Adventures in REI - The Austin Way (long) - Posted by Chuck Perry - TX

Posted by Mark (SDCA) on March 19, 2001 at 11:24:27:

You are letting your emotions get the better of you.
If you sue, it is going to cost you a lot of time and money. I don’t like your chances of “getting” the 3rd party. (Unless you have a “smoking gun” that you didn’t mention here.)

Just cloud the title and let the seller come to you. If you have a signed contract then you have a winner.



Adventures in REI - The Austin Way (long) - Posted by Chuck Perry - TX

Posted by Chuck Perry - TX on March 17, 2001 at 09:58:42:

Of late, I have had a rash of third parties trying to break my contracts. Normally, when a seller wants out, I don’t press the issue. However, I have two deals right now with NICE back ends and both sellers want out. I have discovered the name of one of the guys trying to break the contract.

Now I know it takes two to tango, so the seller has some culpability or may be the “procuring cause” of the whole situation. My experience has been that when a seller calls me and it is listed with a RE broker or under contract, I flat out tell the seller what they are doing is wrong and I won’t deal with them.

A letter to one seller appears to have worked and they are back at the table. The other seller is still playing games. I hate wasting time on this type of junk since I have better things to do, but I do not believe that I should let these situations go. It sends the wrong message to other investors who may try to take advantage of the situation next time. I only have a name and cell phone number of this jerk, but I believe I should set an example with this guy. I also believe that this guy has friends calling me leaving bogus info and trying to catch me in the act of something silly like brokering RE without a license. My lawyer will send him a letter as soon as we get a solid bead on this guy.

No investment course I have talks about this scenario in depth. I welcome comments.


PS - On both these deals, I have recorded affidavits.

Third party interfers with your deal - Posted by BillW.

Posted by BillW. on March 17, 2001 at 20:44:32:

Chuck, I don’t blame you for being angry. Once one of these types successfully messes up one of your deals, they will be back for more. And so will their friends.
The way to stop it is to get a real werewolf type lawyer who takes no prisoners. Find each and every one of these individuals and name each of them, their families and the seller involved and his family in a multi-million dollar lawsuit. File a lis-pendens on every piece of property any and every one of them ownes and attempt to ruin them. Attach their salaries. Go for everything they have. (You can always back off if you’re feeling nice.) I know this may sound harsh and mean spirited, but you either stand up for yourself and make everyone who even thinks of doing this reconsider, or you will get stomped and lose deal after deal. If you are known as an easy target , every one of these individuals will want a piece of you and your deals. If you become known as a litigeous, lawsuit happy person who WILL sue at the drop of a hat, they will leave you alone. It’s your choice.

Re: Adventures in REI - The Austin Way (long) - Posted by Nate

Posted by Nate on March 17, 2001 at 11:38:11:

So this guy is trying to get your sellers to back out of their agreement with you so HE can do a deal with them? Or is he just mean spirited?

Either way - I think having the lawyer send a letter sounds like a good idea. But be prepared to follow-up with a lawsuit for tortious interference if the letter doesn’t work.

If all you have is a name and cell phone #, you might even want to get a P.I. to find the guy’s information for you. Although it will cost you a few bucks, I would rather get this taken care of sooner rather than later.

Good luck!

Re: Third party interfers with your deal - Posted by Chuck Perry - TX

Posted by Chuck Perry - TX on March 18, 2001 at 08:53:45:

Thanks. My thoughts exactly. I just had lunch with a Harvard law alumnis who loves to litigate.