Fault Lines, Part 2: What the Courts Keep Telling Realtors

The last column struck a chord. It was shared widely, picked up by media outlets, and sparked conversations in coffee shops and boardrooms. But what stood out most were the messages from real estate professionals themselves. Some offered insights. Some shared concerns. Some just said, “Thanks, this needed to be said.”

So let’s keep going.

This week, I want to focus on a few other recent court rulings that show exactly what happens when real estate professionals forget what their job really is,  or worse, pretend they didn’t know. These weren’t dramatic scandals or massive frauds. They were quiet errors, casual omissions, and unchecked assumptions. But they came with very real legal and financial consequences.

Zoning Missteps Can Cost You

In another case, a property was advertised for a use that turned out to be entirely prohibited under the applicable zoning. The buyer, relying on that information, went ahead with the deal. Only later – too late – did they discover that what they were told simply wasn’t true.

The court didn’t hesitate. The broker was held liable. Not because of bad intentions, but because of a failure to verify basic, legally relevant information before making representations. It wasn’t enough to say, “Well, the buyer should have checked.” The ruling was clear: when professionals speak, people are allowed to listen, and to rely on what they’re told.

Square Meters and Square Problems

Another court tackled a dispute over square footage. A home was listed with a living area of 180 square meters. After the sale, it turned out to be 163. That 17-meter difference might seem minor, unless you’re the one who paid for it.

When confronted, the seller and broker tried to fall back on legal disclaimers. That didn’t work. The judgment emphasized something simple and important: professional parties are expected to verify the numbers they use. Relying blindly on what others have said, or on what’s printed in an old brochure, doesn’t cut it.

Quick survey: how many realtors actually go out and measure the property themselves? Or even open the Measure app on their phone?

And no, a realtor can’t just take an appraisal report at face value and pass it along. Realtors have a duty to verify all the facts, all the figures, yes, even the measurements. I can already hear the protests: “What? That’s not my job.”

Guess what, cupcake? It is.

Not Just Sales – Rentals Too

In two other cases, rental brokers were found liable for failing to properly screen tenants. In one situation, a broker didn’t bother to check the identity or income source of the tenant. The result? The property was misused for criminal activity, and the landlord was left with significant damage and unpaid rent. The broker was ordered to cover the costs, even the unpaid rent!

In another, tenants with clear financial red flags were approved without any vetting. The result? Legal action, rent arrears, and eviction proceedings. Again, the court found the broker responsible, not because they caused the problem, but because they didn’t do the work to prevent it.

These weren’t exotic cases. They weren’t outliers. They were everyday mistakes by professionals who thought “good enough” was still good enough. It isn’t.

A Word About Marketing Language

It’s not just zoning or square footage that can lead to problems. The words you use in your listing can come back to haunt you too. Phrases like “walking distance to the beach” “guaranteed rental income” “great investment opportunity” or “perfect fixer-upper” might sound harmless, even catchy. But they can also create expectations that, if unmet, open the door to complaints or worse, liability.

Remember, every word in your listing carries weight. If you’re going to call it a fixer-upper, you better know what kind of repairs are needed, and that the buyer understands it too.  Did you check for asbestos? Plumbing? Electrical installation? Cracks in the foundation? “Walking distance” is subjective and subject to scrutiny. After all, everywhere is within walking distance, if you have the time and the stamina to walk to it! And unless you’ve done the legal and financial homework, promising “guaranteed” income is playing with fire.

Marketing should be creative, not careless. Say what you know, not what you hope or you think the customer wants to hear.

You Can’t Hide Behind Disclaimers

In each of these rulings, brokers attempted to shield themselves behind fine print. They pointed to exoneration clauses, disclaimers, boilerplate terms. But the courts weren’t impressed. When you hold yourself out as a professional, you’re expected to act like one.

And that means you verify. You confirm. You double-check. You don’t just pass things along and hope no one reads the small print.

Some brokers still assume that if they say, “as per seller” or “according to records” they’ve covered themselves. That’s a dangerous assumption. Because courts increasingly look at conduct, not just contracts.

Contracts and templates

And while we’re on the topic of risk, let this be a quiet warning to those tempted to rely on boilerplate templates, AI-generated contracts, or whatever the internet spits out when you type “standard sale agreement.” Unless you’re legally trained in contract drafting and interpretation, and you fully understand the principles and subtleties of Aruban private law, these shortcuts are accidents waiting to happen. Don’t ever confuse your Google skills with a law degree. Just because a clause sounds smart or Ai makes you think you sound smart, doesn’t mean it protects you. And just because AI can write it, doesn’t mean you should sign it. If you want a contract that holds up in court, call someone who actually knows the laws and spends his days immersed in literature, jurisprudence and goes to court. Like yours truly or your favorite member of the Aruba Bar Association.

A Quiet Moment for Honest Reflection

Let me be clear. This column isn’t about pointing fingers. It’s about raising the bar. We live in a small community. Our market is built on trust, and our reputations are the currency we trade in every day.

So here’s the question: how many listings out there right now include claims that haven’t been properly verified? Even after the recent case(s)? How many make assumptions about zoning, permits, or measurements that are outdated or just plain wrong?

How many realtors have actually gone back, reviewed their active listings, and updated, or removed, anything that doesn’t stand up to scrutiny?

Maybe it’s time. It doesn’t take long. But it could save your next commission. Or your credibility. Or your client’s trust.

What It Really Means to Be a Professional

None of these court decisions involved bad people. They involved busy people, complacent people, people who cut corners or didn’t think it was their job. But the law doesn’t judge intent. It judges responsibility.

And real estate is a business built on responsibility. The responsibility to know what you’re selling. To say what you mean. And to mean what you say.

If you’re a professional, then act like one. Know your listings. Verify the details. Don’t rely on someone else’s paperwork – or someone else’s memory.

Until next week, keep asking the hard questions, and don’t forget to visit my new site, www.lincolngomez.com, where you can find all my blogs and podcasts. Stay informed, stay empowered, and stay smart.

And remember, in real estate, the fastest way to lose trust is to talk about things you didn’t take the time to check.