Question
Ravinder Remorse entered into a written agreement with Sineka Satisfied to buy Sineka's condominium unit from her.The parties agreed that the purchase price for the
Ravinder Remorse entered into a written agreement with Sineka Satisfied to buy Sineka's condominium unit from her.The parties agreed that the purchase price for the condominium unit would be $225,000.Sineka had previously agreed to sell her condominium unit to another person, but that transaction had not been completed because the purchaser in that transaction had breached the purchase agreement.Sineka was very concerned that steps be taken to ensure Ravinder was serious about completing the purchase of her condominium unit this time around, so she demanded a deposit of $75,000 and insisted that the contract state: "In the event that the purchaser does not complete the transaction, the entire deposit will be forfeited as liquidated damages."As it so happened, Ravinder was unable to complete his agreement with Sineka due an unexpected financial setback.Sineka then declared that the deposit had been forfeited.Will Ravinder be able to recover all or part of his deposit?Please explain your answer fully.
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