How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Richard Your Own Question
Richard, Lawyer
Category: Real Estate Law
Satisfied Customers: 55591
Experience:  32 years of experience as lawyer in Texas. I'm also a Real Estate developer.
Type Your Real Estate Law Question Here...
Richard is online now
A new question is answered every 9 seconds

I'm a real estate broker representing a buyer. He entered

Customer Question

I'm a real estate broker representing a buyer. He entered into a contract, and the day after he removed all contingencies he sought to cancel the contract. When the seller objected the buyer sought to renegotiate it. The seller is threatening a law suit claiming breach of contract. What damages can he claim? and I advised the buyer to perform but he doesn't want to. What should I do?
Submitted: 1 year ago.
Category: Real Estate Law
Expert:  Richard replied 1 year ago.

Good evening. My name is ***** ***** I look forward to helping you.

If all the contingencies were removed, if the buyer doesn't close pursuant to the contract, the buyer would be in default. BUT, the seller isn't likely to get anywhere with a lawsuit. The buyer's only risk is the loss of earnest money if the buyer backs out. Even if the contract provides for specific performance in the event of default, the fact is that courts simply do not enforce specific performance against buyers. Rather, the courts consider the earnest money as adequate compensation to cover any losses of the seller because the seller still owns the property and can simply sell it to another buyer. Although the buyer can never prevent the seller from suing, the most the buyer really has to risk is the loss of earnest money.

Thank you so much for allowing me to help you with your questions. I have done my best to provide information which fully addresses your question. If you have any follow up questions, please ask! If I have fully answered your question(s) to your satisfaction, I would appreciate you rating my service as OK, Good or Excellent (hopefully Good or Excellent). Otherwise, I receive no credit for assisting you today. I thank you in advance for taking the time to provide me a positive rating!