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The dirty rotten lowdown NASTY awful agent! AKA the Dirty Rotten Scoundrel

By
Real Estate Agent with ReMax

Granny is slightly upset about this...you could say that my normal pleasant personality has fully slipped off a slippery slope and fallen into the deep end...again!

You know, in my years of real estate practice, I have met some mighty fine folks who work in the real estate industry.  In fact, I'd have to say that the majority of other agents that I have had interactions with have been decent, hardworking and ethical individuals. 

And then...well...every now and then you run into a stinker like this fellow I'm about to introduce you to. 

Let's refer to him as "Agent Scoundrel!" 

By the way, I came upon this particular person who works as an agent in my community, not because I had a transaction with him, but I did just complete a transaction with another agent who was on the receiving end of all of this nastiness from Agent Scoundrel who, I think you'll agree...certainly lives up to his name!

Agent Scoundrel's a seasoned agent who is also known by a few folks as a Prima Donna, his way or the highway kind of fellow...need I say more?  

I recently closed and escrow on a home where I represented the buyer.  The seller's agent was a lovely woman that we will refer to as "Agent Amiable."  I had never had a previous transaction with Agent Amiable, she was a delightful and considerate person to work with. 

Agent Amiable's sellers were also in the middle of purchasing a home with a close concurrent, Agent Amiable represented them in the purchase of their new home in addition to the sale of thier current home.   

Agent Scoundrel represented the sellers of the property that Agent Amiable's sellers were purchasing, thus Agent Amiable's sellers were also Agent Amiable's buyers...oye...Who's on first?

My transaction was a perfect breeze, complication free.  In fact, I would say that during this process, the sellers and the buyers became very friendly, you can't imagine a more flawless and happily pleasant escrow process. 

However, without being told exactly what was happening, (It wasn't really our business anyway) we were quite aware that the sellers other transaction (Where they were the buyers of their new home) was anything but pleasant!  Several times during my own transaction, I offered to assist Agent Amiable with what seemed like a draining and complicated transaction on the other end.  (Once a mentor, always a mentor...or meddler?) However, she never wanted to talk about any of the particulars.  Only telling me that since Agent Scoundrel was a big producer in her office, she'd not make any waves as to his nasty behavior.

Unfortunately, as in many inner office agent-conflicts, management often sides with the top producer, rather than the one who is actually right...we all know where the buck stops!  

I might add that Agent Scoundrel and Agent Amiable happen to have their licenses at the same brokerage know as "Big Blue!"  I hang mine with "Big Red White and Blue"  the one with the balloon logo...thankfully! 

Still...other than a few comments made by Agent Amiable's clients, none of us knew any specific particulars with regards to the other transaction until after our escrow was closed, my buyers allowed the sellers to lease back the property one week as they intended on doing some painting and remodeling at their new home. As I said before, my transaction was without conflicts, all parties became friendly and helpful to one another...the way it's supposed to be!

The properties were scheduled to close concurrent, my escrow closed and then the big bang...the other escrow didn't close.  Well...it was only delayed by a day or so...that's when we finally heard what had been going on. 

Evidently, Agent Scoundrel had secured his own buyer for his listing, meaning that he would have doubled ended the deal (Expensive Property, twice the commission...half the ethics?) Agent Scoundrel was NOT a happy camper because his clients had just accepted the offer from Agent Amiable's buyers.  Some may say that this sort of set the tone for things to come!

Of course, nobody knew that Agent Scoundrel had a buyer in his back pocket, perhaps he should have told his sellers not to accept any offer until his own buyer could put together their offer.  Still...it left Agent Scoundrel with a bad taste in his mouth.

Poor Agent Scoundrel...don't you just hurt for the guy?

Unfortunately, Agent Scoundrel (Or his sellers...who really knows?) did something pretty darn awful when they signed the acceptance on the contract from Agent Amiable's buyer. 

There is a big lesson for everyone to learn from this...and the main reason that I check and double check when an offer has been signed and returned. 

As most folks know, a buyer writes an offer to purchase.  If the seller does not like something in the offer, they don't change the original offer; they institute a counter offer with any changes.  You cant change an offer once it has been signed by a seller, and certainly NOT unless it is brought to the attention of all parties involved and initialed by all parties.  What happened is that Agent Scoundrel made a small change to the offer and then told his sellers to sign the offer and returned the offer to Agent Amiable...with no mention to the change that he or his sellers had made to the original contract.  Of course, Agent Amiable had a copy of the original contract that had been signed by the buyers; clearly that copy does NOT have the other verbiage that was written in by the sellers or the seller's agent...Agent Scoundrel!

