Rangel v. Denny
Court of Appeal of Louisiana, Second Circuit
104 So. 3d 68 (2012)
After buyers Marlon and Cynthia Curtis (defendants) failed to secure financing and breached their contract to purchase land from the Rangels (plaintiffs), the Rangels sued broker Dowling (defendant), who had represented them in the sale, alleging Dowling breached its fiduciary duty by failing to help negotiate, use a proper state-approved contract form, review offers, follow up on sale details, or discuss financing options. The trial court dismissed the claims against Dowling for failure to state a cause of action, reasoning any connection between Dowling's alleged inaction and the Curtises' breach was pure speculation.
Whether a real estate broker's fiduciary relationship with a client obligates the broker to exercise reasonable care, skill, and diligence in performing the duties the broker undertakes on the client's behalf.