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Lisa Boswell’s Article on Disruptors in the Real Estate Industry Appears in Inman
Category: Publications | Wednesday, May 22nd, 2019 | Comments Off on Lisa Boswell’s Article on Disruptors in the Real Estate Industry Appears in Inman
From Inman:
Why the only constant in real estate is change
The look, functionality and way we insure homes are apt to change – and so should our expectations.
By Lisa Boswell
Just like Uber and Lyft have turned the future of car ownership upside down, those looking to stay ahead of the curve in the real estate market are looking for ways to adapt the concept of homeownership to fit into the less traditional millennial lifestyle.
While the concept of timeshares seems to have lost favor with the public at large, those looking to disrupt the traditional real estate market might look to apply aspects of the timeshare concept to capture the millennial homeownership market.
With the growing trend toward changing jobs more frequently and the corresponding need to relocate more often, fractional real estate ownership could potentially serve the needs of the modern mobile homeowner.
Similarly, others are exploring modular homes as a possible new growth area.
The first step, however, is coaxing reluctant first-time homebuyers into the market.
According to this recent survey commissioned by Northshore Fireplace, 65 percent of millennials believe homeownership to be a “choice” rather than a necessity. In that vein, hybrid real estate agencies like Purplebricks or online agents like those that have taken off in the U.K. are appealing to the newest generation of homebuyers given the emphasis placed on digital data and online search tools, not to mention the savings offered by the flat-fee sellerʼs commission.
“When the real estate market is rallying, discount brokerages of many stripes come out of the woodwork,” says real estate market expert Andrea Scott of Alain Pinel Realtors, which was acquired by Compass earlier this year.
On the other end of the spectrum, fullservice real estate firms are now offering a broader range of services such as short-term loans to clients to avoid the stress of timing the sale of their current home to the purchase of a new home, as well as loans to advance the costs of remodeling or staging a home for sale to entice millennials to trade up once they enter the homeownership ranks.
Everything from the look, functionality and the way we insure homes are apt to change.
In those cities and countries where food delivery apps are the new dinner norm, developers are offering kitchens better suited to those dining in them but not actually cooking.
While luxury appliances are still a must on homebuyersʼ wish lists, storage and working space are sacrificed to make room for extra dining space.
Although home automation is a relatively new concept, it has quickly become another must-have feature that millennial buyers consider essential. A study conducted by Coldwell Banker Real Estate showed that 61 percent of millennials are willing to pay extra for a home or rental that comes with smart home technology.
With some predicting that car ownership will decrease dramatically in the next decade, some home features that have historically been considered very attractive such as garages and off-street parking might be traded for home office space for the increasing remote workforce.
Many would consider the insurance industry to be one of the last bastions of the old-world business model.
Yet even the insurance industry is bracing for change. Tapping into the sensibilities of the next generation of homebuyers, the insurance startup Lemonade recently launched a new concept for home and rentersʼ insurance, marketing itself as “powered by tech and driven by social good”; two factors that strike a chord with the targeted demographic.
If change has reached the insurance industry, it is only a matter of time before we can expect to see similar efforts at revamping mortgage banking and other aspects of the real estate industry.
So while the American dream of homeownership will likely survive, some of the more traditional concepts associated with homeownership, including the white picket fence, might just have to go.
With these real estate trends in mind, brokers and agents would be wise to consider the demographics of their client base when tailoring their marketing strategies, creating an online presence and identifying the properties best suited to their buyersʼ lifestyles.
Similarly, real estate professionals should be prepared to deal with the increasing public expectation of reduced commission structures given the growing prevalence of online and hybrid agencies, as well as the media attention received by the recent filing of an antitrust class action suit against the National Association of Realtors (NAR) and a number of national real estate brokerages associated with the Buyer Broker Commission Rule.
With these concerns looming, brokers and agents should look to develop and offer personalized services that cater to their clientele and give the added value that millennials and other cost-conscious clients will be looking for from a full service agency.
Lisa Boswell, Esq. is an attorney at the law firm of Early Sullivan Wright Gizer & McRae in Los Angeles.
