Can you Hold Back Funds on Closing When an Appliance is Broken?

Holding Back FundsThe simple answer is: No. As in any contractual situation, the agreement of purchase and sale is the first document that should be reviewed. Unless your agreement of purchase and sale gives you the right to holdback a specified sum of money, other than in certain situations where there is material damage or a material failure, you cannot refuse to complete the transaction nor can you holdback money. Your only remedy would be to complete the agreement of purchase and sale and then pursue your seller for compensation in court. From the purchaser’s perspective, it is prudent to include the right to holdback funds however you will need a stellar negotiator acting on your behalf in order to convince your seller to include this provision.