Posted by John Merchant on October 08, 2005 at 10:54:55:
Buyer needs to have his lawyer look at this, because there might or might not be a total contract…any loose ends, details undecided, might just make it a NO real contract situation, so it might be unenforceable by the buyer.
To be a total Contract, all loose ends and parts and pieces need to be nailed down, or ascertainable by independent means (e.g…it Fed Bank Rate goes to 10% by closing time, transaction is null and void)or it’s not a real, total contract and either side could walk.
A seller has a contract with a buyer (due to close in one week), and a verbal agreement to rent the house back. The buyer had estimated the rent at one price, and now comes back with a higher amount. (The contract stipulates that buyer would provide proof of loan commitment by a certain date, which was not met. This is the cause for rent increase.)
Can the seller terminate the sale as a result?