You must file your Claim Opposing Forfeiture (MC-200) within 30 days after you receive personal or mailed notice that your property may be forfeited. A forfeiture clause stipulates that should the buyer in a transaction fail to pay their monthly payment, the seller can reclaim the land that was sold.An election of forfeiture goes on a three day notice to pay or quit. Failure to Close Escrow; Forfeiture of Earnest Money Deposit. In the event escrow does not close due to Buyer's actions, Buyer shall forfeit the Earnest Money. Liquidated damages are a sum determined when a contracts is made that both parties agree will be paid if a breach of contract occurs. Under California asset forfeiture law, law enforcement may permanently seize property that's connected to a crime. Valery Nechay Law can help you. A forfeiture clause is a provision in a contract that states that one party may have to give up something to the other party under certain circumstances.