California Surveyors Forums

Hypothetically speaking, a purchaser in escrow contracts with a surveyor to survey a 1 million dollar property. Once the survey is complete, the 1 million dollar real-estate deal falls through due to facts disclosed on the survey.

Are there steps the surveyor should (or can) take to avoid a potential law suit from the seller, or real-estate-agent, for causing the sale to fall through?

Thanks,
Robert

Yes, one must assume that the surveyor entered into a solid contract covering all these issues. Most of these problems are contemplated in a good contract and as such, they are avoided.

On an editorial note, it is unfortunate CLSA has rejected proposed seminars and conferences on this topic. There is an entire discussion and good case law on surveyor liability and exposure.

Have you seen the recent case attached hereto? I will be lecturing on it at Cal Poly Pomona as well as writing an article about it. I am still interviewing folks.

The company I used to work for thirty years ago got burned on an escrow that didn't close . . . and we learned from it!

From then on - NEVER! NEVER! take anything less than the full estimate for a deposit.

A recent ALTA which the buyer was the client . . . for the same reasons, I asked for full estimate deposit. They forwarded a deposit with no squawks (as all serious clients do. And turned out to be a wonderful client.) In this recent case, if I did not obtain full deposit . . . I would have been waiting over six months for the escrow to close!

By the way . . . when persons other than owner are the client - ALWAYS obtain a signed agreement from the owner - even if they are not fiscally responsible. Should a record of survey be required, you had "permission" to file/record that map; also - trespass rights; possible "clearing" permissions, etc would be addressed IN WRITING with the "owner". Contractors, realtors, et al don't give a rip - they just want it done and done now. Teach them patience, Grasshopper.

Why give your work away? It's real easy to be super busy when clients have no "skin" in the game. Then they change their mind because their architect said he knows a surveyor that will do it for $500 . . . then you get to spend all your spare time chasing 'em to get paid for your time invested.

Like in fishing . . . why spend all day fishin' for a boat-load minnows when you can spent the same time on a nice sturgeon, while reading a book 'n sipping a beverage tah boot?

That's Phil's too sense

Thanks guys for the input. In this hypothetical case, getting paid is not an issue, either all fees are paid up front, or you know and trust the client will pay all fees at the proper time.

hellsangle wrote: . . . when persons other than owner are the client - ALWAYS obtain a signed agreement from the owner - even if they are not fiscally responsible. Should a record of survey be required, you had "permission" to file/record that map; also - trespass rights; possible "clearing" permissions, etc would be addressed IN WRITING with the "owner"...

An "agreement" with the owner sounds like a really good idea to me.

Thanks again,
Robert