§ 873.760.Failure of Purchaser to Pay Sale Price
Title 10.5. Partition of Real and Personal Property · Chapter 6. Sale of the Property · Article 3. Consummation of Sale · Enacted 1976 · no amendments on record · Last verified July 28, 2026
Full Text of § 873.760
Plain-English Summary
A confirmed sale can still fall through at the payment stage. This section addresses that possibility directly: if the purchaser, after confirmation of the sale, fails to pay the sale price, the purchaser remains subject to the court's jurisdiction and to further proceedings in the action.
A party or the referee may then move the court, upon notice, for one of two forms of relief. Subdivision (a) allows a resale of the property under the notice procedures this chapter otherwise requires; if that resale results in a loss, the referee may recover the amount of that loss, along with costs and expenses, including a reasonable attorney's fee, from the purchaser who failed to pay.
Subdivision (b) offers an alternative: the referee can instead maintain an action against the defaulting purchaser for the amount of the sale price itself, and if the referee recovers judgment, the referee is awarded a reasonable attorney's fee against that purchaser. Which remedy makes more sense often depends on practical considerations — whether the market still supports a strong resale price, or whether pursuing the purchaser directly for the money owed is the more promising path.
Frequently Asked Questions
What happens if a confirmed purchaser doesn't pay the sale price?
The purchaser remains subject to the court's jurisdiction, and a party or the referee can move the court for relief.
What relief is available when a purchaser defaults on payment?
Either a resale of the property, with the defaulting purchaser liable for any resulting loss plus costs and a reasonable attorney's fee, or a lawsuit by the referee against the purchaser for the full sale price.
Does the referee recover attorney's fees in either scenario?
Yes. A resale that results in a loss and a successful suit for the sale price both provide for a reasonable attorney's fee against the defaulting purchaser.
Amendment History
Added by Stats. 1976, Ch. 73.