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 Realty Reality: Seller's Actions May Ratify Agent's Signing
16-06-2006
A recent memo from the California Association of Realtors®' (CAR) Legal Department draws our attention to some important principles with respect to the signing of contracts. The memo refers to a 4th District California Court of Appeal case, Behniwal v. Mix, a case that contains plenty of features not to like.
The Mixes listed their condominium for sale in June of 2002. Within a few weeks they received an offer of $520,000 from the Behniwals. At the direction of the Mixes, their agent prepared a counteroffer of $540,000. Their agent also signed the Mixes' names. (At trial, Mrs. Mix testified that she had not given the agent verbal authorization to do this; but, in the decision, the trial judge wrote, "The Court disbelieves Mrs. Mix' testimony [on this point] …").
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