effect on the effective date of the option. Until then, however, the company will remain the owner.
However, if the tenant does not pay the amount owed and to pay to the company, as it is payable on the date the option takes effect, that contract is terminated and the tenant will immediately return the machinery and equipment to the company in good working condition. The lease agreement is an agreement between the buyer and the seller who owns the goods, with the buyer agreeing to pay the seller the amount owed for the purchase of the goods in tranches or percentages over a specified period. 23. In the event of termination of this contract by termination in due course or previously by the company or tenant, or by any other means, as stated above, the company is required to pay the tenant the amount of the down payment less than the amounts that the tenant must pay to the company for the rental costs or by other means and the expenses to be paid or paid to the tenant with respect to these gifts to reimburse and reimburse not to pay by him. To be valid, HP agreements must be written and signed by both parties.