Q: Can a realtor choose to stop representing you in the middle of a transaction?
My realtor served as my selling realtor and buying realtor. As a result of poor representation on the sale of my home, I am having to send him a demand letter in order to be compensated for monies lost through the sale transaction. I am asking that the realtor compensate me through a credit back on the purchase of my new home which is due to close in a few days. We are choosing to go through a demand letter as opposed to simple oral negotiations as a result of the negligence and manipulative behavior on the part of my realtor. Can my realtor choose to not represent me through the close of escrow on my purchase and effectively drop me as a client in the middle of a transaction? If so, what are my rights? If that were to happen, how do I continue with the purchase in order to close on time?
A: You raise an interesting question; and if these interesting facts involved a lawyer--as opposed to a Realtor who is not a lawyer--the answer would be very clear: Sending a demand letter of the nature you describe to any lawyer would immediately cause a fatal conflict of interest that would require the lawyer to "fire" you--before you had an opportunity to fire the lawyer. (Yes, lawyers really can fire clients.)
So--out of an abundance of caution--I will suggest that creating an enormous conflict between you and your Realtor-- on the eve of the closing-- will not only result in a nasty fight over money; it may result in your inability to finalize the deal, thereby injuring the buyer. So, unless you want to start a big fight that delays-- or completely stops the sale--I suggest that you try to find some other way to solve whatever problems you are so upset about.
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