The plaintiff vendor and defendant purchaser entered into an agreement of purchase and sale for a residential property.
On the scheduled closing date, the purchaser advised she could not close due to lack of financing.
The vendor sent a letter stating this was an anticipatory breach and, unless they heard otherwise by end of day, would declare the agreement null and void and forfeit the deposit.
The purchaser's daughter confirmed the lack of financing.
The vendor subsequently resold the property at a loss and sued for damages.
The court found the vendor clearly and unequivocally accepted the anticipatory breach through its letter and subsequent conduct, entitling it to forfeiture of the deposit and damages for the resale loss.