Business Owners Liable for Federal Employment Taxes

Federal employment taxesMost small business owners are so-called “intermediate” entities. Two examples of an “intermediate” entity are S- corporations and Limited Liability Companies (LLCs).

In general, the formation of an S-corporation or LLC in Florida does not provide liability protection to owners of the company for the payment of taxes. This rule has been clearly defined in the case of Littriello v. United States, 484 F.3d 372 (6th Cir. 2007).

In this case, the applicant Littriello challenged the validity of the “check-the-box” (check box) regulation of the Treasury Department, 26 CFR § § 301.7701-1 at 301.7701-3. Littriello had incorporated several separate LLCs and was the sole owner of each LLC. The operations of the LLCs had amounted to unpaid federal employment taxes totaling $ 1,077,000. As a result, the Internal Revenue Service (IRS) brought charges against Littriello, personally, for these unpaid taxes.

In their seven pages of transcript, the Court examined the history of the “check-the –box” regulation and the difference between the intermediate taxation and corporate taxation. After a thorough analysis, the Court concluded that the IRS may require unpaid employment taxes to be paid by the sole owner of an LLC.

Immigration Business Plan for E2 investor’s Visa

When applying for an E2 investor’s visa, your immigration business plan is one of the most important components of the application.

Immigration Business PlanUnlike many U.S. immigration attorneys who will simply refer you to a CPA or insist that you obtain a business plan on your own, we here at Boyer Law Firm are experts in assisting you with the creation of your immigration business plan for your E2 investor’s visa.

There are some major differences between an immigration business plan and a business plan that you would, say, present to a bank to obtain a loan. An immigration business plan:

 

 
-          Is less expensive;
-          Provides realistic projections for your business;
-          Shows how you plan to grow your business;
-          Illustrates both the investment you have already made and how you plan to invest in the future;
-          And more.

If you are interested in applying for an E2 investor’s visa, then contact Boyer Law Firm today to learn about the many different ways that we can assist you with the application process.

Happy New Year from Boyer Law Firm, P.L.

welcome 2014

New Orlando Address for Boyer Law Firm, PL

Boyer Law Firm’s Orlando address has changed to the following location:

Ashley Park ComplexBoyer Law Firm Orlando
7635 Ashley Park Court
Suite 503- D
Orlando, FL 32835

This office is located in a more convenient part of Orlando that will allow us to better serve our clients. The new location will be officially open on January 1, 2014, and is located in the MetoWest area in the Ashley Park Complex across the street from Bill Frederick Park at Turkey Lake.

Happy Holidays from All of Us at Boyer Law Firm!!!

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End Your Business Year Strong

This year is quickly coming to an end, and if you are a small business owner, it is important to end your business year strong.

One great way to end the year and to promote your business is by throwing a holiday party. This allows you to recognize your customers and supporters and build relationships with End Your Business Year Strongthem. In order to make your holiday party successful, you should:

-         Spread the word early: Your customers are likely very busy this time of year, so you will get a better turn out if you let people know ahead of time and tell them to “save the date.”
-         Use multiple marketing methods to promote the party.
-         Create a sense of exclusivity
-         Encourage guests to bring friends: They can be a new referral source
-         Do something to distinguish your event from others that your clients have attended.
-         STAY CONNECTED AFTER THE EVENT

Here are some other things you can do to end your business year strong:

-         Schedule one-on-one meetings with clients and prospects (and bring a small present or treat for them to remember you by).
-         Setup review meetings with your managers, staff, and with your business law attorney
-         Setup a business planning session for next year
-         Look back to previous years and see what tactics were fruitful.
-         Write a list of goals you want to achieve next year (and then pay attention to 5-10; these items are where your creativity will be more prevelant)
-         Send out personally hand-written notes: In this day of email, hand written notes and letters add a personal touch that your customers will appreciate.

This year will be over before you know it, so start planning now to have a successful business year in 2014.

Source: South Florida Business Journal

Florida Commercial Lease Agreements

Florida Commercial Lease AgreementsLocation, Location, Location. Even with the increase in e-commerce, most Florida businesses still need a physical location from which to run their enterprise.

These Florida commercial real estate transactions can be much more complex than residential real estate transactions, which is why it is important to hire an attorney who specializes in commercial real estate to assist you with the purchase or lease of a commercial property.

