Can we back out of purchase?

We have an offer in on a Marriott Newport Coast timeshare. We have a $1,000 deposit on it and have been waiting to hear back on the ROFR from the Marriott. Our Purchase Agreement was signed Nov. 25.

The agent we are going through just let us know today that the Marriott says they never received the Purchase Agreement and it was resent today with a confirmation.

In the contract (Purchase Agreement), it says that if the seller doesn't execute the contract by 12/5/14 the deposit can be refunded to the buyer.

Does that mean that we can back out of the purchase and get our deposit refunded?

Sounds like you can get out of it if the clause is indeed in the contract, but why? You had a change of mind?

"Fully executed" means that all parties have agreed to the terms and conditions of the proposed contract by signing and initialing any changes to the written document

Click to expand...

.

If it has been sent to Marriott to see if they are exercising ROFR, it was probably signed by the seller. Just because they sent the ROFR doc without proof of delivery doesn't mean it wasn't sent. To get out of it, I don't know if they would have to prove that it was sent before that date, or if you would have to prove that it wasn't sent. I am still not sure if that would prove that the contracted was "executed" by 12/5, unless the definition on the agreement included the language that it had to be sent or delivered to Marriott by that date.

We haven't changed our minds. We still love the property but we are a teeny bit nervous financially because of what's happening in the oil industry (hubby's work).

Probably nothing will happen with his job. We just thought that if there is a possibility of lay offs then we should back out of the deal if we can. We're just being hyper-sensitive, I think.

We'll wait to hear back from the Marriott. This is our second time trying to purchase there. The first one was in early November and the Marriott took the property back.

If there is any doubt, it might be best to back out. There's always a bargain around the corner.

The Saudi's are producing at high capacity to lower the price of oil and knock out high cost production from the market. Canada's tar sands is the highest, then shale oil. There is likely to be job losses in those industries.

The devil is in the (missing) details...

booklvr said:

<snip>In the contract (Purchase Agreement), it says that if the seller doesn't execute the contract by 12/5/14 the deposit can be refunded to the buyer.

Does that mean that we can back out of the purchase and get our deposit refunded?

Click to expand...

I am not rendering any legal opinion here and I certainly don't have the benefit of seeing the precise wording of your particular contract, but I will nonetheless simply note that "can be refunded" and "must be refunded" are about as different from one another as night and day.

If the seller timely executed the contract (there is plainly no way for you to know or verify), seller can hardly be held responsible for subsequent mail delivery problems.

In any event, I hope that you reach an outcome satisfactory to all involved.

theo said:

I am not rendering any legal opinion here and I certainly don't have the benefit of seeing the precise wording of your particular contract, but I will nonetheless simply note that "can be refunded" and "must be refunded" are about as different from one another as night and day.

Click to expand...

I agree. With any contract the precise language is important.

George

If you have concerns, financial in nature, I would try to back out. Newport Coast is not hard to sell anyway and the delay was their fault. I would try to blame the ambiguity on the contract language on the sellers who probably drafted it (?).

Personally, $1,000 is nothing compared to a lifetime of MFs IF they don't refund. If it's a reputable agent, my guess is they would refund it (i assume it's in escrow right now).

I have two wonderful units bought pennies on the dollar with great trading values and reasonable MFs, but there are days when I wonder if we would have been better off just renting without the hassle of the TS game and yearly dues, compelling us to go when we don't necessarily want to go.

booklvr said:

We have an offer in on a Marriott Newport Coast timeshare. We have a $1,000 deposit on it and have been waiting to hear back on the ROFR from the Marriott. Our Purchase Agreement was signed Nov. 25.

The agent we are going through just let us know today that the Marriott says they never received the Purchase Agreement and it was resent today with a confirmation.

In the contract (Purchase Agreement), it says that if the seller doesn't execute the contract by 12/5/14 the deposit can be refunded to the buyer.

Does that mean that we can back out of the purchase and get our deposit refunded?

Click to expand...