California  |  Real Estate Law

Purchase contract default by licensed agent/buyer

Licensed agent/buyer has refused, in writing, about 10 times to honor a $305,000 contract price for a condo. I am the seller. Std C.A. R. contract has liquidated damages and arbitration clause. Deposit only $3,000. He has used extensive written means to extort (layman term believed to be legally correct) by threating to cancel unless I submitted to his demands for a lower price. He did not cancel.It is an installment sale providing me with about $30,000 in tax benefits which are now lost.He used the lost tax benefit as part of his price extortion attempt.

The time for him to close has expired and I have notified per the Time Is of the Essence Clause that I will not extend the time for closing,because of his price default.I belive the agent/buyer has breached his disclosed duty to honest, fair dealing and good faith with the price default. I assume the extortion efforts also breach this duty and probably worse.

Are liquidated damages limited to the deposit, or the 3%limit.and is this the exclusive remedy? Can I clain other direct damages(such as tax benefits which he has put in writing I will not get from another buyer)and/or punitive damages? Are there penalties for his licensed duty breach?

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