Early Sullivan Prevails for Client Sun West in 11th Circuit Affirmation
Category: News, Results | Monday, April 15th, 2019 | Comments Off on Early Sullivan Prevails for Client Sun West in 11th Circuit Affirmation
Scott Gizer successfully prevailed in Iaffaldano v. Sun West Mortgage Company, Inc. after the United States Court of Appeals for the Eleventh Circuit affirmed a judgment by the District Court for the Southern District of Florida finding that Early Sullivan client, Sun West Mortgage Company, Inc., had not violated RESPA when it procured force placed flood insurance for its borrower Michelle Iaffaldano.
Iaffaldano had argued that Sun West had established an escrow account for her when it created a Repayment Plan pursuant to which Iaffaldano was to reimburse Sun West for the fees advanced for the force placed insurance. Iaffaldano further argued that establishing an escrow account precluded Sun West from obtaining force placed insurance and, instead, required Sun West to renew Iaffaldano’s voluntary insurance. The District Court disagreed that the Repayment Plan established an escrow account and found Sun West’s conduct to be proper and in compliance with RESPA.
The 11th Circuit affirmed finding that the District Court had been correct in its judgment that the plaintiff did not have an escrow account (as defined in 12 C.F.R. § 1024.17(b)) with Sun West, and was therefore not entitled to protections from force-placed insurance afforded under § 1024.17(k)(5).
Early Sullivan Prevails in the Second Appellate District of California
Category: News, Results | Tuesday, April 9th, 2019 | Comments Off on Early Sullivan Prevails in the Second Appellate District of California
Scott Gizer, Diane Luczon, and Zachary Gidding successfully prevailed in Charles Johnson v. Sun West Mortgage Company Inc. et al. The Court of Appeal affirmed the lower court’s ruling on Early Sullivan’s motion for summary judgment in favor of Sun West Mortgage Company, finding that the trial court properly excluded an expert witness declaration in its entirety when granting the motion and finding that Sun West had no liability to Plaintiff. This was a putative class action matter wherein the Plaintiff asserted that Early Sullivan client, Sun West Mortgage Company, had engaged in an illegal kickback scheme with its insurance broker whereby Sun West received below market services in exchange for securing a commission for the broker from the Sun West’s forced placed flood insurer.
The Court of Appeal examined the expert declaration and report, and found that the trial court properly exercised its discretion in granting Sun West’s objection to exclude the witness’s declaration, which had been the basis for arguments that the defendants supposedly had “vastly” overcharged the plaintiff and others for forced placed insurance. In examining the subject declaration, the trial court found it to be “unreliable,” with some parts “simply arbitrary, unverifiable, and unfalsifiable.” The Court of Appeal further affirmed the trial court’s decision that Sun West had not engaged in any improper conduct.
Click “Download PDF” to read the full decision.
Bryan Sullivan Quoted in Newsweek on Leaked Photo of Jay-Z and Beyonce’s Children
Category: News, Press | Friday, April 5th, 2019 | Comments Off on Bryan Sullivan Quoted in Newsweek on Leaked Photo of Jay-Z and Beyonce’s Children
Bryan Sullivan was recently asked by Newsweek to comment on the possible legal consequences of sharing photos of celebrity children without permission. According to Bryan, even though the private photo of Jay-Z and Beyonce’s children was quickly taken down by the gossip blog that initially posted it, the couple could still file a lawsuit for invasion of privacy and seek damages for emotional distress.
To read the full article, click here.
Early Sullivan Knocks Out Entire Case on Demurrer
Category: News, Results | Wednesday, April 3rd, 2019 | Comments Off on Early Sullivan Knocks Out Entire Case on Demurrer
In Pak v. First American Title Insurance Company, Los Angeles Superior Court Case No. 18STCV04840, William Wright obtained a judgment of dismissal for the Firm’s client, First American Title Insurance Company. The case concerned claims for breach of title policy and bad faith relating to a commercial property in Los Angeles. The Court sustained First American’s demurrers without leave to amend, agreeing with Mr. Wright that First American had no duty of defense or indemnification in light of the individual plaintiffs’ prior conveyance of the property to their LLC, which conveyance terminated coverage as a matter of law pursuant to Condition 2 of the policy.
