In order to meet our clients’ specialized needs, our experienced team can provide assistance in the drafting of escrow agreements and may also arrange for acting as escrow agents to secure financial obligations arising from commercial and international activities, such as acquisitions, cross-border trading transactions and international construction projects.
Escrow is a legal device through which the financial parties to an agreement are provided with a means of security in terms of releasing and parting with documentation, funds and/or property and carrying out their obligations under the agreement. The escrow agent operates as an independent third party who holds this property on trust for the financial parties and only releases it upon satisfaction that all conditions are met. In cases where a condition of the agreement has not been met, the funds kept as escrow are returned to the Buyer.
Michalaki, Pitsillidou & Co L.L.C’s can provide assistance in every step of the project and can further assist with the opening of an escrow bank account so that money can be deposited in the account until all obligations preceding payment are carried out. Once the requirements are met, the money is released in favour of the beneficiary and the account is closed.
Escrow Agreements are usually preferable in transactions where the parties do not have an established business relationship and where the transaction involves the fulfillment of a series of events.