Common Types of Real Estate Litigation in California (2024)

Real estate transactions in California involve a number of investments and complicated legal considerations. The complex nature of these transactions can cause disputes to arise, which, in some cases, will lead to litigation. By understanding the common types of real estate litigation in California, property owners, buyers, and other professionals alike can feel more confident in how they approach their next real estate move.

Some of the most common to be aware of include:

Breach of Contract

A breach of contract is defined as any instance where one party has failed to fulfill an obligation that was laid out in a real estate agreement. California considers these contracts to be legally binding, which means they will be used to see if a specific transaction aligns with the terms and conditions or not. There are many different ways a breach can occur, like if a seller neglects to disclose certain property defects or if a buyer doesn’t secure financing by the time they need to.

Boundary Disputes

It is not uncommon for there to be disputes over where property lines are drawn. These cases arise a lot when one individual decides to install a new fence, driveway, or some other type of structure that the other party believes is on their own land. To fix this dispute, an attorney will need to thoroughly review the property deeds. They may also bring in a professional land surveyor to determine the correct boundary lines.

Landlord-Tenant Disputes

There are many reasons why a heated dispute can arise between a tenant and their landlord, like issues with unpaid rent, lease violations, or even an issue with the living conditions of a property. California tenants also sometimes bring a claim against their landlord for trying to wrongfully evict them or if they feel they have been discriminated against in some way. An attorney can step in to help uncover any illegalities and bring the issue to housing court if needed.

Title Disputes

A title dispute is any instance where it’s being questioned who has legal ownership of a specific property. This can happen for many different reasons, such as an error being made in a public record, a fraudulent transaction happening, or if there are unresolved liens on the property. These disputes require an attorney to examine the property’s title history to see if they spot any discrepancies that can explain why there is a disagreement to resolve.

Construction Defects

With California’s active construction market and strict building codes, construction defect litigation has quickly become a significant area of real estate law. This can involve minor instances of cosmetic flaws all the way to major structural problems that risk the safety of those inside of the property. When this happens, a business owner might choose to file a lawsuit against the builder or contractor to try and hold them accountable.

Easement Disputes

An easement is a legal right that allows someone to use a portion of someone else’s property for a specific purpose. In many cases, this is to access a necessary road, conduct utility maintenance, or water rights. Often, disputes arise because there is a disagreement about whether an easement exists or to what extent it covers. For example, a property owner might have an issue with the way an easement holder uses their land.

Zoning and Land Use Disputes

Different zoning laws and land regulations are designed to help control the development and use of land within a specific community. It helps to ensure a piece of property is aligned with the community’s overall planning objectives. Disputes arise over issues where someone might try to deviate from a zoning requirement or challenge the authenticity of a zoning ordinance. Property owners could face disputes with government agencies who oppose a proposed development.

FAQs

Q: What Is a Litigation Guarantee in Real Estate?

A: A real estate litigation guarantee is a specific type of title insurance policy that helps cover legal disputes over property ownership or title defects. It’s designed to help protect the policyholder from losing unnecessary money from a claim that challenges their right to the property. For example, someone might try to say they have a legal interest in the property. When this happens, the litigation guarantee covers the cost of defending against this lawsuit.

Q: Does California Use Attorneys for Real Estate Transactions?

A: While it is not mandatory to have an attorney supervise a real estate transaction, it is highly recommended. It might seem between the real estate agent and broker that there is enough oversight, but an attorney can help ensure no one is trying to take advantage of your rights in the process. They will be able to offer advice while reviewing every contract to ensure everything is not only compliant with California law but achieves the outcome you are looking for.

Q: What Is an Example of a Property Dispute?

A: One of the most common examples of a property dispute is when there is a disagreement about where property is split. This happens when there are not any clear property surveys on record to support either party’s claim of where their property starts and finishes. To resolve this dispute, an attorney may take a second look at the property’s legal description. They may also order a new professional land survey to be conducted.

Q: How Can I Avoid Litigation in a Real Estate Transaction?

A: To maximize your chances of avoiding litigation in real estate, you need to pay careful attention to the details of any contracts and your communication with other stakeholders. Hire a real estate litigation lawyer to help ensure that all contracts are clear, comprehensive, and legally binding. You also want to make sure you have done your due diligence in other areas, like having a quality inspection completed or doing a title search to uncover other possible problems.

Contact Scheer Law Group Today

If you are having issues with a real estate transaction or want to proactively approach a transaction to avoid a dispute, contact Scheer Law Group today. We would be honored to take on your case and help ensure your property and rights are protected from start to finish. Contact us today to begin.