🤝 If it is Not in the Agreement, it is Not Part of the Agreement

If You Can’t Point to It, You Can’t Prove It

The Challenge

Real estate is built on communication.

• Conversations between agents

• Conversations with clients

• Quick calls, texts, and “just confirming” moments

Those conversations move deals forward.

But they don’t control the deal.

The contract does.

When something doesn’t make it into the contract, the deal relies on "good faith" or people "doing the right thing." The issue is that the parties may not be on the same page (literally) as to what the right thing is or cooperation falters because of stresses or circumstances.

I was once attacked online for a post I made about the contract terms. Actually, I have been attacked multiple times online but let's just talk about this one.

The point he wanted to make is that deals can close if the parties want to. I agreed with him then and now. If the Buyer is ready, willing and able to buy and the Seller is ready, willing and able to sell, they can close. If they agree about what ready, willing and able means, they will close.

The point he missed or did not understand - with his non-legal degree and work experience in another state - about contracts in general and Georgia contracts in particular, is that contracts exist to confirm what performance is and protect the parties when ready, willing or able does not happen.

🔹 Listing Information vs. Contract Terms

Buyers often rely on what they saw in the listing:

• “The refrigerator stays”

• “That includes the extra lot”

• “That repair was professionally done”

But listings are:

• Entered by humans

• Sometimes based on incomplete information

• Often marked “deemed reliable but not guaranteed”

And most importantly:

They are not the contract.

🔹 “We Talked About It”

A common scenario:

• Something is discussed between agents

• Everyone believes there is agreement

• It never gets written into the contract

Later, when there’s a disagreement:

• One side remembers it one way

• The other side remembers it differently

And there is nothing to point to.

🔹 “Clear Enough” Isn’t Clear Enough

Even when something is written, lack of detail can create issues.

• “Refrigerator shall remain” → Which one?

• “Repair to be completed” → By whom? To what standard?

• “Work to be done” → Licensed? Professional? When?

If it’s open to interpretation, it often will be.

Why the Contract Controls Everything

Every state operates under some version of this principle:

Decisions are based on what is within the four corners of the agreement. The fancy legal term for this is the Statute of Frauds.

That means:

• Not the conversation

• Not the intent

• Not what someone “understood”

Just what is written and signed and part of the contract.

Real-World Impact

When expectations aren’t clearly documented:

• Deals fall apart

• Earnest money is lost

• Clients feel misled (even when no one intended that)

• Agents get pulled into difficult situations

Practical Ways to Stay Ahead of It

✅ 1. Treat Conversations as Step One—Not the Finish Line

Have the conversation.

Get clarity.

Then ask:

“Where is this going in the contract?”

✅ 2. Put It in Writing—and Get It Signed

It’s not enough for one side to write something down.

It must:

• Be part of the agreement or an amendment to the agreement

• Be signed by all parties - Buyer and Seller

Emails alone are not the contract.

✅ 3. Be More Specific Than Feels Necessary

Clarity reduces conflict.

Instead of:

• “Refrigerator stays”

Use:

• “Stainless steel refrigerator currently in kitchen at time of showing shall remain"

Instead of:

• “Repair to be completed”

Use:

• Who is doing it

• What standard applies

• What documentation will be provided

✅ 4. Follow Up Every Conversation

After any important call:

Send a quick summary:

• “Here’s what we discussed…”

• “Here’s what I understood…”

• "Here is what I will be doing..."

• "Here is what you are working on..."

Then ask:

“Does this need to be added to the contract?”

✅ 5. Read Everything (Even When You Think They Did)

Agents may assume:

• Their clients read the documents (they do not)

• The other side reviewed everything carefully (they have not)

• It is the responsibility of the person who wrote it to make sure it is right (GA GAR forms say both parties are responsible for the language and clarity)

Review everything. Issues caught earlier are easier to fix.

The Reputation Factor

This is a relationship-driven business.

When something goes sideways:

• Clients don’t separate “the conversation” from “the outcome”

• They remember what they were told

• They expect it to match what happened

Even when the contract controls the result, the experience still impacts trust.

💡 REALsmart Wrap-Up

Most transaction problems don’t come from complicated legal issues.

They come from simple things that weren’t clearly documented.

And the fix is just as simple:

If it matters, write it.

If it’s written, make sure it’s signed.

If you can’t point to it, you can’t prove it.

 

🎧 Don’t Miss This Week’s Episode

If this topic matters to your business, you’ll want to listen to a closing attorney and REALTOR® break it down.

Cheryl Conner King

Founder & Instructor

REALsmart Real Estate School

Attorney | REALTOR® | CE Instructor

📍 Based in Georgia | Teaching Statewide