Unlike an AAE with DEQ, the Federal Defense De Bona Fide Prospective Purchaser does not require a written agreement with the EPA. This lack of agreement and uncertainty about several provisions of the new BFPP act have raised concerns among some buyers about their possible liability at the federal level. The EPA`s BFPP Directive recognizes that, in limited cases, it is in the public interest when the EPO enters into potential buyer contracts or any other form of agreement with buyers of contaminated real estate. If you are considering buying real estate that you know or suspect is contaminated with hazardous substances, you may be interested in a potential purchase agreement. The protection of liability of the agreement clarifies and limits your liability to the State of Oregon for existing contamination. PPAs often make it easier to obtain financing for the purchase of real estate. Because it “works with the country,” an AEA can also protect subsequent owners and pauches, as long as they meet the AAE conditions. These are typical essential public benefits for the PPAs that DEQ has negotiated. DeQ, however, evaluates each agreement separately and there are a wide range of potential significant public benefits. DEQ encourages potential buyers to be creative. Investments in real estate with existing contamination may be uncertain due to the strict liability regime under national and federal law.

AAEs benefit buyers by limiting their liability and benefiting the state and local jurisdiction by encouraging environmental rehabilitation, reusing real estate and allowing buyers to offer significant public benefits. Other government instruments available to potential buyers to manage potential responsibilities are potential purchase agreements and not other action decisions. An AEA will continue to incearned some costs in exchange for the agreement. For example, the DEQ may require a buyer to take steps to protect the occupants of the acquired land from vapours or require examinations to determine the extent of the contamination. And there are other requirements that a buyer has to follow, for example. B payment of a down payment of $2,500 to participate in the program. In many cases, the seller who cleans the property before the sale is completed can allay fears of liability. Sellers often work through DEQ`s voluntary cleaning program to study and clean up impurities before closing a transaction.

When the cleanup is complete, DEQ issues an NFA letter. This measure does not absins a current owner or subsequent purchaser of liability, but indicates that the property was cleaned to the satisfaction of DEQ on the basis of the information then available to DEQ. NFNs may contain conditions such as long-term monitoring requirements or land use restrictions. In both cases, an NFA is a practical approach to pest control for many buyers. A risk management tool made available to buyers of real estate known to be contaminated is the potential buyer`s agreement of DEQ – or AAE. An AAE is an agreement with the State of Oregon, Department of Environmental Quality, that the buyer agrees to perform certain tasks in exchange for a release of liability. A potential buyer may be a natural organization, a business, a public body or another organization that has the interest and ability to acquire or lease contaminated real estate if the potential buyer has not caused contamination or aggravated the contamination.