A Purchase and Sale Agreement (typically referred to in the shorthand "PSA"), is an agreement between a buyer and a seller of real estate property, company stock, or other assets.
The person or company acquiring, receiving and purchasing the property, stock or assets is referred to as the "Buyer" and the person or company disposing, conveying and selling the stock or assets is referred to as "Seller". The PSA will set out the various rights and obligations of both the Buyer and Seller, and may also require other documents be executed and recorded in the public records, such as an Assignment, Deed of Trust, or Farmout Agreement.
In the oil and natural gas industries, a PSA is the primary legal contract by which companies exchange oil and gas assets or stock in an oil and gas business entity, for cash, debt, stock, or other assets.