Patel

Appellants P. V. and Kirit Patel sued for specific performance of a real estate contract and incidental damages from respondents and sellers L. G., S. L., and Rajeshkumar Patel. The sellers successfully defended the specific performance action at trial, although they were ordered to compensate P. V. and Kirit for all expenses incurred to execute the contract. P. V. and Kirit Patel appeal, contending that (1) as bona fide purchasers for value, they were entitled to specific performance and (2) the trial court should have awarded them damages, costs, and attorney fees. We affirm the judgment.

I. Facts

Respondents L. G. and S. L. Patel, husband and wife, own and operate the City Center Motel in Eureka. Appellants P. V. and Kirit Patel, father and son, own and operate another motel in the same community. On April 16, 1986, 1 Rajeshkumar, the son of L. G. and S. L., formed a partnership with his parents and became owner of 35 percent of the City Center Motel. The partnership agreement required that Rajeshkumar approve any sale of the motel. Record title to the motel was not changed to reflect his interest.

On April 21, L. G. and S. L. listed their motel for sale with a real…