Legal Question in Real Estate Law in California

Re: New Lender Obiligations

Possibly, but I have never seen a residential lending commitment that was completely binding on the lender right up to the moment of funding. It would be a matter of contract, and you would generally not have any rights against the lender under any statute or judicial policy for failure to fund and close in timely fashion. I would advise reading any documents signed by a responsible officer of the lender to see whether it sounds as though they made any enforcible promise to you that they have now breached. In addition to the express terms of any contract there is an implied "good faith and fair dealing" covenant which might be a point where they are vulnerable, but even a slight excuse for being slow is likely to get them off the hook for a bad-faith breach of contract accusation. If it looks like there is an enforceable contractual promise, take your papers to a local business lawyer for an opinion.