Unfortunately, Agent Amiable verified that each page had been signed and then sent the paperwork to escrow to open the escrow process.  Even thought you can't change the original offer, please everyone double check your contracts to be certain that no Agent Scoundrel in your own area does this to you.  I know you don't expect it, but there are horrible people in the world and some of them (Highly unlikely...I hope!) but some of them may work in your community...worse yet...even in your own office.  So please, check and double-check when an offer has been accepted that it has not been changed in any manner!

Agent Amiable didn't realize that Agent Scoundrel, a very experienced agent from her OWN OFFICE had deliberately made changes to the original contract that she had submitted to him earlier...and then deliberately not told her about his changes. 

This property is a small acreage about 1.5 hours outside of Los Angeles with a spacious luxury home.  However, being rural (Rural for California) the property had a septic tank, rather than a city sewer connection.   There is a box that Agent Amiable checked that stated that the seller would perform a customary septic inspection.  Even though any changes to the buyers signed offer should have come on a separate page (A counter) what happened is that Agent Scoundrel just wrote in that area that repairs would be limited to $500.  Then he had his sellers sign the contract, (But no initials by any changes in the contract) never mentioned to the buyers agent that he had changed the buyers offer in any manner other than his clients had dated and signed all the pages. 

Okay...it's true that Agent Amiable should have caught this devious act, I think that it's something so contractually unethical for anyone to change a contract unilaterally and then not mention it to the other agent, pretty much amounts to an intentional deception AT THE VERY LEAST and certainly not in the spirit of cooperation.  This is not something that most folks would anticipate from another agent who supposedly is experienced and claims to be ethical.  And certainly, not from someone in your own office! 

During the course of this entire escrow process, Agent Scoundrel never bothered bringing the subject of the contractual change up to Agent Amiable.  And I will be the first one to agree that Agent Amiable bears a certain amount of responsibility for NOT catching this act of contractual terrorism!  Still...Agent Scoundrel...at the very least should be taken out behind the barn and beaten! 

One day before closing escrow is when, after repeated requests from Agent Amiable to Agent Scoundrel to provide the Septic Inspection Report, that is when it was discovered that the Inspection hadn't even been ordered!  An inspection was quickly ordered by the sellers, to come back with a surprising $18,000 in suggested replacement of septic system! 

The buyers, who had sold their home to my buyers and closed escrow already AND were leasing back for a week, had fully packed, signed loan docs and then signed off on all contingencies...never aware that Agent Scoundrel had put that $500 repair cap on the Septic Inspection.  Almost like he knew something was wrong...or like his clients told him that something was wrong and tried to hide it.  Even if that's not true, it's pretty suspect at this point! 

Again...I know that Agent Amiable missed the mark on catching this devious deed by Agent Scoundrel...and in a court of law, they will probably find Agent Amiable partly responsible for not catching this contractual change.

My question is this...what should be done with Agent Scoundrel? 

More importantly...if you shoot a rotten agent...do you really lose your library card privileges...permanently?

Love, Granny

www.ActiveSunshine.com

Show All Comments Sort:
Kristi Gonzalez
HousePro Realty - San Diego, CA

I just wrote a blog about the same type of behavior going on in San Diego.  It has to stop.

Jun 27, 2009 09:06 AM
Wendy Montoya, REALTOR® Broker Associate, 254-315-4906
Towne Adams REALTORS - Waco, TX

NO wonder people get bad impressions of Real Estate agents. *frown*  While most of us are tyring to act and behave in the best interest of or clients and otherwise, we still have those few that give us all a bad name.

Jun 27, 2009 09:35 AM
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

[Almost like he knew something was wrong]

Doesn't sound like any 'almosts' about it. :)

Sounds like Seller failed to disclose and agent was complicit. However, A should have gone over that contract before letting it go into escrow. The stuff that E/O was created for . . . what is the buyer gonna do is the question? This could be a lose-lose for all . . . esp A/S's broker. Who should be informed.

