Kate, a real estate developer, signs a contract to purchase a lakefront property from Logan at $10,500,000 for 120 acres more or less. If she discovers one week before closing that the lot is actually only 85 acres, would she most likely be able to rescind the contract?
Question 3 options:
a) yes, because even though this transaction appears to be a "sale in gross," the deficiency of almost 30% would be found too excessive by most courts.
b) no, because this transaction appears to be a "sale-in-gross," and a 30% deficiency would not be found sufficient to rescind the contract by most courts.
c) no, because classifying this transaction as a "sale-in-gross" as opposed to "sale per acre" has no bearing on the result.