I was amazed to read on Rain City Guide this morning about the Realtor in Florida who is being sued for $25 MILLION dollars based on his blog!  Tim Kane wrote the informative post about whether or not we really have free speech when it comes to blogging.  A developer didn't appreciate the Realtor's blog and is filing suit as a result! 

I read the article in the Miami Herald and also the agent in question's blog posts.  I did find the style harsh in my own opinion, but I can't see how a lawsuit could possibly be founded by the developer.  Of course, I should disclose that I am not an attorney if I am going to be offering up my own opinion on the subject. 

What surprised me the most was that the Realtor's broker fired him and also plans on telling their roughly 800 agents what they can and can not blog about.  Wow!  Won't that just be great for the customer?  Instead of getting the truth about the local market, they will be getting a management approved sugar coated version of the truth. Ouch! 

So, two issues:

  1. Should we offer a disclaimer when we blog that it is only our opinion even though most people know that a blog is an online diary of opinions?**
  2. Is sugar coating your blog really in the best interest for a consumer? How do we protect ourselves while getting the information out there?

You decide!  I want to get the info out there to the Seattle real estate customer to try and help them make an informed decision for the Puget Sound market.  That is the basis of why I blog.  I don't expect everyone to agree with me - nor should they.  That is the beauty of the medium of blogging to me. 

**Disclaimer:  This is my personal opinion and I am not an attorney:)

Courtney Cooper ....For all your Seattle Washington Real Estate Needs! Seattle Area Real Estate Agent: Broker and Realtor specializing in  Seattle Real Estate (Ballard, Crown Hill, Phinney, Ravenna, Maple Leaf, Greenlake, Greenwood, Northgate, Lake City,University, Sand Point, Laurelhurst, Windermere, Fremont, Wallingford, Queen Anne, Westlake, Eastlake, Lake Union, Downtown, Madison Park) and Seattle SuburbsCooper Jacobs Real Estate Services:   Experienced and with a background in accounting - I love my clients and work hard for them! 

------------------------------------------------------------------------------------------------------------------------

Cooper JacobsThis Seattle Real Estate blog written by:  

Courtney Cooper, Seattle Realtor, EcoBroker, Designated Broker for Cooper Jacobs Real Estate Services

@CourtneyCooper  206-251-5948  courtney@cooperjacobs.com

Serving Seattle WA neighborhoods & suburbs with care!  Search ALL Greater Seattle's MLS listings for FREE no matter who they are listed with: www.cooperjacobs.com

 

77 Comments on Real Estate Blogging Bringing in More than you Bargained for?

JAN
29
2008
296,901 Points 2 Featured Posts Outside Blog
Maybe we do need a disclaimer....sued for $25 million....that is a lot of closings!
1:17pm • #2
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

Heather - ya - crazy!

Gary - I am thinking th e same thing just to be sure...

1:22pm • #3
2 Featured Posts

Maybe I shouldn't comment about your blog. It might cost me too much dough. That is of course just my personal opinion.

1:26pm • #4
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router
Ha ha ha , Mary:)  I have a special affection for you since your last name is my maiden name (of course mine was spelled correctly with an "I" - lol)  Thanks for your informative comment....
1:30pm • #5
I'm glad you added that disclaimer, hopefully you will not be sued.  it's pretty sad some of the lawsuits that come about these days.
2:18pm • #6
2 Featured Posts Localism Sponsor
Wow...I hope we don't go down that road.  Not that I like to slam people or business entities in my blog, and if I do I'm sure to keep the subject/victim anonymous.  That's free speech, and I don't see how the developer has a case. 
2:27pm • #7
It is amazing what you can sue someone for these days. I wish I were an attorney so I could know what sort of legal basis the plantiff has. I really hope the agent wins. No one is forced to read a blog. You choose what you look at, why should it be anyone else's fault if you don't like it. There is a complete lack of personal responsibility. Ok, my rant is over, but in case anyone was wondering, this is just my opinion and does not reflect on any of my associates, friends, family, pets, or personal property. It should not be taken out of or in context. I claim no liability for any one injured or emotionally damaged by this small comment on a blog.
2:30pm • #8
156,682 Points 7 Featured Posts Outside Blog
This is not even worth the time it takes to discuss it. What a joke.
2:35pm • #9
1 Featured Post Hit Router

Wow it is scary out there.  Beware all the time and sadly people are afraid of getting into business for themeselves due to the chance of being sued. 

