Breach of contract damages?

Question

Under contract for $55k property in PA with $1K deposit down.  Seller may be backing out.  I have appointments with several attorneys monday.  But I wanted to get opinions here also.

If we file a law suit for breach of contract, besides my attorney fees and the 1k deposit, what other damages can I go after?

Dennis Dahlberg · Answer

Have you ever heard the term  putting good money after bad.... Try to get the deposit back and move on..even if you win the law suit you will loose.....

Alex Deacon · Answer

@Jerry Brecko you may be able to tie up the property with a pending lawsuit so if the seller does indeed need to sell then it will not allow them to do so but other than that you can go after your hand money and any financial damages and move on. If there is a high profit to be made here on your end then it may be worth the battle. I am not 100% sure of being able to get your attorney fees back. You are already seeking legal advice but at $200-$300 an hour it gets very expensive. @Dennis Dahlberg may have a point. You need to know what battles to choose.

Chris K. · Answer

@Jerry Brecko

What does the contract say? It should specify what the possible remedies are.

Assuming it was your average sales agreement, it would probably allow the buyer to bring an action for specific performance. The big question then becomes whether you can get attorney's fees as the buyer if you win. If so, you have a lot more leverage since --- depending on any current mortgages and liens --- the buyer could use the seller's equity in the property to pay off the attorney's fees.

The other two posters do make a good point: litigation is expensive. It's hard to give any meaningful numbers, but most standard litigation will probably cost between $5k even if you get default judgments. $10k or more depending on the type of action and number of other fees you have to pay. If you have a contested case, there really is no ceiling. Discovery costs can easily get into five to six figures without even trying.

Disclaimer: While I’m an attorney licensed to practice in PA, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.

Breach of contract damages?

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