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Posts tagged "real estate brokers"

Can An Exchange Of Text Messages Between Real Estate Brokers Create An Enforceable Contract For The Sale of Land?

Nowadays, it is not uncommon for real estate brokers to communicate with their clients and negotiate deals through text messages. The use of text messages in that context has given rise to a new legal issue: whether an exchange of text messages between brokers can create an enforceable contract for the sale of land.

Broker Beware

According to the Supreme Judicial Court, a real estate broker must "exercise reasonable care" not only in making representations about a property, but also in determining whether to rely on a seller's information about that property. See DeWolfe v. Hingham Centre, Ltd., 464 Mass. 795, 796 (2013). After roughly four years of looking, the Plaintiff in DeWolfe, a professional hair stylist, found a property he liked, thanks to newspaper and MLS listings by the sellers' broker. Id. at 796-98. The broker advertised the property as zoned with a "Business B" designation, which would permit "hairdresser" as a use on the scale Plaintiff anticipated. Id. Shortly after the conveyance, however, Plaintiff learned the property in fact was zoned "Residential B," a designation permitting perhaps a small, home-based hairdressing business but not the six-station hair salon Plaintiff had planned to establish. Id. at 798.

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