Florida commercial lease agreements are often very expensive and long-term. If you sign a commercial lease agreement without fully understanding what you are signing, then some of the terms could potentially be detrimental to your business. In addition, if you are able to get out of a bad lease agreement, then it will most likely be a very expensive process.

The best way to protect yourself from becoming the victim of a bad Florida commercial lease agreement is to have a commercial real estate attorney review the document. Here at Boyer Law Firm, our commercial real estate attorneys are also experts in business law, allowing them to provide additional support through the commercial real estate process.

If you are interested in purchasing or leasing a piece of commercial real estate, then contact Boyer Law Firm today.

Why an Attorney Should Review Your Contract in Florida

Contract in FloridaNo matter what type of contract you are entering into, it is vitally important to understand what you are signing.

A contract is an agreement between two parties that is enforceable by a court of law. If you do not hold up your end of the contract, then you could find yourself being sued for breach of contract in Florida, which is a long and expensive process.

Before you sign a contract in Florida, whether it be a commercial lease agreement, purchase and sale agreements, non-compete agreement, or any other type of contract, you should have an experienced attorney review the contract to ensure that it says what you believe it to say and that all of the terms and conditions are understood by you and some are in your best interest.

When having an attorney review your contract, it is important to give them enough time to properly review the document. Be sure to plan ahead and give yourself enough time in case changes or negotiations need to be made with the other party.

If you have a contract in Florida that you need drafted or reviewed, or you believe that you have been a victim of a breach of contract, contact Boyer Law Firm’s attorneys today.

Florida Registered Agent

Florida Registered AgentWhether you are incorporating a Florida Corporation, forming a Florida Limited Liability Company, or registering to do business in the State of Florida, the State requires you to have a registered agent. If you fail to properly comply with the requirements for a Florida registered agent, then you may be subject to fines, or you company may be dissolved.

A registered agent acts as the company’s representative for “service of process.” This means that they will accept writs, summonses, or other legal papers to which your company is required to respond. Hiring an Attorney as your Florida registered agent adds a layer of protection for your company. In the event that your company is sued, you will only have twenty (20) days to respond. If you do not respond on time, a default may be entered against you or the cost of the litigation may be greatly increased.

The address of the registered agent must have a Florida address and be open to the public during regular business hours. The Florida Division of Corporations states “The registered agent must sign and state that he/she is familiar with and accepts the obligations of the position.”

Here at Boyer Law Firm, P.L., we offer our registered agent services to both already formed companies and those who need our assistance with formation. If you are thinking about starting a company or need to change your Florida registered agent, then contact our business law attorneys today.

No Personal Income Tax in Florida Entices Individuals and Companies

No Personal Income Tax in FloridaThere is a “Mass Exodus” of money moving from New York to Florida, according to Bloomberg Television, due to the difference of personal income tax between the states.

The super-rich are moving from New York City to Florida because Florida does not put a price on income, meaning that there is no personal income tax in Florida. Florida is one of only nine states that does not charge a personal income tax, and moving to Florida from another state could save an individual 6 – 13% on their income.

Individuals are not the only ones moving to Florida; we are also seeing companies and major corporations moving to Florida as well. Hertz has recently consolidated operations out of Oklahoma, New Jersey for Fort Meyers, Lee County, Florida, and ADT, Verizon, and others are following suit.

The nine states with low personal income tax are doing well with their state budget due to growth in the private sector. The lack of personal income tax in Florida is just one of the reasons that it is great to live and do business in Florida.

No Personal Income Tax In Florida: WATCH THE VIDEO HERE

Veteran's Day 2013

http://boyerlawfirmblog.com/2886/

How Much Money Do I Need for an E2 Visa Investment?

E2 Visa InvestmentAn E-2 investor’s visa allows a national of a treaty country to be admitted to the United States by creating a bona fide enterprise, investing a substantial amount of capital in that enterprise, and create jobs for legal workers in the United States through the enterprise.

In order to qualify for an E2 visa, you must be the owner of at least 50% of a bona fide business. According to the United States Customs and Immigration Service (USCIS), “a bona fide enterprise refers to a real, active and operating commercial or entrepreneurial undertaking which produces services or goods for profit.  It must meet applicable legal requirements for doing business within its jurisdiction.”

The business owner must invest a substantial amount of capital into that bona fide enterprise. Although there is no exact dollar amount for a “substantial investment,” the E2 visa investment must be able to establish the enterprise, ensure the investor’s commitment to the enterprise, and be sufficient to fund the enterprises operations and allow the enterprise to grow and become profitable.

