6. STANDARD AND ACCELERATION CLAUSE. If the borrower is late in paying this note or fulfilling a bond and the late payment continues after the recipient has announced to the recipient the default and the period within which he or she must be cured, in accordance with the law or in writing, the beneficiary may immediately declare the outstanding principal balance and interest earned on that note. Borrowers and any surety, supporters and guarantors waive all requests for payment, the presentation of payment, declarations of intent to expedite the deadline, the acceleration of the deadline, protests and denunciations of protest, to the extent permitted by law. Recently I got a call from a buyer with an incredibly hard story. He paid money for a relatively modest Luhrs (fortunately!) so his family could enjoy the summer. The contract was prepared by the broker – and particularly protected the broker. At the time of the transfer of the money (the boat was to be physically delivered 5 days later), the buyer executed the insurance application, which was immediately faxed by the boat broker to an insurance broker referred by the boat broker. This happened on a Friday afternoon and the boat was to be recovered the following Wednesday. Rule 2: If there is no explicit agreement, the sale takes place where the boat is delivered.
Here in Boatinglaw, we were recently contacted by a salesman who told the following story: He sold his boat the previous week through a real estate agent in Kent Island, Maryland. The buyers and lakes surveyed tested the boat before closing, paid their money and received the keys and title. Then the buyers pulled out the boat and a pulley dropped on the serpentine belt, the engine died, it was not clear if there could be any further damage. The sellers were buying a new house, and they really had to sell the boat and pay wages. Oh, that`s good. Before I describe what happened next, I would like to say that this transaction was a mistake. Most boat brokers and traders with whom I have contacts are strictly honest and extremely professional. The purpose of this article is to ensure that if you buy or sell a boat, you will take care of a good, honest broker.
It is the brokers who should receive your fees; Their services are going to be worth money. On Tuesday, they started quickly. First, the insurance broker called to say that the application had not been properly completed and that it had to be resubmitted. Second, the Marina called to say that overnight, the boat had sunk half as high the engines (they had called the seller first). Third, the buyer again filed the insurance application (rejected, sunk!); tried to stop the broker from paying the funds (refused – paid to the bank of pledges); and the seller and the seller`s insurance refused to have anything to do with the boat. Oh, that`s good. The buyer had the boat secured wisely and fixed the engines. One of the things we all learned at Law School is that when reviewing a purchase/sale contract, you should think about when the risk of destruction of the merchandise is transferred from the seller to the buyer. As a general rule, this also implies the time when the buyer`s and seller`s insurance comes into play. Most boat trades do not have a contract (this is how standard rules apply), or they are subject to a contract established by the broker.