Real estate disputes can be a nightmare for all homeowners, often leading to complex legal battles and significant financial burdens.
With a median sale price of $8,39,000, which is a 5.1% increase from 2023–California is fast emerging as one of the most attractive real estate markets in the US. However, this growing demand has also brought along a surge in real estate disputes.
So, if you’re a real estate investor or homeowner in California, here are some ways on how you can handle the disputes effectively:
Act promptly
When a dispute arises, try to address the issue as soon as you can. This doesn’t mean that you need to take the matter to court. Instead, take proactive actions like reviewing the purchase documents and legal clauses, such as deeds, titles, and lease agreements.
You can also try to solve the matter amicably with effective communication. Start by respectfully discussing the issue, followed by the agreed-upon terms and conditions. All this while, make sure you keep your calm. When tempers fly high, things get out of hand before you even know it.
If direct communication doesn’t help, consider involving a neutral third party, such as a mediator, to help find common ground and reach a fair agreement.
Know the property boundaries and easements
If you’ve any confusion about your rights and obligations, always refer to the California Civil Code. This document outlines the ifs and buts of all basic issues like ownership disputes, boundary disagreements, and title transfers.
For example, in boundary disputes, you can refer to legal procedures like “actions to quiet title” to formally resolve conflicts over property ownership.
For easements, both parties must have a clear understanding of the circumstances under which one person may use another’s property for specific purposes.
The Civil Code also covers different things like the creation, transfer, and termination of easements, including prescriptive easements that are granted through continuous and uninterrupted use of someone else’s property.
Consult an attorney
Handling a dispute all alone can be extremely challenging in all aspects–emotionally, physically, and financially. This is where an experienced real estate lawyer in California proves invaluable.
The lawyer carefully reviews and proofreads all the documents on your behalf to ensure there are no loopholes. This is especially helpful when you’re unaware of the legal jargon.
Professional legal support can also accelerate the process for you and give you more clarity about your situation.
However, before you entrust someone, make sure to do your homework. Thoroughly research their credentials and look for successful case histories specific to California real estate disputes.
Consider ADR
ADR, or Alternative Dispute Resolution, includes two main processes: Arbitration and Mediation.
Mediation is when a neutral third party is appointed to facilitate negotiations. The mediator does not have decision-making power but works toward helping both parties reach a voluntary settlement without worsening the situation.
Arbitration, on the other hand, is more formal. Here, the arbitrator, after hearing both sides, makes a final, binding decision on the dispute.
Both these methods are best for situations where simple communication between two parties isn’t solving the case, but neither party wants to move to court either. These methods are also faster and less costly than court proceedings.
Prepare for litigation
If nothing works out, litigation is your last choice. This is first done by filing the case details to the appropriate California Court and then serving the other party or defendant with a legal notice.
Next, both you and the other party will be asked to gather enough evidence to prove yourselves innocent.
You can appoint a lawyer on your behalf who will not only guide you through the process but also help you win the case.
After all the preliminary paperwork is done, both parties will be called for pre-trial motions and a last-resort settlement discussion. If no settlement is made, the matter will officially be brought into court.
Conclusion
While resolving disputes, remember to comply with the local California Laws as applicable to your property, such as the California Tenant Protection Act 2019 (if you’re renting out or paying rent), California Code of Civil Procedure, and California Coastal Act (if your property is endangering other people’s rights to access the coastal areas). Failing to adhere to these laws can lead to unfavorable legal consequences.
If you’re not aware of these specifications, ask your lawyer and work alongside him for a smooth win.
