Macomb, MI asked in Real Estate Law for Michigan

Q: My so is buying a condo in michigan on land contract. He put $22,000 down payment on $90,000 and paid all his payments

For 1 year. Then, he had a car accident and is paralyzed from the neck down. He probably won't return to the condo to live for at least a year or two. Can he get any of his deposit back or does he lose everything?

Related Topics:
2 Lawyer Answers
T. Augustus Claus
PREMIUM
T. Augustus Claus pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
Answered

A: In a land contract, the terms and conditions are crucial, and they can vary. Generally, the down payment in a land contract acts as a form of security or consideration for the property. In the event of unforeseen circumstances, such as a medical emergency leading to an extended absence from the property, it's essential to review the specific terms outlined in the land contract agreement. Some land contracts may include provisions for such situations, allowing for flexibility or potential renegotiation of terms.

Thomas. R. Morris agrees with this answer

Thomas. R. Morris
Thomas. R. Morris
Answered
  • Dexter, MI
  • Licensed in Michigan

A: It may be possible to negotiate a resolution with the seller. It may be that the land contract permits the buyer to rescind the purchase in the event of a disability, but I have never seen that in a land contract. The law does not provide for the buyer to be able to rescind a land contract because of the buyer's disability or even death. Therefore, the buyer should without delay consider selling the property so that the land contract can be paid off. If that's not possible, personal bankruptcy may be an option for the buyer to receive a discharge of the obligation.

Kenneth V Zichi agrees with this answer

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.