Hubzu breaks binding contract!

[Brian Doebler]

I have been buying and selling properties for approximately 20 years now, usually about 3-4 per year. Wanting to share my experience for 2 reasons. 1. To see if any others have had similar experiences and 2. To find out if we may have legal recourse. So here it is....

Started bidding on Hubzu (5 day listing online) I knock out the only other bidder on the second day but have not met the reserve. At end of auction the seller reveals the reserve to those that bid and we raise our bid to equal the reserve amount. We then have to wait while "highest and best offers are reviewed"...we are advised we have won the bid. We then started contacting the document processor about wiring our earnest money via the internet. After several emails , and days, he sends us the SIGNED contract from the seller...making it binding. He sent us the signed document on the 29th....the copy had been signed by the seller on the 24th... no problem so far just a delay. 

2 hours after receiving the signed contract...they email us that they have pulled the property due to a technical issue. After raising this to the escalations department we are told that it was due to the status of the home going from occupied to vacant...and that it was to be relisted in 2 weeks...even though we had a signed contract from the seller. We then contacted the seller directly and had a conference call with hubzu who filed a official complaint on our behalf.....today they relisted the property for sale,  we still have not heard the results of the investigation.