Legal Question in Real Estate Law in California

Bought Home - Sellers won't leave

I recently bought a home. In contract, both parties agreed the property would be vacated within 3 days of close of escrow. It has now been 7 days and sellers are still occupying home. They are assuring me that they will leave in the next 2 days but will not sign anything regarding repayment of the additonal 6 days they have occupied the home (in breach of contract). Once they have moved out, what recourse do I have to regain funds lost? Due to their occupancy, I had to reschedule painters, contractors, etc. as well as pay my mortgage for that time. Is small claims court my best option to recover damanges?


Asked on 9/25/02, 8:42 pm

2 Answers from Attorneys

Re: Bought Home - Sellers won't leave

As you have found out the hard way, allowing the seller to remain after close of escrow is a big mistake. If the seller needs to stay longer and you are willing, negotiate a delay in the close so the seller has time to move out first.

Now I suggest you treat the seller as a tenant and serve him with a 3-day notice to quit. If the seller is not out by then, you will need to file and serve an unlawful detainer (eviction) action. You can recover the fair market rental value for the period of occupancy after the close of escrow.

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Answered on 9/26/02, 12:29 am
Bryan Whipple Bryan R. R. Whipple, Attorney at Law

Re: Bought Home - Sellers won't leave

The buyer is entitled to immediate possession upon close of escrow and recording of the deed. If the sellers remain with your express or implied permission even as much as one day, they may acquire the status of tenants, and will have all the rights accorded tenants with respect to eviction (notice, etc.).

I can't say for sure that these sellers have 'tenant' status, but they may. Therefore, you should follow eviction procedures, if they make it necessary.

You are entitled to fair market value rent for the entire time they occupy the premises after close of escrow, and you may be entitled to recover (e.g., in a small claims action) for damages in consequence of their late departure, but only to the extent your losses arise from delay BEYOND the three-day period you seem to have granted the buyers.

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Answered on 9/26/02, 12:31 pm


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