Legal Question in Real Estate Law in Ohio

Earnest Money Dispute

I was interested in purchasing a home and placed a deposit with a broker and signed an agreement that clearly stated the purchase (and earnest money) was pending acceptable inspection. Due to major issues with the home reported by the inspector, we decided not to purchase. The seller has refused to sign a release of the deposit, for no legal reason. Would their actions be considered a breach of contract?


Asked on 6/17/04, 8:16 am

1 Answer from Attorneys
J. Norman Stark J. Norman Stark , Attorney, Architect

Re: Earnest Money Dispute

Dear Purchaser, Dependent upon the terms (words) in your Offer to Purchase,and unless the terms provide for some deduction from deposit, or loss or diminution of funds being held as a good faith deposit, YOU ARE ENTITLED TO RECEIVE A FULL REFUND OF YOUR EARNEST MONEY DEPOSIT!!!

pLEASE IMMEDIATELY SEEK OUT COMPETENT REAL ESTATE COUNSEL, AN ATTORNEY, TO ASSIST YOU.

Frequently, a letter from an attorney will convince an errant holder that he or she (or it) must return your deposit, promptly and fully, unless the Offer contains some terms to the contrary.

Retain Counsel ASAP. Good luck. Sincerely, J. Norman Stark.

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Answered on 6/17/04, 10:19 am


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