THIS ISSUE: The California Court of Appeal recently held that some guarantors may be liable for a loan deficiency judgment after a foreclosure sale on real property, while others may not.1 The decision follows long California precedent, but may be ripe for legislative review regarding the inherent risks in personal guaranties during a real estate foreclosure.
THIS ISSUE: How can parties to a construction contract guard against the inadvertent loss of contractual rights to arbitration in lien enforcement proceedings?
THIS ISSUE: When does an option to purchase real property become an enforceable contract of sale? Can an option agreement be unilaterally cancelled?
THIS ISSUE: Most residential purchase agreements contain a mandatory mediation agreement. California courts have upheld this provision, and the resulting waiver of the right to recover attorney fees for breach.
THIS ISSUE: Seeking to promote the use of solar energy in California, the Legislature passed the California Solar Rights Act in 1978. This Act has recently received a lot of public attention, both in court and out.
THIS ISSUE: Often in the sale of real property, money is held back in the transaction to be used to complete certain repairs to the home. If the real estate agent takes charge of organizing the repairs and paying the contractors, does the agent become a contractor herself?
THIS ISSUE: The California Court of Appeal has held that the “final payment” owed to a contractor is not a “progress payment,” the improper withholding of which would entitle a contractor to progress payment penalties. How does this impact contractors and property owners?
THIS ISSUE: Most real estate purchase agreements contain some form of prevailing party attorney fees provision. Understanding how those provisions work, and the pitfalls associated with them can enhance a litigation negotiation position significantly.
THIS ISSUE: Home Equity Sales involve a number of statutory require‐ ments. But a recent court decision has potentially eliminated the bond requirement we discussed in the June 2007 R.E.A.C.H. issue.