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I was a transaction broker in a renting transaction, holding

escrow for a prospective tenant...
I was a transaction broker in a renting transaction, holding escrow for a prospective tenant. Tenant applied late to HOA with no reason and when approved by HOA, did not move in. It has been about 10 days and tenant claims they are not moving in because they are still out of town for work reasons. I tried to have them sign the escrow release, suggesting them they settle with landlord, they have refused. I understand I can disburse to landlord, please confirm. If tenant sues me, do they have any chance of harming me in any way?
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10/4/2013
Law Pro
Law Pro, Lawyer
Category: Real Estate Law
Satisfied Customers: 24,870
Experience: 20 years extensive experience in real estate law, foreclosure, finance, and landlord tenant law.
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Hi! My name is XXXXX XXXXX I'll be the attorney assisting you.

So the tenant did sign an application guaranteeing they would lease if the HOA accepted them - correct?
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Customer reply replied 4 years ago

yes


 

If that be the case - then the "tentant" is in breach of the lease and you can give the landlord the escrow.

The contract is the contract - if they executed a guarantee and the escrow would be released upon their being accepted - this shouldn't even be an issue now because the escrow should be immediately given to the landlord.

No, you would have no personal liability releasing the escrow monies to the landlord.

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Law Pro
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Category: Real Estate Law
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Experience: 20 years extensive experience in real estate law, foreclosure, finance, and landlord tenant law.
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