Contract Question

[dj26]

What is the name of your state? PA

A buyer signed a contract to purchase a new home. Under the "Special Provisions" section the contract states that the contract is contingent upon the buyer and seller coming to a written agreement on the options to be included in the home and any associated pricing within 10 days. It clearly states that if a written agreement is not reached within 10 days, the contract is void and the buyer's deposit shall be returned.

Shortly before the 10 days elapsed, the buyer rescinded the offer. Therefore, there was no written agreement regarding options reached within the allotted 10 days and the buyer wants the deposit back.

Here's my question:

Does it matter why the buyer rescinded the offer or is the contract void no matter what, because the written agreement on the options was never reached? What if the buyer never attempted to negotiate the cost of the options?

Thanks.

[JETX]

Originally Posted by dj26

Does it matter why the buyer rescinded the offer or is the contract void no matter what, because the written agreement on the options was never reached? What if the buyer never attempted to negotiate the cost of the options?

Absent any other conditions, no, it makes no difference why the buyer refused to attempt to negotiate or not. Clearly, the contingency condition was not met. The contract is void and the seller must return the earnest money.

[dj26]

Thanks - that was the answer I was hoping for. The seller is claiming that since the buyer simply decided he didn't want the house (as opposed to rescinding, because he wasn't happy with the option details), he is not entitled to the deposit back.