Counts Law Firm real estate sales and purchase attorneys advise and represent Los Angeles County buyers, sellers, brokers, and agents in real estate transaction disputes. California real estate transaction disputes are often based on either the wrongful non-performance of purchase contingencies, or the intentional non-disclosure or negligent inspection of defects. California residential real estate sales are usually governed by California Association of Realtors forms that require mediation before you can file for arbitration or court lawsuit. We are highly experienced lawyers in pre-mediation settlement negotiations, mediation, arbitration, and court litigation.
Breach of Real Estate Sale Contract (Escrow Cancellations)
Sellers and Buyers of California property are required by law to perform the agreements of the sale agreement, including selling property or removing contingencies to purchase property.
California real property sale agreements may contain an inspection contingency, appraisal contingency, loan contingency, or other contingency which the buyer must either waive initially, or remove after the applicable period in order to close escrow. If the buyer attempts to complete the contingencies, and in good faith is unable to do so, escrow is cancelled – without penalty – and the escrow deposit is returned to the buyer. However, if the buyer refuses to complete the purchase without a good faith reason, the seller can collect the escrow deposit as liquated damages.
If the seller refuses to complete the sale after the buyer has waived all contingencies, the buyer can still pursue the purchase as “specific performance”. The seller cannot renege simply because they changed their mind or received a higher offer from a third party. In these situations, the buyer can enforce the purchase contract by seeking a Los Angeles County court to order the seller to sell the property as agreed. The seller may also be required to pay the buyer’s out-of-pocket expenses and attorney fees.
If a real property seller or buyer wrongfully refuses to complete a sale under contract:
1) the buyer can force the sale of the property, or
2) the seller can recover the escrow deposit.
If either the buyer or seller refuses to comply with material terms of the purchase agreement, including the return of the escrow deposits, you may need a Los Angeles County real estate sale attorney at Counts Law Firm to negotiate, mediate, arbitrate, and/or litigate to enforce the terms.
Call Counts Law Firm today at (626) 463-7300 or contact us online to schedule a free consultation with a real estate attorney.
Non-Disclosure of Real Estate Defects
California real property sellers are required by law to disclose defects that they knew about or should have known about, including structural defects and unpermitted additions. Non-disclosure occurs when the seller (and sometimes their broker and agent) fails to disclose the true known condition of the property. The non-disclosure could be an intentional misrepresentation, negligent misrepresentation, concealment, constructive fraud, breach of contract, and/or breach of fiduciary duty. The sellers, their agents, and their brokers all have disclosure duties to a buyer of real estate in California. Many cases result in the buyer asserting liability against the seller, their agent, and their broker. Other cases are caused by a Negligent Inspection of Defects. Property inspectors are required to locate and disclose material defects that they discovered and/or should have known about that may affect appraisal value.
If either the seller or inspector intentionally or negligently failed to disclose material defects, you may need a Los Angeles County Real Estate Sale attorney at Counts Law Firm to negotiate, mediate, arbitrate, and/or litigate to recover the cost to correct those defects.
Contact us online or call Counts Law Firm at (626) 463-7300 to schedule a free consultation with an experienced real estate attorney.