Contracts terminated - JUST LIKE THAT!

[oc1]

Guys, I have a deal turn sour and i'm hoping someone can shed some light.

I purchased a couple of vacant blocks a year ago. Settlement due early next year. I had sent them 3 faxes (Nov 08, Dec 08 and Feb 09) requesting to be let out. No news whatsoever. I then decide to keep the blocks as i have signed contracts.

However, yesterday (5 months after the last fax was sent) we receive a fax stating that my request is granted. I find out that they they had buyers lined up on my two blocks already. This all occurred at the same time i had a argument/disagreement with the selling agent where he assures me he will make sure i don't get the blocks. So you can see it seems very sus.

Can the vendor actually due this? Seems morally wrong - that's for sure. But legally????

 

[Propertunity]

Can the vendor actually due this? Seems morally wrong - that's for sure. But legally????

You asked to be let out. I suspect you did not put a sunset clause on the request?

Now the market has moved up and they are happy to release you. Sorry I don't know where you go from here, except to a lawyer to seek advice.

 

[Dazz]

Impossible to comment unless someone spends a few hours studying every detail in the contract. Rates for reliable comments are normally charged at $ 100 per 6 minute block.

 

[oc1]

No - no sunset clause. Solicitor is working on it but thought i'd give it a crack here too. 5 months seems an unusual amount of time to respond. The timing is the issue. Has anyone else experienced something similar?

 

[Ausprop]

Impossible to comment unless someone spends a few hours studying every detail in the contract.

and every fax, email, notes of discussions etc

and even then it's anyones guess which way the cookie will crumble

 

[Propertunity]

The only other thing I've seen similar is where a developer sold blocks of land OTP. The contracts had a clause which allowed the vendor (the developer) to pull out (no-one thought he would of course, he's trying to "sell" after all). Anyhows the land value went up during the subdivision roads & drainage works and the vendor invoked the sunset clause, collapsed the contracts, refunded the original purchasers their deposits and onsold to new purchasers at a much higher market price.

Howls of protest - but nothing that could be legally done.

 

[rugrat]

Five months may seem a long time, But then you kept on requesting to be released over a four month period...

Sadly I would think you just got what you were asking for.

 

[eternit]

Impossible to comment unless someone spends a few hours studying every detail in the contract. Rates for reliable comments are normally charged at $ 100 per 6 minute block.

And I thought it was $100 per minute

 

[jrc]

It seems to me that what has happened is that they have spent time seeing if they could find other buyers and now they have found buyers have agreed to your request. Quite reasonable behaviour on their part.

 

[rugrat]

And I thought it was $100 per minute

If I could charge that much, I might actually go and do my PLT so I could practice - I would only have to do 12minutes work a week to bring in a good income

 

[oc1]

It was actually the 1 fax in Feb - just confirmed.

Just found out one of the developers is the surveyor i use so it may work out.

Propertyunity: the typical sunset clause you are referring to is a common clause put in contracts. It typically gives both parties the option to back out after say 18 months. This isn't the issue at the moment. The issue is the 5 months response time. Seems to me it's not a clear cut issue.

JRC: Nope thats not what has happened. Blocks part of a larger subdivision. As said in the initial post, the selling agent is behind this so a large extent. The final answer will of course be given by the vendor/developers.

 

[Ausprop]

The issue is the 5 months response time. Seems to me it's not a clear cut issue.

this is where you need expensive legal advice. are their actions deeming an acceptance / rejection etc etc? stuffed if I know and no one on here will be able to answer your questions precisely, else we would be charging $100/6 minute blocks too!

 

[oc1]

this is where you need expensive legal advice. are their actions deeming an acceptance / rejection etc etc? stuffed if I know and no one on here will be able to answer your questions precisely, else we would be charging $100/6 minute blocks too!

LOL

It's the reason why I don't put many of my dealings here seeking advise....always curly and a soli knows best. Thought i'd give it a go for a change.

 

[evand]

Why did you initially want out of the settlement?

 

[oc1]

Why did you initially want out of the settlement?

Change in circumstances - more personal than anything.

 

[Propertunity]

If I could charge that much, I might actually go and do my PLT so I could practice - I would only have to do 12minutes work a week to bring in a good income

That's what a lot of people think, but you have not considered the overheads of running a business like that. The Professional Indemnity Insurance premiums for a start