I don't get this paragraph in a letter of intent to lease option property. ... applied first to any assignment fee? ... balance being applied as a credit to the option price? Huh? Why would I be giving the Landlord/seller money to apply to an assignment fee to which I'm entitled? Please explain.
Option Money. Tenant or its assign(s) shall pay to Landlord the a non-refundable amount of _____________________________________ (“Option Money”), which shall be applied first to any assignment fee that Tenant may be entitled to through its assignment of its interest to any 3rd party assignee, with the balance being applied as a credit to the Option Price.