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-   -   Does non-ownership by Seller of a property constitute nullilty of purchase contract? (https://www.askmehelpdesk.com/showthread.php?t=161846)

  • Dec 12, 2007, 01:08 AM
    stockadd
    Does non-ownership by Seller of a property constitute nullilty of purchase contract?
    Major builder/seller sells lots for houses to be built upon. Seller's agent presented four
    Lots from which Buyer was to choose. Buyer chose a lot, house was built, deal when through escrow, warranty deed, title policy, survey, etc. Six months later, Buyer found
    Out from Tax collector that he owned a vacant lot. Builder appeared to have built house
    On wrong lot, and buyer was occupying. Notified builder, escrow, title, etc. eleven months later learned that builder/seller had never owned lot sold to Buyer. Buyer wishes to retain house and the other lot, but wants documents redrawn. Seller wants to "correct" the
    Original documents. Buyer contends that you cannot "correct" a contract under which a party had no capacity to act. Seller wants to just mark through Lot #1 and handwrite in Lot #2. Buyers believe that we will not have clear title if we want to sell the house.

    Is the original contract NULL?

    Thank you,
    Stockade
  • Dec 12, 2007, 07:58 AM
    Fr_Chuck
    The warranty deed and hopefully the title insurance they purchased is where you go for protection. Who owns the lot that the house sets on. They will have to deed that land to the owner. If they won't, the owner will have to sue the seller under the grounds of the warranty deed to pay him back his expenses

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