Help with a termination letter I am writing on seller's behalf

[Chris Swindle]

Hey all, 

I would appreciate some feedback on a letter that I am writing for a seller. 

The basic gist of what happened is that a seller entered into a contract with another investor on April 22, 2016. The original closing date was scheduled for July 1st, 2016. By July 1,  the investor did not close but shortly later did get the seller to sign an addendum that changed the settlement date to Oct. 31, 2016. 

I figured out was going on and reached out to the Seller in Sept. I told him that I would be interested in buying the property if the investor did not close the 2nd time around. The week of Oct. 31st, the other investor had not spoken with the seller but finally leaves a voice mail saying something about the closing. They can never get in contact with each other (play phone tag) and Oct. 31st comes and passes. Finally, on Nov. 3rd or 4th, the seller gets into contact with buyer and since the new settlement date has passed says that he would like to get out of the contract. The investor says there is a 2-week grace period built into the contract and threatens to sue if seller does not sell him the property.

Pretty much where we stand now is that after being intimidated by the threat of the lawsuit, the investor now has scheduled a Jan. 20th closing date. I told seller that he has every right to get out of the contract and that the other party is in breach and wrote a termination letter for him. I would love to get some feedback from other investors about this situation and the letter in general. Thanks for the help in advance. Below is the letter.

__________________________________________________________________________________________

Dear Investor,

This letter is in regards to the offer to purchase and contract that we entered into with you on April 22, 2016. The purpose of this letter is to serve as a notice of termination for the aforementioned contract (dated April 22, 2016, and which had an original settlement date of July 1, 2016). The reason that we have decided to terminate the contract is because of your failure to close by the agreed upon settlement date of October 31, 2016, which had previously been mutually extended from July 1, 2016 to October 31, 2016.

As the agreed upon settlement date of October 31, 2016 has passed, you have tried to push the closing back again. However, according to the contract, your failure to close this second time around makes you the “Delaying Party” and puts you in breach of the contract. As stated in the contract, “if the parties fail to complete Settlement and Closing within fourteen (14) days of the Settlement Date or to otherwise extend the Settlement Date by written agreement, then the Delaying Party shall be in breach and the Non-Delaying Party may terminate [the] Contract and shall be entitled to enforce any remedies available to such party under this Contract for the breach.” Due to your repeated failure to close by the agreed upon settlement date and your repeated attempts to prolong the settlement date, we have decided to exercise, effective immediately, the right granted to us under the contract of terminating the aforementioned agreement. Thank you for understanding.