Legal Definition
(a) If after court confirmation of sale of real or personal property the purchaser fails to comply with the terms of sale, the court may, on petition of the personal representative, vacate the order of confirmation, order a resale of the property, and award damages to the estate against the purchaser.
(b) Notice of the hearing on the petition shall be given as provided in Section 1220 to the persons designated by that section and the notice and a copy of the petition shall be given to the buyers and brokers named in the order confirming sale, except that notice need not be given to a defaulting purchaser whose written consent to the petition is filed with the court before the hearing.
(c) Notice of the resale of the property shall be given as provided in this chapter for a sale of the property in the first instance.
(d) Proceedings after notice of the resale shall be as provided in this chapter for a sale of the property in the first instance.
(e) If the property is resold, the defaulting purchaser is liable to the estate for damages equal to the sum of the following:
(1) The difference between the contract price of the first sale and the amount paid by the purchaser at the resale.
(2) Expenses made necessary by the purchaser’s breach.
(3) Other consequential damages.
Basic Definition
Section 10350: This probate code allows a personal representative to vacate a court-confirmed sale if the purchaser defaults and outlines steps for resale, notice requirements, and damages recoverable by the estate.
In-Depth Overview and Use Cases
This section provides a mechanism for addressing purchaser defaults after court-confirmed sales of estate property. It enables personal representatives to petition the court to vacate the sale, order resale, and recover damages. For example, if a purchaser fails to pay the agreed sale price for a decedent’s real estate, the estate may seek damages for the difference in sale price, breach-related expenses, and consequential damages. Use cases include protecting estate value and ensuring equitable remedies for beneficiaries.
Application & Relevance
This section is critical in probate litigation where disputes arise over estate sales. It protects the estate’s financial interests by holding defaulting purchasers accountable. Probate attorneys rely on this code to mitigate losses from breached sales agreements and to manage the resale process within legal parameters.
Legal Scenario
Trust Litigation
Probate Code Impact
This section allows a personal representative to petition the court to vacate a sale order and resell property if the purchaser defaults. The estate can recover damages, including the difference in sale prices and any additional expenses, ensuring trust assets are not lost due to a purchaser’s breach.
Legal Scenario
Probate Estate
Probate Code Impact
In probate, if a property sale is confirmed by the court but the buyer defaults, Section 10350 allows the personal representative to pursue a resale and recover damages. This ensures the estate receives fair value for its assets.
