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Updated almost 7 years ago, 01/22/2018
Attorney Approval failed - Should I keep my attorney? (NY)
Hi! First post here. Story time!
So I am in the process of finding my "House Hack". Found a Duplex (no hoa!), made a deal, signed some docs, found an attorney, and 7 days later the Seller's attorney vetoed the deal.
Some notes:
- I found this attorney through a business card rec at a real estate networking event.
- I had no prior relationships or recs, however I made a point to vet the lawyer who I'd be working with (asking their background in REI, etc.)
- The lawyer walked me through the contract - we found that there was a shared driveway included in the sale. This was something that I had missed, the seller's realtor didn't mention and my realtor missed. I raised concern, as the driveway in view definitely looked like there was 0 shared ownership.
- My realtor said she'd look into it, and that was the last I heard.
- 5 days later, an email that the lawyers could not agree on a contract and the offer was turned down
My attorney said they hadn't heard a reason for the denial, other than it was denied. After some digging, I found out that the deal was denied because:
- The contract sent by my attorney was "unusually long" at 6 pages, both my realtor and their realtor said they'd never seen one that long.
- The terms were characterized as "too forceful" and intimidated the buyer into backing out.
- My attorney was asking for a formal legal agreement to be produced on the shared driveway.
Here's where I am. I took it as a learning lesson initially, "OK, I shouldn't just use a random business card lawyer."
But then...
I started thinking about it, and after reading the contract myself I felt that the attorney did their job in protecting my best interests as best as they could. Although my realtor doesn't expect me to use them again, and said they'd never recommend them to a client, I can't shake that feeling. Sure, my attorney could have communicated a bit better, but from everything I've been told, she was in the dark until the contract was denied. There was no point of negotiation, and IF there was, she didn't back down on making sure my best interests were met. Oh BTW, I chatted with the seller's agent and found out the owner had issues with the neighbor and the driveway so there was "no way they'd get a signed formal doc over the driveway".
SO, here's where I come to you BP.
Although the general consensus in my immediate group is to find a new Attorney for my next offer, I can't shake the feeling that the attorney did their job. What would you do in my situation? I can provide the contract for someone to look at if desired.
Follow up question: Is there a culture of lawyers dissuading sellers from complicated contracts?
Thanks!
Nic