HousingWireHousingWire
One of the lawsuits brought by a Cleveland homebuyer against eXp Realty, parent company eXp World Holdings and its leadership was dismissed on Thursday.
In a complaint filed in December 2024, plaintiff Michael Ammann accused eXp and executives Glenn Sanford, Leo Pareja, Patrick O’Neill and James Bramble of fraudulent practices, conspiracy and negligence in connection with his purchase of a home through an eXp agent.
eXp publicly advertises that agents can’t act as contractors to provide home repair or renovation services on listings they represent. Doing so could create a conflict of interest in regard to inflating the cost of the work, but Ammann claims his agent, Megan Featherston, did so.
Ammann moved for a default judgment in the case because eXp and its leadership failed to respond to the complaint in the time frame set by the court. He is representing himself pro se.
But Judge Jose Martinez of the U.S. District Court in Miami ruled that eXp was not properly served documents because they were left with a customer service representative, thus excusing the defendants’ failure to respond in time.
Martinez also ruled that Ammann’s complaint didn’t contain enough specific facts to connect eXp to the action it’s accused of. The dismissal was without prejudice, which gives Ammann 14 days to file an amended complaint. If he doesn’t, the case will be dismissed with prejudice.
Whether an amended complaint is filed or not, eXp hasn’t heard the last of Ammann because he still has an outstanding case against the company.
He filed one in March that names eXp’s Karla Sanders and Sarah Ford as defendants. Ammann accused one or more of the defendants of breach of fiduciary duty and negligent misrepresentation. eXp and the individual defendants in that case have filed a motion to dismiss on procedural grounds.
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