Seller Refusing to Transfer After Payment Made - What to do

[dnrabbit]

I finalised a 5-figure domain deal with someone where I am the Buyer.

We set up the transaction on Escrow and I made the payment to Escrow.

Now, suddenly the Seller changed his mind and says he doesn't want to sell.

What to do?

 

[korganian]

Same thing has happened to me with buyers refusing to pay. All you can do is cry. And get your money refunded.

 

[wwwweb]

I finalised a 5-figure domain deal with someone where I am the Buyer.

We set up the transaction on Escrow and I made the payment to Escrow.

Now, suddenly the Seller changed his mind and says he doesn't want to sell.

What to do?

What country is the seller from?

 

[DNScholar]

Not good maybe he changed his mind not to sell or got better offer.

 

[DomainVP]

I'm not a lawyer, just providing friendly advice on what I would do.

If you came to an agreement, and it's documented - it's legally binding.

Remind them of that.

If they are in your same country you can seek some civil options, and send a C&D informing them that they are in breach of contract by continuing to own a digital property that they intended to sell.

That's about all you can do.

Good luck.

 

[wot]

Forget about it or: Name and shame. (What I would do) for minimal satisfaction and maybe warn others.

 

[DubDubDubDot]

The first thing I would do is notify Escrow.com of this development and make sure they hold the funds while you look for a resolution with the seller.

Then I would let the seller know that they are legally obligated to honor the agreement. You might also try talking the seller down. I don't know what the domain is, but the seller might be delusional and experiencing deep regret over selling a "$100,000" domain for less.

 

[dnrabbit]

What country is the seller from?

Seller is from USA

 

[dnrabbit]

I'm not a lawyer, just providing friendly advice on what I would do.

If you came to an agreement, and it's documented - it's legally binding.

Remind them of that.

If they are in your same country you can seek some civil options, and send a C&D informing them that they are in breach of contract by continuing to own a digital property that they intended to sell.

That's about all you can do.

Good luck.

How expensive is it to pursue this legally?

Forget about it or: Name and shame. (What I would do) for minimal satisfaction and maybe warn others.

Where to name and shame? Would the seller care if he is not a domain investor on forums?

 

[alcy]

How expensive is it to pursue this legally?



Where to name and shame? Would the seller care if he is not a domain investor on forums?

maybe he'll care for his escrow accont not to be banned.
mention that to him.

I assume this wasn't done through any auction site.
but even if so you can still nmention to him you will forward his information to every auction site you know to describe what kind of seller he is. they might or might not ban him from there based on that info, but you can still tell him you'll do your best to get him banned from those sites.

 

[wwwweb]

So is it a 3L.com, and the seller has maybe found out after the fact the domain is worth much much more than the deal is in for?

If you are from the US, you could lock the name up in litigation, and prevent it from being sold, until your outstanding issues are addressed legally.

 

[deez007]

I think it's going to a waste of your time and energy trying to pursue it. Even if you have written communication as proof that he was going to sell the domain to you. You and the seller did not enter into a legally binding contract that stipulates that he is obligated to complete the sale and is not allowed to change his mind.

Not at all saying what he did is right, it's totally unethical and it's basically him going against his word. Which obviously doesn't mean much to him. None the less, I personally think from you side there isn't much recourse you can actually take.... probably best to put on the "It is what it is" cap and move on to the next good deal you can find. Just my 2 cents

 

[artstar]

I'm not a lawyer, just providing friendly advice on what I would do.

If you came to an agreement, and it's documented - it's legally binding.

Remind them of that.

If they are in your same country you can seek some civil options, and send a C&D informing them that they are in breach of contract by continuing to own a digital property that they intended to sell.

That's about all you can do.

Good luck.

a contract is only binding if the people involved are following thru, hence a lot of lawyers in society. waste of time, move on.

 

[nvdomains]

If I were in your position, just forget about it. Time and money are more precious unless that is 6 figure value domain - you are getting for low 5 figure.

 

[DomainVP]

a contract is only binding if the people involved are following thru, hence a lot of lawyers in society. waste of time, move on.

Contracts and agreements are in place so that people follow through, a contract is not binding only if you are following through.

If you have the authority to transfer the domain, and you agree to do so based on a mutual agreement, it is an enforceable contract. Granted there are a lot of jurisdictional elements that come into play - in addition to legal fees.

http://www.forbes.com/sites/oliverh...ur-emails-enforceable-contracts/#68639ff9383c

The Appellate Division unanimously upheld the decision of the lower court noting that, in accordance with general contract law, Greene had apparent authority to settle the case on behalf of Gelco, and her email message set forth the material terms of the agreement, contained an expression of mutual assent and was not subject to any conditions such as the outcome of the summary judgment motion.

In this case - the eMail was enough to be considered as a contract.

You will find similar advice elsewhere;
http://www.domaininvesting.com/what-to-do-if-someone-backs-out-of-a-domain-deal/

Too many people say 'give up' or 'move on' when a simple C&D, which costs $0 dollars and maybe two hours of your time, could put someone who backs out of a deal back on track. Especially when you bring precedent and previous case law to their attention.

 

[Recons.Com]

Escrow will still charge buyer, if the transaction fails, if I am not mistaken.

Is the seller a legal entity in the US? If yes, you could also complain via BBB.org

 

[ZapNano]

I finalised a 5-figure domain deal with someone where I am the Buyer.

We set up the transaction on Escrow and I made the payment to Escrow.

Now, suddenly the Seller changed his mind and says he doesn't want to sell.

What to do?

I had similar situation; I did my part as a buyer responsibility. And the seller didn't do her part of responsibility; she told too much excuses. To me and to eBay. Left negative feedback to her. eBay took it off.
Move on, and forget about it all the way!! Binding, contract and ohh lala and bla bla are so weak..online and Internet transaction. But this is excluded with some real deep pockets...

 

[hollywood]

How expensive is it to pursue this legally?



Where to name and shame? Would the seller care if he is not a domain investor on forums?

Let escrow.com know about it, they must not like it either? I mean deals fall apart which is why escrow even exists...but to fall apart in such an arbitrary and capricious manner after the agreement, after the payment ... shame, that!

 

[hookbox]

You can't do anything about it because Escrow.com agrees that the seller can cancel at any time.

https://www.escrow.com/escrow-101/g...71209-13.Ff6Uxe2FShWrqhjTy7HvWA.1&utm_referre

8. Cancellation
Once escrow funds have been deposited, in the event that Seller fails to ship the merchandise within the required ten (10) day period or within any longer time period upon which Buyer and Seller have mutually agreed, Buyer may request a refund of the deposited funds. The request for refund shall be submitted to the support form. Buyer hereby agrees that the entire escrow fee shall be deducted from his/her/its refund regardless of any other previous arrangement for allocation of the escrow fee that may have been made between Buyer and Seller (and Broker when applicable). A Domain Name Holding transaction may not be cancelled by the Seller after the domain has been secured in Escrow.com’s holding account. Buyer and Seller also agree that Seller may request the escrow transaction be cancelled and the Buyer refunded, less escrow fees, at any time. In the event of a cancellation after funds are received, or rejection of merchandise, the Broker will not receive the commission unless otherwise stipulated in the escrow agreement.

 

[dnrabbit]

It seems that Escrow agreement does allow for a cancellation. So, as the Buyer, I am not at all protected. Furthermore, I have to bear over $300 in Escrow fee even upon transaction cancellation.