ARRAS

Arra de retracto

A sum of money that allows parties a period to decide whether to proceed with the contract.

Tipos de Arra

There are two types: Retracto and Confirmatorias.

Retracto

Allows parties to take time to determine whether to fulfill the contract.

Consecuencias del retracto

If a party retracts, they may lose the arras if they delivered it, or double the arras must be returned if they received it.

Confirmatorias

Arras that serve as part of the price and do not allow for retracto.

Clausula penal

A penalty clause that must be fulfilled if the business is not completed.

Ejemplo de arras

If a payment of 300'000.000 is made with a penal clause of 800'000.000, the remaining 500'000.000 must be paid.

Fecha de cumplimiento

The deadline for fulfilling the contract, failure to meet it results in a breach.