Blood v. Gibbons

In this case we are presented with the narrow question of the proper construction of a forfeiture clause in a real estate contract for the sale of a private residence. The clause at issue becomes operative upon a breach of the contract by the buyer. At least two remedies are available under this provision — the right to forfeit the earnest money deposit, and the right to bring suit for compensatory damages for breach of contract. We must decide whether the seller is contractually restricted to elect only one of such remedies, or whether the seller may avail himself of both remedies when his…