verbal agreement to move in - binding?

[gnadan]

Hey all,

I was attempting to sublet a bedroom in my apartment. Before I finished the background check, on the phone I agreed to let a guy move in. He was calling my every day and I was stupid. I know, bad move on my part. After I finsihed the background check, I decided I did not want the person to move on. Two days after I agreed to let the person move in, I called him back and told them I changed my mind. The person is now suing me for $5000. Can anybody tell me if the verbal agreement is binding? This is in New York City. Somebody told me that in NY state all real estate contracts have to be written and no verbal contract is enforceable in real estate. If anybody could point me to an actual law or case that supports this, or vice-versa so I know what I am in for, that would be great!

Thanks,

-Steve

 

[mike]

Hey all,

I was attempting to sublet a bedroom in my apartment. Before I finished the background check, on the phone I agreed to let a guy move in. He was calling my every day and I was stupid. I know, bad move on my part. After I finsihed the background check, I decided I did not want the person to move on. Two days after I agreed to let the person move in, I called him back and told them I changed my mind. The person is now suing me for $5000. Can anybody tell me if the verbal agreement is binding? This is in New York City. Somebody told me that in NY state all real estate contracts have to be written and no verbal contract is enforceable in real estate. If anybody could point me to an actual law or case that supports this, or vice-versa so I know what I am in for, that would be great!

To begin, not all real estate contracts need to be written to be binding when it concerns rentals (provided they are not longer than one year, but let's not go there.) Second, what harm is this guy claiming? If you knew that your change of mind may cost him extra money, he could potentially sue you for it. However, I highly doubt it is anywhere near $5,000. Let me guess... you are being sued in small claims court and it is the maximum.

You may wish to send this joker a letter, certified return receipt, that unless he drops the frivolous lawsuit you will countersue and demand damages as a result of his unreasonable lawsuit and attempt to extort money from you. Does it say any information on the complaint?

If this person tries to claim moving expenses or that a new place cost him a little more, he won't get the difference. He would have had to pay those expenses if he didn't live with you regardless of your change of heart situation. The only situation you might be liable is if you knew about his situation and your change of mind caused damages.