Apartment Sale and Purchase Agreement with Contractual Penalty

This is a working sample of an apartment sale and purchase agreement with a contractual penalty clause. Before signing, the notary checks the title document, the extract from the State Register of Rights to Immovable Property, the technical passport, the parties' RNOCPP data, the absence of encumbrances, and, if required, a notarized consent of the other spouse.

The sample uses current wording: State Register of Rights to Immovable Property, state registration of title, notarization, and written spousal consent where the law requires it. The penalty clause is left as a contractual penalty. In court, it may be reduced if the amount is clearly excessive.

Taxes, the mandatory state pension insurance fee, notarial expenses, and state registration costs are calculated under the current legislation of Ukraine on the date the agreement is notarized.

What to check before signing

• the title document for the apartment and the current extract from the State Register of Rights to Immovable Property;
• the technical passport and the actual apartment data;
• passport or ID card, RNOCPP, and a power of attorney if someone acts through a representative;
• whether there is any arrest, mortgage, tax lien, servitude, or other encumbrance;
• whether any other persons are registered in the apartment;
• whether the seller's spouse or the buyer's spouse consent is needed in the specific transaction.

Sample agreement

APARTMENT SALE AND PURCHASE AGREEMENT WITH CONTRACTUAL PENALTY
Kyiv, [date]

THE PARTIES HAVE ENTERED INTO THIS AGREEMENT AS FOLLOWS:

1. Seller [full name, RNOCPP, passport details, address] sells, and Buyer [full name, RNOCPP, passport details, address] buys the apartment at [apartment address].
2. The Seller's title to the apartment is confirmed by [title document], and the information about that title and any encumbrances has been checked in the State Register of Rights to Immovable Property on the date of notarization of this Agreement.
3. Apartment No. __ in building No. __ at [address] consists of __ rooms, has a total area of __ sq. m, a living area of __ sq. m, and ancillary rooms [list], according to the technical passport and the title documents.
4. The sale price of the apartment is UAH __. Payment between the Parties is made by bank transfer to the Seller's account or by another lawful method agreed by the Parties.
5. The apartment and the keys are transferred under an acceptance act signed by the Parties on the day of notarization of this Agreement or on another date they agree.
6. The Seller warrants that before this Agreement is signed the apartment has not been sold to anyone else, has not been gifted, has not been otherwise alienated, is not in dispute, is not subject to arrest, mortgage, tax lien, or other encumbrance, has not been transferred under a management agreement, is free from third-party rights, and no one is registered in the apartment as a resident or temporary occupant.
7. If the apartment is an object of the spouses' joint marital property of the Seller, a notarized consent of the other spouse is attached to this Agreement. If the notary requires a separate consent of the other spouse of the Buyer for this transaction, that consent is submitted as a separate notarized statement.
8. The Buyer confirms that they inspected the apartment before signing this Agreement, are familiar with its condition, and have no claims about visible defects. If the notary requires documents about marital status or consent of the Buyer's spouse for this transaction, they are submitted separately.
9. If this Agreement is declared invalid or terminated because of the Seller's fault, including false information about the apartment, hidden circumstances, or failure to disclose third-party rights, the Seller returns the funds received from the Buyer in full and additionally pays the Buyer a penalty equal to 75 percent of the contract price.
10. The Parties confirm that they understand the content of this Agreement, act voluntarily, are not declared legally incapacitated in the established manner, are not under deception or coercion, the documents submitted to the notary are valid, and this Agreement is drawn up in English, which they understand well enough to read it.
11. This Agreement is concluded from the moment of notarization, and the Buyer's ownership right arises from the moment of state registration of the property right to the apartment.
12. Amendments to this Agreement and its termination are made by a notarized supplemental agreement. If there is no consent, the dispute is resolved in court.
13. All taxes, fees, notarization costs, state registration costs, and other mandatory payments are paid under the current legislation of Ukraine on the date the Agreement is notarized.
14. The notary has explained the content of this transaction, its legal consequences, and the requirements of the current civil and family legislation of Ukraine, as well as the legislation on state registration of rights to immovable property.
15. This Agreement is made in three originals: one is kept by the notary and one is issued to each Party.

SIGNATURES OF THE PARTIES

[Seller's signature]

[Buyer's signature]

NOTARIAL CERTIFICATION

This Agreement has been notarized by me, [notary full name], private notary of [notarial district]. The identities of the Parties, their legal capacity, and their powers have been checked, the documents have been reviewed, and the Agreement has been signed in my presence.

This sample should be completed for the specific apartment documents, payment method, family status of the Parties, and actual encumbrances on the transaction date.