Modern Express News: A couple signed a real estate subscription agreement and paid a deposit of 50,000 yuan, but neither parent could make a down payment. After a few days, they asked the developer to cancel the contract and return the deposit on the grounds of insufficient funds. They were refused and then appealed to the court. Modern Express reporters learned that recently, the Peoples Court of Huqiu District of Suzhou City has concluded the case of disputes over the commercial housing reservation contract according to law, and the petition of small couples for refund of deposit has not been supported.
Xiao Han and his girlfriend are both migrant workers in Suzhou, ready to start a family here. On September 3, last year, they went to a newly developed building in the high-tech zone to see the house. They fell in love with a three-room house with an area of more than 90 square meters at first sight. As a result, they signed a Housing Order Agreement with the developer on the spot. The unit price of the house is about 23,000 yuan, with a total price of 2.29 million yuan. However, for the 50,000 yuan deposit required to be paid on the spot, they only got 20,000 yuan on the same day. We had to find friends to borrow 30,000 yuan everywhere before we could make up the deposit on September 6. Unexpectedly, when they return to their hometown in Yancheng, Jiangsu Province, they will discuss the matter of buying a house with their parents, only to find that in fact, there is not so much money to pay the remaining down payment. In the early morning of September 8, they rushed to the sales office to explain why they hoped to get the deposit back and cancel the contract. Then they appealed to the court at the end of September due to the failure of mediation.
The court held that both parties should strictly abide by the execution of the contract after its entry into force. If one of the parties expressly expresses non-performance of the main debt of the contract, the contract may be cancelled. The notice of responding to the case served on the defendant was received by the defendants developer on October 3, 2018, so the House Purchase Agreement signed between the plaintiffs and the defendants was terminated on October 3, 2018.
The contractor added that if the seller fails to conclude a contract for the sale of commodity housing due to one partys reasons, it should be dealt with in accordance with the provisions of the law, that is, if the party who paid the deposit fails to fulfill the agreed obligations, it has no right to request the return of the deposit. Combining with the facts of this case, the small couple is unable to sign a commercial housing sales contract because of their lack of funds, and is responsible for the small couple, so they have no right to request the return of the deposit of 50,000 yuan. The undertaking officer introduced that the deposit contract is a double-edged sword and a guarantee for the conclusion of a sales contract. Before signing, the main terms and conditions of the main contract should be understood, otherwise, once the contract is repented, the risk of losing the deposit will be borne. The undertaking officer also reminded the public that when signing a contract, they should have a full understanding of the legal facts and consequences that will arise, otherwise they will easily cause unnecessary troubles and disputes.
Source: Responsible Editor of Modern Express: Wang Zheng_N7526