A major part in the E2 visa investment and application process is the business plan. The business plan should show the Consulate that your business will be able to support itself, that you will be able to derive an income from the business, and that you will be able to hire people.

It is very important that your business be profitable and sustainable, as your E2 visa will be reviewed for renewal 5 years after it is issued. If your business is not profitable, then your visa will not be renewed.

If you think that you qualify for an E2 visa, contact Boyer Law Firm’s immigration attorneys today.

What to Do Before Closing on a Property

Before closing on a propertyWhen purchasing a home or office space, there are many factors to consider before closing on a property. Once you have found a property that you think you want to purchase, you want to make sure that you do your research before the closing.

Before you make an offer on the property, it may be a good idea to hire a Florida real estate closing attorney to perform a title search on the property, but at the very least, a title search should be performed before closing on the property.

Additionally, you want to make sure of the following before closing on a property:

-          A proper title search was conducted and the property is now free of all liens and encumbrances. If a proper title search is not performed, then you may end up in a horror story situation where the previous owner’s debts become yours.
-          A home inspection was performed on the property. Don’t put this off to the last minute.
-          Verify, or have your closing attorney verify, that all utility bills are up to date including electric, water, etc.
-          Determine if flood insurance will be required, as flood insurance rates are expected to increase by 25 percent.

Don’t wait until the last minute to have these items completed. You should contact a Florida real estate closing attorney at least three weeks before the date of your closing if you are currently in Florida, and more than a month before if you are overseas, in order for the closing to be performed correctly.

Jacksonville Hotel Market Improving

Jacksonville HotelThe Embassy Suites Hotel on Baymeadows Road in Jacksonville, Florida, located right by our Jacksonville office, sold to a group of hotel investors from San Diego for $8.8 million, or $41,900 per room, on October 10.

The Jacksonville hotel market has been steadily improving, and this trend is expected to continue; Revenue per room is up 9 percent from the beginning of the year. This buy is expected to be profitable for the buyers for the following reasons:

-          The Baymeadows/Southside area of Jacksonville is home to about 45% of all office space within the Jacksonville market.

-          Jacksonville is consistently rated one of the “Hottest Cities in America” for business expansions and relocations according to Expansion Management Magazine

-          Jacksonville has been in the “Top 10” of that magazine for eight straight years and is the only city to claim the number one spot three times.

Because of the large investment and number of staff required to run a hotel, many foreign investors who purchase a hotel will also qualify for an EB5 visa. If you are interested in purchasing a Jacksonville hotel or starting another type of business, contact Boyer Law Firm’s business, immigration, and commercial real estate attorneys today.

Happy Halloween!

Happy Halloween!

Miami Luxury Condo Prices are Rising

Miami Luxury CondoAt an asking price of almost $1,000 per square foot, the Miami luxury condo market is seeing a drastic increase in prices, and this trend is expected to continue.

There are currently about 10 luxury condo resales with a minimum asking price of $1.7 million, or $750 per square foot, which are under contract in downtown Miami. However, according to Condo Vultures, there are 85 more resales available, and their asking price is an average of $970 per square foot. This difference in pricing illustrates how quickly Miami luxury condo prices are rising.

Miami-Dade did not have the biggest increase in median sales (Broward County did with more than a 20 percent increase), it did have the highest median price at $159,000, a 5 percent increase from last year.

If you are interested in buying or selling a Miami luxury condo, then contact one of Boyer Law Firm’s real estate attorneys today.

How a Foreign Company Can Do Business in Florida

do business in FloridaWhen most people think of a foreign corporation or foreign LLC, they think of a company that is outside of the United States. However, this is not the case when it comes to the legal terminology of business.

In Florida, a foreign company is any company who is incorporated in a different state or county. If a foreign corporation or foreign LLC wants to do business in Florida, then they must register to do business with the Florida Division of Corporations and maintain a Florida Registered Agent. Your company will still be domestic to the state or country in which it was first incorporated, but you will legally be able to do business in Florida.

Here at Boyer Law Firm, we have helped many foreign corporations and foreign LLCs, both domestically and internationally, register to do business in Florida, so contact us today.

What is a Breach of Contract in Florida?

breach of contract in floridaA contract is an agreement between two or more parties that is intended to be enforceable by law. When one of the parties does not perform their obligations under the contact, then a breach of contract occurs.

