Ways to deal with a tough seller who is a lawyer

Profile picture for mbuyer0
I recently tried to purchase a home and the deal fell through because the house has too many inspection issues and as per contract and advise from my attorneys we cancelled contract as per my rights.

The seller is mad and has been bothering us using the unfair advantage that he happens to be a lawyer and is waging a legal battle against me draining me of legal fees. My litigation attorneys advise me that we will prevail but unfortunately after very significant legal fee which keeps growing. The seller is not facing the legal cost pain as he is using his own legal firm to litigate.

My question is this: What other legal means I have to level the playing field and make this seller see reason and drop this case, go fix his house and sell to a new buyer.
Do I have the right to share my story in local publications, blogs. If I can do this and bring the story in front of potential buyers then I hope the seller will see reason and resist from unfairly using his access to legal process against me.
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January 13 - Millburn

Replies (11)

Profile picture for Cindy Quinton
What a tough position. What does your lawyer say about "going public" so to speak?

There is a local TV station here that does these segments where they publicly delve into stuff like this. Do you have a similar one?

Also, you might consider that anything that keeps him from selling the house could be bad for you, assuming that if he sells the house quickly for the same amount as you were going to pay, he REALLY loses ground in a legal case.

Out of curiousity, and so that anyone with real experience knows the particulars, what is claiming as grounds?
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January 13
Profile picture for Pat Pribisko
Unfortunately, this is not a forum for legal advice.  I suggest that you talk to your attorney about ALL of the options you have at this point in time. 
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January 13
Millburn......I went to the Millburn schools.

What a terrible position to be in.  I had a similar experience my first time tryng to buy a home a lifetime ago, except I didn't have to deal with a seller who was an attorney.  Everything else was similar though-  inspection issues brought home some nasty realities I knew I wasn't prepared to deal with, I cancelled the contract the day after the inspection, did everything right, yet seller threatened to sue because they claimed the things that showed up in the inspection weren't that big of a deal. 
Yet they refused to allow another inspection or make any price concessions or let us out of the contract.
They said they would sue.  We were a naive, young couple with no extra money and we had to pay 5k to get out of the contract.   Our RE attorney let us down, our agent let us down (in those days all agents represented the seller) and the sellers were bullies.

Yours is not a question that can be fairly dealt with on this forum because it is a legal question but I am curious, you mention your litigation attorney. Did you have an RE attorney?   If so, what do they say about this?? 
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January 13
Profile picture for Caveat Emptor
THIS IS NOT LEGAL ADVICE, I AM NOT AN ATTOURNEY. THIS IS ONLY FREE ADVICE FROM ONE PERSON TO ANOTHER. I RECOMMEND CONFIRMING EVERY WORD WITH SOMEONE WHO WENT TO SCHOOL FOR IT. THANK YOU.

Well, in addition to his not having to pay for legal expenses. i don't really think you will be able to bully him with "exposure." first, you'll give him ammo in a separate case, that you would probably also win, but sue happy lawyers are seldom dissuaded as such. chances are putting his name on every tv and newspaper in the state would neither prevent him from selling his home, nor hurt him or his firm.

So, here is the deal. I believe that you are required to offer the seller the opportunity to fix whatever the inspection said was wrong, before walking. if he refuses to fix everything(not like busted garbage disposal like stuff) and you can't negotiate a fair deal either (eg 10,000 off the purchase price or whatever) then you have the right to cancel your contract. I assume this is all true.

Next, there is a limit to the draining he can do. he can ask for continuances, make motions to change venues, subpena documents, write letters and place phone-calls to your attorneys to milk you for billable hours, but the case you have here is a contract case. He is claiming breach of contract because you walked away from the deal, but you had grounds to do so and you negotiated in good faith. This is a legitimate defense and presumably you have been told this already by your guys. If he wanted to play the "big buisness takes it to the little guy" game, you can't do it without spending money. He would attempt to demonstrate that your inspection was fraudulent and that you intended to defraud him or some such thing. He would need to investigate you and show that you committed a crime. That would be expensive and would involve him breaking a few laws of his own unless he employed an army of 3rd party investigators.

