builder's failure to disclose fire lane requirement under CA real estate law, buyer's remedies

Fire Lane disclosure in California: Within 45 days after we signed the purchase agreement to purchase a property ( a new house to be built on an empty lot) from a Californian builder, we discovered that the home site is facing a street which is a Fire Lane where no cars can park. The builder did not disclose this important fact in the agreement. We then canceled the purchase and demanded the refund of our deposit. But the builder refused to give the deposit back to us arguing that it's our responsibility to inspect the site which is a empty lot before we sign the contract. We argue that the builder breached the contract first by not making the disclosure of Fire Lane in the agreement. Do we have a chance to get back our deposit? Is there any Fire Lane disclosure requirement in California Real Estate Law? Where can we find this kind of requirement if any in writing?

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Answers (1)

Michael Lee Mau

Michael Lee Mau

Contributor Level 5
The right to obtain a refund of a purchase deposit is typically described in detail, in the purchase agreement. If you meet the conditions under the agreement, a party may be entitled to a refund but it is difficult to say either way without seeing the actual agreement. If it is a small deposit, then Small Claims Court may be a quick remedy. If it is a large deposit, then you should consult with a local Real Estate Attorney.

Nothing contained herein shall be construed as specific legal advice, and is provided as general information only. Comments are provided for educational and informational purposes only and should not be utilized without our express written permission. Our practice is generally limited to administrative, state and federal courts in the State of California, United States of America. No attorney-client relationship is express or implied by any aspect of this response. Please consult with your attorney for specific advice.
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