FACTS: A buyer and seller executed an Arizona REALTORS® Residential Resale Real Estate Purchase Contract (“Contract”).  Close of escrow is scheduled for September 23. Three (3) days before close of escrow, the buyer performs a walk through and notes the seller has not made repairs to two (2) items the seller agreed to correct in the Arizona REALTORS® Residential Buyer’s Inspection Notice and Seller’s Response.  Accordingly, the buyer delivers a Cure Period Notice (“Cure Notice”) to the seller for failure to make the repairs. 

The seller states she will not make the repairs.

The buyer will not sign loan documents unless the repairs are made.  Therefore, the seller delivers a Cure Notice to the buyer for failing to sign loan documents three (3) days prior to closing.

ISSUE: Can the seller submit a Cure Notice to the buyer if the buyer has already sent a Cure Notice to the seller?

ANSWER: Yes.

DISCUSSION:         

Pursuant to Section 7a of the Contract, “A party shall have an opportunity to cure a potential breach of this Contract.”  Further, pursuant to Section 7b of the Contract “In the event of a breach of Contract, the non-breaching party may cancel this Contract and/or proceed against the breaching party in any claim or remedy. . .” (emphasis added.)

Therefore, nothing in the Contract prohibits a party from providing a Cure Notice, even if that party has already received a Cure Notice. 

Note:  The Buyer Pre-Closing Walkthrough form should be utilized in this instance as checking the second box and listing item(s) not corrected also serves as a Cure Notice.