At the end of negotiations but before the agreement was signed the apartment owner suddenly withdrew his decision to sell the apartment.
The Court held that any party to negotiations may withdraw at any stage, as long as such party did not express full commitment to be bound by contract and subject to the obligation to act in good faith. As a general rule, the remedy in the event of breach of the duty to act in good faith during negotiations is "compensation for damage caused due to the negotiations", i.e. reliance damages. In exceptional cases, one may sue for expectation damages which are damages in the amount of profit had the agreement been enforced. In this case, the owner withdrew from the negotiations after all the conditions and details pertaining to the transaction were agreed because he sought to get a higher price for the apartment. Thus, the agreement will not be enforced but it is lack of good faith and the purchaser is entitled to compensation for that.