If he does file a suit: counter file for legal fees, the return of your earnest money and anything else that your ATTORNEY thinks prudent. the term extortion comes to mind.

At the same time, write a letter to the BAR association in your state explaining the exact situation; supplying notarized witness statements and if possible documents written by the jerk in his own words explaining how he was going to "bleed you dry" or dismissing the 4 foot hole in the roof as being "not his problem." Presumably he had to have justified his decision to not renegotiate the terms. You can provide the home inspector's report too, but try to keep the bundle to being no more than 5-6 pages and mostly personal stuff. if your lawyer could chime in, all the better. talk about how helpless you feel, how hes taking advantage of the situation and beg them for help. the state BAR controls this attorney's life. they can yank his license to practice and he would be up a creek without a paddle.

If he involves his firm then do the same thing to the firm and also file a complaint with the BBB.

from this point on, don't say anything to him. Write a clear letter that your business has been concluded and that all correspondence should be submitted in writing and give an address. Either your attorney or your home, or business. You should also put in there something about how poorly you feel that you have been treated, reaffirm how you tried to negotiate and how disappointed you were when the guy found that problem that really made you reconsider. Send this letter certified mail and keep the receipt with a duplicate copy of the letter.

If he responds in any way, keep the response. there is almost nothing he can say to help his case and any arguments he lays out, or contradictions he makes gives you an idea of what hes planning. if he doesnt respond, or he responds but he doesnt address your complaints, that would actually hurt his case severely.

Not attempting to sell the property could also hurt his case.

Let him make all the moves, you just keep your distance and keep your costs down.
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January 13
Profile picture for sunnyview
I am so sorry to her that you are dealing with a pinheaded seller that is also a lawyer. It sure sounds like abuse of process to me as a layman. Have you considered filing a complaint with through the court or State Bar here?

Some times attorneys forget that they are vulnerable with a license. I would remind them of that fact by filing the complaint and then making it clear that you plan to go to the media to plead your case if they do not follow the contract and continue to abuse the process.
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January 13
Profile picture for Ofe Polack
Follow your legal counsel's advice and good luck!
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January 13
Profile picture for SpringHillHomes
I just want to sympathize. I was in a similar situation with some buyers. It's a crazy system in our country where someone can force you to pay crazy legal fees when you haven't done anything wrong.
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January 13
Profile picture for The NJ Realtor
I agree with NTET and Sunnyview's comments for the most part.  The key factor is the contract wording.  And since legaleze is to be put into common understandable language, it should be cut and dry.  The reason for inspections, is to discover the unknown conditions.  Generally, a contract would state a conditional situation after the inspection report is obtained.  Cancel the contract, negotiate the repairs, or accept the reported conditions.  The options should be spelled out in the contract.  

As to a litigation attorney, hopefully he has a strong real estate background.  Just as was mentioned about "agents use to only work for the sellers", the specialty of the attorney will also determine his service to you. 
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January 13
First of all I would speak with your agent as contracts that are state approved normally protect you from this harassment.  In Colorado if you terminate for cause in writing within your time fram then the seller should have no recourse...I am not sure of your state laws nor waht your contract stated...speak with your real estate agent for better guidance as to your state laws and the actual contract you signed...best of luck
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January 13
Profile picture for NicholasRibeiro
This is a nightmare. I would consult an attorney and think 2x before publicly "slandering" an attorney....
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January 28
Profile picture for sunnyview
It is nightmare, but it it not slander or libel if it is the truth. Attorneys are not immune from it as much as they may argue otherwise.

If the buyer is in the right and has their paper trail in order, filing the complaint with the Bar and reminding them they rely on the good graces of the public sentiment for their livelihood may be enough to back them off. If that doesn't work, I would set them up and tape a phone call. Nothing speaks about an abusive professional quite as well as their own words on tape.
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January 29
 
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