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Closing date - time of the essence?

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SueDSeller

Junior Member
What is the name of your state? North Carolina
When a sale does not close on time is it not null and void if the seller chooses?

Lots of background: March 28 I contracted to sell property contingent on obtaining right of way to part of property for purchaser, to close on April 28. Gave an extension until June 2nd, waiting for survey, dealing with two other property owners to obtain right of way. One neighbor gave sufficiently wide right of way to meet contract terms May 4th. I presented purchaser a copy of deed and survey.
Purchaser continued attempting to obtain wider right of way from another property owner which he expected me to pay for with cash outside of closing (supposedly to avoid income tax) I refused. (Among other considerations this property was under contract to yet another individual - and I don't know that this seller had the legal ability to double sell that right of way.
Since I would have been financing the property I am concerned that it not develop marketability issues in case of foreclosure. But that's a sidebar, sorry.)
Purchaser was not ready to close on June 2nd (second right of way guy not available), or 6th (getting new limitted partner - wants to do that first), or 12th - out of town attorney didn't know anything about a closing. I sent a registered letter and returned his escrow by cashier's check on June 15.
On June 17th he said that he was ready to close on the 20th, all scheduled, hadn't the attorney called? I said it was past the closing date and the deal was dead. Then he tried to negotiate another contract - which we never reached. He made an even lower offer later through a third party and I said I was insulted.
Today I get served papers, he's suing for specific performance and/or damages in the amount of the contract price.
The attorney's letter indicates that Mr Purchaser is saying I returned deposit and backed out prior to the closing date, because I said the contingencies couldn't be met - and that's up to him.

Question: Is the deal dead when it passes the written closing date?

Question 2: Would it be stupid to respond to his attorney directly? to see if we are in agreement on dates I just don't think he has any legal grounds and his attorney is generally a reasonable small-town guy.
 


BelizeBreeze

Senior Member
SueDSeller said:
What is the name of your state? North Carolina
When a sale does not close on time is it not null and void if the seller chooses?

Lots of background: March 28 I contracted to sell property contingent on obtaining right of way to part of property for purchaser, to close on April 28. Gave an extension until June 2nd, waiting for survey, dealing with two other property owners to obtain right of way. One neighbor gave sufficiently wide right of way to meet contract terms May 4th. I presented purchaser a copy of deed and survey.
Purchaser continued attempting to obtain wider right of way from another property owner which he expected me to pay for with cash outside of closing (supposedly to avoid income tax) I refused. (Among other considerations this property was under contract to yet another individual - and I don't know that this seller had the legal ability to double sell that right of way.
Since I would have been financing the property I am concerned that it not develop marketability issues in case of foreclosure. But that's a sidebar, sorry.)
Purchaser was not ready to close on June 2nd (second right of way guy not available), or 6th (getting new limitted partner - wants to do that first), or 12th - out of town attorney didn't know anything about a closing. I sent a registered letter and returned his escrow by cashier's check on June 15.
On June 17th he said that he was ready to close on the 20th, all scheduled, hadn't the attorney called? I said it was past the closing date and the deal was dead. Then he tried to negotiate another contract - which we never reached. He made an even lower offer later through a third party and I said I was insulted.
Today I get served papers, he's suing for specific performance and/or damages in the amount of the contract price.
The attorney's letter indicates that Mr Purchaser is saying I returned deposit and backed out prior to the closing date, because I said the contingencies couldn't be met - and that's up to him.

Question: Is the deal dead when it passes the written closing date?
And, of course, that would depend ENTIRELY on the specific language of the contract.
Question 2: Would it be stupid to respond to his attorney directly?
If you are a real estate attorney no, if not, yes. Get the point?
to see if we are in agreement on dates I just don't think he has any legal grounds and his attorney is generally a reasonable small-town guy.
Then have YOUR attorney contact his.
 

PghREA

Senior Member
to see if we are in agreement on dates I just don't think he has any legal grounds and his attorney is generally a reasonable small-town guy.


"Generally reasonable" has nothing to do with it - the attorney is representing the buyer who hired him. It is in the attorney's best interest to win the case.
 

SueDSeller

Junior Member
Worth a few bucks to protect myself

The contract was printed off a disk by an attoney - and we filled the blanks.

14. Closing: Closing shall be defined as the date and time of recording of the deed. All parties agree to execute any and all documents and papers necessary in connection with Closing and transfer of title on or before June 2, 2005, at a place designated by the buyer.

You all are right - I will hire an attorney to write the letter - otherwise anything I say can be twisted to the purchaser's benefit.



SueD
 

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