Earnest Deposit Issue

[David Smith]

Here is the situation. I would welcome any advise on how to move next.

1. A buyer is under contract with a seller for a property that has a finance contingency on 11/20.

2. The buyer has a real estate agent and a lawyer to assist him with the purchase

3. The buyer paid $55K in earnest deposit in an escrow account held by the real estate agent

4. A finance contingency was postponed to 12/5. The agent did NOT inform the lawyer representing the buyer though.

5. The finance contingency was due on Dec 5th and is now passed.

6. Neither the agent, NOT the lawyer representing the buyer warned the buyer of what written notice to complete before the finance contingency was up.

7. The seller is not asking for the security deposit even if the seller agrees to postpone the closing date. The only risk left is a special insurance related to the property (not the buyer). Basically, the seller is asking for the buyer to waive all possible option for the buyer to get his deposit back no matter what happens.

What are the options at this point for the buyer?

How can he avoid having the seller receive the deposit?

What pressure can the buyer put on the seller?