Most of the litigation involving FSBO's are likely to occur in small claims court or circuit courts. Very hard to generalize. Different areas of Florida have ruled differently on similar facts.

Most E&O claims are for smaller amounts of money. The big cases make headlines!

I do remember seeing that ages ago but don't know the source. As Corinne says, how could you get it? Transfers vs litigation? It would be tough to process it.

Do I think someone 'winged it'? You bet.

So many court houses throughout the land, and since these do not fall under any E&O coverage there probably are not any accurate stats on this.

Sorry, I don't and short of combing through the transaction records for the county (all transactions minus auctions and real estate sales) and then comb through the court filings looking for FSBO stuff... I just don't have the time or really see the benefit.

I have not heard of this stat, Mel Ahrens, MBA, Kelly Right Real Estate . However, I have heard that 1 out of 5 real estate agents will be sued sometime in their career and that 70% of these suits happen to agents with 7 plus years of experience. 

Great answers here

Nope

I do not Mel Ahrens, MBA, Kelly Right Real Estate 

I'd be super interested in those stats if you ever do get a hold of them. I suspect that what Wayne said is correct and most of those are settled in small claims court.

I've never heard anyone have any conversation about this topic!

I do hot have the figures.

As Wayne Martin said, FSBO litigation occurs in the courts and we are not privy to that information (easily, at least).

I recently read an article (I think it was either in Time or BiggerPockets) that spoke to this very issue. The reason that most FSBOs are sued is because there are no agents to either 'prevent' the incidents and we have E&O to cover issues, should they arise.  

I think that number is really high. I have worked in the business for 37 years and know of only one lawsuit against the firms I worked for.

not sure how to source that, but great question!

Interesting post. I appreciate you sharing this question and the following answers.  

This is the first I've even heard this issue raised.

I never heard of such....It does not mean they have low risk and low rate of lawsuits. Someone needs to be paid to do this kind of research and who would that be? 

I wish I had!

That's a great question I have looked for similar data I will be watching to see if anyone has found them 

I have not tried tracking this info, so doing some reading of the comments.

Good question, but not up on it.

Good question, Mel but I'm not sure how this could truly be substantiated.  If you find out...let us know.  

Now this would be incredible information to have for the local area.

I suggest you start planning a project for a intern.

This is the time of year parents are reviewing schools for next years session. Your local newspaper or school administrator will be able to find those schools with a law specialty. That's where you can start.

OR chat with the clerk of courts and find out if that information can be found online. Then hire a real programmer who can scrape data from across the country and you've got something to ride for passive income.

A similar project was completed regarding how insurance companies respond when a claim is made.  How often do they reject claim. How much do they raise rates, if at all, on first/second/third claim, etc. How long until they pay. And on and on.

I do not believe there is a cost and time efficient way to actually track and record that data.  It is essentially useless data in any event. 

I don't, sorry.

I've never seen statistics on this but wish they were available.

Barbara Todaro nailed this one!

I do not.

Interesting question but I have no idea. The immediate thought was that many issues are through the small claims court. Not sure how you woudl get that info. What are you looking for, the number and types of litigation cases?

I am seeing more FSBO's having issues because they do not the laws of disclosure

  I don't know how you could find that information without reviewing local Clerk of Court records.

What a good question. Let's see some answers Mel

Mel,

Perhaps a real estate attorney could be a great source?

Never seen any.