However, it can be registered as a visible “notice” by anyone who drills a cadastre search for the title to your property. The notice will inform third parties that there is an option with respect to ownership. For security reasons, you must register a purchase option agreement with HM Grundbuch. A notice of the option agreement is set up on the title, stating that the potential buyer has a right to the property if the event required to execute the option occurs. In the case of a pull option, the performance of the contract is controlled by the seller, so the buyer has no exercisable rights over the country, so there is no reason to register this type of option contract. Louise Norris, a partner in our commercial real estate team, explains what an option agreement is and why parties involved in a land purchase transaction want to take out an option. There are many pitfalls associated with poorly designed option agreements, and here are some of the areas you need to consider…