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Contract law: The caller asks if he is right (the seller)? Who has the legal right?

A man recently hired a realtor to sell his home. The realtor brought a couple to the house and they decided to buy it. The standard sales contract was signed by all parties involved. The contract included a clause that said the seller would provide $500 for any repairs that may be required after an inspection.

The inspectors report mentioned a number of minor problems including a noisy disposal and a dirty chimney. Buyer calculates that the repairs probably over $500 as asked the caller the seller to put up more money. The seller argues saying he never agreed to cover any and all repairs and that any problems uncovered by the inspection were considered to be typical from home use. The seller anticipates and expects the buyer to live up to their agreement and the terms of the contract which was signed by both.

The caller asks if he is right (the seller)? Who has the legal right?

Solution Preview

The contract provided that the seller would supply $500 for "any repairs" that may be required after an inspection. The contract did not provide that the seller would supply $500 for "each repair" that may be required after an inspection.

Do you see the difference in wording? The contract specifically stated that the seller would provide $500. He has agreed to do that. The buyer cannot understand basic English.

What I'm suggesting is that the wording of the contract understands that the seller would provide up to $500 (in other words, a total of $500) for any repairs that would be ...

Solution Summary

Tutorial is a few paragraphs guiding you through the applicable legal principles that rule here.

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