Legal Question in Real Estate Law in Maryland

Re: Inspection contingency problem

You didn't provide some important details. What was the outcome of the agent's request (albeit unauthorized)? Did the seller agree to do the maintenance, even though that was not what your daughter intended? If not, then your question is moot. If the seller was willing to do the maintenance, but unwilling to replace the two items, and if that was a "dealbreaker" for your daughter, then the contract would be voided and your daughter would get her deposit back. Under these circumstances, there would be no legal basis for any claim.

If the seller is now trying to hold your daughter to the contract based upon an agreement to service but not replace the water heater and heat pump, and is refusing to release the deposit, your daughter should look to her agent for not properly representing her interest. Technically the agent represents the seller, since she earns her commission from the seller. If your daughter signed an agreement with the agent to be a buyer's agent, she is regarded as a dual agent.

The agent should return the deposit to your daughter and agree to be responsible if the seller takes legal action to claim the deposit. However, in order to have an enforceable agreement, the agent should have required your daughter to initial any changes in the contract or to sign something requesting the repair, which I assume didn't happen.