Plaintiff real property purchaser challenged a decision from the Superior Court of San Bernardino County (California), which rendered judgment in favor of defendant real property sellers in the real property purchaser’s action to recover damages for an alleged breach of a contract.
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The real property purchaser contended that the real property sellers were not entitled to rescind the contract for the sale of certain real property. On appeal, the court reversed the trial court’s judgment in favor of the real property sellers. The court held that the relevant tract map was required to have been recorded before either party was in a position to execute or deposit into the relevant escrow the instruments required before the escrow could close. Thus despite the fact that the agreement contemplated that the real estate purchaser was to deposit the full down payment into escrow, the real estate sellers were not entitled to unilaterally rescind the contract because of the real estate purchaser’s alleged breach in failing to deposit the full down payment into the escrow.
The court reversed the judgment from the trial court in favor of the real property sellers in the real property purchaser’s breach of contract action.