Buyer wants to change name of a contract (fees, lawsuit, lawyer)
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Hi,
I signed a binding contract to sell.Closing date was setted.
Then buyer asked for an extension,I agreed and signed.
Then,my realtor told me buyer wants to put the house in his company's name in stead of his name.I agreed,but no paper was signed.
Buyer and my realtor are pushing very hard for closing.
I am not sure what name will the buyer use when I show up for the closing.
My questions is :
The originally contract is voided because name changed ?
Do we need a new contract ?
For some very good reason I want to keep the house.I refuse to go to closing,Am I going to breach the contract,buyer can sue me ?
Thank s so much.
Your signed contract is between you and the individual. Whether or not you amended that contract by orally agreeing to change the purchaser depends on what your initial contract says about oral modification, and whether changing the name of the buyer is considered material to the transaction. If oral modification is allowed, you likely modified the contract. If oral modification is not allowed, then you initial contract may or may not be valid.
However the buyer titles the house should be immaterial so long as the financial conditions are met. It sounds as if you are simply looking for a way to get out of the sale. If you are seriously considering cancelling the sale, talk with a local real estate attorney.
Contracts tend to protect the seller from a buyer trying to exit the deal. You did not put earnest money into the contract I assume so the buyer has no leverage to hold you to the contract. You could simply inform the buyer that you changed your mind and hope they don't sue. They can't force you to sell, all they can do is sue for damages which at this point is the effort they put into inspections and fees for finance applications. You should carefully read the contract. I would get a lawyer.
One thing to note - if you do exit the contract, that news is going to get around the local RE community and nobody is going to trust you again. It will make it harder to sell the house, at least in the near future.
Contracts tend to protect the seller from a buyer trying to exit the deal. You did not put earnest money into the contract I assume so the buyer has no leverage to hold you to the contract. You could simply inform the buyer that you changed your mind and hope they don't sue. They can't force you to sell, all they can do is sue for damages which at this point is the effort they put into inspections and fees for finance applications. You should carefully read the contract. I would get a lawyer.
One thing to note - if you do exit the contract, that news is going to get around the local RE community and nobody is going to trust you again. It will make it harder to sell the house, at least in the near future.
Yes they can. A buyer can file a lawsuit for specific performance. A court can require that the terms of the contract be fulfilled.
(This is a duplicate thread to another one which was started in the Real Estate forum. This one was apparently moved from a PA forum.)
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