If a seller breaches a contract, what can the buyer do?

Study for the Real Estate Contract Test. Improve your knowledge with interactive flashcards and multiple-choice questions, each equipped with hints and explanations. Prepare well for your exam!

When a seller breaches a contract, the buyer has the legal right to seek specific performance or damages. Specific performance is a remedy that compels the seller to fulfill their obligations under the contract, such as completing the sale of the property as initially agreed. This option is typically pursued in real estate transactions because the property in question is often unique, and monetary compensation may not be sufficient for the buyer.

Alternatively, a buyer may opt to seek damages. This means that the buyer can pursue financial compensation for losses incurred due to the seller's breach. This could include costs related to the breach, such as expenses for inspections, appraisals, or the loss of the opportunity to purchase the property, which could contribute to financial loss if prices increase.

In contrast, negotiating a new agreement may not address the breach and may simply result in further complications. Walking away without consequences is generally not an option in a breach scenario, as it may leave the buyer without recourse. Refusing to answer questions from the seller does not have any legal relevance to the situation and would not help the buyer address the breach of contract. Hence, seeking specific performance or damages is the appropriate legal action a buyer can take in response to a seller's breach of contract.

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