A sponsor`s ability to call for capital is necessary in most investment situations. When it comes to real estate, unexpected expenses are not uncommon. Without the ability to ask partners for additional money, all investors risk suffering a loss if financial needs cannot be met. As an investor, it`s important to understand how much more money you need to contribute over the life of the investment. During your due diligence, pay close attention to the type of additional contributions that may be requested. It may not be enough to have enough money to make the initial investment. If you have sufficient resources to cover capital calls, your position in the investment remains secure. Even if a provision on force majeure defines epidemics and public health emergencies and the resulting state measures as force majeure events, an investor who wishes to avoid fulfilling his capital commitment would still have to prove that there is a link between the force majeure event and the investor`s failure to comply with his obligations. . .

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