55Right of purchaser to recover deposit etc

#### 55 Right of purchaser to recover deposit etc 55 Right of purchaser to recover deposit etc > > (1) In every case where specific performance of a contract would not be enforced against the purchaser by the Court by reason of a defect in the vendor’s title, but the purchaser is not entitled to rescind the contract, the purchaser shall nevertheless be entitled to recover his or her deposit and any instalments of purchase money he or she has paid, and to be relieved from all liability under the contract whether at law or in equity, unless the contract discloses such defect and contains a stipulation precluding the purchaser from objecting thereto. > > > (2) If such undisclosed defect is one which is known or ought to have been known to the vendor at the date of the contract the purchaser shall in addition be entitled to recover his or her expenses of investigating the title. > > > (2A) In every case where the court refuses to grant specific performance of a contract, or in any proceeding for the return of a deposit, the court may, if it thinks fit, order the repayment of any deposit with or without interest thereon. > > > (3) On the application of the purchaser the Court may order payment under this section and declare and enforce a lien in respect thereof on the property the subject of the contract. > > > (4) This section applies only to contracts made after the commencement of this Act and shall have effect notwithstanding any stipulation to the contrary. > > > (5) This section applies to land under the provisions of the [Real Property Act 1900](/view/html/inforce/current/act-1900-025). > > **s 55:** Am 1930 No 44, sec 15 (a); 1970 No 52, Second Sch (am 1972 No 41, Second Sch).