Massachusetts Agencies


Purchase and Sale Agreements

In Durkin v. Ferreira, 21 Mass.App. 771, 490 N.E.2d 498 (1986) the Appeals Court ruled that although a purchase and sale agreement by its terms could be avoided and the deposit only would have to be returned if the seller was unable to give good title, the seller could not escape an action for specific performance where the seller had permitted a tax lien to encumber the title to the premises. Similarly, although our court announced in Tristram's Landing, Inc. v. Wait, 367 Mass. 622, 327 N.E.2d 727 (1975) that a seller would not have to pay a commission to a broker unless the transaction actually closed and the deed was recorded, the court, in Capezzuto v. John Hancock Mutual Life Insurance Co., Inc. 18 Mass.App.Ct. 46, 462 N.E.2d 1131 (1984),[1] modified the rule and stated that the commission would be due if the closing did not occur by reason of the act or omission of the seller.

1 See also, 394 Mass. 399, 476 N.E.2d 188 (1985), wherein the case was subject to further appellate review and clarification.