Trying to Cancel a Contract when Battling CO State Regulations

[Graham F.]

Hi all. I have a condo I’m purchasing under contract and found enough problems in the inspection that I want to back out unfortunately. I used a UT purchase contract, which states that thr Buyer can cancel the contract due to inspection failures and notify the seller, then the earnest money is released to the buyer without any action required form the seller. However, the title company told me that CO statutes require a release statement signed by both the buyer and seller to send back the earnest money. This seller will not want to sign a document. Does the state statute supersede our signed agreement?

Thank you

Graham