Legal Question in Real Estate Law in Maryland

Many months ago I submitted an earnest money deposit for a property I was interested in. It was a potential short sale and the sale never came to fruition. My contract term is up and I found another home I am pursuing and now need the release agreement for that earnest money check to be signed by the seller. My agent has sent several emails to the seller's agent requesting that the earnest money be released with the attached release agreement, with no response for several weeks. What recourse do I have? My agent is now asking me to write another check (i.e. second earnest money check) to provide to the bank for my loan. So that means double the money out of my account until settlement in a few weeks while we wait on the release agreement to be signed. My agent also stated that it could take another 30 days after settlement to get the first earnest money transferred. What can I do? I don't see why I am penalized for what the seller and his agent are failing to do.


Asked on 7/14/14, 4:18 pm

1 Answer from Attorneys
Robert Sher Wagshal and Sher

I assume from your question that the original contract contained a contingency clause allowing you to withdraw if the seller's lender didn't approve the deal, and that you complied with all time requirements in the contract. If it is the agent holding the deposit that is refusing to respond, you could file a complaint with the realtor board in the realtor's county. If it is the seller refusing to sign the release agreement, you might have to file a suit, which might be a small claim depending on the amount of the deposit. But in either case it will take more than 30 days to get a resolution if they continue to drag their heels.

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Answered on 7/15/14, 7:49 am


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