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--></style></head><body lang=EN-US link=blue vlink=purple style='word-wrap:break-word'><div class=WordSection1><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>What Criag said!:)<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Regards, Tom</span><span style='font-size:11.0pt;font-family:"Arial",sans-serif;color:#1F497D'><o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Thomas J. Westbrook <o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Attorney at Law<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Of Counsel<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Budd Bay Law, P.S.<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>324 West Bay Dr. NW<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Suite 201<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>Olympia, WA 98502<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'>360-866-400<o:p></o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Calibri",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Calibri",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-family:"Arial",sans-serif;color:#1F497D'><o:p> </o:p></span></p><div style='border:none;border-top:solid #E1E1E1 1.0pt;padding:3.0pt 0in 0in 0in'><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>From:</span></b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'> wsbarp-bounces@lists.wsbarppt.com <wsbarp-bounces@lists.wsbarppt.com> <b>On Behalf Of </b>Craig Blackmon<br><b>Sent:</b> Tuesday, October 28, 2025 8:03 AM<br><b>To:</b> WSBA Real Property Listserv <wsbarp@lists.wsbarppt.com><br><b>Subject:</b> Re: [WSBARP] limit on Earnest Money.<o:p></o:p></span></p></div><p class=MsoNormal><o:p> </o:p></p><div><div><div><div><div><p class=MsoNormal>Craig, the parties can agree to earnest money in excess of 5%. They simply need to include language sufficient to support the liquidated damages provision, as set forth in case law. I generally use something like:<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>"If Buyer were to breach this Agreement, Seller’s losses would be difficult or impossible to ascertain. The earnest money constitutes “liquidated damages” and is a reasonable estimate of Seller’s losses if Buyer breaches this Agreement. As Seller’s only remedy upon Buyer’s breach, Buyer will forfeit the Earnest Money, including that portion in excess of 5% of the Purchase Price."<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>If anyone has experience in handling an EM dispute of >5%, and whether forfeiture was enforceable, please share!<o:p></o:p></p></div><div><p class=MsoNormal><o:p> </o:p></p></div><div><p class=MsoNormal>Craig<o:p></o:p></p></div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><div><p class=MsoNormal><span style='font-size:9.5pt'>Craig Blackmon, <a href="https://www.mywsba.org/PersonifyEbusiness/LegalDirectory/LegalProfile.aspx?Usr_ID=000000029240" target="_blank">Attorney at Law</a><o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#212121'>92 Lenora St. #13, </span><span style='font-family:"Arial",sans-serif;color:#212121'>Seattle WA 98121 </span><span style='font-size:9.5pt'><o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#212121'>Office/Cell: (206) 369-5949</span><span style='font-size:9.5pt'> <o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-size:9.5pt'>On the blog: <a href="https://seattlepropertylawyer.com/blog/quitclaim-deed-explained" target="_blank">Changes to Title and the QCD</a><o:p></o:p></span></p></div><div><p class=MsoNormal><a href="https://seattlepropertylawyer.com/" target="_blank"><span style='font-size:9.5pt;border:solid windowtext 1.0pt;padding:0in;text-decoration:none'><img border=0 width=96 height=60 style='width:1.0in;height:.625in' id="Picture_x0020_1" src="cid:~WRD0000.jpg" alt="Image removed by sender."></span></a><span style='font-size:9.5pt'> </span><a href="https://www.fsbolawyers.org/" target="_blank"><span style='font-size:9.5pt;border:solid windowtext 1.0pt;padding:0in;text-decoration:none'><img border=0 width=96 height=92 style='width:1.0in;height:.9583in' id="Picture_x0020_2" src="cid:~WRD0000.jpg" alt="Image removed by sender."></span></a><span style='font-size:9.5pt'><o:p></o:p></span></p></div><div><p class=MsoNormal><span style='font-size:9.5pt'>CONFIDENTIALITY NOTICE: This communication is a private, confidential electronic communication encompassed by 18 USC 2510. It is for the sole use of the intended recipient and receipt by anyone other than the intended recipient does not constitute a loss of its confidential or privileged nature. Any review or distribution by others is strictly prohibited. If you are not the intended recipient please inform the sender and destroy all copies.