What is a right of first refusal?

A right of first refusal is a legal right that grants a party preferential access to purchase a property or asset before it is offered to others. In Washington, this right can be granted to a particular individual or it may be applicable to a group of people. Generally, it is written into a contract or agreement. For example, if a landlord in Washington has a rental property they would like to sell, they may include a right of first refusal in the contract to allow the current tenant the first chance to purchase the property. In this way, the tenant has preferential access to buy the property before it is put on the open market. The right of first refusal is also commonly used in real estate transactions. For example, if a homeowner was considering selling their property to another party, they may make the sale conditional on including a right of first refusal in the contract. This would allow the homeowner to offer the property to a relative or friend first, before selling to an outside party. It is important to note that a right of first refusal does not guarantee that the party with the right will actually purchase the property. Furthermore, because it is a legal right, any party who wishes to include it in a contract should make sure it is properly written and enforceable according to Washington law.

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