Legal Question in Real Estate Law in Tennessee

Builder refuses to return deposit

I have deposited around $13,000 on the house in Tennessee to the builder on a house to be built about 2 yrs ago, in the process of applying the mortgage loan, lander turned down my mortgage loan.

Naturally, I asked builder to refund my deposit, however, builder told me that he can't refund the deposit until the house that I put the deposit on is sold, and that clause is on our contract, and

2yrs has past, and I still haven't got my deposit, so I read the contract closely and couldn't find such clause.

I called lender several times and left the message but he is not returning my call.

What kind of legal action can I take?

Is there a form or example of letter that I can write and send to this builder?


Asked on 9/19/08, 1:01 pm

1 Answer from Attorneys
David Gibbs The Gibbs Law Firm, APC

Re: Builder refuses to return deposit

I am sorry, however, it appears that you posted this question to California attorneys. The question you pose is going to have to be asked of attorneys in TN, as the matter involves TN law. You're very likely going to need a TN attorney to represent you anyway, as it doesn't sound like the builder is going to vountarily return your money. Are you sure the builder is even still in business at this point? A very large number of tract builders in that region have gone bankrupt and are no longer in business.

*Due to the limitations of the LawGuru Forums, The Gibbs Law Firm, APC's (the "Firm") participation in responding to questions posted herein does not constitute legal advice, nor legal representation of the person or entity posting a question. No Attorney/Client relationship is or shall be construed to be created hereby. The information provided is general and requires that the poster obtain specific legal advice from an attorney. The poster shall not rely upon the information provided herein as legal advice nor as the basis for making any decisions of legal consequence.

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Answered on 9/19/08, 1:12 pm


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