Shoot a Scoundrel and an angel gets its wings . . . we've tried and authenticated this theory. ;)

Jun 27, 2009 09:37 AM
Lenn Harley
Lenn Harley, Homefinders.com, MD & VA Homes and Real Estate - Leesburg, VA
Real Estate Broker - Virginia & Maryland

I had a hard time following the scenario.  However, once a contract is signed by the parties, the buyer and seller, any additions to the contract have no effect unless initialed by BOTH parites.

So, if the seller agreed to inspect the septic system in the contract, the "limit of repairs to $500" would have no effect unless the buyer accepted that limitation. 

I believe that the agents are all focused a tad too much on the personalities and not focusing on the contract of sale. 

Jun 27, 2009 09:38 AM
Carol Simonson
ReMax - Westlake Village, CA

Lenn:  I agree that the written in limit should have NO effect since it was not acknowledged by anyone involved, acknowledged by initials.  However, the transaction had is closed now and I do believe that even though the contingencies had been removed as if they were satisfied, because the addition was not initialed, it should go back to the default and that the sellers of the property will probably be liable for a new septic system. I suspect there will be a lawsuit, hopefully mediation will suffice, but I do believe the buyers have a solid suit here.

Still...I wonder what repercussions the agents should see regarding this matter and who should share what portion of the liability. 

Granny

www.ActiveSunshine.com

 

Jun 27, 2009 10:01 AM
Carol Simonson
ReMax - Westlake Village, CA

Thanks Kristi...I just read your blog too! 

Jun 27, 2009 10:02 AM
Norma Toering Broker for Palos Verdes and Beach Cities
Charlemagne International Properties - Rancho Palos Verdes, CA
Palos Verdes Luxury Homes in L.A.

Yep, I'm with Lenn on this one.  If the buyer and seller did not initial the change--the original contract verbiage applies--in my opinion.

Jun 27, 2009 10:04 AM
Carol Simonson
ReMax - Westlake Village, CA

Candice:  I was being facetious when I wrote "Almost" I agree, there was no almost about it!

Granny

www.ActiveSunshine.com

Jun 27, 2009 10:06 AM
Heather the Realtor Orlando, Lake Mary
LemonTree Realty - Orlando, FL
First Time Home Buyers, Bank Owned Homes

Sorry you lost me half way through the story like you said who's on first what's on second. But glad to see you have a Balloon where you hang your license :)

Jun 27, 2009 10:55 AM
Gina Hendrix
Real Estate Broker - Austin, TX

Ok,  If I understand correctly, the change was made on the offer without both parties initialing, thus making the change null and void. ALL PARTIES MUST INITIAL THE CHANGE.... I'm guessing agent amiable typed up her original offer, thus making agent scoundrel responsible for making the change in ink pen?? 
   It seems obvious to me that agent scoundrel and his seller was well aware that the septic system was in need of repair, thus ending in a non disclosure issue, which if pursued, the buyers would win. I live in a property which is on septic, and I know darn well my system is need of work, and if I were to sell, would need to fix it before hand AND disclose it. You don't just live with a septic in need of 18k worth of work and not know it. Gimme a break!
   If I were agent amiable, I would make an example out of agent scoundrel. I don't care how big of a producer he is, we all need to follow the rules. Agent amiable may have to put her E&O to good use, and explain to her buyer:
1.  Contract law .... agent scoundrel did not have a legitimate change on the contract without everyone's signature. (at least that is how it would roll in TX)
2. The buyer should pursue legally the fact that the contract was tampered with,  along with the non disclosure issue. I assure you as a property owner living with a septic in need of work, ya just don't live in it without knowing it. The buyers have a VERY STRONG CASE!
3.  The buyer should turn agent scoundrel into the state licensing committee with a complaint. In TX we have a recovery fund.
4.  I hate to say it, but agent amiable should stand by her buyer through to the end, even it means eating a little crow herself. Maybe contract law is different in CA from TX, but the change made was not made part of the contract without buyer and sellers acknowledgment. That was a sloppy mistake on agent scoundrel's part as well.

Question, was the buyer able to obtain their loan and close on the property? If not ... ouch, even more damages!

