Legal Question in Real Estate Law in Oregon

Downpayment refund if seller is uncooperative

My wife and I are trying to buy a small downtown business. When we got in touch with the seller, we were told that the business was profitable, we would get the financials, but there were quite a few people wanting to buy it. We decided to put $1000 down to hold the business for us. The financials we received a couple days later were a hastily drawn up profit and loss sheet. Nothing else. In order to get a loan we need more financials, a balance sheet, tax return info. The seller, a sole proprietor, won't give us or a lending institution anything, saying its their own personal information and they don't think its their responsibility to give us that. We cannot get a loan because the seller won't cooperate by giving us any information on the business. In this situation, can we get our $1000 back or do we forfeit it? The seller says that it is nonrefundable. But to me, it seems that it is their fault that this deal is not working. I appreciate any advice.


Asked on 12/10/02, 2:08 pm

1 Answer from Attorneys
Susan Burns Law Office of Susan Ford Burns

Re: Downpayment refund if seller is uncooperative

The amount and kind of financial information you are entitled to depends on your contract with the sellers.

Any time a seller insists that you must put down money immediately without time to prepare a proper contract and have it reviewed by your attorney, there is a potential problem.

You may be able to make claims against the seller to recover the funds, but the cost of doing so could well exceed the amount you are claiming. You also may be able to seek recovery in small claims court where the Oregon limit for small claims is $5000.00.

Read more
Answered on 12/10/02, 2:18 pm


Related Questions & Answers

More Real Estate and Real Property questions and answers in Oregon