What is the New Jersey Attorney Review Period?
We most often get calls from prospective clients during the “Attorney Review Period” because that’s the BEST time to hire an attorney to assist you with your transaction.
The New Jersey Attorney Review Period started as a compromise after the New Jersey Attorneys sued the New Jersey Realtors Association for the unauthorized practice of law.
Long story short - the NJ Supreme Court agreed that the Realtors were practicing law by preparing contracts for buyers and sellers BUT they would continue to allow them to do so so long as there was an opportunity for an attorney to review the contract before it became binding.
The Realtors Association then created a form Contract that is used by most realtors in the state. It’s a neutral contract - but neutral isn’t good when it comes to contracts. Contracts should have language in there that benefit each party. Contracts aren’t a zero-sum game.
What Happens During New Jersey Attorney Review?
One party (or both - the best case scenario!) hires an attorney who amends the form Realtor contract
One party hires an attorney to cancel the deal for any reason or no reason
Neither party hires an attorney and the parties proceed with the form Realtor contract
What Does an Attorney do During New Jersey Attorney Review?
At The Galam Firm, we meet with our clients at least twice during Attorney Review. These meetings are virtual of course because in this day and age there’s no reason to travel to your attorney’s office unless it’s time to close!
We will discuss with you the unique circumstances of your sale/purchase and make sure the contract covers you. We will also negotiate the proposed changes to the contract with the other party.
As we mentioned earlier, the contract is neutral, so we will also make some standard changes to the contract depending on whether we represent a buyer or seller.
How Long Does Attorney Review Take?
You have 3 business days starting the day after the contract was signed to hire an attorney, meet with them, and have the attorney send their proposed changes. Once the attorney sends the proposed changes to the other side, the clock stops ticking. Sometimes attorney review is wrapped up in as short as 30 minutes if the other sign quickly signs. Sometimes it may take a day or two for both sides to negotiate the terms and have a bit of a back and forth.
When Should I Hire An Attorney to Review my Contract?
ASAP!
A great strategy is to hire an attorney as early in the attorney review process as possible so that as soon as the proposed changes are agreed to the attorney review period is over. We often wrap up attorney review faster than the initial 3 day period which saves our clients a lot of concern that the other party may walk during the 3 day contingency period.
How Much Does it Cost to Hire an Attorney for my Transaction?
We are a 100% flat rate law firm with upfront pricing so there will be no surprises at the closing table. You can give us a call at 856-528-9195 to get a customized quote.
While we don’t work on commission like your Realtor, we typically get paid at the closing table so there’s no money to pay to get started.