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Legal differences, binding effects, and concrete risks for the parties In the Italian real estate market, the phase preceding the preliminary contract is often governed by atypical or “practice” negotiation instruments, which, however, assume a far from secondary legal importance.Among these, the irrevocable purchase proposal and the LOI – letter of intent (or expression of...

After the proposal (or sometimes instead of it), Italian real estate buying and selling is often structured with a preliminary contract. For a foreign buyer, the preliminary is the document that should make the transaction “solid”: it defines obligations, timing, verifications and economic consequences. If it is generic or incomplete, however, it becomes the main...

Legal Framework of the Option Contract The real estate option contract in Italian law represents a highly relevant instrument in real estate law. It is an agreement by which one party (grantor) undertakes to hold firm a contractual proposal in favor of the other party (optionee), who may accept it within a predetermined period. This...