   My husband once bought a home in GA, which had foundation issues, un disclosed by the seller. Heres how it went.
   He went to the judge in the district court and explained his dilemma, stating he had no $$ for attorney representation. The judge of that district explained exactly how he should go about  filing a suite explaining the timelines details etc. My husband did exactly as instructed, got the seller into court and won!  The seller then went an hired a team of attorneys to appeal to state court. My husband walked into state court, continuing to represent himself ... and won again. Poor seller, paid attorneys who promised him the stars and moon for .... Absolutely nothing but a judgment against him and his own attorney fees.  Non disclosure issues are a serious business. We call them in TX... "Your get out of jail for free card" (quote from Mark Minchew)  
    I do hope you share this with agent amicable ...Oh, also, agent amicable should get herself disassociated with that office and join an office which places ethics before volume.

 

Jun 27, 2009 11:12 AM
Gina Hendrix
Real Estate Broker - Austin, TX

One other thought .... It doesn't matter if the buyer closed or not. Under the circumstances, they had to be out of their house, with no where to go and what choice were they really left with....

 

Jun 27, 2009 11:18 AM
Carol Simonson
ReMax - Westlake Village, CA

Gina:  I swear girlfriend...YOU are absolutely correct on all fronts.  I actually believe that the contract was voided by Agent Scoundrel's attempt to mislead and defraud the buyers.

I also tend to agree with you, NOBODY (I mean...Really!) lives in a house that requires $18,000 in septic repairs and doesn't know it.  I'm not exactly sure what it is that they claim to NOT know (I've never had a septic...Thank you God!) and I don't really want to know exactly what it is you would know if you had that severe of septic problems...I have a vivid imagination...that's enough for me!

Agent Amiable will stand next to her clients in this, thats the stuff this gal is made of, and you are correct again, her clients WILL be awarded full damages in this case.  And Agent Amiable won't mind eating a little crow as you say, besides, groceries are expensive, any free bird meal (Crow or otherwise) in the midst of a financial depression is at worst...a free bird meal! 

Although, in my opinion, it will never see the light of day in a courtroom, I do believe it will be resolved via mediation.

What I don't like is the fact that Agent Scoundrel, being a top producer, will more than likely get his hands slapped at most....THAT is not enough in my opinion.

Still...I suppose history has showed us all that you cant really legislate honesty or personal integrity.

Granny...I do, however, think a trip behind the barn and a bit of tar and feathers would be in order!

www.ActiveSunshine.com

Jun 27, 2009 11:52 AM
Carol Simonson
ReMax - Westlake Village, CA

Heather:  Wait a minute...WHO is on first!  How could you confuse that?

Happy to see you're a Balloon Baby too!

Granny

www.ActiveSunshine.com

Jun 27, 2009 11:55 AM
Hannah Williams
HomeStarr Realty - Philadelphia, PA
Expertise NE Philadelphia & Bucks 215-820-3376

Carol....Looks like a lawsuit to me..get that dirty rotten scoundrel in court...to many of then ruining our reputations out there...

Jun 28, 2009 01:49 AM
Mary Strang
Viroqua, WI

I think there are 2 problems, one of Fraud on the part of both the seller and seller's agent. The the other is a plain old license violation that the agent cannot alter the writing of another. If I owned big blue, I would be very blue when the lawsuit was filed against the Broker of record, as the buck stop on that desk.

Jun 30, 2009 01:33 PM
C Tann-Starr
Tann Starr & Associates, Inc. - Palm Bay, FL

OMG - I am so re-blogging this into Club Chaos. Granny Carol, feel free to mentor me any time. Love, C. :-)

Jun 30, 2009 11:41 PM
Rebecca Gaujot, Realtor®
Lewisburg, WV
Lewisburg WV, the go to agent for all real estate

After reading this long post, and enjoying your writing, I have to agree with Mary #15....

Jul 01, 2009 09:48 AM
Carol Simonson
ReMax - Westlake Village, CA

Well Rebecca...you and Mary are both technically correct, he needs to be brought before the board at the very least...I don't mean to get down and personal about it, but I think for all of our sakes, Agent Scoundrel needs to be taught a BIG lesson, much more than the typical hand slapping that the board does...or restricting his license for 30 days....that does virtually nothing, in my opinion. 

Still...I think a walk behind the barn might do him some good...not to mention the tar and feathers!

Granny...and old gal from the old school.

www.ActiveSunshine.com

 

Jul 01, 2009 10:38 AM