Generally speaking, this process is a cheaper and more efficient way to resolve a dispute between two parties compared to filing an appeal with the court. But there is a hidden trap that many ignore – third parties, such as.B. The real estate agents involved in the transaction are not a contracting party and therefore cannot be compelled to arbitrate. As always, if you have any questions about your property, business, estate planning or any other legal issue, please let us know by emailing me at email@example.com. The tribunal found that the buyers had not demonstrated that they were dominated by the will of the seller and that the arbitration agreement would cause them unreasonable harm. With respect to the allegation of undue influence by the buyer, the court stated that buyers had to prove that they had been coerced by the seller or that the seller had abused its power to compel them to sign the arbitration agreement. In addition, they must show that they had “no realistic alternative” to submitting to this constraint. With a real estate market in recovery and booming, litigation is multiplying. Today`s article focuses on one key provision in the most common real estate contract: the arbitration clause.
7 1. Where a party to an arbitration agreement initiates proceedings in respect of a matter to be submitted to arbitration under the Agreement, the court before which the proceedings are commenced shall suspend the proceedings at the request of another party to the arbitration agreement. As a result, the court found that the seller would have been entitled to a suspension. It found that the buyers had not demonstrated that the arbitration agreement was invalid, either because of scruples or undue influence; Since the General Court was not subject to the exception provided for in Article 7(2) of the Law, it found that there was no discretion to refuse the suspension. The buyers argued that the arbitration agreement was not unscrupulously valid and that it had been obtained as a result of undue influence and that, therefore, the court had to exercise its discretion to refuse the suspension provided for in Article 7(2) of the Act. In February and March 2017, about thirty individuals (the “buyers”) entered into agreements with a construction company (the “seller”) for the purchase and sale of surfaces which should be completed in April 2018. What most brokers® do not recognize or disclose to their clients is that brokers® are not required to participate in arbitrations between clients. Therefore, disputes in which sellers, buyers and one or more of the brokers could be involved® (for example.
B the broker or buyer`s representative) should be subject to both arbitration and litigation, unless the brokers® agree to participate in the arbitration. . . .