Just wondering.......
On the day of settlement, the buyer pays the vendor the balance of the amount to settle the contract.
For example, if the property was worth $500k, and the buyer has paid $50k as a deposit, the buyer has to pay 450k on the day of settlement (more or less, given strata, water and council levies etc).
What happens if the vendor (or their solicitor or conveyancer) stuffs up the calcs spectacularly and instruct the buyer that they only have to pay, say, 300k, when the amount really should hve been roundabout 450k.
So the property settles, and legal title passes from vendor to buyer.
If the vendor realise their mistake the next day, can they sue the buyer for the difference?
On the one hand, I think, yes, as the purchase price was expressly stated in the contract at 500k.
On the other hand, the vendor has agreed to settle for the 'reduced balance' - buyer pays the vendor as per the vendor's instructions, isn't it...?
I'd be interested to hear from any lawyers on this forum, or if anyone has been through this scenario before.
Will it make a difference if the mistake was $1 or $1 million?
I suppose the vendor could sue, even for $1...?
On the day of settlement, the buyer pays the vendor the balance of the amount to settle the contract.
For example, if the property was worth $500k, and the buyer has paid $50k as a deposit, the buyer has to pay 450k on the day of settlement (more or less, given strata, water and council levies etc).
What happens if the vendor (or their solicitor or conveyancer) stuffs up the calcs spectacularly and instruct the buyer that they only have to pay, say, 300k, when the amount really should hve been roundabout 450k.
So the property settles, and legal title passes from vendor to buyer.
If the vendor realise their mistake the next day, can they sue the buyer for the difference?
On the one hand, I think, yes, as the purchase price was expressly stated in the contract at 500k.
On the other hand, the vendor has agreed to settle for the 'reduced balance' - buyer pays the vendor as per the vendor's instructions, isn't it...?
I'd be interested to hear from any lawyers on this forum, or if anyone has been through this scenario before.
Will it make a difference if the mistake was $1 or $1 million?
I suppose the vendor could sue, even for $1...?