Duty to Mediate California Residential Real Estate Disputes under RPA-CA Form

http://www.brokercounsel.com

DUTY TO MEDIATION REAL ESTATE BROKER DISPUTES

When you are involved in a real estate dispute in California that arises under the terms of the C.A.R. standard form residential purchase and sale agreement (RPA_CA form), such as a failure to disclose property defects or known conditions that reduce the value of the property, or financial elder abuse, or other problems with septic tanks, plumbing, water leaks, mold, etc. you might need a real estate lawyer to review your contract to advise whether or not you must submit your dispute to ADR.

ADR stands for "alternative dispute resolution." In some cases, the buyer and seller will be contractually obligated to mediate their disputes and, if that is not successful, submit the matter to binding arbitration. Attorney Steve discusses this in this video.

If you are wondering about the difference between mediation and arbitration, mediation is typically non-binding and is an attempt to use a third party neutral to get the parties to settle their case for a certain monetary amount or on other terms (ex. an agreement to make repairs).

Arbitration, on the other hand, can be "binding" or non-binding and usually involves a third party acting as a "judge" (so to speak), and the decision can be binding on both parties and enforceable in a Court of law. Usually, there are only limited grounds to overturn or vacate an arbitrator's award in California.

We hope this video is helpful. Keep in mind this is general information only and not legal advice. To fully understand your legal rights and obligations under the purchase and sale agreement, contact a real estate lawyer.

We have offices in Los Angeles County, Orange County, San Francisco, San Diego, and Maricopa County and we can be reached at (877) 276-5084 if you need representation in either mediation, arbitration, or litigation. --------------------------------------------------------------------------------------------------------------------------------
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