Document escrow

In  documents escrow arrangement, an escrow agent is acting as an independent and neutral party who collects and safe-keeps certain type documents for until a certain predetermined conditions and situations occur and upon confirmation from the instructing parties, the escrow agent will distribute the documents as per the escrow agreement. 

Document escrow

How it works

Steps:

  1. Party A and Party B agree on transaction documents

  2. Party A and Party B engage Escrow SG as their escrow agent. An escrow agreement will be signed between Party A, Party B and Escrow SG.

  3. Party A and Party B send original, undated signed transaction documents to Escrow SG.

  4. The escrow arrangement is in place until:

a.

Both Party A and Party B agree that the escrow conditions for fulfilled and they agree to instruct Escrow SG to date and release the signed transaction documents, or

b.

Both Party A and Party B agree that the escrow conditions are not met and agree to destroy the undated signed transaction documents, or

c.

Party A and Party B are in disagreement on whether escrow conditions have been met or not. Escrow SG or an independent third party will determine if the escrow conditions are met or not; and action on the transaction documents accordingly.

5. If 4a occurs, Escrow SG will date and release the signed transaction documents to Party A and Party B.