How are folks thinking about presenting LOIs to multiple parties at the same time? Perhaps there can be a primarily deal and a slow (and cheap) due-diligence on secondary deals. The basic thought would be to drag feet on the secondary deals until the primary deal closes or falls through. What are the operational and ethical issues with this?
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However, I agree 100% with ^Searchfunder member.An LOI - as that term in properly used - is a statement of bona fide intention to complete the transaction on the terms agreed upon (in the LOI) provided that due diligence does not uncover legitimate issues that would render closing not viable.Normally an LOI would have an exclusivity provision with a specified term.Obviously the seller grants exclusivity with the understanding and expectation that buyer will proceed expeditiously to complete due diligence in that time period.Intentional foot dragging is bad faith dealing in these circumstances.As a practical matter, it's hard to imagine that a seller would tolerate this practice, and highly unlikely that the deal would proceed to closing.