[WSBARP] Earnest Money Interpleader Question

Craig Blackmon craig at lawofficeofcraigblackmon.com
Thu Sep 13 12:09:11 PDT 2018


That is very interesting Jeanne! I've always wondered whether an asserted
cross claim was sufficient to qualify as "institutes suit" (the term used
in the standard PSA, NWMLS Form No. 21). It sounds like you didn't use that
argument. I assume the amount of the earnest money was less than the cap on
small claims?

And I would love to see that case, even if it is unreported. I'll buy
coffee for anyone who can cite it!!

Craig


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On Thu, Sep 13, 2018 at 10:55 AM, Jeanne Dawes <jjdawes at goregrewe.com>
wrote:

> I had a case like this, defendant, Seller, who refused to authorize return
> of earnest money to buyer (tree fell on house prior to closing), argued
> that the PSA provides that in an action commenced by buyer or seller,
> prevailing party entitled to attorney fees, and that the interpleader
> action was not commenced by buyer or seller, so no atty fees should be
> awarded.  We won the attorney fee issue by arguing attorney fees should be
> awarded to buyer (prevailing party) under the small claims statute (RCW
> 4.84.250) and won, Seller appealed to Div. III and Div. III revered.  I
> don’t recall why because I did not handle the appeal.
>
>
>
> *Jeanne*
>
>
>
> *Jeanne J.* *Dawes*
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> Attorney at Law
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> Gore & Grewe, P.S.
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> *From:* wsbarp-bounces at lists.wsbarppt.com <wsbarp-bounces at lists.
> wsbarppt.com> *On Behalf Of *nestor at pplsweb.com
> *Sent:* Thursday, September 13, 2018 10:02 AM
> *To:* 'WSBA Real Property Listserv' <wsbarp at lists.wsbarppt.com>
> *Subject:* Re: [WSBARP] Earnest Money Interpleader Question
>
>
>
> The deposition of the funds is adjudicated between the “defendants” (Buyer
> and Seller) in the same action.
>
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>
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>
> Nestor Gorfinkel, Attorney at Law
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> Licensed in Washington & Florida
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> Florida Civil-Law (International) Notary
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> *From:* wsbarp-bounces at lists.wsbarppt.com <wsbarp-bounces at lists.
> wsbarppt.com> *On Behalf Of *Wesley C. McMahon
> *Sent:* Thursday, September 13, 2018 9:39 AM
> *To:* WSBA Real Property Listserv <wsbarp at lists.wsbarppt.com>
> *Subject:* [WSBARP] Earnest Money Interpleader Question
>
>
>
> Every earnest money dispute I’ve been involved with was settled prior to
> being sent to interpleader…until now.  I was wondering if someone out there
> has experience with the process of an interpleader action pertaining to an
> earnest money dispute.
>
>
>
> I understand the escrow company is the plaintiff, and the buyer and seller
> are the defendants in the initial interpleader action.  Is the case then
> completely adjudicated in that action, or is another complaint by the
> buyer/seller necessary to adjudicate disposition of funds?
>
>
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> *Wesley C. McMahon*
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