It takes skill and experience to navigate commercial real estate transactions. Commercial real estate deals come with a fair share of risks compared to residential transactions.
Whether you will purchase or sell commercial real estate, it is vital to understand the risks involved to take proactive measures and avoid legal issues, particularly ones that could arise post-transaction. Our New Jersey real estate attorneys have put together the most common real estate disputes and resolutions to help you with your transaction.
If you need legal guidance with your commercial real estate purchase or sale, contact our legal time today at (201) 897-4942 to schedule a case evaluation!
Breach of Contract
Most real estate agreements require a legally binding contract to come in writing. When a real estate contract is breached, it can result in a major dispute.
A breached contract occurs when one of the parties doesn’t fulfill their obligations under the contract or initial agreement. In many cases, a breach may be regarding maintenance, payment, and property delivery.
Co-Owner Disputes
Commercial real estate transactions often involve more than one person or entity. When co-owners or partners disagree on selling, purchasing, or going through a transaction, disputes may arise.
Co-owner disputes can be difficult to resolve, especially if the owners don’t want to give up their rights to control or own the property. For such reasons, it is vital to have an experienced attorney on your side who can help you navigate the issues—especially if the only way to address the problem is through litigation.
Contractor Disputes
One of the most common real estate disputes parties encounter is contractor disputes. Failing to draft an appropriate performance duties provision can result in incomplete or defective work, problems with work coordination, and quality of work.
Monetary assurances are another common issue when credit relationships are not detailed. When finances aren’t discussed with contractors, it can result in incomplete work when funds are maxed or expanded credit amount without approval.
Land Use & Zoning
In some cases, the city may attempt to enforce new zoning or land use provisions against your property. Land use and zoning issues can delay construction or impact your property’s value. Land use and zoning problems can also affect your transaction status with buyers.
If your real estate transaction has been affected by external factors, you will need the guidance of an experienced attorney.
Commercial Real Estate Dispute Resolutions
Commercial real estate disputes can have adverse effects on your business. For such reasons, you should have an experienced legal team evaluate your situation before determining your next course of action. Below we have outlined common real estate dispute resolution options:
- Mediation: This involves a third-party mediator working with the disputing parties to reach a compromise.
- Arbitration: If the issue cannot be resolved through mediation, arbitration is another option. This involves a third-party arbitrator to review legal documents and the disputed property. The arbitrator may also consult with your real estate attorney to find faults and determine a solution. Arbitration is typically binding.
- Real estate litigation: This process requires the case to be presented at court, where the judge will determine the best solution for the legal dispute.
Experienced Guidance in Real Estate Issues
If you are starting a real estate transaction or dealing with a legal dispute, our team at M. Ross & Associates, LLC is here to help you. When considering a real estate business deal, it is important to know the risks involved and have proper counsel to help ensure that you are protected to the greatest extent.
Our lawyers can provide you with prompt, cost-effective, and thorough legal advice to help you with your commercial real estate issue.
Contact M. Ross & Associates today at (201) 897-4942 to schedule a case review!