Our company may act as a third party (escrow agent) of the deal, in case the presence of an agent is governed by requirements (internal, contractual, or by the law), or in the absence of full trust between the parties. In this case we carry out temporary storage of documents, cash or other means of payment, other property on behalf of both parties of the deal, and only after the conditions of this deal (their contract) are fully met, we transfer or release property and documents in accordance with the terms of the escrow agreement.
It is a neutral position in relation to each of the parties (for example, to the Buyer and to the Seller) serves the reliability and safety of the transaction. In this case, both sides become our employers at once, and we also bear equal responsibility to them.
In the international market, transactions involving Escrow agents have become the norm long time ago, since it often allows to avoid litigation in case of other party unfair act, since in that case the agent will simply return the money or property that is in his possession, safe and sound to the other party. In addition we can mention - banks rarely act as agents and intermediaries, since the cost of their services is much higher, and the procedure for preparing and concluding an agreement is extremely complicated.
According to the present Russian legislation all developers have to work only through escrow accounts, that confirms the relevance of transactions involving escrow agents in Russia. We believe that the development of Escrow agent's institution leads to the improvement of the investment climate, increasing the safety of business and reducing the burden on the judicial system.