Bercut

Burg Bros. v. Bercut

Good Law
1925 Cal. App. LEXIS 296·73 Cal. App. 114·238 P. 166
Court of Appeal of CaliforniaJune 3, 1925Docket No. 5107.California2,899 words

Opinion

Lead Opinion

Knight, J.

These two actions were tried together, and resulted in judgments of nonsuit, from which judgments plaintiff appeals.

The principal question presented is whether the defendants, as vendees, under installment contracts to purchase land, after having made part payment of the purchase price, may, under the forfeiture clause of said contracts, terminate the same, and, other than forfeiting the money previously paid, avoid further liability thereunder. The forfeiture clause of the contract reads:

. . in the event of a failure of the Buyer to comply with any of the terms or conditions of this agreement, and the continuance of such failure for a period of 60 days after performance due, the Seller shall be released from all obligations in law or in equity to transfer and convey said property, or any part thereof, and the Buyer, shall forfeit all rights under this agreement, and all rights to any and all moneys which he shall theretofore have paid hereunder and said moneys shall he applied as rent for the use of said premises, and as liquidated damages _ and expenses occasioned hy such default, and not as a penalty.” (Italics ours.)

Respondents contend in support of the judgments of…

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