Seller refuses to sign cancellation.

Asked by Lu, California, San Bernardino, CA Fri Aug 17, 2012

I am a home buyer in California. As mentioned in the previous question, my offered was accepted and escrow was opened. On the next day, I cancelled the agreement, and the deposit has not been delivered yet, because the agreement was cancelled prior to the third day where deposit needed to be delivered.
What should I do to make the cancellation legal if the sellers refuse to sign the cancellation form. Will anyone share your wisdom?

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Sharonne Chiu, Agent, Tustin, CA
Mon Aug 20, 2012
The first thing you need to do is request for your agent to submit a Notice to Perform on your last request. The deposit deadlines have nothing to do with cancellation rights. The 3 days for deposit funds to be in escrow protects the seller if the Buyer does not perform this step. Meaning after 3 days no deposit, no deal. They are free to sell the property to another buyer. So contact your agent and confirm the reason for the cancellation that should have been submitted to the listing agent in writing. Request that your agent follow up with the cancellation agreement. Hope this helps.
0 votes
Sona Gallatin, Agent, Santa Clarita, CA
Sat Aug 18, 2012
This should be no problem, have your agent call escrow and if your still not getting through, call escrow yourself. You were in your legal timeframe and if you want to cancel you should be able to.

Good luck
0 votes
Douglas Perez, Agent, Los Angeles, CA
Fri Aug 17, 2012
Have your escrow officer and your dual agent to acknowledge receiving your cancellation letter.

No problem.
0 votes
carlos parra…, Other Pro, Monrovia, CA
Fri Aug 17, 2012
Was an Escrow company involved in the transaction?
Contact them, (I understand the agent is not cooperating, this is something the agent should be doing on your behalf) send them your timely cancellation notice. See if they have even deposited the check. They will then at least know there is a dispute and won't release the funds. Perhaps your check has not even been deposited yet.
Contact your Bank, stop payment on the check.
This can at least protect the funds.
The Seller cannot sell the property or even list it again if there is an open escrow. If the Seller contest the timeliness of your cancellation, the most they can do is possibly be awarded the deposit funds. This process takes time and is arbitrated by the State Board. In a dispute of this nature, the Escrow Company is obligated to hold the funds until the State Board rules.
0 votes
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