Legal Question in Real Estate Law in California

Yes this was the estimated date to close not the actual "closing date". We had already opened escrow and the lender refused to lend on a home with a leaking roof. So we had some repairs etc etc to do which took time. So we filed 5 days ahead of the estimated closing date for an extension due to their property issue. One week later he replied and demanded $1000 to extend the closing date or they are calceling. He then relisted the property on the mls pending we sign his cancellation.


Asked on 4/05/12, 12:51 pm

1 Answer from Attorneys

You're not going to get a reliable answer here on the internet. It is going to depend on too many details of the sequence of events, and what the transaction documents all say and when they were signed/exchanged. You need to take this to a lawyer in person. The short answer, however, is that if you released all contingencies knowing about the defects, he may have every right to demand payment for an extension of the time to close escrow. If you properly reserved your rights pending repairs, then he probably has no right to demand anything, and you may have the right to demand performance and seek damages if he does not close. The devil, however, is in the details.

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Answered on 4/05/12, 1:01 pm


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