Maryland Real Estate Law & Attorney’s Fees

A few clients have recently asked about “standard” attorney’s fees clauses in Maryland Real Estate contracts, such as a Residential Contract of Sale.

It is important to understand that ultimately these terms are negotiable and if you have concerns about what is proposed you should speak with your attorney so that you are comfortable with the contract you are signing.

To ensure your contract is drafted correctly and negotiated to your liking, call or e-mail now for a free confidential consultation: Maryland attorney Stephen J. Reichert at 410-299-4959, sreichert@reichertlegal.com or by clicking here.

Day, evening and weekend appointments are available in office or at your residence; serving client throughout Maryland.

Here is a standard attorney’s fees clause in a Maryland Residential Contract of Sale

ATTORNEY’S FEES: In any action or proceeding between Buyer and Seller based, in whole or in part, upon the performance or non-performance of the terms and conditions of this Contract, including, but not limited to, breach of contract, negligence, misrepresentation or fraud, the prevailing party in such action or proceeding shall be entitled to receive reasonable attorney’s fees from the other party as determined by the court or arbitrator. In any action or proceeding between Buyer and Seller and/or between Buyer and Broker(s) and/or Seller and Broker(s) resulting in Broker(s) being made a party to such action or proceeding, including, but not limited to, any litigation, arbitration, or complaint and claim before the Maryland Real Estate Commission, whether as defendant, cross-defendant, third-party defendant or respondent, Buyer and Seller jointly and severally, agree to indemnify and hold Broker(s) harmless from and against any and all liability, loss, cost, damages or expenses (including filing fees, court costs, service of process fees, transcript fees and attorneys’ fees) incurred by Broker(s) in such action or proceeding, providing that such action or proceeding does not result in a judgment against Broker(s).

As used in this Contract, the term “Broker(s)” shall mean: (a) the two (2) Brokers as identified on Page XX of this Contract; (b) the two (2) named Sales Associates identified on Page XX of the Contract; and (c) any agent, subagent, salesperson, independent contractor and/or employees of Broker(s). The term “Broker(s)” shall also mean, in the singular, any or either of the named Broker(s) and/or Sales Associate(s) as identified or, in the plural, both of the named Brokers and/or Sales Associates as identified.

This Paragraph shall apply to any and all such action(s) or proceeding(s) against Broker(s) including those action(s) or proceeding(s) based, in whole or in part, upon any alleged act(s) or omission(s) by Broker(s), including, but not limited to, any alleged act of misrepresentation, fraud, non-disclosure, negligence, violation of any statutory or common law duty, or breach of fiduciary duty by Broker(s). The provision of this Paragraph shall survive closing and shall not be deemed to have been extinguished by merger with the deed.