Category Archives: Real Estate

A buy-sell agreement is a business contract that defines the terms of ownership if a business partner leaves the company, is incapacitated or dies. These agreements are also referred to as buyout agreements, business wills, or business prenups. Many businesses benefit from buy-sell agreements, including partnerships, closed corporations, and LLCs. Any company with multiple partners or owners should consider signing a buy-sell agreement. Here are the key clauses you want to include in your business buy-sell agreement. 

Name the Parties Involved  

One of the first clauses every buy-sell agreement should include is naming each partner and their current stake in the business. You will also need to have each partner sign the contract to make it legally binding.  

Triggering Events  

A buy-sell agreement should include the types of events that make the agreement go into effect. The most common types of triggering events are when a partner:  

• Dies 
• Becomes disabled or incapacitated  
• Retires 
• Leaves the business  
• Files for bankruptcy
• Is terminated

Selling Structure 

The selling structure defines what the remaining partners will do with the business shares if one owner leaves. There are several types of selling structures that you could utilize, as described below:  

Cross-purchase  

In a cross-purchase, the remaining owners purchase the departing owner’s stake in the business.  

Entity purchase 

Also referred to as a redemption agreement, an entity purchase is when the business entity buys the partner’s shares, not an individual owner. 

Wait-and-see 

A wait-and-see selling structure allows the remaining business owners to decide whether to utilize a cross or entity purchase once a triggering event has occurred. The business owners may also choose to use a combination of these structures.  

Estate Planning 

One of the primary reasons to have a buy-sell agreement is to define what happens to a partner’s stake in the business after they pass away. Unless otherwise specified in the agreement, the partner’s share in the company could go to a surviving spouse or other beneficiaries listed in their will. The shares could also be sold to an outside entity as part of the estate if there is no buy-sell agreement. To prevent this, you should include what will happen to the partner’s share of the business upon their passing. It’s important to be clear and specific in this clause to avoid vagueness that cannot be enforced.  

Business Valuation 

A buy-sell agreement should include an evaluation of the business as it currently stands and state how the business’ future value will be calculated once a triggering event occurs. Various methods can be utilized to determine the value, including hiring a business appraiser or using a predetermined formula to calculate the value. 

Purchase Funding 

Once a triggering event occurs, there is no guarantee that the remaining partners will have enough funds to purchase the departed partner’s shares. To ensure proper funding for the remaining owners to buy the business shares, you’ll want to specify purchase methods in the buy-sell agreement. For example, some business owners may choose to take out life insurance policies on the other owners, so if the partner passes away, they can use the policy’s proceeds to purchase the shares. You should also specify whether the remaining owners can use a payment plan, place a deposit, or use other methods to buy the shares.  

Boutty Law Firm —Handling the Legal Aspects of Your Business 

A buy-sell agreement is critical to your business succession plan to ensure continuity if a partner leaves or passes away. Entrust the help of an experienced business attorney, like the ones at the Boutty Law Firm, to help you draft a legally-binding buy-sell agreement to protect your business for future generations. Our team is prepared to handle all your business issues, no matter the complexity. Contact us today at 407-710-0461 for a free consultation. 

A property dispute is a type of real estate dispute that can occur during any part of the homeownership process. Property disputes can arise whether you are buying a home or have lived in the same place for several decades. A property dispute is a disagreement over how a piece of property is used, such as a home, business, waterway, or vacant land. Below, we break down the most common property disputes in Florida and how to resolve them. 

Boundary Disputes

Boundary disputes occur when there is a disagreement over a homeowner’s property line location. Property lines should be surveyed and documented on a property owner’s deed, but discrepancies between surveys may show two people own the same land. It may not initially be a problem until constructing a shed or fence on the disputed portion of land, adding or removing trees from a property, or using the area unsatisfactorily (such as for old car part storage). 

There are two possible outcomes in a boundary dispute if the case goes to court. First, an ejectment may be ordered, determining the offending structure or possessions are trespassing on your land and must be removed. Or, a declaratory judgment may be issued, which is when a judge legally determines the property owner.

Easement Disputes 

An easement is when one person owns a piece of property, but someone else is authorized to use it for a specific purpose. For example, many utility companies and government agencies may have easements to access your property to maintain electrical poles or water lines. There are several types of easements: 

●      Easement appurtenants—do not expire within a specific timeframe and are intact despite who owns the land. 

●      Easements in gross—are tied to a person or an organization, not a particular property. Utility companies often possess easements in gross to access and maintain power, cable, and internet lines. 

●      Prescriptive easements—may be requested when there is continuous use of land over a significant period (20 years or more in Florida). 

 

Titles 

Title disputes arise when selling a home Title disagreements occur when someone opposes ownership over a particular portion of a property. If there was an error in the property survey or title search, litigation might be necessary to rectify the problem. If you are in the process of a home sale, working with an experienced real estate attorney to perform a title search can help correct any defects. 

How to Settle a Property Dispute 

Property disputes tend to come with high emotions, as they may pit neighbor against neighbor. When settling a property dispute, the most friendly outcome is for you and your neighbor to resolve the dispute independently. However, this is not always possible. If you and your neighbor cannot agree, you may need legal assistance to file an injunction and settle the dispute. When filing your claim, you will want to present documents and gather information such as surveys, titles, and boundary maps. For assistance, contact a real estate attorney at the Boutty Law Firm to help file your claim. 

