Real Estate

Real estate is often the centerpiece of a dispute. Conflict can arise around real estate in family, community and contractual relationships. Collaborative dispute resolution can help resolve such conflicts in an efficient, private and lasting manner, especially when continuing, good relations are desired or required. The complexity of real estate assets and the relationships around them call out for dispute resolution by the parties and for the parties, using options for solutions that could not be obtained in court. In addition, Collaborative Law completely eliminates the costly and unproductive “battle of the experts” so often found in a real estate dispute where the parties each hire their own appraiser, financial expert or engineer.

Consider the following examples as a sampling of real estate conflicts for which the Collaborative dispute resolution process can achieve satisfying results for the parties-in-interest:

Contractor-Subcontractor: You run a large general contractor business and have a dispute with your long standing, and historically very reliable, plumbing subcontractor on a retail mall project due to a conflict with the plumber’s new project supervisor.
Boundaries – A recent survey to erect a fence shows that 5 feet of the length of your driveway is on your neighbor’s property. You and that neighbor have not spoken in years – ever since the fireworks incident.
Family – The vacation home on the ocean in Maine was inherited, as tenants-in-common, by three living siblings and the five children of two deceased siblings. The summer schedule for use has become unmanageable, the home requires a new roof and septic system, and, based on varied life circumstances and desires, the heirs have different ideas about what to do.
Renovations – Your contractor has left your house in the middle of a refinishing project. Notably, the kitchen and one bathroom (of two) are out of commission. The contractor is solvent and does great work, but he is short-handed for the summer and is working full time on another house, which he owns for resale.
Partnerships – The office building owned by five partners must be refinanced due to a maturing loan. The value is down, the vacancy rate is up, and three different lenders have asked for capital contributions from the partners in order to provide the financing. Two of the five partners have been managing the property, and there is some discord around management decision-making and the level of information provided to the partners. In addition, one of the partners wants to be bought out and no buy-sell agreement is in place.
Estates – Johnny got the family home; Billy and Karen got the pizza shop, which is failing. Is it time to revisit the property division?
Leasing – There was a fire at the factory. The landlord wants to raze the property and build an office building. The tenant wants to repair and continue for the remaining eight years of the lease. There is dispute about the extent of the damage and terms of the lease.
Permitting and Siting – The town Zoning Board of Appeals just denied your Special Permit to add a story to your building. Neighborhood emotions at the hearing were high – the place was packed. One of the ZBA members was overheard mumbling, “So, let ‘em sue us.” Or, the town wants to build a new police station on the ball field next to your house. The ball field is not town-owned open space; it has been leased from the private owner for many years.

Similar scenarios abound. In such situations, people often ask, “Who will win? Who will lose?” and then spend a great deal of time and money seeking those answers. In collaborative dispute resolution, the parties and their advisors start by asking about interests and needs of the stakeholders, and they then proceed to explore possibilities – options for resolution-by-agreement that can meet those needs as best as can be done.

Real property law often affects other areas of law, such as divorce property division, trusts and estates and probate conflicts. Collaborative practice can facilitate property settlements and divisions with less delay and drama, based upon both the parties’ clear intentions, and the family’s current needs.

I woke up this morning feeling very good about yesterday’s meeting where we reached an agreement. Most of all, I wanted you to know how grateful I am for all the hard work you’ve done on my behalf. As I counted my blessings, you were among them!