Legal Question in Real Estate Law in Florida

Re: Cancel Condo Purchase Contract in State of FL

Florida law will probably apply, so if you get a response from a Florida lawyer, that would prevail over anything I have to say. Nevertheless, here are a couple of very general observations that would probably be accurate under the laws of most states, if not all:

First, if you don't have a job, you probably wouldn't qualify for a loan, so if obtaining a loan is a condition of your contract, you are probably excused from performing the contract by applying in good faith and being turned down by a couple of lenders.

Second, the statute of limitations starts to run not when the contract was made (5/2005), but when the default that would give rise to a right to sue occurs, which may be much more recent, or maybe hasn't even occurred yet.

Finally, I'm not sure what the reference to a "buddy" is all about. Was there to be a co-purchaser? If two people are obligated on a contract, in most cases the other party can proceed against either one, or both; i.e., the obligation is "joint and several." The result may be that even if you can't qualify and are excused for not meeting a condition precedent, your buddy might still be on the hook.

There are other considerations as well, and most of these agreements are tightly written by lawyers with lots of experience in that field. Still, there may be ways to escape liability. Get a Florida lawyer if threatened with suit or some kind of collection or enforcement action.

Re: Cancel Condo Purchase Contract in State of FL

NOTE: This communication is not intended as and should not be interpreted as legal advice. Rather, it is intended solely as a general discussion of legal principles. You should not rely on or take action based on this communication without first presenting ALL relevant details to a competent attorney in your jurisdiction and then receiving the attorney's individualized advice for you. By reading the "Response" to your question or comment, you agree that the opinion expressed is not intended to, nor does it, create any attorney-client relationship, nor does it constitute legal advice to any person reviewing such information, nor will it be considered an attorney-client privileged communication. If you do not agree, then stop right here, and do not read any further.

Unfortunately, developers generally do not allow mortgage contingencies in their contracts or, if they did allow one, it would only apply for a very short period of time and thus would have no effect on the closing at this time. Your losing your job would not allow you to cancel your contract.

Generally, a Florida Contract will require that the project be completed withing 2 years from the effective date. This can be extended if you voluntarily agreed to extend the date or signed an Amended Contract at any time. You may have an out due to the length of the time the developer took to complete the project but it is iffy. You will need to have the Contract reviewed by a qualified attorney who can then advise you of your rights and obligations.

Scott R. Jay, Esq.