With the recent changes in the economy and lackluster financing options, sellers of commercial property, hotels in particular, are increasingly facing purchasers unable or unwilling to close on the property in accordance with the purchase agreement.

The question then arises as to what a seller is to do when concerns emerge about the viability of their deals?

In some cases, the transaction fails outright because the purchaser is unable to secure financing. In others, the seller may face an unfounded basis to terminate the contract in an attempt to save its down payment.