A24A1072 (Court of Appeals of Georgia, Fourth Division)

The Georgia Court of Appeals reviewed the issue of whether a real estate brokerage can be held responsible for injuries sustained by a visitor on property listed and shown for sale. In this matter, Mr. Kidd, individually and on behalf of his late wife’s estate, filed suit against Metro Brokers, alleging negligence. Mr. Kidd’s wife had fallen while viewing the property and passed away soon after. The trial court granted summary judgment for the brokers and Mr. Kidd appealed. The Georgia Court of Appeals agreed with the trial court but was clear that the holding was just under these particular facts, possibly leaving the door open for a scenario where the brokers and brokerage could be found liable for injuries at the property. The Court analyzed the listing agreement and which party (broker or owner) had the duty to maintain the property. It also contrasted these particular facts with an open house scenario, where at an open house potential buyers “may reasonably expect that the broker (or agent) will be familiar with the premises and would rely on the broker’s presumed familiarity with the house, including a knowledge of all of the important feature and physical characteristics……..relating to home safety such as….defects like broken stops, exposed electrical wiring, and missing or weak railings.”

Takeaways:

• When researching insurance policies for your brokerage practice, inquire as to coverage for ‘slip and fall’ type scenarios at showings.
• As a broker, if you have taken on the responsibility of maintaining the property, you may be taking on liability for any injuries that occur therein. Review your listing agreements and/or property management agreements and discuss the same with your own attorney.