Legal Question in Real Estate Law in Wisconsin
Termination of offer to purchase;request to retain earnest money
Buyer presented seller with Cancellation Agreement& Mutual Release along w/ Notice of defects from inspection.Notice contained comment re: buyer not ''approving'' of lot line locations,that were shown to him by listingAgent(LA)after he made OTP. Buyer had visited property alone w/out his Realtor(from un-affiliated realty firm from that of listngAgnt) and w/out requesting a showing of the property from the LA at the time he made OTP. CA&MR(form WB-45)requested disbursement of buyers earnest money plus an addt'l $400.Attached inspect.report indicated cost of inspection to be $400.OTP clearly indicated buyer as being responsible for ALL inspection costs.Seller had option of RightToCure but instead presented to buyer CA&MR formWB-45 with offer to return earnest money in full but not the addt'l $400.A 2 day deadline was given to respond.The deadline for response to the CA&MR was the same as deadline to provide written loanCcommitment(LC)to seller.Buyer did not respond to CA&MR and did not provide LC.Seller then presented buyer with Notice to terminate based on non-delivery of LC and requested earnest money as liquidated damages. Who would you expect to prevail in this case.Did the seller follow the proper legal protocol?Did the buyer?
1 Answer from Attorneys
Re: Termination of offer to purchase;request to retain earnest money
Sorry, but commercial advice to a broker facing litigation is beyond the scope of this free forum. The scenario is also far too complex for casual advice--you should hire a lawyer.