On April 13 the Barclays signed an agreement to purchase certain property owned by the Taylors for the sum of $15,500. The purchase and sale agreement did not specify a form of payment except that the purchasers were to pay a deposit of $500 in cash and the balance on closing. The date of closing was set out in the agreement as July 1. The agreement also contained the following provision: This sale is conditional for a period of 15 days from the date of acceptance upon the Purchaser being able to obtain a first mortgage in the amount of ten thousand dollars ($10,000); otherwise, this agreement shall be null and void and all deposit monies shall be returned to the Purchaser without interest or penalty. This Sale is also conditional for a period of 15 days from the date of acceptance upon the Purchaser being able to secure a second mortgage in the amount of $2,500 for a period of five (5) years; otherwise, this agreement shall be null and void and all deposit monies shall be returned to the Purchaser without interest or penalty. The Barclays were able to arrange for a first mortgage of $12,000 and on April 28 a notice in the following form was delivered to the Taylors: This is to notify you that the condition specified in the agreement of purchase and sale between the Vendors and Purchasers has been met. The transaction will therefore close as per the agreement. On July 1 the Barclays presented a certified cheque to the Taylors in the amount of $15,000. The Taylors, however, refused to deliver the deed to the Barclays on the grounds that the condition in the purchase and sale agreement had not been complied with. The Barclays then instituted legal action against the Taylors.

Discuss the nature of this action and the defenses, if any, that may be raised. Render a decision.