Question and Answer Regarding a Seller’s Inability to Close Escrow

Question and Answer Regarding a Seller’s Inability to Close Escrow

Question: I am a listing agent. The property is in escrow. A neighbor recently sued the seller and recorded a Lis Pendens against the property. The seller can no longer transfer title. What advice should I give the seller?

Answer: Advise the seller to immediately seek legal counsel, as the seller could have liability to the buyer. The seller may want to consider leasing to the buyer until the title issues can be addressed.

-Shannon B. Jones, Partner, sbj@sbj-law.com