In order for a breach of contract in Florida to exist, the following must be true:

-          There is a contract that was entered into by both parties (It is always better if this contract is in writing.);

-          There was a breach of that contract; AND

-          The second party incurred damages as a result of the first party’s breach of contract. (The damages incurred MUST be a result of the breach.)

A contract is an agreement that is intended to be enforced by the courts. Therefore, if you have entered into a contract with someone, they breached the contract, and you suffered damages as a result, then you have a right to sue the other party for the actual damages your suffered and, in some cases, punitive damages (punishment damages).

If you have been a victim of a breach of contract in Florida, then Boyer Law Firm can help. Our civil litigation attorneys have handled all types of breach of contract cases for all types of contracts.

Starting a Florida Small Business Requires Funding and Planning

Starting a Florida Small BusinessThe Small Business Association (SBA) is processing small business loans again now that the government shutdown is over. SBA is one of the many Florida agencies that offer funding to entrepreneurs who are starting a Florida small business.

Funding is very important when it comes to starting a Florida small business, but planning is equally as important. You want to start your business on a solid foundation, starting with how you incorporate your business.

Although there are many websites available that advertise “cheap incorporation,” they are not worth the money you pay because you are not getting the advice you need. For example, should you setup a C-corp or S-corp? What are the differences? What are the tax implications? These are all questions that our business incorporation lawyers will be able to discuss with you so that you can determine what is right for your business.

Once you have incorporated your business, Boyer Law Firm can also assist you with registered agent services, commercial real estate, business planning, preventative business law, and more, so contact us today about starting a Florida small business.

Obtain a B Visa to Help You Apply for Your E2 Visa

Obtain a B Visa | E2 VisaPart of obtaining an E2 Investors Visa is creating an existing business that will thrive. Creating a business can be hard to do while you are overseas, so it is a good idea to obtain a temporary B visa while you are setting up the company. If you obtain a B visa, that will benefit you because you will be able to visit office locations to rent, find staff to hire, speak to suppliers and distributors, and more.

When applying for an E2 visa, it is important to visit office locations in order to find the best fit because that will be the heart of your business. For E2 visas processed in Paris, the Consulate asks that the petitioner to provide them will a signed lease agreement as part of the application. Additionally, you may find a business that you would like to buy instead of starting a business from scratch.

Another reason it is a good idea to obtain a B-visa is to find good employees. One of the requirements of the E2 visa is that the business creates jobs. Finally, a B visa will allow you to meet and develop relationships with local suppliers, distributors, and vendors in order to setup a supply system for your business.

If you are interested in obtaining an E2 visa (Investor’s visa) or B visa (Temporary visa), then contact Boyer Law Firm’s Immigration Attorneys today.

Florida Closing Attorney for House Flipping in Jacksonville

House flipping in JacksonvilleJacksonville home prices and house flipping are on the rise. Home prices in Jacksonville, Florida, jumped 18% in September, and the number of closed sales was up 25.1%.

Although home prices have risen, there are still “bargain basement properties” on the market, according to the Jacksonville Business Journal, and house flipping in Jacksonville has increased in the third financial quarter of 2013.

House flipping refers to a property that is bought and resold within six months. Most house-flippers will do this for multiple properties, often at the same time. One of the greatest assets that a Jacksonville house-flipper can have is a reliable and experienced real estate closing attorney who can ensure that the closings on these properties are done correctly and efficiently.

Here at Boyer Law Firm, we have helped both individuals and companies with house-flipping. If you are house flipping in Jacksonville, we understand that you need the closing to be done quickly so that you can earn your profit and move onto the next property, so contact us today.

Many Opportunities for Young Entrepreneurs in Jacksonville

Opportunities for Young Entrepreneurs in JacksonvilleThere are some people who think that in order to start a successful business you have to move somewhere like New York or Silicon Valley, but that is not the case; there are many business opportunities and resources in Jacksonville, Florida.

Florida is a very business-friendly state, and Jacksonville is quickly becoming one of the big cities of the South, especially when it comes to business.

The University of North Florida, located in Jacksonville, held a leadership conference for its students on Friday, and one of the main themes of the event was the many opportunities for young entrepreneurs in Jacksonville.

Elton Rivas, Co-Founder of One Spark, was the keynote speaker of the event. One Spark is a competition held in downtown Jacksonville in which inventors and entrepreneurs compete for a chance to win $300,000 in crowd funding to capitalize their business. The last event had more than 150,000 attendees.

