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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: Nothing is binding for the 5 day cancellation period. Posted by frankca on May 13, 2003 at 6:05 PM In Reply to: Nothing is binding for the 5 day cancellation period. posted by Ward-CA- on May 13, 2003 at 9:17 AM I must be missing something, _Please explain. You say "only an agreement to sell or option the property can be entered into until the 5 day right to cancel has run it's course BUT 1695 sayes "Until your right to cancel this contract has ended, _____ or anyone working for ____ CANNOT ask you to sign or have you sign any deed or any other document." Is this a conflict?: : I understand that an Equity Purchaser must give the Seller a 5-day right of rescission and cannot have any deeds signed during that period if he/she is BUYING the property. But what if I only OPTION the property; am I still considered an Equity Purchaser and all the rules apply? : : I am assuming that the option agreement must also be in the Optionor’s native language. Is that correct? : Cary, : An option contractually binds a property owner to sell their property. So if that seller is a homeowner in default then Section 1695 applies. And as you know, §1695 requires that initially only an agreement to sell or option the property can be entered into until the 5 day right to cancel has run its course. : Only thereafter can the agreement become binding and the actual deed, trust deed, option, etc. that’s involved be formally executed and change hands. : And your assumption is right on. California requires that whatever language a contract is orally negotiated in, that the same language must be used in the written contract. Follow Ups: Post a Followup: Name : E-Mail : Subject : Comments: : I must be missing something, _Please explain. You say "only an agreement to sell or option the property can be entered into until the 5 day right to cancel has run it's course BUT 1695 sayes "Until your right to cancel this contract has ended, _____ or anyone working for ____ CANNOT ask you to sign or have you sign any deed or any other document." Is this a conflict?: : I understand that an Equity Purchaser must give the Seller a 5-day right of rescission and cannot have any deeds signed during that period if he/she is BUYING the property. But what if I only OPTION the property; am I still considered an Equity Purchaser and all the rules apply? : : : I am assuming that the option agreement must also be in the Optionor’s native language. Is that correct? : : : Cary, : : An option contractually binds a property owner to sell their property. So if that seller is a homeowner in default then Section 1695 applies. And as you know, §1695 requires that initially only an agreement to sell or option the property can be entered into until the 5 day right to cancel has run its course. : : Only thereafter can the agreement become binding and the actual deed, trust deed, option, etc. that’s involved be formally executed and change hands. : : And your assumption is right on. California requires that whatever language a contract is orally negotiated in, that the same language must be used in the written contract. Optional Link URL: Link Title: Optional Image URL: [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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