Charleston Breach of Real Estate Contract | Buyer Breach and Seller BreachBreach of Real Estate Contract

A breach of real estate contract occurs when either the buyer or seller involved in a real estate contract fails to fulfill their contractual obligations to the party. A breach of real estate contract could occur if a seller wishes not to sell, if a buyer wishes not to buy, if a seller refuses to sell, or if a buyer refuses to buy. Most commonly, a breach of real estate contract is categorized into two subgroups: a seller breach and a buyer breach. Our Charleston real estate litigation attorneys have defended the legal rights and personal liberties of buyer and sellers for an array real estate contract breaches, including seller breaches of contract  and buyer breaches of contracts.

Seller Breach

A seller breach most often occurs when a seller attempts to back out of a residential sales contract or commercial sales contract. Some sellers may try to do this because they have just received a better offer, while other sellers may experience a a major life-altering realization that causes them to get cold feet. In any case, there are several measures a buyer can take in order to remedy a seller breach.

One action the buyer could purse would be to terminate the contract and recover any lost money, however this action can only be performed if the contract has not been signed into effect by both parties.  If the contract has been previously validated, then the buyer may a file a lawsuit to reimburse any financial damages created from the seller breach. The last alternative a buyer may select would be to require specific performance from the seller. A claim for specific performance essentially means that the buyer would try to convince the court to force the contract into effect, mandating the seller to honor the contract and sell the property.

Buyer Breach

A buyer breach on the other hand occurs when a buyer wishes to back out of a residential sales contract, residential purchase contract, commercial sales contract or a commercial purchase contract. A buyer may choose violate a real estate contract because of buyer’s remorse, sudden financial loss or any number of personal reasons. In response, a seller could simply keep the down payment, or earnest money, and proceed to terminate the contract. A seller at other times may seek to pursue real estate litigation and file a claim for a buyer breach of real estate contract. The seller could also decide to demand specific performance from the buyer, which could legally require the buyer to carry out the agreed transaction.