Quillen v. Cox
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In a case before the Supreme Court of Rhode Island, plaintiffs Mark Quillen and Dawn Quillen entered into a Purchase and Sales Agreement (P & S Agreement) with defendant Clint Cox to purchase a property for a total sale price of $632,000, which included a $31,000 deposit. An issue arose when the parties' chosen escrow agent, Beycome Brokerage Realty, refused to accept the deposit, leading to an amendment in the agreement that allowed the plaintiffs to submit the deposit to a different brokerage firm, Trusthill. This amendment led to a dispute with the defendant claiming the plaintiffs failed to meet the deposit requirement, thereby breaching the contract.
The trial justice in the Superior Court found that the defendant had prevented the plaintiffs from effectuating delivery of the deposit, thereby eliminating the condition precedent. The court also found that the plaintiffs were ready, willing, and able to purchase the property. Despite the defendant's claims, the court concluded that plaintiffs had met all their obligations under the contract. The court ordered specific performance, directing the defendant to transfer the property to the plaintiffs. The defendant's counterclaims for breach of contract, declaratory judgment, and damages were dismissed.
On appeal, the Supreme Court of Rhode Island affirmed the judgment of the Superior Court. The court held that the trial justice correctly determined that the plaintiffs timely and properly delivered the deposit in accordance with the amended agreement. The court also agreed with the trial justice's finding that the plaintiffs were ready, willing, and able to purchase the property. The court rejected the defendant's argument that the trial justice failed to apply the clear and convincing standard in her factual findings, noting that the defendant failed to raise this issue in the lower court. The court also dismissed the defendant's contention that he was entitled to the deposit as damages, as the court found no evidence of breach on the part of the plaintiffs.
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