Li v. Yaggi

Citations

• 212 Conn. App. 722

Syllabus

The plaintiffs, who had entered into an agreement to purchase a parcel of residential property from the defendants, sought, inter alia, the return of certain contractual deposits pursuant to a mortgage contingency clause in the agreement. The mortgage contingency clause provided in relevant part that the plaintiffs' obligation was contingent on the plain- tiffs obtaining financing. If the plaintiffs were unable to obtain a written mortgage commitment and notified the defendants in writing by 5 p.m. on the mortgage commitment date, the agreement would be null and void and any deposits would be returned to the plaintiffs, otherwise, the agreement would continue in full force and effect. The agreement also contained a liquidated damages clause, which provided that, if the plaintiffs failed to comply with the terms of the agreement by the time set forth for compliance, the defendants would be entitled to the deposit funds. Two days before the expiration of the relevant contingency date, the plaintiffs sent the defendants an e-mail in which they requested an extension of the mortgage commitment and closing dates. They explained that they would not be able to obtain a mortgage commitment by 5 p.m. that day, namely, the date that the e-mail was sent, but that they expected a mortgage commitment from a bank the following week. Although the defendants responded that they would be willing to agree to an extension if the plaintiffs provided certain additional information, that information was never provided. After the mortgage contingency date passed, the plaintiffs made three additional requests proposing amendments to extend the commitment and closing dates, but the parties did not reach an agreement on those requests. The plaintiffs subse- quently requested termination of the agreement and a return of their deposits. After a trial to the court, judgment was rendered in favor of the defendants, from which the plaintiffs appealed to this court. Held that the trial court prope