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    mcgratp's Avatar
    mcgratp Posts: 1, Reputation: 1
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    #1

    Aug 20, 2008, 12:08 PM
    First right of refusal
    A few years ago my grandparents sold me three lots that they owned. Since then my grandparents passed away and found out by being served that the land had a first right of refusal clause that was a deal that they made w/ the adjacent land owners. Now the adjacent landowners are suing me and my family. We did not know that our grandparents had made this deal. With some research I was able to find out that the land was offered to the adjacent land owners but they turned it down. So now it has become a battle of the adjacent landowners word and my dead grandparents. What rights to we have. Will I loose my land because of a "shady" deal my grandparents made years ago?
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #2

    Aug 20, 2008, 01:56 PM
    Quote Originally Posted by mcgratp
    So now it has become a battle of the adjacent landowners word and my dead grandparents.
    Hello mc:

    In real estate matters, who says what doesn't count. What's WRITTEN is what counts. If the neighbor doesn't have a WRITTEN first right of refusal, then he's got nothing. If he does, then he's going to win. It's really that simple. It would seem that he does, or the attorney wouldn't take on his case.

    If so, then it's no use fighting. You're going to have to offer it to him at the price you paid. Might as well do it now while the lawyers fees are low. CASH only, please. It doesn't matter that you may have made payments. Make the offer in writing to him by certified mail, and give him 24 hours to accept, and 10 days to close.

    Of course, you want to SEE the document. But I'd certainly call the lawyer. I wonder why he didn't just call you first instead of filing suit. Did he make some contact with you before he sued you? I'll bet he did.

    excon

    PS> You don't know if the deal he made with his neighbor was "shady" or not. You just don't like it.
    froggy7's Avatar
    froggy7 Posts: 1,801, Reputation: 242
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    #3

    Aug 20, 2008, 08:30 PM
    Ex-con... what about the fact that it sounds like the neighbors were offered a chance to buy the land, and turned it down? If that happened before the lots were sold to the grandchild, doesn't that fulfil the first refusal clause?
    excon's Avatar
    excon Posts: 21,482, Reputation: 2992
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    #4

    Aug 21, 2008, 05:55 AM
    Hello froggy:

    Good point. I assumed that the deal for first right of refusal came out of that transaction. If it happened subsequent to that time, and he can prove it, then the guy is off the hook.

    excon
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
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    #5

    Aug 21, 2008, 06:23 AM
    What rights you have are what was written into the contracts. Generally a first right of refusal clause is put into a sales contract that gives the seller the right to repurchase the property if the buyer decides to sell. Its possible that the seller wrote in the clause for existing neighbors, but I haven't a clue why they would unless there is some HOA covenant involved.

    So there is a possibility, though remote, that this first refusal clause could be deemed invalid. You will need a good real estate attorney to advise you on that. He will need to see the contracts to tell for sure.

    On the other hand, if you have proof that the property was initialed offered to the neighbors and refused, then you should be clear.
    dad5787's Avatar
    dad5787 Posts: 11, Reputation: 4
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    #6

    Aug 21, 2008, 06:28 AM
    What happened to the idea that the agreement was made between the deceased grandparents and these people? If there was a contract then wouldn't there need to be a claim filed against the estate. The children that purchased this have not legal commitmnet to the other people. These people purchased the land and it should be their's. They have no responsibility to the other people.
    ScottGem's Avatar
    ScottGem Posts: 64,966, Reputation: 6056
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    #7

    Aug 21, 2008, 06:30 AM
    Quote Originally Posted by dad5787
    What happend to the idea that the agreement was made between the deceased grandparents and these people? If there was a contract then wouldn't there need to be a claim filed against the estate. The children that purchased this have not legal commitmnet to the other people. These people purchased the land and it should be their's. They have no responsibility to the other people.
    Sorry, but you are incorrect. If the sale to the grandchild violated the terms of a contract, then that sale can be voided.

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