The Yamadas listed their property for sale and entered into an Agreement of Purchase and Sale (APS) with Joseph-Walker.
Joseph-Walker paid a total of $53,000 in deposits but failed to complete the purchase.
Multiple closing date extensions were agreed upon, but Joseph-Walker was unable to provide sufficient funds to close the deal.
The Yamadas declared the APS terminated and sought to keep the deposits as forfeiture.
Legal Issues:
Whether the case should be decided by summary judgment.
Whether there was a genuine issue requiring a trial concerning the termination of the APS.
Court Decision:
The court granted summary judgment in favor of the Yamadas.
It was determined that the APS was effectively terminated and Joseph-Walker forfeited the deposits.
The court awarded costs of $5,500 to the Yamadas.
Reasoning:
The court found no genuine issue for trial, as Joseph-Walker failed to meet the financial obligations under the APS.
The court ruled that the deposits were forfeited in line with the principle that if a purchaser repudiates the agreement and fails to close, the deposit is forfeited without needing to prove damages.
It was deemed not unconscionable to forfeit the deposits, considering Joseph-Walker’s prolonged failure to complete the purchase and her actions that prevented the Yamadas from selling the property to others.
Conclusion:
The Agreement of Purchase and Sale was declared terminated, and the Yamadas were entitled to the deposits totaling $53,000 plus interest.
