LEO: Real Estate - Conflict of Interest  LE Op. 783


Real Estate - Conflict of Interest.


April 22, 1986


A real estate settlement attorney was to have been the closing attorney

for a settlement, but the buyer defaulted on his obligation and the

transaction was never settled. Seller declared buyer to be in breach and

reoffered the property for sale. The loan is in default and the bank is

threatening a foreclosure. Seller may subsequently bring an action against

the buyer for damages incurred in the breach. Considering the above facts,

the aforementioned attorney may purchase the real estate without violating

the Virginia Code of Professional Responsibility as long as said attorney

is able to comply with the provisions of DR:5-104. [DR:5-104]


Committee Opinion April 22, 1986