Realty Professionals, Inc. v. Ofelia De La Valette

Court of Appeals of Georgia·Decided October 30, 2025·No. A25A0757·Published

Opinion

FIRST DIVISION

BROWN, C. J.,

BARNES, P. J., and WATKINS, J.

NOTICE: Motions for reconsideration must be physically received in our clerk’s office within ten days of the date of decision to be deemed timely filed.

https://www.gaappeals.us/rules

October 30, 2025

In the Court of Appeals of Georgia A25A0757. REALTY PROFESSIONALS, INC. v. DE LA VALETTE;

A25A0758. DE LA VALETTE v. REALTY PROFESSIONALS, INC.

BARNES, Presiding Judge.

At issue in these companion appeals is a cancelled real estate transaction and a claim for brokerage fees asserted by Realty Professionals, Inc (“RPI”) against the prospective purchaser, Ofelia de Valette. In Case A25A0757, RPI challenges the trial court’s denial of its motion for summary judgment as to its entitlement to brokerage fees from Valette after she unilaterally terminated a purchase agreement for the property, and concurrent grant of summary judgment to Valette. Valette cross-appeals in Case No. A25A0758, and contends that the trial court erred in vacating and re- entering the summary judgment order after RPI, in a motion to set aside the judgment,

claimed that it had not received a copy of the order and was not aware of the ruling until after its appellate rights had expired. Because the trial court did not apply the proper legal standard for granting the motion to set aside the judgment, we vacate the judgment and remand for further action consistent with this opinion.

Summary judgment is proper when there is no genuine issue of material fact and the movant is entitled to judgment as a matter of law. OCGA § 9-11-56 (c). “On appeal from the grant or denial of a motion for summary judgment, we review the evidence de novo, and all reasonable conclusions and inferences drawn from the evidence are construed in the light most favorable to the nonmovant.” McCaskill v Carillo, 263 Ga. App. 890, 890 (589 SE2d 582) (2003).” And “[o]n cross-motions for summary judgment, each party must show there is no genuine issue of material fact and that each, respectively, is entitled to summary judgment as a matter of law; either party, to prevail by summary judgment, must bear its burden of proof.” Heiskell v. Roberts, 342 Ga. App. 109, 112 (2) (a) (802 SE2d 385) (2017) (citations and punctuation omitted) .

So viewed, the record shows that commencing on June 16, 2022, RPI, through its agent Tommy Sands, entered into an “Exclusive Seller Brokerage Engagement

Agreement” (hereinafter “broker’s agreement”) with Kenneth Knight to sell Knight’s Brookhaven home. Per the broker’s agreement, Knight agreed to pay RPI a commission of six percent of the sales price of the home at closing.

Valette was interested in purchasing a smaller home, but needed to first sell her home. She enlisted Nancy Keenan to assist in her search as her listing and buyer’s agent. Valette informed Keenan that any purchase had to be contingent on her first selling her home, and Keenan advised her to get pre-qualified, find a home and put a bid on it, and then list her home for sale. Valette averred that she was verbally pre- qualified for a $700,000 to $800,000 mortgage loan, contingent upon the sale of her home. During discovery, she learned that a preapproval letter was submitted with her offer, but did not include that approval was contingent upon the sale of her home. The preapproval letter dated April 7, 2022, included that Valette was pre-approved for a 30-year fixed conventional loan for a “TBD” property in Sandy Springs with a purchase price of $1,000,000.00. It also included that preapproval was not a guarantee of financing and was conditioned upon “re-verification of [Valette’s] financial condition and credit worthiness upon final underwriter review.”

Valette became interested in Knight’s home, and Keenan advised her to make a competitive bid over the $795,000 list price because of other offers on the home. She submitted a bid for $810,000 and agreed to close within four weeks. According to Sands, there were three offers including Valette’s offer, and Knight had selected Valette’s offer, although there was another offer for the same purchase price but “not as much down and not maybe as quick a closing.” Vallette averred that she was not aware the preapproval letter was submitted with the bid.

On June 19, 2022, Valette entered into a Purchase and Sale Agreement (hereinafter “PSA”) with Knight for $810,000, and Vallette paid $10,000 in earnest money. They were scheduled to close in approximately one month on July 22, 2022. During that same time, Valette listed her home for $745,000, and she received one offer lower than the listed price, and another offer for the listed price, but the potential buyer could not close by July 22. On July 14, 2022, Valette executed a unilateral termination of the PSA and disbursement of the earnest money to Knight.

On August 29, 2022, RPI filed the underlying complaint for damages associated with Valette’s alleged breach of the PSA. RPI asserted that per the terms of the PSA, because of Valette’s unilateral breach of the PSA she was required, as the defaulting

party, to pay RPI the commission it would have received had the transaction closed. That commission, RPI alleged, would have totaled $48,600, which represented the property’s sale price of $810,000 times 6 percent.

In its subsequently filed motion for summary judgment, RPI asserted that Valette was in breach of the PSA and bound by what she signed, and consequently it was entitled to the commission it would have been paid pursuant to the PSA and broker’s agreement. Valette also filed a motion for summary judgment in which she asserted that the termination of the PSA nullified RPI’s claim for damages and that the liquidated provision in the PSA was an unenforceable penalty. On April 29, 2024, the trial court entered an order granting Valette’s motion for summary judgment and denying RPI’s motion. The trial court found that “[a]s the right to [RPI’s] commission was extinguished when the underlying contract was terminated by the parties, the court finds that summary judgment is appropriately awarded to [Valette]. Alternatively, the Court finds that [RPI’s] failure to mitigate its damages effectively reduc[ed] the amount of damages that could be sought from [Valette].”

On June 26, 2024, RPI filed a motion to set aside judgment, in which it alleged that it had not received the final order granting summary judgment, and thus was

precluded from seeking a timely appeal of the order. Valette opposed the motion, but on October 4, 2024, the trial court entered an revised order granting Valette’s motion for summary judgment and, in a footnote, granting RPI’s motion to set aside. It is from the re-entered motion that RPI and Valette appeal.

Case No. A25A0758

Consistent with this Court’s duty to inquire into its jurisdiction, we must first consider the cross-appeal, as Valette disputes this Court’s jurisdiction over the appeal in A25A0757 and contends that the trial court erroneously granted RPI’s motion to set aside the first order granting summary judgment. According to Valette, RPI’s failure to exercise diligence caused it to miss the appeal period because the record establishes that the April 29, 2024 summary judgment order was sent and there was no failure of the electronic filing system. Consequently, Valette asserts, the appeal in A25A0757 should be dismissed because the trial court was not authorized to reset RPI’s appeal clock from an erroneously re-entered order, and thus RPI’s notice of appeal filed from the second summary judgment order was untimely.

“The proper and timely filing of the notice of appeal is an absolute requirement to confer jurisdiction upon the appellate court.” Smith v. McTaggart, 343 Ga. App.

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