We are under contract with an anticipated closing date of today. We were notified about a week ago of an issue with

Expert's Assistant chat
Customer: Hi Pearl. We are under contract with an anticipated closing date of today. We were notified about a week ago of an issue with title. According to the contract, we have 20 days to perfect title and cure any defects. The buyers are terminating the contract and requesting that we sign a release of their earnest money since we can’t close today. The closing date isn’t specified in the contract. It states that we close when title and lenders allow.
JA: What steps have you taken so far? Have you prepared or filed any paperwork?
Customer: No I’m waiting to hear back from the listing agent as whether we can re-list amid this disagreement.
JA: Where is the property located?
Customer: The closing agent told me the defect can be cured in less than 20 days. We refused to sign the release of earnest money. We are in Auburn, AL
JA: Is there anything else the Lawyer should know before I connect you? Rest assured that they'll be able to help you.
Customer: The defect is a motion to sell due to bankruptcy. Customer: Chat is completed
Answered by KellynK61 in 5 mins 1 year ago
imglogo
KellynK61
10+ years of experience
logo

268 Satisfied customers

Expert in: Family Law, Legal, Estate Law, Real Estate Law, Criminal Law, Employment Law, Business Law, Consumer Protection Law, Bankruptcy Law, Traffic Law, Personal Injury Law.

logoimgimgVerified lawyers, 10+ years of experience
Chat with a Lawyer in minutes, 24/7
imglogo

Verified lawyers, 10+ years of experience

Save time and money. Get specialized help.

imglogo
KellynK61
10+ years of experience
logo

268 Satisfied customers

Jessica

Jessica

Consultant

31,131 Satisfied customers

Pearl avatar
Lawyer's, Assistant
14 Lawyers are online right now.
img

KellynK61, Expert

Hello, I understand that you have a legal question or need help with a legal issue. I very sorry to hear that. I am an attorney, and I’d be glad to assist you. How can I help?

Customer
Can I share screenshots from the email chain with buyer's agent for context?
img

KellynK61, Expert

Yes, of course! Also, can you please provide with a little more context and clarifying what it is that you are asking so that I can give you the best and appropriate legal advice?

Customer
File attached (VMVLMMG)
Customer
Hi
Customer
My question is whether the buyers have grounds to terminate the contract based on the facts provided and if we are entitled to the earnest money.
Customer
Also, can we list our home again in the midst of this disagreement.
Customer
Hi
img

KellynK61, Expert

Okay. Thank you. Please give me 7-10 minutes to review the information you provided.

Customer
Thank you
img

KellynK61, Expert

Can you also send me a copy of the full contract?

Customer
Hi
Customer
File attached (MVTPG2L)
Customer
Their position is that the contract is no longer valid since we’re not closing today. As you will find in the contract, it states that we close when title and lender are able- not today as a specific close date.
img

KellynK61, Expert

It is possible that the buyers are in default of the contract (section 17) which means that you can exercise your default rights.

Customer
Can you explain the default?
img

KellynK61, Expert

Should the BUYER/S fail to carry out the terms of this Contract in accordance with the provisions contained herein, the SELLER/S may: 1. Declare the Contract in default and proceed against the BUYER/S for the recovery of all damages incurred as a result of said breach of contract, including attorneys’ fees; and/or 2. The SELLER/S may state his/her/its intentions to comply with the Contract and proceed for specific performance, in which case the Earnest Money herein mentioned shall be applied as legally ascertained damages; and/or 3. The SELLER/S may accept the Earnest Money as liquidated damages and agree to the cancellation of the Contract.

img

KellynK61, Expert

If the buyers fail to carry out the terms of the contract, you can take one of the 3 actions mentioned in this paragraph.

Customer
I read this section. How are the buyers in default at this point?
img

KellynK61, Expert

For my understanding, they do not wish to comply with this agreement any longer right?

Customer
due to the delay in closing. I have reasons, but I need to know that these reasons are valid based on the information provided.
Customer
Is the contract invalid as of today as the buyer's agent stated?
Customer
If not, how do I begin the arbitration process?
img

KellynK61, Expert

Per your additional provisions: In conjunction with item 14, purchasers are flexible on closing date and can close as soon as title and lending allow or can close at a date that is preferrable to sellers. Final closing date to be agreed upon by all parties.

img

KellynK61, Expert

Technically, there is no official closing date.

img

KellynK61, Expert

Thus, that is not reason enough.

img

KellynK61, Expert

I'm glad that I could be of help.

Do you mind providing a review of my services?

Reviewing my services will help ensure that I am able to provide accurate, efficient, and professional legal advice to future customers.

It also helps ensure that I receive compensation for my work on your case.

I would appreciate your assistance, and I wish you the best of luck in resolving your legal issue. I know you’ll do well.

Please log back on if you have any more questions.

Warm regards,

Attorney Kidwell

Customer
Will the closing date agreed upon via email suffice?
img

KellynK61, Expert

A closing date agreed upon via email is sufficient. They can use that to support their claim.

Customer
Okay. Thanks!
Ask a lawyer and get your legal questions answered.
See all Legal Questions
img
Related Legal Questions
How it works
logoAsk for help, 24/7
Ask for help, 24/7
Members enjoy round-the-clock access to 12,000+ verified Experts, including doctors, lawyers, tech support, mechanics, vets, home repair pros, more.
logoExpert will respond in minutes
Expert will respond in minutes
After you reach out, we match you with an Expert who specializes in your situation. Talk, text, chat, whichever you prefer.
logoSave time & money
Save time & money
No scheduling hassles, missing time from work, or expensive consults.
A JustAnswer membership can save you significant time and money each month.
img
logo 593 Verified lawyers, 10+ years of experience
DISCLAIMER: Answers from Experts on Askalawyeroncall.com are not substitutes for the advice of an attorney. Askalawyeroncall.com is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response as proposing specific action or addressing your specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances should be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on any information received from an Expert, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains. The responses above are from independent, freelance Experts, who are not employed by Askalawyeroncall.com . The site and services are provided “as is”. To view the verified credentials of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service.
Explore law categories
Powered by JustAnswer