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Real estate · Agents and brokers
Disputes involving real estate agents and brokers
Real estate agents and brokers owe duties to their clients, and in California a seller’s agent must also inspect and disclose to buyers. Fernald & Zaffos brings claims against agents and brokers for breach of fiduciary duty and negligent representation, and defends agents and brokers against those claims.
Leads this practice
Brandon C. Fernald · Founding Partner
Founded the firm in 2009 after seven years at Norton Rose Fulbright.
Representing both sides
We represent both sides
We understand the duties owed by agents, brokers, sellers and buyers, and we enforce or defend against them depending on who we represent.
For buyers and sellers
Claims against agents and brokers
An agent who fails to disclose what they knew, gives bad advice or puts their own interest first can be liable to the client.
For agents and brokers
Defending agents and brokers
Agents and brokers are often named alongside a seller in a nondisclosure suit. We defend them on the disclosure record and the scope of their duty.
Duties agents and brokers owe
An agent owes the client fiduciary duties of loyalty, honesty and reasonable care. In California, a seller’s agent on a residential sale must also conduct a reasonably competent and diligent visual inspection of the accessible areas of the property and disclose what it reveals (Easton v. Strassburger (1984) 152 Cal.App.3d 90; Civ. Code § 2079).
Common claims
- Failing to disclose known defects or red flags
- Misrepresenting a property’s size, condition, zoning or income
- Undisclosed dual agency or conflicts of interest
- Negligent advice about the transaction or its deadlines
- Mishandling deposits or escrow instructions
Deadline
Claims for the inspection duty have a two-year limit
In California, a claim for breach of the agent’s statutory inspection duty must be brought within two years from the close of escrow, possession or recording, whichever comes first (Civ. Code § 2079.4). Other claims have different periods.
Real estate results
Nondisclosure defense · Settlement
Nominal settlement
Settled after we compelled the plaintiffs’ depositions in Los Angeles
Home sale
Real estate nondisclosure · Settlement
Seller took back the home
Settled before trial after we defeated multiple summary judgment motions
Home purchase
Prior results do not guarantee a similar outcome.
Common questions
Don’t see yours? Call (323) 410-0300.
Can I sue my real estate agent?
Yes, if the agent breached a duty owed to you, such as failing to disclose what they knew or giving negligent advice, and you suffered a loss because of it.
Does the seller’s agent owe anything to the buyer?
In California, yes. A seller’s agent on a residential sale must visually inspect accessible areas and disclose material facts the inspection reveals, and must not misrepresent the property.
I’m an agent named in a nondisclosure lawsuit. What should I do?
Notify your brokerage and your E&O carrier, preserve the transaction file and your communications, and get counsel before responding.
How long do I have to bring a claim against an agent?
It depends on the claim. The statutory inspection-duty claim has a two-year limit. Fraud and fiduciary claims have different periods.
Does your broker license matter?
It means we read transaction files and disclosure packets with a broker’s understanding of how deals are done, which helps on both sides of these cases.
Related
Guide
What sellers must disclose and how long you have.
The information on this page is general and is not legal advice. Contacting the firm does not create an attorney-client relationship. Prior results do not guarantee a similar outcome.