Florida Commercial Closing Attorney
Due to the unique requirements of a commercial loan transaction, a Florida Real Estate Attorney at Boyette, Cummins & Nailos, PLLC is assigned to each commercial file from beginning to end. The Florida Commercial Closing Attorney takes a hands-on approach to the file, coordinating the title order, pre-framing the clients, pre-closing the file, and finally, handling the closing.
REAL ESTATE LAW F.A.Q.
I have a contract to purchase a building. What if the seller refuses to close?
If you have done everything required of you in the sales contract, you can go to court and seek “specific performance” – a judge’s order requiring the seller to transfer the property to you.
As an alternative, you can sue for monetary damages. For example, if the contract has a purchase price of $500,000 and you can show its fair market value is $550,000, the judge may award you the $50,000 difference. Let our Florida Commercial Lawyers help you.
What happens if there is damage to the property from fire, hail, flood or windstorm during the term of the contract and before closing?
In most states, if your contract does not cover this subject, the risk of loss is on the seller. In other words, if the building is damaged by fire before the closing, the buyer can cancel the purchase unless the seller restores the building to its prior condition.
Since this is an important issue, it is best to cover it in the contract rather than to rely on the prevailing law. You and the seller can tailor this term to meet your own needs and wishes. In case of a legal dispute, a judge or arbitrator will make every effort to carry out the intentions of the parties as stated in the contract.
What legal recourse does a buyer or seller have if the other party refuses to close?
Typically, a sales contract drafted by a lawyer will spell out the remedies for default. For example, if the buyer defaults, the contract may say that the seller can keep the deposit as liquidated damages.
If there is nothing in the contract dealing with default, then in most states, if the seller defaults, the buyer can go to court and seek an order of specific performance. This order commands the seller “under penalty of being held in contempt of court” to transfer the property to the buyer upon payment of the agreed purchase price. This is based on the assumption that each piece of real estate is unique and that money alone may not adequately compensate the buyer for loss of the desired property.
Alternatively, the buyer can sue for difference money damages: the difference between the contract price and the fair market value of the property (assuming it is higher than the contract price). The buyer may also be able to recover consequential damages such as mortgage application fees and appraisal fees paid in reliance on the contract.
If the buyer defaults, the seller can sue for difference money damages as well. But here, of course, it would be the difference between the contract price and the lower fair market price. For example, suppose the contract calls for the buyer to pay $500,000 but the fair market value of the property is only $450,000. The seller could try to get a judgment awarding the $50,000 in lost profit. It is relatively uncommon for a court to order a buyer to complete the purchase by paying the entire purchase price.
Florida Commercial Closing Attorney Ready To Help
Call or email the law office of Boyette, Cummins & Nailos, PLLC, for your free consultation. Our Florida Commercial Closing Attorney in Lake County will sit down with you and discuss all of your options regarding your real estate needs. 855-LAW-2020