Settle Property Disputes Amicably with the Boutty Law Firm

Property disputes can be very complicated and emotional, especially when dealing with neighbors. If you are facing a property dispute in Central Florida, seek the counsel of an experienced real estate attorney like the team at the Boutty Law Firm. Call our office at 407-710-0461 for an initial consultation.

In today’s current real estate climate, buyers are abundant, but inventory is low. As a result, many buyers negotiate various elements of their purchase offer to make it more attractive to the seller, like waiving inspections and appraisals. Working with a real estate attorney during these transactions will ensure your contract is in good legal standing, lessening the chance the deal will fall through during the closing process. Here are the types of transactions where it is beneficial to hire a real estate attorney. 

Commercial real estate transactions

Commercial real estate transactions require a different set of logistics compared to residential transactions. If you are a land developer or business owner looking to build a new retail space, you must ensure your building adheres to local zoning laws. This can be a complicated process, which is why an experienced real estate attorney can help make sure your development plans meet all requirements before construction begins. 

Closing assistance

During the closing process, a real estate attorney can serve many roles. They look over closing contracts and documents and make sure both parties are aware and understand its terms. Real estate attorneys gather the necessary paperwork, such as the seller’s disclosure statement, commercial leases, and sales finalization papers, to ensure they are legal and ready to enforce. During the closing, real estate attorneys are present to secure a smooth and orderly transition from buyer to seller.

Appraisal appeals and negotiation 

An appraisal is an integral part of securing a mortgage for a home loan. Lenders want to know that the property you are looking to purchase is worth the price the buyers are selling it for, and having an appraiser assess the property is the most common way to do this. Unfortunately, in this hot real estate market, a home may not appraise for the offer price. When this happens, buyers may have to come up with the cash to make up the difference in the appraised value and the offer price to secure a mortgage. Instead, some homebuyers appeal the appraisal—which is where a real estate attorney can assist. A real estate attorney will help negotiate the appraisal appeal on your behalf, citing factors such as the comparable properties (“comps”) that were used and additional home improvements that may increase the home’s value. 

Title and lien searches 

Another critical part of the real estate transaction process is the title and lien search, which helps determine whether the seller has the legal ownership and right to sell the property. A Real estate attorney will develop a detailed report, including a history of ownership, a list of current mortgages, and any liens on the property. This allows the potential homeowners to purchase the home free and clear.

The Boutty Law Firm: Orlando real estate attorneys 

Our experienced real estate attorneys at The Boutty Law Firm can assist in all aspects of real estate law and transactions, whether commercial or residential. If you are a real estate agent or a potential homeowner, let us partner with you to ensure a smooth real estate transaction. Visit our office in Maitland, or call 407-622-1395 to schedule a consultation.

   The purchase of real estate is perhaps the most significant financial investment of a lifetime. There is a strong emotional attachment to real estate as it signifies a new beginning for a buyer. After having carefully researched and inspected a property, a buyer feels confident as they close the sale and enter into ownership. Eventually, the buyer may discover that there are undisclosed defects which affect the property value or prevent the property from being used for its intended purpose. What is the legal recourse for damages from the buyer after-the-fact?

 Real estate law in the State of Florida requires the seller of a property to disclose significant material defects that affect the property’s market value. If the seller has not disclosed defects, either by failing to remember or by deliberate concealment, the buyer is entitled to monetary damages. Even if real property is sold “as is,” the buyer is culpable for damages if they have not complied with full disclosure. For example, after the sale of a property, a buyer may find a damaged roof or water seepage, mold, or septic problems that were not obvious at the time of purchase. There may be environmental issues, such as radon gas, a history of sinkholes, zoning violations, boundary disputes, or coastal erosion.  

The Boutty Law Firm P.A. Protects its Clients’ Interests

The purchase of real estate has many complexities. When entrenched in a dispute regarding a failure to disclose property defects, it is in the buyer’s best interest to hire an attorney with substantial real estate experience. The Boutty Law Firm P.A. handles all aspects of real estate and construction law. Our skilled attorneys offer compassionate legal representation for disputes in negotiations, mediation, or courtroom litigation. We have a strong presence and can find practical solutions or powerful advocacy in the courtroom.

 In a Court of Law, the Elements of a Non-Disclosure Case are:

• The seller must know about the defect.
• The defect must affect the market value of the property.
• The buyer must have evidence that the seller failed to disclose the defect.
• The defect must not be readily observable to the buyer.  

Although not required by law, many real estate transactions utilize a Florida Disclosure Form to sell a property. It is critical that the buyer and the seller document defects, which become enforceable in the event of a dispute. Some of the items addressed in a Florida Disclosure Form are issues related to the structure of the building, pest infestation, water intrusion, plumbing, roofing, sinkholes, and environmental defects. The Residential Lead-Based Paint Hazard Reduction Act of 1992 is a Federal law that protects the buyer regarding the presence of lead-based paint in a property if built before 1978.

Boutty Law Firm P.A. Serves Central Florida and the Surrounding Areas

   In any real estate transaction, the purchase documents are your legal safeguards for the protection of the buyer and the seller. To prevent disputes, The Boutty Law Firm P.A. will review and scrutinize real estate contracts for legal risks. Undisclosed property defects that the buyer discovers after the purchase of real estate is a breach of contract, and you have legal rights. Call our Maitland, Florida office at 407-622-1395 for a free initial consultation to discuss an undisclosed defect dispute or any real estate law aspect.