This form is used if two parties wish to deposit funds or documents in escrow with a neutral party to hold and distribute when the agreed conditions have been satisfied.
Escrow Agreement
Date:
Escrow Agent:
Depositing Party:
Performing Party:
1.Escrow Agent, Depositing Party, and Performing Party are entering into this agreement.
2.Depositing Party is depositing in escrow with Escrow Agent the following: [describe deposits].
3.The purpose of this agreement is [describe purpose].
4.Escrow Agent is to hold the [funds/documents/funds and documents] in escrow in anticipation of performance by the Performing Party of the following acts: [describe contingencies].
5.If Performing Party completes the contingencies referred to in paragraph 4. of this agreement during the time specified in this agreement, Escrow Agent is instructed to dispose of the [funds/documents/funds and documents] in the following manner: [describe disposition, e.g., record them with the [county] county clerk].
6.The contingencies required of Performing Party must be fully performed within [number] days from the date of this agreement. If all contingencies are not fully performed within that time, Escrow Agent will dispose of the [funds/documents/funds and documents] in the following manner: [describe disposition, e.g., return them to Depositing Party].
7.Escrow Agent agrees to hold the [funds/documents/funds and documents] in accordance with the provisions of this agreement.
8.Escrow Agent will receive a fee of $[amount] for performance of the services called for under this agreement. Payment of the fee will be made equally by Depositing Party and Performing Party.
9.Depositing Party and Performing Party agree that Escrow Agent will have no responsibility under this agreement except for the safekeeping and handling of the [funds/documents/funds and documents] deposited with Escrow Agent by Depositing Party. Escrow Agent will not be liable for any act or thing done by it relating to this agreement, except for the negligence or willful misconduct of Escrow Agent. If conflicting demands are made on Escrow Agent by Depositing Party and Performing Party, Escrow Agent may withhold its performance under the terms of this agreement until the conflicting demands are withdrawn or the rights of the parties making the demands are settled by a court of competent jurisdiction.
10.Escrow Agent may resign as Escrow Agent by giving [number] days’ written notice to Depositing Party and Performing Party of its resignation. Escrow Agent will then deliver the [funds/documents/funds and documents] it is holding under the terms of this agreement in accordance with the joint written instructions given it by Depositing Party and Performing Party. If no instructions are given to Escrow Agent within the stated time period, Escrow Agent is authorized to deposit all the [funds/documents/funds and documents] into the registry of a court of competent jurisdiction.
11.Depositing Party and Performing Party may remove Escrow Agent, with or without cause, and appoint a substitute escrow agent by giving joint written notice to Escrow Agent. Escrow Agent will deliver the [funds/documents/funds and documents] as directed in the notice within ten days after the date of notice.
[Name of depositing party]
[Name of performing party]
[Name of escrow agent]