T.S.
My husband is a litigating Real Estate Attorney. He handles cases throughout Illinois. Unfortunately with the market the way it is right now a lot of sellers are pulling things like what you're describing because they can't get what they want for their house. The stupid thing is that the seller can't touch the money anyway, so she's just being stubborn.
If you want to talk to my husband you can call him at ###-###-####. His name is Jeff Sperling. Good luck!