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Articles Posted in real estate law

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A Guarantor in a Sales Transaction Only Guaranties What is Described in the Document, and the Guarantor May Be Exonerated – How the Courts Determine Liability.

In a sales transaction, there is often included a guaranty, where one party guarantees to pay the debt of another. More accurately, a guarantor is “one who promises to answer for the debt, default, or miscarriage of another, or hypothecates property as security therefor.” (Civil.C. 2787). Thus if you buy…

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California Court Grants Equitable Easement Where there was no Prexisting Use – The Test the Court Applied

A court may create an “equitable easement”, on equitable grounds, even though the user is not entitled to an easement on one of the more traditional grounds. The judge balances the rights of the various parties to achieve an equitable solution. Generally, the courts apply a three-part test to determine…

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A Clash Between a Void Judgment and a Bona Fide Purchaser of Real Estate – How the California Court Sorted out their Rights

Default judgments occasionally occur, and sometimes they may be set-aside or vacated by the court. There are several statutory grounds for a judgment debtor to get a default vacated. But what happens in the default judgment concerns title to real property? If there is a default judgment in the chain…

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The Statute of Frauds and the Real Estate Commission – When Not Every Owner Needs to Sign the Listing Agreement

The Statute of Frauds requires certain agreements to be in writing. The reason is that these agreements are too important to allow oral agreements, as they are susceptible to fraud. It is codified in Civil Code section 1624, and also applies to agreements for real estate commissions, about which the…

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Harming California Trees Can Result in Treble Damages for Replacement, PLUS Treble The Amount Awarded for Annoyance – Blunderers and Rogues Beware!

California law takes trees seriously and provides enhanced damages when someone harms them. There is provision for doubling the damages incurred for harm caused to timber, trees, and underwood, and trebling it if the harm is intentional. (Civil Code section 3346.) Another provision allows doubling the damages for harm to…

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Letters of Intent, Agreements to Agree, and the duty to Negotiate in Good Faith

There is a difference between an “Agreement to Agree” and an Agreement to Negotiate the Terms of an Agreement. An agreement to agree is not an enforceable contract, and thus there is no duty to negotiate. In the case of the agreement to negotiate, failure to reach the ultimate agreement…

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In California, the Doctrine of Boundary by Agreement and the Doctrine of Practical Location Started As the Same Theory, but Evolved Apart – How the Requirements Developed, Part 2

In my prior post I discussed the doctrine of Practical Location and how it was historically the same as that of Agreed Boundary. Years ago in more rural times, properties were not so strictly delineated and there were few fixed and permanent monuments to guide owners. Sacramento real estate attorneys…

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In California, the Doctrine of Boundary by Agreement and the Doctrine of Practical Location Started As the Same Idea, but Evolved in Different Directions – How the Requirements Developed, Part 1

In California real estate law, there are situations where the boundary lines as observed on the ground do not match the deed description. Disputes arise when someone has a survey completed, and does not like where the fence or other marker is located, and contact a real estate attorney. There…

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Quiet Title – You Can’t Assign the Claim Without Assigning All Interest in the Property

Assigning claims and causes of actions regarding real estate to someone does not necessarily give them the right to file a lawsuit for quiet title. A quiet title action seeks a declaration of the parties’ rights to the real estate. A description of the parties’ legal interests in real property…

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When a California Broker Acts as a Dual Agent, Both The Listing and the Selling Agents are Fiduciaries and Dual Agents of Both Buyer and Seller

It is not often that residential real estate cases make it to the Supreme Court, but in this instance Coldwell Banker tangled with a very wealthy buyer of a very expensive ($12.25 million) house. Presented was the common scenario in which the two agents in the deal both were licensed…

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