Even the best real estate deals and projects can turn sour, with the buyer, seller, developer, or some other party displeased and threatening a lawsuit. Although there are potential alternatives to legal action that could resolve the dispute or mitigate its costs, some disagreements inevitably end up in court.
Retaining an experienced real estate litigation attorney is essential to protecting your rights and interests while seeking the most advantageous outcome. Find out why so many Ventura County clients trust the seasoned counsel of Schneiders & Associates, LLP.
Common Causes of Real Estate Litigation
Understanding why real estate lawsuits happen is the first step towards devising a strategy to address the underlying issues. A few of the most common reasons for litigation include:
- Contractual disputes: Contracts govern nearly everything in real estate, from commercial leases to residential real estate purchases to development. But disagreements can arise in the negotiation, drafting, and execution stages, as well as performance under the contract. The parties may not agree on the terms or be accused of breaching them, triggering a lawsuit.
- Buyer or seller misrepresentations: Parties who buy or purchase real estate are expected to make certain truthful promises and warranties about the property. A seller, for instance, should disclose defects, conditions, encumbrances, hazards, and other material information. On the other hand, a buyer may improperly rescind their offer to purchase by falsely claiming that certain contingencies were not met.
- Lease issues: Residential and commercial parties to lease agreements are expected to abide by certain requirements, but a number of events such as non-payment or someone damaging the property could lead to legal action. There may also be disagreements over who should be held liable in the event someone gets injured on the property, and the courts may need to settle the matter.
- Boundary and title disputes: Property boundaries are not always as settled as people would imagine, especially if a proper survey was never performed on the property. Likewise, the question of who has clear title to the property can cause a host of problems for buyer and seller alike.
- Land use and regulatory matters: State and local governments regulate how real estate can legally be used. An example of this is zoning laws, but rules may also impose more detailed restrictions on what an owner or tenant can do with the property. Before purchasing land, especially if you are a business with a predetermined plan for how it is to be used, consult a knowledgeable Ventura County real estate lawyer.
- Mortgage problems: If the property owner fails to pay the mortgage, foreclosure proceedings are likely on the horizon. But other mortgage issues can arise such as borrower or lender misrepresentations and breaches of contract. A prior mortgage may also affect property title and raise legal questions.
- Construction and development matters: New construction, renovations, and real estate development are big business and can affect numerous parties such as buyers, sellers, land owners, workers, lenders, and others. When projects do not go as planned, or express or implied warranties are not honored, one should expect a lawsuit.
Does a Real Estate Lawsuit Have To Go To Court?
Nobody wants to deal with courts and litigation. And although a party to a real estate deal or project may decide to file a lawsuit, this does not necessarily mean the matter will go to trial. Regardless of what stage of litigation in which you find yourself or your business, you have options such as:
Negotiation
This is the simplest and most informal route, and essentially involves discussions among the lawyers who represent each party to the transaction. Negotiations can happen at any time in person, over the phone, over email, or in written correspondence. They may continue for weeks or months while a trial is pending, but if a settlement appears likely, the parties may request that the judge push back the court date so the lawyers can finalize everything.
Mediation
Mediation is a more formal and structured negotiation process that is facilitated by a neutral third party known as a mediator. The mediator does not make decisions for the parties, but encourages them to consider the risks of trial versus the benefits of settlement while actively developing a compromise between them. An attorney can represent you during mediation to make sure you understand your rights and the consequences of any settlement offer.
Arbitration
Some real estate agreements require arbitration among the parties before they may file a lawsuit. Arbitration is different from mediation in that the third-party arbitrator is empowered to make decisions that dispense with the underlying issues. Similar to an informal trial, arbitration is either non-binding or binding, depending on the contract, but even with a binding agreement there may be ways to bring the dispute into a court.
Why Hire a California Real Estate Litigation Attorney?
Litigation and other avenues of resolution are complex, and your rights could be in jeopardy if you are unfamiliar with the law. Whether you are a plaintiff or defendant, or a disagreement has emerged without litigation, you deserve skilled legal representation to handle every aspect of your case. Schneiders & Associates, LLP helps clients by doing the following:
- Investigating the circumstances and acquiring evidence surrounding the dispute
- Negotiating with other parties to seek an amicable resolution to the dispute or lawsuit
- Representing you in mediation by explaining the legal ramifications of proposed agreements and helping you determine whether to settle or go to trial
- Representing you during arbitration to advocate for the most optimal decision
- Protecting your business interests and working to preserve valuable business relationships
- Leveraging our considerable real estate and litigation experience on your behalf
Contact Our Ventura County Real Estate Litigation Attorneys
The result of a real estate lawsuit can affect your finances and your future, regardless of which party you are in the case. We’re here to make the process easier, work to obtain the best possible outcome, and help you move on. Connect with Schneiders & Associates, LLP today to learn more.