Glad this is featured.  Congrats.

2:36pm • #10
244,951 Points 2 Featured Posts Outside Blog
I guess one can sue for anything now a days.  Cost money but doesn't mean the plaintiff will loose.
2:43pm • #11
187,565 Points Localism Sponsor Outside Blog Hit Router
Some people are lawsuit "happy" I can empathize with Mr. Hollo although the Blogger has his opinion too. Was anybody hurt? I don't believe so.
2:45pm • #12
128,511 Points 8 Featured Posts Localism Sponsor
Unbelievable...have we really become this sensitive that we must censor ourselves!!!
2:45pm • #13
217,732 Points Outside Blog

I say go with the disclaimer:)  Hope it all works out.

 

2:47pm • #14
183,865 Points 2 Featured Posts Localism Sponsor Outside Blog
We live in a sue happy society, This seems to be one more frivilous suit, but time will tell
2:48pm • #15
Thank you for the heads up.  It would probably in my best interest to use a disclaimer as well.  
2:53pm • #16
5 Featured Posts

Just highlights one of the problems with our legal system. No one has to have any grounds at all to file a lawsuit! Sure, it may get dismissed early on if it's a frivolous suit, but in the meantime someone's had to pony up a bundle in legal fees to defend against nonsense. And the attorney who filed the frivolous suit usually also has made a bundle. Who loses? The innocent person targeted by the unjust suit.

Disclaimer: this is a generic comment about the system; I know nothing about the suit in question to comment on it in particular, in case these plaintiffs are looking to add more blogging defendants!

2:57pm • #17
549,894 Points 35 Featured Posts Localism Sponsor Outside Blog
I think the developer and broker both overreacted. Will be interesting to see how this all plays out.
3:02pm • #18
It was only a matter of time -- our freedom of speech was set aside when we were ushered into the "politically correct" era. So, now we can say what we want as long as we don't offend anyone. Is a disclaimer enough? Probably not...since most of us are not attorneys and may not know how to legally protect ourselves with a disclaimer.
3:04pm • #19
271,231 Points 16 Featured Posts Outside Blog

America is sue happy. I'm not surprised the agent was sued. I think he should have contacted the agent first and tried to negotiate. I wonder if the judge will simply send the case to arbitration first. -Charles

3:07pm • #20
6 Featured Posts Localism Sponsor
it is sickening to me that everyone is so darned SUE happy. I mean, I understand that certain circumstances call for lawsuits, but where does it end??? As long as I don't defame someone's character, as long as I comply with local real estate regulations in terms of licensing,or don't share false information or mislead people, why can't I share my opinion? Such a shame
3:15pm • #21
4 Featured Posts
Courtney, I don't know about leaving a message here... hmmm.   What the heck!  It amazes me hous so many look to agents as the root of all evil.  I don't think the watered down version is in the best interest of our industry.  First we got big brother watching us.  Now what?  Big Sister too!
3:17pm • #22
Every day we have to be more and more aware of what we say and how we say it.   It also alleges that Kane made some untrue statements about the developer in his blog.  So the suit is not totally based on real estate speculation.  
3:18pm • #23

I think that the Broker is making a smart move. If an organization is going to be held accountable for employee actions, then it is the Brokers responsibility to control risks and prevent emplyoees from exposing the business to lawsuits. If salespersons want to blog about "whatever" they want, they are free to do it on their own without any link to a real estate brokerage. However, a salesperson that is blogging about "whatever" and also avertising their association with a real estate brokerage is violating a trust between the broker and the salesperson, and also exposing the entire business, including other salespersons to legal action.

