The plaintiff home builder brought a motion for summary judgment against the defendant purchasers who failed to close a real estate transaction due to an inability to obtain financing in a declining market.
The plaintiff resold the property at a loss and sued for the difference in sale prices and carrying costs.
The defendants argued the plaintiff failed to mitigate its damages by refusing to take back a mortgage.
The court granted summary judgment, finding no failure to mitigate, as a vendor is not obliged to accept revised terms from a defaulting purchaser.
Damages were awarded for the loss in value and carrying costs, excluding interest on a loan not proven to be connected to the property.
