[quote=FlyerInHi][quote=njtosd][quote=FlyerInHi]Shoveler, so you think that I could sue for specified performance and legal fees, and expect to win?[/quote]
I don’t know but this case caused some changes in CA. It suggests that since the buyer can back out at any time until the contingencies are removed, a residential real estate contract is actually a unilateral option contract unsupported by consideration – and therefore unenforceable. I’m going to look more closely at it before I buy another house :
Of course, as suggested on the link provided by geedup, the seller can be sued by the agent for commissions and by buyer for costs such as appraisal and inspection. But the seller cannot be sued for specific performance unless buyer posted non refundable option payment.
The possibility of being sued for commissions maybe be enough to nudge seller to go ahead with the transaction.[/quote]
Again – I’m not a real estate attorney. But, hypothetically, if no contract is formed (as is suggested by the Steiner case) until buyer supplies irrevocable consideration, then no one has a cause of action (buyer, agents, etc.) until that time.