Libel is an untruthful statement about a person, published in writing or through broadcast media, that injures the person's reputation or standing in the community. Bloggers must take care and understand that they cannot say "whatever" they want. This is not about a threat to our freedom of speech. It is about business. It is about being mature and controlling your emotions when publishing information for public consumption. Our laws on slander, libel, and defamation have existing for a long time. They are not a threat to free speech, in my opinion.

 

3:24pm • #24
663,448 Points 108 Featured Posts Localism Sponsor Outside Blog

I don't think the disclaimer is necessary or even particularly helpful.  It certainly won't prevent a lawsuit, and I think you're right that most people know that a blog is an online diary of opinions.  As I recall, our code of ethics prevents us from "practicing law", so it goes without saying that we are not to present ourselves as legal experts unless we are attorneys, too. 

I haven't read the post(s) in question, but the suit sounds ridiculous and baseless to me, much like the San Diego lady suing her agent because her home is worth less than they thought.  That being said, if the agent made openly libelous remarks about a specific developer and named him, that might create the basis for a suit.

 

3:25pm • #25
An agent having an opinion! What's next? Maybe we'll be accused of discrimination because we only showed 580 of the 1000 homes on the market.
Doug Lindstrom
3:28pm • #26
164,536 Points 6 Featured Posts Outside Blog Hit Router
That's crazy, I don't understand how that can even be a lawsuit.
3:29pm • #27
1 Featured Post
Great post!  It is absolutely crazy that anyone can sue for anything these days!!!
3:31pm • #28

Wow, thats strange. Good thing you brought to our attention. I'll be careful what i blog too. Americas judicial system is weird as it is anyways*. Thank you for posting this info.

*did not mean any offensive language, I'm only excercising the 1st amendment. Peace! Peace! Peace!

3:33pm • #29
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

Clint:  Yes - I agree - pretty sad

Lisa - I am the same way - I wouldn't write anything so slamming on anyone, but there are nicer ways of saying the same thing...

Morton - good opinion! (In my opinion;))

Team Dimuria - uuum...ok  - I think it is still worth a discussion, though.

Hi Karen - thanks!

 

3:52pm • #31
217,300 Points 1 Featured Post Localism Sponsor Outside Blog
Courtney,  I had read elsewhere that the agent made some untrue remarks about a bankruptcy and other outrageous claims.  Shouldn't there be some balance ?
3:56pm • #32
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

John, Michael & Mott - Sue Happy is definitely what I was thinking, too, plus just trying to diversify his spending perhaps? ROI for suing might be better?  Geez....

Cherimie - I guess we are already trained in sensitivty for our business anyway...

Frances & Andrea - My hubby thinks the disclaimer is a good idea - it just seems so....forced?

Laura - I agree completely

John - I think maybe they all over reacted:) I will be watching!

 

3:57pm • #33
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

Jacqulyn, Nance,& Sean - I agree!

Bill - I read this as well!  Then I read on to find that what he had said had actually been reported by the Miami newspaper origianlly - whether or not it was true  - I have no idea.  I completely agree with you, though - The blogs have to be truthful!!!!! 

4:03pm • #34
139,451 Points Localism Sponsor
Law suits for no reason are taking place in all areas. We all need to be careful just to protect ourselves.
4:10pm • #35
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

Hi Ray, Christian & Felix - Being aware of what we say and how it is perceived is very important.  I have no idea what this agent's intentions were - whether they were good or bad.  My real concern is that A.  I can tell consumers what I think as long as I am being truthful and B.  I don't want to read a bunch of vanilla blogs written by agents that are not allowed to blog about their opinions because their broker won't let them.... Christian - I do think you are right that a managing broker must manage, but they can do that by keeping themselves updated as to the content rather than mandating what you can and can't do (Of course tak ethat with a grain of salt:) because I left a big regional broker to open my own brokerage because I like doing what I want - lol)

Jason & Doug - That is true  - but does the consumer really know we are giving our opinion rather than absolute fact?

 

 

4:10pm • #36
384,112 Points 1 Featured Post Outside Blog

I would love to "honey" coat all my blogs but It sure would be hard on the keyboard. Keys would start sticking and I wouldn't be able to accomplish much. HHHMMM, maybe I'm better off NOT Honey Coating anything and just giving the true facts .... As I see them.

