The question which arises in this context is whether a vendor who forfeits a deposit under a validly terminated contract for the sale of a principal place of residence, or who sues to recover an unpaid deposit and damages for breach of contracts, is liable for capital gains tax on the amount of the forfeited deposit.
Above is an extract from a text book. It is explaining the tax implications when deposit is forfeited to a vendor. The vendor does not pay deposit, the purchaser does.
In the dictionary the word forfeit is defined as "to lose something or have something taken away from you because you have done something wrong."
However, in the above sentence the word forfeit is used as to mean seize or take, an exact opposite of the meaning shown in the dictionary.
Is the above usage correct?