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Updated over 11 years ago, 06/21/2013
In CA, Seller Fails to Perform and Demands to Close Escrow
First time post, long time lurker. Please excuse if this is on the wrong board.
We have a purchase agreement in escrow for a property in the city of Los Angeles. The property was going through probate and the sellers are not performing and sent a CAR Demand to Close Escrow.
At this point, we, the buyers have performed, everything is ready to go but they're no longer looking to close escrow. The original escrow close date was in March.
If we agree to close escrow, the agents are not agreeing to return all of the earnest money, some will be returned, some they say will be credited back on a future purchase.
From my understanding as a former RE professional (7 years ago), if a seller decides to fall out of, or close escrow, they are still required to pay a commission, correct? Meaning, the seller's agent and our agent likely agreed on a deal so that they don't lose on the deal. I'm pretty sure there is a breach of fiduciary there. I like to believe that we the buyers should be entitled to our full earnest money plus damages.
I realize many here are not lawyers, you're collective advice is nonetheless helpful. My questions is, what are our rights here?
We don't want to walk away from escrow because the market has picked up since and the property has appreciated significantly. We want the property for the agreed upon price. Can we force a sale by refusing to sign the demand to close?
Thanks for the help!