Sean Allen

4:12pm • #37
324,011 Points 11 Featured Posts Localism Sponsor Outside Blog Hit Router
I vote for the disclaimer as well.  Honestly, I am so tired of speaking like an idiot sometimes for fear of being sued.  Every comment I make is followed by, but that is only my opinion.  It is getting really scary these days.
4:15pm • #38
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

Kevin, Monica, Kelly, Josué - Sue happy - of course in some cases warranted....

Eliese - The facts are good!

4:16pm • #39
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

Hi Richard - I agree!  I want to get my opinions out there and let buyers and sellers know what is going on, but I admit to going back and reading to make sure i come across correctly...

Sean & Pilar - "as you see them" Exactly!!!!

Leesa - I agree - I guess it can't hurt.  I am thinking of adding it to my blog profile maybe? Geez

4:19pm • #40
125,809 Points 3 Featured Posts Localism Sponsor Outside Blog
I like the disclaimer idea BUT I don't name names! I think that is the key.
4:22pm • #41
232,105 Points 1 Featured Post Outside Blog

What a great post and I am also happy it is Featured!!  Yes you ask around and agents are always scared of getting sued for something...geez so much so happy people out there...can't we just all be happy! Why all this non-sense...we should have freedom of speech on our opinions.  Anyway Great Post!

Tom Davis - A Delaware Real Estate Agent - Active Rain Network Blogger

4:24pm • #42
256,228 Points 9 Featured Posts Localism Sponsor Outside Blog
This is my personal opinion, and I have no knowledge of the particular agent or builder involved in the aforementioned lawsuit, but perhaps the builder is less than busy in the slower market....also you gotta love a broker who stands behind his agents, although the information I have may not be correct and has not been verified by myself or my broker.  I am not an attorney nor am I privy to details of the aforementioned case.  This is purely a singular opinion--mine.  How redundant is that? 
4:26pm • #43
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router

HI LaNita - I agree with you!  As you can see the only names I named were the newspaper and the brilliant blogger on Rain City Guide that got me thinking about this one!  Good point!

Hi Tom - Thank you so much!  I appreciate your kind words!  I am glad to have brought this up because it is something to think about.  The bottom line is that we just need to blog smart - right?

4:27pm • #44
244,330 Points 9 Featured Posts Localism Sponsor Outside Blog Hit Router
Hi Norma - Yes - maybe lawsuits might be more profitable for builders right now?  Not sure - In Seattle the builders *seem* to be scaling down a bit and they offering some pretty good buyer bonuses, but who knows?
4:29pm • #45
If I want water down, honey coated info I can alway go to the NAR. Great post!
5:16pm • #46
104,840 Points 1 Featured Post
It is common to sue to shut someone up. Or try to. Free speech will prevail, but the poor guy is loosing financially.
6:38pm • #47
186,964 Points 28 Featured Posts Outside Blog
And the only winners in this fiasco will be ... the attorneys.
7:33pm • #48

Nothing surprises me much anymore. People sue over any little thing. It's rediculious!

 

PS: I am not an attorney and have never prortrayed one on TV! 

Ann Cordes
7:48pm • #49
Outside Blog
So,  here is my question.  Since the broker fired him...after the blogging "incident," will the broker's E & O insurance come into play?  The broker did himself no favors in the PR department; I am sure the other 800 agents are wondering how the Broker's actions will reflect on the company?
7:49pm • #50
1 Featured Post
That's what we have to look forward to if we don't use a disclaimer in our blog ... I guess we have to make sure we dot our I's and cross our t's. Please keep us posted with the end result of the law suit.....
8:12pm • #51
16 Featured Posts Localism Sponsor
Wow, this makes me wanna back track and try to remember all of the things I have said. I guess we have to write our blog now with the intent of someone from the 'dark side' reading it. I mean, what if this realtor would have said this to someone? Can you sue him for saying it to someone or is it because it was documented that this took off? Crazy!
8:23pm • #52

Woah!  Thanks for bringing this to my attention.  I never dreamed that I could be sued for something I blogged about. 

