Article on Options, Related Rights and Real Estate

John C. Murray (Vice President-Special Counsel, First American Title Insurance Company) recently published his article entitled Options and Related Rights with Respect to Real Estate: An Update, 47 Real Prop. Tr. & Est. L.J. 63 (2012).  The introduction to the article is below: 

If they are not careful, parties who wish to incorporate options to purchase, rights of first refusal, or similar rights into legal documents creating or transferring real property interests (including leases and purchase agreements) can create unwanted and unanticipated problems when negotiating and drafting such provisions. The parties should never take these options and related rights lightly, and they should clearly and comprehensively negotiate and draft these provisions to reflect their own intentions and expectations. This article will review and analyze the various issues that arise in connection with options and related rights in real estate, examine the existing case law in connection with such issues, and suggest strategies for eliminating (or at least minimizing) the problems that may occur.