Realtor sues for unpaid commissions

A speculator in property at Aspen Lakes Estates is being sued by a Realtor for not paying commissions.

A pretrial hearing has been set for August 5, 1998.

The Realtor is Barbara L. Nicholson, d.b.a. Tumalo Real Estate. The investor is DK Investment Company, with Daniel Kerr of Kaiser, Oregon listed as registered agent.

Matt Cyrus, a partner in Aspen Lakes, said that he was aware of the lawsuit against DK Investments but that Aspen Lakes was not involved. Realtor Nicholson agreed.

Cyrus said that Kerr purchased two lots and built a spec home on one. Kerr then put the properties back on the market with Tumalo Real Estate as listing agent. Tumalo Real Estate was marketing the rest of Aspen Lakes at the time.

Since then, Aspen Lakes and Tumalo Real Estate have terminated their relationship.

According to the complaint filed in circuit court on March 18, 1998, Tumalo Real Estate sold Lot 4, Phase I to George and Sharon Rogers on February 18, 1998. The amount of commission due was $8,500, according to the complaint.

"Defendant failed to pay the $8,500 at closing and has since failed or refused to pay the same despite demands from the plaintiff," reads the complaint.

The complaint also alleges that on March 8, 1998, Tumalo Real Estate "procured a purchaser for Lot 2 at the full purchase price (which Tumalo Real Estate contends had been reduced to $289,900). The terms of the sale were cash at closing"

Kerr had built a home on Lot 2.

According to the complaint, DK Investments refused to sign the sales agreement and has refused to pay any commission. Tumalo Real Estate claims that a commission of $17,394 is due for the aborted sale of Lot 2 and the home.

Matt Cyrus said he leases and lives in the home on Lot 2 with his family. That property is back on the market, according to Cyrus, at approximately $390,000.

Daniel Kerr could not be reached for comment. The attorney listed as representing Kerr in the lawsuit is Rose Freeby of Salem.

"Every story has two sides. We haven't filed our answer (to the complaint) yet," said Freeby. She could not say when an answer would be filed.

A pretrial hearing has been scheduled for August 5, 1998. Judge Michael Adler has strongly encouraged the parties to "stipulate to arbitration."

On December 22, 1995, DGF Investment Company rescued Aspen Lakes with a loan of $4,317,500 to the developer, the Keith Cyrus family of Sisters, preventing property from being seized by the previous owner.

On March 10, 1997, Donna G. Faith, d.b.a. DGF Investment Company, assigned her interest in the Aspen Lakes loan to the Faith Family Limited Partnership.

Daniel L. Kerr is listed as secretary of the Faith Family Limited Partnership.