We had a contract to buy a home from a seller who ultimately did not have the authority to sell the house. We waived all contingencies and made our down payment before we knew this. We were scheduled to close in February but have been stuck in a legal quagmire that she couldn't resolve. We are now trying to get our earnest down and down payment back. We verbally agreed with the seller to end the contract and have her reimburse us for costs related to the purchase of the house and our legal fees. Our attorney has drafted a settlement that was mailed to her two weeks ago. She had only a week to respond but hasn't called or written a reply to the proposed settlement.
You can sue the seller for the return of your security deposit. Wrongfully withholding a security deposit may carry punitive damages for the seller.
Your attorney should be answering your question. He or she knows far more about the situation than we do.
I am not your attorney. Avvo and its users acknowledge that no attorney-client relationship is established by using avvo.com. Nothing published in this website constitutes actual legal advice. You should consult with an attorney of your choice who has experience in your inquired field of law. If you are in California and have questions about estate planning, I'd be happy to receive your call.
If you have an attorney who negotiated and drafted the settlement documents, then he or she is the most qualified to answer this question. That said, if the seller does not want to sign the settlement documents, then your course of action would be to sue the seller.
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