Not using a Qualified Intermediary in a 1031 Exchanges

[Dalton Osmanski]

I have recently come across a situation in which someone sold their investment property and didn't follow all of the 1031 exchange procedures completely ( they received the funds directly after selling their investment property instead of depositing the funds at a Qualified Intermediary). They have spent a portion of the funds they received which makes me believe they are no longer eligible to participate in the 1031 exchange and will have to pay taxes on the gains, are there any alternative options to defer taxation?