Rivas spoke of how he has become more successful staying in Jacksonville than he would have been had he gone out to Silicon Valley to start a business or join the corporate world. He encouraged the participants of the event to not be afraid, take a chance, and start a business, and he emphasized this point with the quote, “Fears are stories you tell yourself.”

In addition to becoming a large city, there are many business networking groups and opportunities for young entrepreneurs in Jacksonville that offer guidance and support in starting a new business. If you are interested in taking advantage of Jacksonville’s business climate and starting a business, contact Boyer Law Firm’s business law attorneys today.

Columbus Day

Columbus Day

MORE Celebrity Wills

Celebrity WillsThose crazy celebrities! Here are some weird and amusing celebrity wills:

Farah Faucet left nothing to her long-time love Ryan O’Neal, but did leave $100,000 to an ex-lover. The rest of her estate went to her son.

Marilyn Monroe left all of her belongings to her acting coach, Lee Stasberg. Stasberg was instructed to distribute Monroe’s belongings to her friends and family, but he stored them in a warehouse until he died. In 1999, his widow sold Monroe’s belongings for $13.4 million.

Oprah Winfrey has repeatedly announced that when she passes, she will leave $30 million to her pet dogs, with the rest going to charities.

Jack Benny, one of the most successful celebrities of the mid 1900’s, left a large sum of money to a florist so that his wife would receive a single long-stemmed rose every day for the rest of her life.

Janis Joplin amended her will just two days before she died. In her will, she set aside several thousand dollars so that her friends could have a party at her favorite bar in San Anselmo, California.

Marie Curie left a gram of radium, considered to be invaluable, to the University of Paris “on the condition that my daughter, Irene Curie, shall have entire liberty to use this gram… according to the conditions under which her scientific researches shall be pursued.”

Former Chief Supreme Court Justice Warren Burger decided to write his own will instead of having one properly drafted. The will had many flaws in it, including misspellings and the fact that he forgot to account for estate taxes. This error could cost his son and daughter more than $450,000 in taxes.

Chief Justice Burger is just one example of why it is so important to hire an estate planning attorney to draft your will. If you need assistance with wills, trusts, or other estate planning tools, contact Boyer Law Firm today.

Buying an Existing Business in Florida Saves Time and Money

Buy an Existing BusinessMost people think that in order to be an entrepreneur you need to start a new business; this is not true. Many entrepreneurs start their businesses by buying an existing business. Buying an existing business in Florida can be more advantageous than starting from the ground up and can save the business owner a lot of start-up time and effort.

When you purchase a new business, it will usually include an existing customer base, existing location, existing product(s), and existing physical assets.

An existing customer base is the number one reason to buy an existing business, but you need to make sure that this existing customer base will be loyal to the business, not to the old owners or old employees.

Often times, the loyalty of the customer base will be determined by the type of business you are buying. If you are buying a hair salon, for example, many of the customers are not loyal to the actual hair salon; they are loyal to the hair stylist who is used to them and knows how they want their hair cut. On the reverse side, if you are buying something like a restaurant, then the customer base should be pretty loyal unless you drastically change the menu items or other important aspects of the business.

The second thing that will come with buying an existing business in Florida is the location. This is an important thing to consider when purchasing a business because the location can either help or hurt you.

The business you are buying will also most likely have an existing product, whether it be recipes for a restaurant or clothing for a store. The business may also come with trademarks and certifications on the products that the previous owners obtained.

Lastly, the business will usually come with physical assets. In the case of a restaurant, these would include ovens, tables, kitchen equipment, and more. If the business you are buying is selling for a low price, then you may be able to get a great deal for these business assets.

If you are interested in buying an existing business in Florida, contact Boyer Law Firm’s business law attorneys today.

A Title Search is a Must When Purchasing a Property

title searchOwner’s title insurance protects the owner of a property against any mistakes that may have been made during the title search. A title search is a search of all official records on the property. It guarantees that there are no other owners of the property, that the person selling you the property is the legal owner, and that there are no liens or encumbrances on the property.

If issues are found in the title search, then the title company will provide the closing agent with a list of items, called a Commitment, that need to be fixed before they can issue title insurance on the property. This list of issues may include an unpaid mortgage on the property, liens from contractors or other workers who were unpaid, property taxes that were unpaid, and more.

There have been horror stories throughout Florida of fake closing agents and fake title companies that will claim a property is free and clear without even performing a title search.

If the closing agent ignores these items, then they will not be covered by the title insurance, and they will become your debts.

