indenture deed

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indenture deed

A deed in which the buyer and seller bind themselves to certain obligations,such as an agreement that any liability for environmental cleanup expenses will be paid by the buyer and not the seller.Under ordinary circumstances,only the seller need sign a deed,because only the seller has any obligations regarding transferring good title.Leases are often called indentures, because they are a conveyance of an interest in real estate with both parties having continuing obligations. The name indenture deed comes from ancient times, when such deeds were torn in half in an indented or jagged manner and could be proved by matching the two pieces.

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