<o:p></o:p></span></p></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div></div><p class=MsoNormal><o:p> </o:p></p></div></div><p class=MsoNormal><o:p> </o:p></p><div><div><p class=MsoNormal>On Mon, Oct 27, 2025 at 8:14<span style='font-family:"Arial",sans-serif'> </span>PM Tom Westbrook <<a href="mailto:tjw@w3net.net" target="_blank">tjw@w3net.net</a>> wrote:<o:p></o:p></p></div><blockquote style='border:none;border-left:solid #CCCCCC 1.0pt;padding:0in 0in 0in 6.0pt;margin-left:4.8pt;margin-right:0in'><div><div><p class=MsoNormal>Hey Craig, totally spit balling here, but can’t you have a separate earnest money agreement referenced in the P&SA that provides how the parties agree to handle the earnest money irregardless of statutory or case law, etc?<o:p></o:p></p></div><div><p class=MsoNormal>Best Regards, Tom Westbrook <o:p></o:p></p></div><div id="m_8014670184113739799m_-6730897695292674850ms-outlook-mobile-body-separator-line"><p class=MsoNormal><o:p> </o:p></p></div><div id="m_8014670184113739799m_-6730897695292674850ms-outlook-mobile-signature"><p class=MsoNormal>Get <a href="https://aka.ms/o0ukef" target="_blank">Outlook for iOS</a><o:p></o:p></p></div><div class=MsoNormal align=center style='text-align:center'><hr size=2 width="98%" align=center></div><div id="m_8014670184113739799m_-6730897695292674850divRplyFwdMsg"><p class=MsoNormal><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif;color:black'>From:</span></b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif;color:black'> <a href="mailto:wsbarp-bounces@lists.wsbarppt.com" target="_blank">wsbarp-bounces@lists.wsbarppt.com</a> <<a href="mailto:wsbarp-bounces@lists.wsbarppt.com" target="_blank">wsbarp-bounces@lists.wsbarppt.com</a>> on behalf of Craig Gourley <<a href="mailto:craig@glgmail.com" target="_blank">craig@glgmail.com</a>><br><b>Sent:</b> Monday, October 27, 2025 5:34:55 PM<br><b>To:</b> WSBA Real Property Listserv <<a href="mailto:wsbarp@lists.wsbarppt.com" target="_blank">wsbarp@lists.wsbarppt.com</a>><br><b>Subject:</b> [WSBARP] limit on Earnest Money.</span> <o:p></o:p></p><div><p class=MsoNormal> <o:p></o:p></p></div></div><div><div><p><span style='font-size:11.0pt;font-family:"Aptos",sans-serif'>Listmates, I understand the Earnest Money limitations contained in RCW 64. 04.005 and that earnest money outside of the 5% is controlled by case law. I have a very large developer that is offering my client substantially more than the 5% as Earnest money and they have offered to waive the statutory limit. Typically I would just restructure it as an partially an option payment but the developer is pushing back. I thought I would consult the collective before diving into case law. Any thoughts? Thanks!</span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:11.0pt;font-family:"Aptos",sans-serif'> </span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>GOURLEY LAW GROUP</span></b><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>THE EXCHANGE CONNECTION</span></b><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><b><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>SNOHOMISH ESCROW </span></b><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>P.O. Box 1091</span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>Snohomish, WA 98291</span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>PH: (360) 568-5065 (800) 291-8401</span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>Fax: (360) 568-8092 </span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'> </span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-size:10.0pt;font-family:"Calibri",sans-serif'>CONFIDENTIALITY NOTICE: This electronic mail transmission may contain legally privileged, confidential information belonging to the sender. The information is intended only for the use of the individual or entity named above. If you are not the intended recipient, you are hereby notified that any disclosure, copying, distribution or taking any action based on the contents of this electronic mail is strictly prohibited. If you have received this electronic mail in error, please contact sender and delete all copies</span><span style='font-size:11.0pt;font-family:"Calibri",sans-serif'>.</span><span style='font-family:"Aptos",sans-serif'><o:p></o:p></span></p><p><span style='font-family:"Aptos",sans-serif'> <o:p></o:p></span></p></div></div></div><p class=MsoNormal>***Disclaimer: Please note that RPPT listserv participation is not restricted to practicing attorneys and may include non-practicing attorneys, law students, professionals working in related fields, and others.***<br><br>_______________________________________________<br>WSBARP mailing list<br><a href="mailto:WSBARP@lists.wsbarppt.com" target="_blank">WSBARP@lists.wsbarppt.com</a><br><a href="http://mailman.fsr.com/mailman/listinfo/wsbarp" target="_blank">http://mailman.fsr.com/mailman/listinfo/wsbarp</a><o:p></o:p></p></blockquote></div></div></div></div></body></html>