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Why? Because my intent can change. I intend to buy the Empire state building, but who cares what my Intent is? Many traders and Brokers treat a Letter of Intent as if it were holy writ. This is a critical beginner's mistake. As its name indicates _ this document expresses an intent.

To conclude, there's perhaps no more apt way to conclude this piece, than to quote this very fitting statement by contract law attorney, Ivan Hoffman, of California: "[Given that] the letter of intent is essentially a legally worthless document [but yet one that could potentially cause many serious legal problems for the signer]. It is not clear to me the reason any party would ever bother to create such a document and yet I have seen it used on many occasions."

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