Letter of Intent (LOI) in Crude Oil Deals _ The Legal Traps and Pitfalls of LOI for Crude Buyers. Nowadays, to hear many of the oil sellers and operators, particularly their brokers and agents, who are involved in the international open market crude selling, describe it, this document _ called the "Letter of Intent" or LOI, for short _ is not only an essential document for doing crude oil business, but one which every credible person or company engaged in crude buying should always use in initiating a purchase.
Why would you ever have to sign any type of agreement before you ever see the terms. When shopping for a car would you sign a letter stating that you will buy a car for ุꯠᇸ and hand them your money hoping that they give you a new BMW when they deliver to you a 1975 Pinto? No of course you would not.