Q: Real estate question
Someone gave me a cash deposit to purchase my property. No contract was signed and no receipt was given. A month later he called me to cancel the deal. I told him I can not give him the deposit back. He started harassing my phone and threatening me. What should I do? Do I make a police report? Do I call cops if he shows at my house. Thank you
A: If you state that there was no written contract, then you do not have a valid purchase agreement. Real estate transactions, especially those dealing with a purchase, require that the contract be in writing pursuant to the Statute of Frauds. My suggestion is that you return the deposit, because based upon your facts, you have not detailed the terms of how the deposit was to be treated. Questions remain as to when the deposit was to be credited to your proposed buyer or what bank or title company was holding the deposit. Regarding the alleged harassment, you do have a right to file a police report, but it seems that this matter would be best resolved in court if you wish to retain the deposit.
Thomas. R. Morris agrees with this answer
A: As Mr. Soble wrote, the sale agreement is not enforceable. The purchaser is entitled to a refund, but is not allowed by law to use a threat of violence or other unlawful means to try to collect. If the purchaser threatens your safety, call the police.
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