A Verbal Agreement is Not Worth the Paper It's Written On

By
Services for Real Estate Pros with The Law Office of Mark Tucker

There is the old story about men of integrity who did business with just a handshake. That's fine and dandy, but by contrast, why are there so many silly love songs? I guess the point, as obvious as it is, has not been made quite clear yet. Because language is imperfect, and at times is impressionistic, a well-written contact can help avoid misunderstanding, assumptions, gaps in meaning.

I highly recommend the standard forms used by licensed real estate professionals. Each numbered line represents someone else's painful learning curve and will help the current user avoid the pitfalls of miscommunication. As an attorney, this advice may cost me a lucrative opportunity, but I would rather prevent or resolve a problem that merely stir the pot. 

Use the standard forms, they are there for a reason, and if possible, avoid free-handed addendum's. 

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the umbrella to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Location:
Arizona
Groups:
31 Days of January - New Years Resolution
Tags:
use standard real estate forms

Comments 7 New Comment

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the clip to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Ambassador
1,327,073
Jon Zolsky, Daytona Beach, FL
Selling Daytona paradise for heavenly good prices
Daytona Condo Realty, 386-405-4408

Mark, but standard contracts may not address some specifics, so why avoid addenda? What is wrong with the addenda?

Actually, here in Florida Addenda supercedes certain provisions of the  contract, and when in conflict, the provision in the Addenda governs...

But hey, I am not an attorney

January 25, 2011 10:56 PM
Rainmaker
407,620
Karen Monsour
REALTOR, SSRS - Sells FL Waterfront, Short Sale Expert!
Coldwell Banker Fort Lauderdale Beach

I disagree.  If you have a trustworthy agent - you can do a verbal - read my recent blog...We agreed to an answer last Wednesday at 2pm...just executed the contract today....

As a matter of fact...I have worked with Jon Zolsky and he is another agent that I would trust to do a verbal agreement with.

January 25, 2011 10:58 PM
Rainmaker
179,353
Brenda Whitman
Associate Broker, Laramie, Wyoming
CENTURY 21 Real Estate Center, Inc., Laramie, Wyoming

Hi Mark, that's quite an endorsement of the regular forms we all use - which I'm told in Wyoming (and most places) they are drafted by attorney's anyway.  So for us realtors, most of whom don't hold law degrees, it just makes sense!  Rest assured though, we always advise people to consult an attorney with anything they don't understand so hopefully some of that business comes back to you!

January 25, 2011 11:01 PM
Ambassador
775,018
Fred Griffin, Tallahassee Real Estate Broker. Buyer Brokerage and Flat Fee MLS
Tallahassee Florida Real Estate: Call 850-339-4861
Frederick Griffin, Licensed Real Estate Broker

Verbal Agreements for the purchase of Real Estate in Florida will not hold up in Court.

And, I deflect to you, Counselor - couldn't a Real Estate Agent potentially face a Civil Suit for failing to put something in writing, if such failure resulted in damage to a Client?

January 26, 2011 12:09 AM
Rainmaker
824,084
Marc Swartz
CPA, CA - Toronto, Durham & York Regions, Ontario

Hi Mark - I sometimes have had verbal agreements with certain clients of mine over the years and have had no problems.  Of course, for real estate transactions, written agreements are required.

January 26, 2011 12:24 AM
Rainer
116,549
Don Barrett
Integrity Real Estate Services

How true that is.  Love the title to your post.  A written offer is the only kind! 

January 26, 2011 08:47 PM
Rainmaker
606,770
Sheila Newton Team -- Anderson & Greenville SC Real Estate
--Residential/Short Sales/Foreclosures
Berkshire Hathaway HomeServices - C. Dan Joyner

LOL.. That is true... I'm glad to hear you support the standard forms.. I have heard a lot of attorneys say that it is better to let them write one up... ( and most of those were NOT real estate attorneys!!)...

February 08, 2011 08:35 PM
Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the car to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Show All Comments
Rainer
14,585

Mark Tucker

Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the clip to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase: