Legal Question in Real Estate Law in Texas

Could not get a clear title.

I was in the process of buying a home. The seller and I agreed on a price I wrote a $1000.00 dollar check to the title company, a $100.00 check to the owner, a 200.00 check for the home inspection, a 460.00 dollar check for the apprasial. Two days before closing I was informed the owner could not get a clear title on the house. I have asked for my money back but the owner refuses to sign the release form for the 1000.00 earnest money and also the 100.00 check written to him. He also states he will not pay for the appraisal and inspections. What can I do. It has been three months. I drove by the property in question and someone is living there. I want my money all of it 1760.00. Help.


Asked on 7/30/02, 10:55 am

1 Answer from Attorneys
Lawrence Maun Lawrence J. Maun, P.C.

Re: Could not get a clear title.

I assume you and the Seller signed an earnest money contract. Read the contract for your rights under it. If the Seller entered into the contract knowing he/she could not give clear title there may be fraud involved. That would allow you to seek punitive damages in additional to your economic damages. I assume your deposit is with a title company. Even so they may not release it without the Sellers approval. If no approval you will have to sue. The earnest money contract probably provides that the prevailing party is entiltled to attorneys fees in a dispute. However, most attorneys will not take this case without being paid currently. The attorneys fees would be substantially more than your claim. Therefore I suggest you sue, if necessary, in small claims court. You can represent yourself at no cost. Once you get a judgment you might consider an attorney to collect it. Larry Maun 713.266.2560

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Answered on 7/30/02, 11:26 am


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