Legal Question in Real Estate Law in California

seller liability

seller is selling their house for $1.2M. Buyer approaches with a $2.5M offer, requesting that buyer amends escrow after loan is funded where cash back goes to 3rd party trust (not the seller). Seller only receives the $1.2M. Assuming some form of fraud between buyer/appraiser/3rd party, can the seller be held legally accountable in any way?


Asked on 9/27/07, 9:58 pm

2 Answers from Attorneys
Robert F. Cohen Law Office of Robert F. Cohen

Re: seller liability

It sounds shady to me, like money laundering. I'd be very reluctant to do anything except put the money in the seller's account if the deal is for $2.5m. If it sounds too good to be true, it probably is.

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Answered on 9/27/07, 11:04 pm
Anthony Roach Law Office of Anthony A. Roach

Re: seller liability

Mr. Cohen is right. If it quacks like a duck, it is probably a duck. This whole transaction sounds fishy.

If a crime is being committed, don't be a pawn in the scam, because the DA's office or the FBI could say later you were a co-conspirator and participant in whatever is going on. You do not want to be indicted as a co-conspirator in a felony trial, you just want to sell a house.

Don't participate in someone else's crime, ever.

Very truly yours,

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Answered on 9/28/07, 11:41 am


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