Legal Question in Real Estate Law in California
Enforceable contract?
Mr. Seller makes a contract with Mr. Buyer to sell one finished lot for a certain price. No specific delivery date or termination of contract is specified. No ''subject to's'' are on the contract. Mr. Seller owns several acres of raw land he intends to subdivide into several lots. Mr. Seller accepts a deposit check that he holds but never cashes.
Escrow is never opened, Mr. Seller doesn�t subdivide or develop the lots and eventually holds a meeting where he discloses development problems he can't overcome and offers information to back his claims. Shortly thereafter, he sends the un-cashed check back, says the deal is off and that he will be selling the entire parcel.
In the meantime, the real estate market has taken off. What recourse does Mr. Buyer have?
6 Answers from Attorneys
Re: Enforceable contract?
The enforceability of the contract depends on the written contract. Damages could be claimed or even specific performance in some cases. Please contact our office to review the contract and for consultation. 714 363 0220
Re: Enforceable contract?
I need to see the papers, but it looks like breach of contract to me. Contact me for a free consultation at 310-266-4115 or you can email me.
Re: Enforceable contract?
Howdy:
As stated earlier, but not explained very well, you can sue for specific performance. What this means is you can force the seller to follow through on the contract. Although, if there are problems that make performance impracticable (which means very hard), then this may not be available.
Another option is to sue for the lost benefit of the bargain. The typical messure of damage for a real estate deal like this is the difference between the value of the property at the time the contract was breeched and the contract price for the property.
Since the property is unimproved, the value of the unconstructed structures won't be taken into account.
Of course, this all does depend upon how the contract was worded.
We used to live in Murrieta.
Hope this helped.
rkr
Re: Enforceable contract?
Is the contract is writing and if so what does it say? Without this information one cannot advise you.
Re: Enforceable contract?
Sounds like you need to retain a Mr. Attorney to assist you. Need info re contract in written form, etc., before can advise.
Re: Enforceable contract?
let's see, if you are the seller and i was the attorney for the buyer, your screwed for the rest of your life!!!!!! if you are the buyer, have a nice litigation, not necessarily dischargeable in bankrupcy