Great, just when I was so excited about the leads I'm generating from blogging. 

8:54pm • #53
13 Featured Posts

I like your repetition of just my opinion.  LOL.  Attorneys are woeful.  They took the case because they know they'll win by default.  They'll just bankrupt this poor slob regardless of whomever is right or wrong.

 

 

9:15pm • #54
432,062 Points 76 Featured Posts Localism Sponsor Outside Blog

Amazing!  I think that as long as you post truthful information and don't mention names, you should be okay but, I am no attorney!  Please update us on the status of the suit.  Thanks for sharing...

        

9:32pm • #55
597,656 Points 34 Featured Posts Localism Sponsor Outside Blog Hit Router

Here is the blurb from the NAR...

Miami developer Tibor Hollo has sued a real estate practitioner for $25 million, after the practitioner blogged that the developer went bankrupt in the 1980s and is facing financial difficulties in the current downturn.

Hollo filed the lawsuit against the firm Esslinger-Wooten-Maxwell and its associate Lucas Lechuga, alleging libel and defamation against him and his Opera Tower condo development after Lechuga's blog predicted that at least half of the owners in the 635-unit development would default.

That followed a post in November that Hollo had filed for bankruptcy in the 1980s, an allegation that appears to be untrue.

On Monday, Esslinger-Wooten-Maxwell fired Hollo.

Robert Jarvis, a constitutional law and ethics professor at Nova Southeastern University, who isn't involved in the case, says he doubts Lechuga will be held liable for defaming Hollo.

''Courts understand [blogs] are written in unedited, unvetted fashion,'' Jarvis says. ``There's a lot of hyperbole. That's why it's so difficult to win defamation lawsuits.''
Source: The Miami Herald, Patrick Danner (01/29/08)

So, the problem appears to be that the information wasn't true.  Now, $25M seems kind of crazy, but without knowing what else might be involved, it is tough to say.  I think his broker probably took the correct action, too.  

Had the blogger backed off when he was shown to be innaccurate, then I think the outcome should have been different. 

 
10:05pm • #56
384,260 Points 23 Featured Posts Outside Blog
I think part of the problem is that  some people don't bother to figure out what the truth is before they speak.  There is a saying:  "if you tell the truth you don't have to remember what you said."  I think it applies to this situation only slightly changed:  "if you tell the truth you don't have to worry about what you said."  There is no way to avoid a lawsuit waiting to happen, or to avoid one that someone "makes-up."
10:28pm • #57
3 Featured Posts
Sad state of affairs when we can't voice our views.
10:35pm • #58
240,470 Points 21 Featured Posts Outside Blog
The developer must really need the money.
11:12pm • #59
3 Featured Posts
  As usual,more will be revealed but out of the public eye.And so it goes....
11:20pm • #60
352,745 Points Outside Blog
This is a very sad state of affairs. The developer now gets a lot of free new publicity regardless of the situation.
11:25pm • #61

I'm surprised at the outrage of this suit. How would any of us feel if a local agent wrote - falsely- that one of us had filed bankruptcy in the past and probably will again and that half our deals would, in the writer's "opinion", would never close? About all we have in this business is our integrity, and one untruthful blog post can wipe out years of building a good reputation.

If we want to behave as journalists then we should check our facts, have multiple sources for those facts, and document. We hold ourselves out as experts and professionals and should behave (and blog) accordingly.

I don't think a disclaimer would help in the least when you blog untrue "facts."

11:27pm • #62
JAN
30
2008
This is just ridiculous, I doubt it will stand up in court but who knows.
1:09am • #63
232,592 Points 39 Featured Posts Outside Blog
Congrats on the Featured Post, Courtney!  Clearly we can't blog about other people's listings.  Redfin's $50,000 fine didn't upset as many people as this suit does.  Why is it different when it's an agent's listing vs. a developer?  Same kind of damage is done.  But $25M...  The poor kid is probably beside himself.
1:41am • #64
6 Featured Posts

As a journalist by training, I am all for the First Amendment and free speech; However, this real estate agent's comments could be harmful to this developer's business - if what he wrote wasn't true (e.g. that the developer went bankrupt) and that's not okay.

