Homie Can’t Do That

By:  Patrick J. Paul

The Arizona Attorney General recently reached an agreement with Utah-based real estate company Homie which made a splash in the Phoenix market during the fall election with candidate-type signage posted throughout the community urging a “Vote for Homie” as significant change and assured that such change would be “coming to your pocket.”  The problem?  Confusion to the voter, improper collection of personal data.

Homie first entered the Phoenix market in January 2018 with a softer digitally-based advertising splash.  Homie suggested that customers could save an average of $10,000 in home sales transactions by utilizing its technology and licensed real agents and directed further inquiry to its website  http://homieforsenate.com/. … Read More »

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Real estate salesperson succeeds in mission to collect commission

By: Erica Stutman

A.R.S. § 32-2152 allows a real estate broker or salesperson to file a court action to collect earned compensation if he was a “qualified licensed broker or salesperson at the time the claim arose.”  In Focus Point Prop., LLC v. Johnson, 689 Ariz. Adv. Rep. 4 (June 19, 2014), plaintiff Cleo Johnson tested the meaning of a “qualified” licensee, arguing that her salesperson was not entitled to his commission because his license could have been revoked at the time he performed his services.

In 2009, Johnson, trustee of a trust, hired Jeff Kantor from Focus Point Properties to sell a commercial property owned by the trust and also to assist with rehabilitation activities and leasing.  … Read More »

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Suing a Licensed Real Estate Professional May Require You to Complete and Turn In Your Homework.

By: Cory L. Braddock

A lawyer must have a good faith belief, after reasonable inquiry, that a lawsuit he files is grounded in fact and warranted by existing law.  Ariz. R. Civ. P. 11.  In other words, lawyers violate Arizona’s rules of civil procedure when they file frivolous lawsuits.  In Arizona, the legislature has, at least in some cases, added an additional layer of scrutiny to lawsuits filed against licensed professionals.  Specifically, a plaintiff must certify whether or not expert testimony is necessary to prove the licensed professional’s standard of care or liability for the claim.  See A.R.S. § 12-2602(A). When expert testimony is necessary, the plaintiff is required to serve a preliminary expert opinion affidavit with their Rule 26.1 initial disclosure.… Read More »

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Sign those Real Estate Agreements!

By: Bobby Kethcart

The Statute of Frauds is a BIG deal in real estate transactions and litigation. (This is our second post about it already…) We know it requires (most) agreements related to real estate to be in writing—agreements for the sale of an interest in real property, agreements for a lease of longer than one year, agreements authorizing or employing a broker or agent to buy or sell real property for compensation or a commission, and even some agreements to pay referral commissions if they can’t be performed in less than a year. We also know that the Statute of Frauds only requires the written agreement to be signed “by the party to be charged,” i.e.Read More »

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Broker Beware?

By: Erica Stutman

While oral contracts are often enforceable, certain categories of contracts must be documented in a signed writing or an action for breach of the contract will be barred by the statute of frauds.  See A.R.S. 44-101 for Arizona’s statute of frauds.  The statute of frauds plays an important role in real estate transactions, as agreements for the sale of an interest in real property and for leases longer than one year fall within the statute, as do most real estate broker or agent agreements.  A less obvious category that may affect a real estate agent or broker’s ability to collect commissions is an agreement which is not to be performed within one year from the date the agreement is made.… Read More »

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