Purchaser v. Vendor: Loan Contingency and Deposit Return
Synthèse Legislator
Généré par l'IAA vendor, having sold a house under a preliminary contract conditional upon obtaining a loan, later terminated the agreement and refused to repay the deposit to the purchaser after the loan was denied, leading the purchaser to sue for the recovery of the funds. The court overturned the lower court's decision, ruling that the condition precedent of obtaining the loan was one that benefited the purchaser, and since the loan was demonstrably refused, the contract was nullified, obligating the vendor to restore the deposit paid by the purchaser.
Regeste Legislator
Généré par l'IAPurchaser v. Vendor: Loan Contingency and Deposit Return: The court overturned the lower court's decision, ruling that the condition precedent of obtaining the loan was one that benefited the purchaser, and since the loan was demonstrably refused, the contract was nullified, obligating the vendor to restore the deposit paid by the purchaser.