Legal Question in Real Estate Law in California

Re: Lease option to buy

I answered your question yesterday.

Re: Lease option to buy

From what you've said, it would appear that you could file an action in court to require the owner to do what he promised; however, it is impossible to provide a certain answer without reviewing the contract. You need to contact an attorney before you lose your option.

Re: Lease option to buy

If I understand the facts correctly, the contract is still in effect if you notified him before the renewal date expired that you were exercising the option to extend it one more year, so you do not need him to resign. The contract expires only when all of the terms dealing with its time period length are completed. It is like a major league baseball contract for 3 years with a fourth option year; if the player or team states in the manner required under the contact and within the time deadline set up by the contract that they are newing for the final option year, the other party must honor the contract.

What reason does the seller give for not going through with the contract? Have you fulfilled all the terms? If the language of the contract is unclear on how the option for one more year can be renewed, any ambiguity is read against the person who prepared the contract, which probably is the seller [it does not matter if someone else prepared the language and he simply used it].

I doubt they will do it, but see if the attorney for thtr title company will speak to the seller and point out the contract is still binding. Have your broker speak to the seller's real estate broker to pressure the seller to go through with the sale. point out to the seller that housing prices are going down except for the high end properties so if he drags the sale out you will pay him less and you will insist on a full credit for all the rent you have paid since you should be not paying any rent now [buthe may demand that you pick up the mortgage and other payments he has made].

If none of that works, perhaps a sharp letter from an attorney will. It is usually better to have a laocal attorney handle such matters, but if you wnated me to I charge $100 per hour [since I work out of my home,am largely retired, and have little overhead]. If you used a standard form agreement, there probably is a section giving attorney fees to the prevailing party in an action to enforce a sales contract [the fee is what would reasonably be charged and not what actually is charged; if you were awarded fees, which would only occur if the matter went to trial, then my charges would be higher but less than what is awarded].

Good luck and be pushy!