Legal Question in Real Estate Law in New York

Getting out of a sale contract

In late June I signed a contract to buy a building. My attorney assured me that it was a standard contingency contract and if I couldn't get financing we could move out of the deal without any difficulty. As the mortgage crisis has set in, I haven't been able despite intense search efforts to find a lender who can finance this, although one bank committed and then rescinded in 2 days based on changes in their underwriting policies. My attorney then said I couldn't get out. I had another attorney look over the contract who said, it had extremely aggressive language, that it had a rider my attorney didn't know seem to be aware of that makes it very hard to get out of without losing my deposit which is being held in escrow, and another lawyer has said that I've been lied to by him -- that it's the contract and not the mortgage being withdrawn that's preventing me from exiting the deal. Does it seem likely I can sue my attorney for the entire amount put down, or if I try to go forward with financing and file a liz pendance is that increasing my risk in not being able to leave the situation easily?


Asked on 10/04/07, 7:58 am

1 Answer from Attorneys
Michael Markowitz Michael A. Markowitz, PC

Re: Getting out of a sale contract

The terms of a written contract are fact specific. Without an attorney reading the contract it would be impossible to comment on probabilities of filing a lis pendence and commencing an action.

The same is true with a legal malpractice action. Without looking at the contract and review of communication between you and the attorney, it would be impossible to predict the outcome of a legal malpractice action.

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Answered on 10/04/07, 8:17 am


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