William Lalor’s Article “The Looming Long-Tail Risk of E-Cigarettes” Appeared in Risk Management
Category: Press | Monday, March 4th, 2019 | Comments Off on William Lalor’s Article “The Looming Long-Tail Risk of E-Cigarettes” Appeared in Risk Management
William Lalor’s article “The Looming Long-Tail Risk of E-Cigarettes,” appeared in the March issue of Risk Management magazine. The article discusses the risks of e-cigarettes and that of the chemical diacetyl, which can be used to create a wide range of vaporized aromas. The article also discusses insurance coverage issues. Click here to read the full article.
Early Sullivan Prevails in 10th Circuit Published Opinion
Category: News, Press, Results | Wednesday, February 27th, 2019 | Comments Off on Early Sullivan Prevails in 10th Circuit Published Opinion
Scott Gizer and Sophia Lau successfully prevailed in Banner Bank v. First American. In the attached published opinion (click “Download PDF”), the 10th Circuit reversed the district court’s ruling on summary judgment with instructions to enter judgment in favor of Early Sullivan client First American finding that one of the nations’s largest title companies had no duty to defend or indemnify its insured, Banner Bank, in an action that alleged that the Bank’s deed of trust was the subject of a fraudulent transfer.
The district court has previously held that First American had a duty to defend and indemnify Banner, breached the implied covenant of good faith and fair dealing, and was responsible for attorneys’ fees by focusing on a single allegation in the complaint against the Bank stating that the Bank’s deed of trust was invalid. This resulted in an award of damages ($675,000) plus attorneys’ fees in an underlying lawsuit ($159,288), and consequential damages of attorneys’ fees in this case ($130,411.50).
The 10th Circuit reversed finding that the district court erred by reading this single allegation in isolation, instead of reading the complaint as a whole as required when determining the duty to defend. When the complaint was read as a whole, the 10th Circuit noted that First American reached the correct legal conclusion that it did not owe a duty to defend or indemnify; it reached this conclusion after complying with its duty to “diligently investigate the facts to enable it to determine whether a claim is valid,” “fairly evaluate the claim,” and “act promptly and reasonably in rejecting or settling the claim.” Prince v. Bear River Mut. Ins. Co., 56 P.3d 524, 533 (Utah 2002).
Devin McRae Comments on Woody Allen, Amazon Legal Battle in The Hollywood Reporter
Category: News, Press | Wednesday, February 13th, 2019 | Comments Off on Devin McRae Comments on Woody Allen, Amazon Legal Battle in The Hollywood Reporter
Devin McRae was recently quoted in Eric Gardner and Tatiana Siegel’s Hollywood Reporter article “Can Amazon Get Out of Its Woody Allen Deal? It’s Complicated.” According to Devin, if the suit went to trial Amazon would likely tell a jury, “If you are engaged in predatory conduct, maybe you shouldn’t be rewarded.”
To read the full article, click here.
Steve Ma Recognized in the Los Angeles Business Journal’s 2019 “Most Influential Minority Lawyers” List
Category: Awards | Wednesday, January 30th, 2019 | Comments Off on Steve Ma Recognized in the Los Angeles Business Journal’s 2019 “Most Influential Minority Lawyers” List
Steve Ma has been named a “Most Influential Minority Lawyer” by the Los Angeles Business Journal for 2019. The LABJ notes his work defending Warner/Chappell Music, Inc. and East West Bank, as well as his current representation of Glass Apps and MetaXchain. The firm congratulates Steve on this honor!
Please click here to view the full list.
Four Early Sullivan Attorneys Named 2019 Southern California “Super Lawyers”
Category: Awards | Wednesday, January 30th, 2019 | Comments Off on Four Early Sullivan Attorneys Named 2019 Southern California “Super Lawyers”
The firm is pleased to announce that several of its attorneys have been selected by Thomson Reuters as 2019 Southern California “Super Lawyers.” The “Super Lawyers” distinction is given annually to the nation’s most outstanding attorneys, based on peer recognition, professional achievement, and independent research. Only the top 5% of lawyers in each state are selected to receive this honor.
The following attorneys have been recognized as “Super Lawyers” for their expertise in these practice areas:
Eric Early – Business Litigation, Entertainment & Sports (2005-2019)
Stephen Ma – Business Litigation, Real Estate: Business, Entertainment & Sports (2014-2019)
Devin McRae – Entertainment & Sports, Intellectual Property Litigation, Business Litigation (2016-2019)
Bryan Sullivan – Entertainment & Sports, Business Litigation, Business/Corporate (2015-2019)