seller passed away, sellers representative is demanding we change terms
Hi everyone, newbie here. We're purchasing a 5 unit in Iowa and the seller passed away, the transaction is still going to go through via the other courts, however the seller's agent told our agent today that even after the court approves the sale that they will be renegotiating the terms. Particularly one of the terms we had in place where we receive four months in rents from each tenant paid via inheritance because the tenants are the deceased sellers children who, by her own words when she was alive, pretty much free loaded off their mom. Does this sound legal to do? Can terms be renegotiated this late in the game after a contract has been executed?
[{"id": "idgpc97", "text": "Consult with your trusted real estate attorney. If the contract was signed by both parties (buyer/you and seller/deceased), the seller's estate has a duty to uphold their end of the contract. If they do not do so, they are in default of the contract. Most PSAs have language regarding a seller default of contract and remedies to the buyer. \n\nYour attorney can send their estate or probate executor (emphasis on ESTATE - not the seller's children) a letter reiterating the terms of the contract and the estates duty to uphold the terms included in the contract.", "replies": [{"id": "idgscc3", "text": "Thank you much for he info, we're having a call with one on Monday so we're hoping to get this worked out asap.", "replies": [{"id": "idh29ui", "text": "Hope it goes well! We actually had the exact same thing happen on a purchase 2 years ago. The probate/estate handled the closing of the transaction although both parties were amicable in our situation. Best of luck", "replies": [{"id": "idhtvzj", "text": "Key thing is having both parties amicable. There could be major disputes on inheritance and competency of someone signing a contract right before death. \nTitle won't insure the closing unless there is clear ownership with the estate and no pending litigation regarding inheritance.\nThe relative at the property could sink the deal if they engage a lawyer once they find out they owe rent.\nEventually OP could force them to close, but when it is an emotional transaction, this litigation can drag out, especially if the court is already backed up after Covid.", "replies": [], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "idgt1u7", "text": "Pretty sure the contract is voidable now so tread lightly maybe consulting an attorney is your best option", "replies": [{"id": "idgwl8k", "text": "How so?  What experience is this assertion based on. Genuinely Intrigued because in my experience I disagree.", "replies": [{"id": "idgx6p2", "text": "At least in my state contracts are voidable if one party dies in the middle of the transaction", "replies": [{"id": "idhkfpt", "text": "That's not the norm - what state out of interest?", "replies": [{"id": "idhkiee", "text": "Tennessee", "replies": [{"id": "idhkofl", "text": "Thanks - that's an interesting piece of Tennessee legal trivia.", "replies": [], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "idgtg16", "text": "The only way that it could likely be renegotiated is in the following circumstances: (1) there is some issue with the way it was negotiated (i.e., seller was under duress, not mentally competent, fraud, etc.) or (2) there is some unique nuance in your state regarding real estate / probate law. The children would be considered the seller's successors/assigns under the PSA and should be bound by the terms of the PSA. \n\nAs TheBaconShortage (great user name btw) advised,  you should talk to a probate lawyer who is familiar with real estate law and see if they can help you through the process. Also, look at your contract and see if there's an attorney fee provision (typically at the end and possibly called a \"prevailing party provision\"). If so, they would have to pay your atty fees if they challenge the contract terms in court and lose. Something to threaten them with in a nasty letter if they really follow through with their threat.", "replies": [{"id": "idgty0q", "text": "Thank you so much for this info!", "replies": [], "depth": 2}, {"id": "idh2aft", "text": "&lt;3", "replies": [], "depth": 2}], "depth": 1}, {"id": "idgugph", "text": "If the contracts been executed and deed is in the hands of an escrow agent, then I wouldn\u2019t worry.", "replies": [], "depth": 1}, {"id": "idgv3tm", "text": "You have the power to demand performance, if they do not then part ways.", "replies": [], "depth": 1}, {"id": "idi4mf3", "text": "Prolly just let the deal die. The realtor will fold before they let that sale go right now.", "replies": [], "depth": 1}]