I entered into discussions with an owner to purchase his business. During the process I agreed verbally and via email to pay for the owners lawyer to draft the purchase and sale agreements.
The owner and I created a list of terms for the contract, not included on those terms was that I was to pay for the lawyer fees involved in the drafting of the contract although I fully intended to at closing. The owner was going to finance my purchase of the business.
Upon receipt of the drafted contract the owner had added two items not on the terms of agreement:
- mortgage on my home.
- The ability to approve salaries and wages for my employees.
I called off the deal in part because of the items above and in part because I felt he had failed to operate the business over the previous 4 months in a manner that would allow me to succeed. He is now taking me to small claims court to pay for the lawyer fees. Does he have a case?