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Ben Jones
Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 45306
Experience:  Qualified Solicitor - Please start your question with 'For Ben Jones'
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I am being taken to small claims court for by a person who

Resolved Question:

I am being taken to small claims court for by a person who paid me a £1000 non re turnable deposit (this was agreed so i would take my house off the market and sell at an agreed price to him) He signed a reciept which i have and have photo copied and sent to the money claim court. He in his claim told them he never signed anything. His sale fell through and i told him i would wait but later found out he had put an offer and agreed to buy a house further down the road, he then demanded his money back .will i have to pay him it back? He cost me possible thousands in a lost sale , i had to sell at a loss 6mths later and i cant believe he had lied to the court saying he did'nt sign anything.
Submitted: 2 years ago.
Category: Law
Expert:  Ben Jones replied 2 years ago.

Ben Jones :

Hello, my name is XXXXX XXXXX it is my pleasure to assist you with your question today.

Ben Jones :

Can you actually estimate your losses over this?

Customer:

I turned down a potiential sale of my house for £4000 more , im not worried about this i just do not think he should get his £1000 back

Customer:

thanks Ben

Ben Jones :

And what is your specific query about this matter please?

Customer:

i typed all that just now? he's taking me to small claims court saying he didnt sign anything etc i wanted to know were i stand legally and how will the court view it if thats possible to say?

Customer:

sorry very slow typer

Ben Jones :

ok no problem, let me get my response ready please

Customer:

????

Ben Jones :

I am still here but I do need to type up my advice, it has only been several minutes

Customer:

ok sorry Ben

Ben Jones :

No problem, not the fastest typer myself but won't be long

Ben Jones :

Generally, when a person places a deposit for something they enter into a legally enforceable contract with the other party. It is implied that the seller has accepted the deposit as security and as proof that the buyer wants to proceed with the contract.


 


Unless the seller subsequently commits a serious breach of contract, or there was a cancellation clause, the buyer would have no legal right to cancel the agreement and if they do so they will be acting in breach of contract and risk losing their deposit. This is especially true if the deposit was described as non-refundable.


 


As a private seller, then you will not be subject to stringent consumer laws in terms of keeping a deposit. Still, you should not use the deposit to make a profit when you have not actually suffered any losses or your losses are minimal. However, as long as the deposit is reasonable and serves to compensate you for any losses suffered as a result of the buyer’s breach of contract, you would usually be able to keep it.


 


In your case the deposit was for £1,000 and the estimated losses were for £4,000 so there is a genuine argument that it has gone towards covering the losses incurred as a result of the other party’s breach.


 


The issues with their claims about not signing the agreement when in fact you have copies of this won’t help them, it could make them look bad in front of the court and could affect the weight of any other evidence they give. It won’t necessarily decide the claim but can give a bad impression which could affect the overall result.

Customer:

ok i think i have it all covered ...it seems such a small amount of moneyb to have to go to court to defend ...but he cost me more in the way of stress and missed mortgage payments etc so i want to fight this ..

Customer:

can you e-mail me what you have wrote ..is that possible please?

Ben Jones :

you have every right to fight it, but just concentrate on the actual losses, not stress/inconvenience as the court does not cover such losses so you cannot include these as art of the losses

Ben Jones :

Sadly not as we cannot email customers but you have a few options:


a) If you see a 'share' button and hover over it you can see the option to print.
b) You could copy and paste this conversation into a Word document or equivalent. You can then save and/or print it and refer to it in the future as necessary.
c) This conversation will be stored in your account on this site so you may return to view it or do any of the above at any time

Customer:

ok he agreed to buy it for 166K AND I SOLD IT for 163k in the end because of the time etc

Ben Jones :

yes so the actual losses are £3k, which is what you will be claiming the deposit covers

Customer:

ok thanks Ben im with it now lol...cant print but i appreciate your time thanks

Ben Jones :

You are most welcome. Please take a second to leave a positive rating for the advice I have provided as that is an important part of our process. Thank you and feel free to bookmark my profile for future help:



www.justanswer.com/law/expert-ben-jones/

Customer:

will do!

Ben Jones :

Thanks

Ben Jones, UK Lawyer
Category: Law
Satisfied Customers: 45306
Experience: Qualified Solicitor - Please start your question with 'For Ben Jones'
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