Adding/Deleting a Buyer – AOAA [Assignment of Agreement Addendum]

Adding a Buyer – AOAA [Assignment of Agreement Addendum]

A Buyer may assign the Agreement to another person only if receiving agreement from the Seller.

  1. Total Assignment – This rarely occurs, but the AOAA is needed to properly document this assignment and must be signed by both Seller & Buyer. This form can be used if an individual Buyer “assigns” the Agreement to his/her Trust or to a LLC.
  2. Partial Assignment – This may occur if someone is added to the Agreement during the Escrow period and the AOAA is needed to properly document this assignment and must be signed by both Seller & Buyer.
    1. Example: Buyers need to add Mom & Dad to the agreement in order to qualify for loan approval.
    2. AOAA states the added Buyer(s) agree to initial and sign all documents prior to their being added to the Agreement and all future documents.
    3. Added Buyer(s) initials and signatures on the original documents need to be delivered to the Seller or Seller’s Agent within 3 days as per AOAA 2.C.(2).
    4. An Addendum stating that someone is being added to the Agreement is not adequate. The AOAA must be used.

Deleting a Buyer

  1. AOAA is also used to delete a Buyer.

Adding a Seller

  1. An Addendum adding a Seller to the Agreement is adequate.

AOAA is to be sent to Escrow Officer within 3 days.

in Buyers