This is why it is so important to choose a reliable, experienced closing agent, preferably a real estate attorney. Here at Boyer Law Firm, our experienced closing agents ensure that every item on the Commitment is fixed and that the title is truly free and clear.

Estate Planning: Positive and Negative Estate Assets

Positive and Negative Estate AssetsYour estate consists of all of the assets that belong to you; these estate assets may have a positive balance and add to the value to your estate, or they may have a negative balance amount and diminish the value of your estate.

Given that there are no loans or other negative balances, the following estate assets will add value to your estate:

-          Actual Money: Cash, checking and savings accounts
-          Certificates of deposit
-          Your investment portfolio: stocks, mutual funds, and bonds.
-          Your retirement funds: pension funds, 401(k), IRAs, and any other money reserved for retirement.
-          Profit-sharing funds with employer
-          Your possessions: your house, vehicles, boats, equipment, livestock, furniture, household appliances, jewelry, other valuables, etc.
-          Insurance products, especially life insurance
-          Your business: any funds or ownership interest of your business
-          Annuities that you have coming to you
-          Home equity
-          Anything else that you consider valuable, both sentimentally and monetarily.

Estate assets that carry a negative balance and will usually diminish the value of your estate are:

-          Mortgages
-          Unpaid Loans
-          Credit card debts
-          Outstanding judgments

When going through the estate planning process, it is important to asses all of your estate assets, both positive and negative in order to properly plan. If you need a will, trust, or assistance with other estate planning tools, contact Boyer Law Firm’s estate planning attorneys today.

South Florida Business on the Rise

South Florida BusinessAfter being hit hard by the Recession, South Florida businesses are bouncing back. Broward, Palm Beach, and Miami-Dade counties have seen a 3.6 percent increase in business compared to the national average of only 0.3 percent.

A large number of these businesses are created by an influx of foreign investment and local entrepreneurs, especially in tech start-ups, and it has greatly helped the South Florida business economy.

“South Florida is becoming this burgeoning start-up community,” said one tech entrepreneur who recently started a business in Fort Lauderdale. He also said that he and other local investor have more money to invest because “the real estate market is on the upswing, both commercial and residential.”

If you are interested in starting a business or purchasing a property in South Florida, contact Boyer Law Firm today. We can help you with incorporation services, investment visas, including E2 and EB5 visas, business planning, and more.

Source: Sun Sentinel

Open a Surf Park in Florida

surf park in FloridaThe new craze in the surfing community is surf parks, massive pools with repeating, artificial waves, and some believe these parks have the potential to push surfing into the Olympics.

A surf parks in Florida, even on the coastal cities, is still viable because they allow surfers to refine their skills and learn new tricks for when they go back out into the ocean.

The ideal business model behind these surf parks would be a 2-acre wave pool capable of generating waves of all sizes while maintaining a consistency among the waves.

Surf parks are an international business. The three biggest and best-known are Disney’s Typhoon Lagoon surf park in Florida, Wadi Adventure in United Arab Emirates, and Wavegarden, a price research and development site in Spain’s Basque country.

“Mother Nature stipulates that surfing only can occur where waves can be born. When man takes his hand to forming the waves, it unlocks the potential of surfing anywhere. And that is the most powerful thing,” said Doug Palladini, president of the Surf Industry Manufacturers Association.

If you are interested in opening a surf park in Florida, contact Boyer Law Firm’s business law attorneys today.

Source: Kansas City Star

Florida Owner’s Title Insurance Horror Story

Florida Owner's Title Insurance Horror StoryA Jacksonville mother and son decided to buy a property from someone who they thought was a friend without obtaining proper Owner’s Title Insurance. The three made a verbal agreement in which the mother and son would pay the friend a down payment and then monthly payments for the remainder of the purchase price.

This agreement was illegal because the Florida Statute of Frauds requires that real estate transactions have to be in writing to be enforceable.

After making payments on the property for a while, the mother and son learned the harsh truth: There were judgments against the property, the taxes on the property were delinquent, their “friend” not the owner of the property, and he was currently incarcerated.

The moral of the story is that there is no substitute or excuse for not performing a proper title search and obtaining Owner’s Title Insurance on any real estate purchase that you make.

It is so important to choose a reliable, experienced real estate attorney to perform this task. Here at Boyer Law Firm, P.L., our experienced closing agents can ensure that a proper title search is performed and that proper Owner’s Title Insurance is obtained.

Source: Florida Times-Union