Deals fall through for all kinds of reasons: financing that doesn’t come together, an inspection that turns up bad news, a title problem, or a closing date that just doesn’t happen. What matters legally isn’t just that the deal collapsed, but why. Mississippi law treats those reasons differently, and understanding the difference can affect who keeps the earnest money and what happens next.
Mississippi’s statute of frauds requires a contract for the sale of land to be in writing and signed, so texts or verbal promises to extend a deadline generally won’t hold up on their own, under Miss. Code § 15-3-1. A missed closing date doesn’t automatically count as a material breach either.
Mississippi courts have said that simply setting a closing date doesn’t make time “of the essence,” and whether a delay mattered often turns on the facts, as explained in Haidar v. Margetta. Option contracts are treated more strictly, since Mississippi courts have held that a late exercise of an option can cause it to expire, per Robinson v. Martel Enterprises.
There’s also seller disclosure. Mississippi requires a written property condition disclosure statement in most residential sales under Miss. Code §§ 89-1-501 through 89-1-527, and a late disclosure can give the buyer a short window to walk away, per Miss. Code § 89-1-503. That said, a disclosure problem doesn’t automatically void the sale on its own.
Earnest money isn’t automatically owned by either party. Mississippi Real Estate Commission rules require the broker to hold it in trust, and if there’s a dispute over entitlement, the broker can ask a court to decide rather than pick a side.
Whether you’re buying or selling, keep a full paper trail, including the signed contract, inspection reports, disclosure forms, and any written notices tied to the delay or termination. Calendar every deadline in the contract, and put concerns in writing as soon as they come up.
If your Mississippi real estate deal is falling apart before closing, O’Brien Law Firm, LLC can help you understand your options. Reach out to us at 662-672-7619 or through our contact form.
A Chapter 13 bankruptcy plan is built around a debtor’s income and expenses at the time it’s confirmed. Life doesn’t always cooperate with that schedule. A layoff, a divorce, a new baby, or a medical bill can throw off a payment plan that looked workable a year earlier.
Once a Chapter 13 plan is confirmed, it binds both the debtor and the creditors. That’s the effect of confirmation under federal bankruptcy law, and it means a debtor can’t simply start paying less because money got tight. According to the U.S. Courts Bankruptcy Basics guide, missing confirmed plan payments can lead to dismissal or conversion to Chapter 7. The safer path is a formal modification, not a quiet adjustment.
Under 11 U.S.C. § 1329, a confirmed Chapter 13 plan may still be modified before payments finish, and the debtor, trustee, or an unsecured creditor can each request that change. That might mean bigger or smaller payments, a longer or shorter term, or a different approach to certain claims. However, it still must meet Chapter 13’s confirmation standards, including feasibility and good faith.
A debtor does not have to prove a dramatic or unforeseeable change before asking to modify a confirmed Chapter 13 plan. Mississippi bankruptcy authority, applying Fifth Circuit law, recognizes that § 1329 does not impose that threshold requirement, although the moving party must still show the proposed change fits within the statute.
Notice must also be sent to the trustee, creditors, and the U.S. Trustee under Federal Rule of Bankruptcy Procedure 3015, giving everyone a chance to object.
If income drops or expenses rise mid-plan, gather pay stubs, medical bills, or documentation of the change and reach out to counsel before the trustee files a motion to dismiss. Waiting rarely helps.
At O’Brien Law Firm, LLC, we work with Mississippi clients whose Chapter 13 plans no longer match their financial reality, and we can talk through whether modification makes sense for your situation. Call us at 662-672-7619 or reach out through our contact page.
