Complaints

The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

• Initial Complaint

  Date:06/27/2023

  Type:Product Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  Recently, I was in the process of buying a restaurant from a seller who used Sofranko as a broker. I wired $5000 to Sofranko to be used as partial down payment of the property. I was told that if I ended the agreement, the money would be non-refundable. If the deal went through, the money would be applied to the down payment. The seller decided that he couldn't uphold the terms of our agreement. So the deal ended -- through no fault of my own -- and Sofranko kept all of my money -- not including the legal expenses that were incurred as part of a deal that could have never happened. They refuse to return my money, saying that it was non-refundable. It wasn't "non-refundable" as it was to be applied to the down payment upon closing. Additionally, I didn't end the original deal; the seller couldn't uphold the agreement, which ended the deal.

  Business Response

  Date: 06/28/2023

  Attached is the signed Letter of Intent from which ***** ****** signed. The LOI has the outlines the terms and conditions that ***** ****** has agreed too. 

  Customer Answer

  Date: 06/28/2023

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint.  For your reference, details of the offer I reviewed appear below.
  
   That is the LOI that I signed.  However, the broker explained to me that the deposit would be applied to the down payment at closing and would be non-refundable ONLY if I backed out of the sale.  I did not back out of the sale.  The Seller backed out of the sale.  I fail to see how PA Real Estate laws and licensure will allow a broker to keep a buyer's deposit if the deal ended through no fault of their own.  As a buyer of a property, I am not in control of the seller's actions.  I fully intended to move forward with the purchase.  The seller did not.

  
  Regards,
  
  ***** ******

  Business Response

  Date: 06/28/2023

  The attachment has the highlighted section of the LOI which was agreed upon by the Seller by signing the document. Please review the final sentence of the signed LOI. 

  "It is understood that any cost or expense which has been or will be incurred by Seller or Purchaser in pursuing the matters dealt with herein (including, without limitation, attorney’s fees, design cost, labor and material costs, and any cost for lost opportunity) shall be borne solely by each prospective party and will not be reimbursed by the Seller or Purchaser, or other affiliated representatives, in the event that a purchase/sale agreement contemplated herein is not consummated."
  

  Customer Answer

  Date: 06/28/2023

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint.  For your reference, details of the offer I reviewed appear below.
  
  An LOI is a non-binding agreement.  Additionally, the "broker" failed to act in good faith.  The property was to be free of encumbrances, which is ultimately why the seller backed out of the deal.  A broker would have reasonably known this.  Furthermore, Sofranko presented themselves as a real estate broker -- as this purchase involved real estate and failed to present themselves truthfully.  The hand money wasn't put into escrow.  Additionally, I recently found no indication that the broker is even allowed to sell real estate in PA.  
  
  Perhaps a discussion with the Attorney General and/or the PA Real Estate Commission could clarify this.
  
  Regards,
  
  ***** ******