Vendor rescinds off-the-plan sales contract

[Inn Inn]

Hi all

Would like to get some advice on this. We entered into a contract for sale of land dated 21 Nov 2014 to purchase a 2 bedroom townhouse. 2.5 years had passed and the developer had done nothing (no earthwork or construction). They have proposed for us to sign the mutual rescission of the Contract. The reason they gave us is that due to a special condition by Council, they were unable to get an easement arrangement required to develop the project.

We found out the address was recently sold (16 March 2017).

I am unsure now what is our right and is our contract still binding with the new 'developer'? What if they are not going to develop the plan?

Appreciate your advice.

Cheers
Inn Inn

 

[Rod]

You need a lawyer to look at the contract. The contract is the key document that is going to determine your rights.

I wouldn't sign a mutual rescission agreement until a lawyer has looked at both documents. You may be giving up rights if you sign a rescission agreement.