My disclaimer :-) is, I'm no attorney, but in defamation cases, truth is a defense. The question here is: did the real estate agent report the truth?

9:35am • #65
114,626 Points 7 Featured Posts Localism Sponsor

The fact that the blogger posted untrue statements multiple times is where the problem stems from.  When he initially realized he had incorrect facts, he could have posted that in his blog and none of this would have ever happened.

In a world where you can sue McDonald's for burning your tongue because your coffee was hot or where you can sue Wal-Mart for slipping on a floor where a sign was posted that stated "caution - wet floor," what else can we possibly expect?  Suits are common ground now.  It is the easy way into some money.  And unscrupulous individuals are going to exploit it to the best of their ability.

Just check the facts.  Don't just reprint something in your blog because you read it somewhere else.

~Renae - Market 4 Real!

10:24am • #66
121,298 Points 6 Featured Posts Outside Blog
Holy cow. Are you kidding me? I can't imagine someone getting sued over a blog. Blog is short for web blog, which in essence is a diary. Crazyness.
12:05pm • #67
8 Featured Posts

You can always be sued, doesn't mean they will win. Oprah got sued because she said she would never eat beef again (which is hard to believe by looking at her) by the Cattlemens Association. They lost. If your giving your opinion, make sure its noted so, and don't damage peoples reputation without some solid undisputable facts to back in up.

If your say "this company has 11 lawsuits currently files against it, and 40 complaints with the better Business Bureau", then thats a fact. If your just making generalizations and saying "I find this contractors work to be sub-par and overpriced", then yes, you may have an issue arise.

1:29pm • #68
190,034 Points Outside Blog
You have to be extremely careful what you say out there. Once it's in print the world knows. Maybe he should have not mentioned any names so as to keep (us) the readers guessing.
2:24pm • #69
163,280 Points 9 Featured Posts Localism Sponsor

People can get sued for defamation of character, whether they harm someone in writing or just in conversation.  The blogger in this situation didn't research his facts before stating something harmful that could impact the developer's livelihood. I doubt that the developer will win and certainly would have a hard time proving $25 million in damages, but the costs of defending a lawsuit can become substantial for most of us.  Legal fees add up quickly.

We do need to think about what we blog about and consider the harm that it may cause others.  If it is harmful and true, then it is not defamation of character, but if it is harmful and false, that's where the trouble begins.

10:37pm • #70
JAN
31
2008
232,592 Points 39 Featured Posts Outside Blog

Can we say something like:

For my buyer clients: this property sucks

For other people's clients: go as your own Realtor

:)

12:48am • #71
When blogging, it's important to choose your words carefully. One might say something that shouldn't be said to a client, and maybe nothing will come of it. Blogging, however, is out there for the world to see.
6:05am • #72
FEB
01
2008
It is amazing to get sued for your opinion.  Then, fired for your opinion.  Wow. is the best word to describe this.  It is our job to inform the consumer and all to often it is our job to educate the consumer.  At this time, I guess everyone is sensitive because there is very little money being made out here.
6:30am • #73
FEB
05
2008
Localism Sponsor

Thanks for the info!

1:04am • #74
Localism Sponsor Outside Blog

I think that we as a large group can actually change the negative publicity the the media is currently putting out about the market by posting positve information about our local markets.

We have a very powerful tool in our hands

Anne

7:44am • #75
182,924 Points 2 Featured Posts Outside Blog
Social networking requires Social responsibility, do not mention names or make inflammatory statements if you don't know the fact are 100% accurate. Maybe Bloggers are to newspaper reporters what FSBO are to Realtors, amateurs.  Ooops... Hope that was not inflammatory, I did use maybe....LOL
8:03am • #76
Has it gotten so bad that a Disclaimer needs to be used for personal opinions????Jessica Cordell
10:08am • #77

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