Monday, May 2, 2011

Court Reviews Whether Defendant Undertook a Reasonable Effort to Obtain a Loan

ELIZABETH C. WRIGHT, v. FREDERICO A. DIXON, III (Tenn. Ct. App. May 2, 2011)

In this action to enforce a contract for the sale of real estate against defendant buyer, the Trial Court held that defendant failed to make reasonable efforts to obtain a loan in accordance with the requirement to obtain a mortgage for 100% financing, and awarded damages to plaintiff for breach of the contract since the plaintiff had sold the property before trial.

On appeal, we hold that the evidence preponderates against the Trial Judge's finding that the defendant failed to put forth reasonable efforts to obtain a loan which was a condition in the contract for purchase of the property, and remand. 

Opinion available at: