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Freedman v. Rector, Wardens & Vestrymen of St. Matthias Parish

37 Cal.2d 16 (1951)

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Freedman v. Rector, Wardens & Vestrymen of St. Matthias Parish

California Supreme Court

37 Cal.2d 16 (1951)

Facts

Freedman (plaintiff) entered into a purchase agreement to buy two lots owned by the defendants. Under the agreement, the total purchase price was $18,000, and Freedman paid $2,000 as a down payment into escrow. Before closing, Freedman objected to a utility easement on the property and refused to go forward with the sale. Freedman demanded the return of his security deposit. Later, Freedman stated that he would follow through with the purchase if the easement was removed. However, the easement was recorded and was not required to be removed under the contract. The defendants then cancelled the contract and entered into a new agreement with a different purchaser. The new agreement included a purchase price of $20,000. The next month, Freedman notified the defendants that Freedman wanted to close. The defendants refused, and Freedman sued, seeking specific performance or a return of the deposit. The trial court ruled in favor of the defendants. Freedman appealed.

Rule of Law

Issue

Holding and Reasoning (Traynor, J.)

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