Updated on June 10, 2020
One of Schorr Law’s real estate attorneys, Valerie Li, recently caught up with one of the editors at HomeLight, Christine Bartsch, to discuss when, if ever, a can seller keep the earnest money during the Coronavirus pandemic.
Being an attorney who frequently handles purchase and sale disputes for commercial and residential properties, Valerie had a lot of good advice to give on the matter.
When asked the question on if and when sellers can keep earnest money during the COVID-19 pandemic, Valerie gave insight on what the scenario is in California. She mentioned that in California, whether the seller can retain the earnest money deposit really depends on where the buyer is in the escrow process. The key question is: Were all contingencies removed? If so, what does that mean? If not, what does that mean for either party as well?
To read the article, please visit HomeLight.com.
Schorr Law frequently deals with purchase and sale disputes including disputes over escrow deposits. Lately, these dispute have centered around whether Covid-19 allows a buyer to back out of escrow. But, now that time has passed since Covid-19 stormed through the country less and less of these disputes will be centered on this issue and more will focus on traditional escrow disputes concerning contingencies associated with buyer inspections, buyer loan approval and buyer’s appraisals.
Are you currently facing a situation similar to the one mentioned above? Are you a seller or a buyer finding themselves in a cancelled purchase and sale transaction? Call Schorr Law and schedule a consultation with one of our attorneys today.
You can give us a call at (310) 954-1877; Text us at (310) 706-2265; Or send us a message through our contact form.