Real estate agency and brokerage in Georgia. TOO MUCH of a good thing?

Richard, Excellent advice and Lenn is right, it applies not just in Georgia.  The contract of sale very clearly states that the agent is just the messenger- not responsible for the performance of the contract and that if the client wants to know anything about anything they need to consult an expert and that the agent is not an expert.  Policies and Procedures are in place for a reason and some of the larger better run companies train and supervise their agents well but many do not. 

Great advice.  I know many times it would be quicker and faster to give the answer...but legally, you are put in the hot seat if something goes wrong.

The truth, the whole truth and well you know about nothing but the truth. You may be seated... now isn't it true that in real estate listing, twisting and selling that blah blah. Paid by the hour as a hired expert is no bad to shake up the day, try something Perry Mason Court TV like.

Richard- that should be the value that the brokers brings to the table!  We should be able to depend upon the broker to maintain standards.

My first broker was very" litigation-shy" and drummed it into us to be careful what we say and do.  If in doubt, say nothing until you check.

I cringe when agents tell me they are "inspecting the slab" for a buyer. Heck even providing comps to an appraiser to "boost" value makes me raise an eyebrow.

Yes, I have a fairly lengthy P&P in place and not only do all my agents have to read and sign it, we review it annually.  If it's not in writing, we don't do it.

And when I try to go over the Sale Agreement (contract) with my clients, they fall asleep.  Well, good thing they have me as their fiduciary, since I know what I'm doing.  A lot of agents do not.  BTW, the COE might also come into play, no?

Richard absolutely the broker must have a strong and well spelled out policy and procedures in place. I also believe that brokers have a responsibility to continually up level their agents awareness, understanding and knowledge of all the laws, regulations and contracts. Agency is a sticky wicket and many agents have no idea of how deep a hole they can get themselves into - fast. That's where a good broker can make a huge difference.

There are many times in a real estate transaction when Realtors and loan officers know more about a situation than the attorneys.

It would be great to see you, Richard, on "Real Estate Court tv." A new, next career?

Too many cooks in the kitchen maybe

Yes to this post...It is wise to know what you do and what you don't do and keep all channels open and operational in case of a meltdown....I have worked out many a problem while it was in the teeny tiny stage...way before it became or could become court food...thank you

Richard, thanks for the great advice, agency laws in Florida and Virginia, the two states I sold real estate couldn't be more different.

Very true. I read a blog this morning about how she has painted, pulled weeds, moved furniture, etc etc. We used to do a lot of those things, but liability has eliminated most of the 'good neighbor' assistance.

Taking extra pictures (which the blog was about) is easy to do, but some of the other things she mentioned were things we did in the 80s and early 90s to help get it SOLD. (All legal at the time.)

Great post today, was a pleasure reading it.  Look forward to your next one.  Liz in Chandler

Good post, good information. Looking forward to the next one. Sometimes the Attorney needs to get involved early and save a headache later. Most of the time common sense helps and remembering people are not all the same and everything from personality to attitiude gets in the way at times.

Great post Richard,

It reminds me of a case I heard in one broker's class...

It seems that before closing on a home, the same day the buyers agent and the client had a final inspection of the house and the client complained about the low flow shower on the master bath...not enough water pressure. 

The buyer agent eager for his commission ,was not going to lose it for a little problem like that...so he told his buyer...

"Don't worry about it, I'll fix it myself after closing!" 

So, after closing he went to Home Depot,. purchased a $5 shower head and went back to the house to replace the one that he perceived to be clogged with sediments and with a new shower head.. thought all the problems will be solved.

New shower head installed...

still low flow..

His client, now the homeowner reminded home of what he promised ...

He was going to fix it...it wasn't fixed yet...

a little investigation and the problem was the pipes...bad initial installation configuration, walls had to be ripped to install new plumbing to solve the problem. .at thousands of dollars of cost

Agent was asked to fix it ...he said that he only promised to replace the shower head...and the client contended that he promised to fix the problem...and the problem was not fixed..

Months later, after a difficult battle with the licensing commission, insurances and broker's involvement....

the agent over promised...

and he was asked to pay!

all from a $5 shower head...and a promise