Escrow Agreement
When businesses engage in large payments, mergers, real estate deals, IP transfers, or sensitive transactions, trust becomes the deciding factor. An Escrow Agreement ensures that money, documents, or assets are safely held by a neutral third-party (escrow agent) until both parties meet the agreed conditions. This eliminates risk, prevents fraud, and creates a smooth, transparent transaction. At Aarthika Globcorp, we help businesses draft clear, compliant, and risk-proof Escrow Agreements that define release conditions, responsibilities, timelines, dispute handling, and safeguards—ensuring every transaction is secure and stress-free.
Documents Required
- Identity & business details of all parties
- Transaction details & purpose
- Proof of funds/assets to be placed in escrow
- Conditions for release
- Escrow agent details
- Supporting contract or sale agreement
FAQs
In high-value deals such as real estate, M&A, IP transfer, software licensing, procurement, and international transactions.
Banks, licensed financial institutions, law firms, or any mutually agreed independent third party.
It is a binding contract enforceable under the Indian Contract Act.
Yes. Escrow is widely used in international trade, digital payments, and software/IP transfers.
Only if the loss occurs due to negligence or breach by the agent. Liability clauses must be clearly defined.