JOHN C. SULLIVAN, ET AL. VS. MAX SPANN REAL ESTATE & AUCTION CO., ET AL. (L-1036-17, SOMERSET COUNTY AND STATEWIDE) (A-5327-18T1)
The court determined that real estate auction sales contracts prepared by attorneys, licensed real estate brokers, or salespersons need not contain the three-day attorney review clause mandated by N.J. State Bar Ass'n v. N.J. Ass'n of Realtor Boards, 93 N.J. 470 (1983), as codified in N.J.A.C. 11:5-6.2(g). Here, a blank, pre-printed contract was sent to the highest bidder, defendant, and recommended an attorney review the contract. The court rejected defendant's claim that she was entitled to a return of her $121,000 deposit monies after not being able to secure financing in this cash deal. The liquidated damages provision in the sales contract was validated, and the $121,000 deposit monies, plus interest, were equally divided between plaintiffs/sellers and co-defendant.
