Legal Question in Real Estate Law in California
unauthorized real estate transaction
I am a Tenant in Common with 5 other owners. We are selling the property. Our real estate agent had mentioned that she can open escrow even if not all Tenant in Common have approved and sign the purchase agreement.Can she get away with this? If escrow is opened and other sellers don't sign can Buyer sue all sellers ? Or just the agent for malicious action? Please advice .Thank you.
1 Answer from Attorneys
Re: unauthorized real estate transaction
Last case I had involving multips tenants in common, the parties were siblings who had been quarreling since they were toddlers. Escrow can be opened but, of course, one tenant in common who wants to be a stick-in-the-mud can cause huge problems. Respectfully recommend that the five of you retain, and sit down with, an neutral professional mediator and attempt to reach a consensus. Otherwise you will all incur lots of damages/legal fees when the buyer sues you all. The options at that point will be a lawsuit to partition the property which could be costly, both in terms of time and money, and could result in the property being auctioned at less than its market value.