Thread: seller holding my down payment for condo

i put $20,000 down payment for a condo in East Brunswick, NJ. I was approved and everything was fine, my lawyer and the seller's lawyer was trying to close on 12-05-08 or 12-08-08 but they were waiting for some more paperwork I got a call from the Bank around on 12-05-08 and they said to me that the loan was dined because they did a questioner and there was a lot of problem with the condo development ( almost 50% of the property were not paying their dues. I called my lawer on the 5th of Dec and she told me that I might lose my 20,000 even it says on the contract that i will be getting all my down payment if the contract was canceled. I faxed her a letter of denial and than she said that I should be getting my money, I even offered that I will pay $800 for the seller's lawyer fee. first they said yes and now they say he wants a lot more than that.

Today is almost a month later and every day my lawyer tells me that the other lawyer did not answer her. Finally today the seller's lawyer told my lawyer that she will not be in the picture any more and he's getting another lawyer to sue me. I asked my lawyer if they have the right to hold my money (which is in trust account with the seller's lawyer ) and she said yes they can hold it for ever. Now she says that she will send his lawyer a letter telling him that if i don't get the money within 2 weeks I will take him to court and he wont be able to sell his condo and it wiil freeze till it's all over.

Can someone advise me what to do, the seller is acting like it's my fault and my lawyer is not doing much about it because maybe there isn't much for her to do but at the same time she says that everything on the contract says that you should be getting your money back.

Should I get a another lawyer and take him to court?

Thank you in advance

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