The legal fight between two of Minnesota’s largest real estate agents has been going on for years, but it was just recently that the stakes were raised.
The Minnesota Real Estate Association, or RMIA, filed suit against two Minnesota-based real estate contractors who allegedly sold contracts to their clients for millions of dollars without obtaining any form of approval from the RMIA.
The RMIA filed the suit against Avanti Properties, the company that owns the Avantic property on Lake St. Louis, and the company, Vantage Real Estate, which is located on the other side of the lake.
Both Avantis and Vantage were licensed to the RMI as contract agents for their clients, and Vantianes license was renewed in 2017, according to a RMIA press release.
According to the press release, the RMIs lawsuit was filed because the contractors violated their contracts by failing to obtain the RMII from their RMIA licensees and then reselling the contracts.
The RMIA was also seeking damages for breach of contract, fraud and breach of warranty, among other things.
According the press statement, Avantin Properties is a Minneapolis-based property management firm that manages approximately 8,000 properties in Minneapolis, St. Paul and St. Cloud.
Avantini Properties is also a Minneapolis based real estate management company that manages a total of 5,000 to 6,000 units in the Twin Cities, according the RMBI press release.
“In the contract between Avant in 2017 and Vistare in 2018, they did not ask any RMII or any RMIII.
So we can’t prove they weren’t licensed, which means they’re not legally bound,” Robert Riederer, a lawyer with the RMPI, told Business Insider.”
They’re just being stupid and they should have done a better job,” Riederers lawyer told Business Insiders.
The suit was filed in St. Anthony County Circuit Court in St Paul, Minnesota.
It was initially filed in May of 2018, and was amended in February of 2019, according a court filing.
“It was an over-simplification and a misunderstanding,” Rriederer said.
“It was not meant to be a long-term lawsuit.”
The RMPI and Avantive both denied any wrongdoing in the lawsuit.
“This is a baseless, politically motivated lawsuit designed to harm our clients and to intimidate our industry,” said Rob Eickmeyer, AVP’s vice president of marketing and public relations, in a statement.
“The RMBI and VISTARE are confident in our legal position that Avantia, Aventi, and their agents violated our license agreements.”
The lawsuit has garnered some media attention in recent months, with Business Insider posting a photo of a sign outside the Aventin office.
The photo was shared more than 100 times on Facebook and Twitter.
The signs, which say “Real Estate Contract,” are still posted on Avant’s website.
The two real estate companies have been under fire for allegedly not providing the RMIII license they had obtained from the state of Minnesota.