Legal Case Summaries

Case summaries are provided for educational purposes only, and are not a substitute for legal advice by a licensed attorney in your jurisdiction. Case law may change over time, so be sure to confirm a case is still good law. 

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A California trial court has considered whether a REALTOR® association can be dismissed from a lawsuit brought against it by a homeowner over language contained in a form created by the association.

Deborah Gidcumb (“Buyer”) purchased a condominium that included a parking space. After the plaintiff moved into her new residence, her vehicle was towed from the covered...

An Arizona appellate court has considered whether a contract provision requiring a buyer to verify the property’s size during the inspection period protected the seller from a later lawsuit over square footage size.

Elm Retirement Center, LP (“Buyer”) entered into a contract to purchase a home in July 2005. An advertisement for the property stated that the property...

A California court has considered whether a broker had a duty to inform a buyer that the property had loans exceeding the purchase price amount and so a short sale would likely be needed to close the transaction.

Phil and Jenille Holmes (“Buyers”) entered into an agreement to purchase a home for $749,000. Sieglinde Summer (“Broker”) of Beneficial Services, Inc...

An administrative law judge has considered NAR’s challenge to two domain names registered by a member using the term “REALTOR”.

John Fothergill (“Broker”) owned a real estate brokerage and was a member of the National Association of REALTORS® (“NAR”). In 2009, the Broker registered two domain names, <listitonrealtor.com> and <...

Nevada’s highest court has considered whether a broker could collect a commission from a sale that closed outside of the contractual listing period but within the agreement protection period.

Town Executive Suites-Eastern Marketplace (“Seller”) listed a property for sale with Century 21- Advantage Gold (“Brokerage”), a real estate brokerage firm, and...

A New Jersey appellate has considered whether a lawsuit involving a commission dispute between members of a REALTOR® association should be sent to arbitration when the lawsuit also sought punitive damages.

Island Realty (“Brokerage”) is a real estate brokerage, and Lewis Caton (“Salesperson”) is a licensed salesperson who was formerly associated with the...

An Indiana appellate court has considered a challenge to an arbitration hearing by a member of a REALTOR® association.

Scott Shepherd (“Shepherd”) of Spear Real Estate Inc. was the listing broker for a piece of improved commercial real estate. Shepherd included the listing in the multiple listing service, and offered a cooperating commission to other brokers. Shepherd...

A Pennsylvania federal bankruptcy court has considered whether it could release from escrow commissions resulting from the sale of the debtor’s property.

Michael R. Berkman, owner of Berkman Realty, (“Debtor”) filed for Chapter 11 bankruptcy, under the Bankruptcy Code of the United States (“Code”). This chapter is primarily used by businesses to reorganize...

A Florida federal court has considered whether a real estate licensee has a duty to understand the property’s zoning before offering a prospective buyer price comparisons.

Century Land Development L.P. (“Developer”) became interested in a vacant beachfront property that it wanted to turn into a multi-unit development. The Developer met with real estate licensee Gerri...

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