March 18th, 2024 at 4:09 pm
Fact Pattern: A buyer’s agent accompanies a buyer to preview a property listed for sale. Months later, the listing is about to expire. The listing agent has a safe harbor period that protects the listing agent’s commission for 180 days after the expiration of the listing for buyers who have previewed the property or have written an offer (see paragraph 3A(2) of C.A.R.’s Residential Listing Agreement). The listing agent wants to put that buyer’s name on a Notice of Prospective Buyers (NPB) to give to the seller.
Multiple Choice Question: Which one of the following statements is true? Pick the best answer:
A. The listing agent can require the buyer’s agent to disclose the buyer’s name.
B. The buyer’s agent has the right to give the buyer’s name to the listing agent.
C. The buyer’s agent may have a duty of confidentiality to the buyer that prevents the buyer’s agent from disclosing the buyer’s name.
D. The buyer’s agent can give the buyer’s name to the listing agent if both agents work for the same brokerage. (more…)
March 11th, 2024 at 4:13 pm
True or False? If a buyer and seller have entered into a C.A.R. Residential Purchase Agreement (RPA) that identifies the buyer as “John Doe and/or assignee,” John Doe has the right to assign the contract to any other buyer during escrow. (more…)
March 4th, 2024 at 8:02 pm
Background: In the Legal Tip for the last 2 weeks, we’ve been discussing how a seller is generally obligated to disclose to the buyer any known material fact affecting the property. Yet, sellers sometimes refuse. As the listing agent, that situation places you between that proverbial rock-and-a-hard-place. If you do not disclose, the buyer may eventually come after you and the seller for non-disclosure. If you do disclose, the seller may come after you for breach of your fiduciary duty by failing to abide by the seller’s instruction not to disclose. The only viable solution may be for you to convince the seller to disclose. Here are some pointers to help you convince the seller to disclose: (more…)
February 26th, 2024 at 4:08 pm
Multiple Choice Question: In last week’s Legal Tip, we discussed a seller’s general obligation to disclose known material facts affecting the property. But sometimes the seller refuses. What should a listing agent do if a seller refuses to allow disclosure of a known material fact to a buyer? Pick the best answer:
A. Do not disclose under the listing agent’s fiduciary duty to the seller.
B. Disclose to the buyer anyway, because the listing agent has an independent duty to disclose.
C. Convince the seller to disclose.
D. Terminate the agency relationship with the seller. (more…)
February 19th, 2024 at 1:45 pm
Multiple Choice Question: Under what circumstance is a seller legally obligated to provide a buyer with property-related reports that are in the seller’s possession? Pick the best answer:
A. In every circumstance.
B. When the seller falls under the Transfer Disclosure Statement (TDS) requirement for one-to-four residential units.
C. In most circumstances.
D. When the report is less than 4 years old. (more…)
