Can I be sued for this?

What is the name of your state? Kentucky

I have been threatened with a lawsuit by a couple from whom my husband and I were attempting to buy a house. We signed the original contract on 2/1, and the date for "expiration" of the contract, i.e., the closing date, was set for 3/1. The first lender we went with gave us such a hassle that we eventually went with another lender. To make a long story short, it took so long with the second lender that the contract with the sellers expired, i.e., we did not close by 3/1, or even by 4/1. After the original closing date of 3/1, the sellers agreed to wait on us a bit to see if we could get a closing date as quickly as possible. We did not sign a contract extension or anything, however. The lenders kept putting us off, requesting more information, giving us dates and then telling us we needed just a few more things, etc., until eventually my husband and I became so stressed out that we decided to just forget the whole thing. My question is, since the contract had already expired, and since it was not our fault that the lenders prolonged the whole thing, can the sellers sue us for not buying their home?

Without a thorough reading of your contract there's no way we can answer.

My guess is, if this is a standard contract then yes, at least for the money you placed in escros and specific performance.

Now please don't tell me this is FSBO

FSBO?

Not sure what that means, not up to par on my abbreviations! :0) But, if it helps to clarify any, the contract states "in the event financing cannot be secured as herein above provided, and this transaction is not concluded on March 1, 2004, or on any other mutually agreed upon date, then this agreement is to be null and void, and the earnest money....
"

what's the rest of the sentence on the contract?

Ah but Stephen, that is the rub