Commercial Real Estate Escrow Issues

Q: What are the most common escrow problems in commercial real estate deals?

Common issues include unclear or incomplete instructions, delayed documentation, last-minute deal changes that don’t get communicated, and misalignment between parties like lenders, brokers, and escrow officers. These can cause funding delays, missed closings, or even failed transactions.

Q: How can escrow issues delay my closing?

Closings can be delayed if escrow doesn't receive all required documentation, signatures, or funds on time. Miscommunication between parties can also lead to last-minute surprises that stop the process in its tracks.

Q: Who is responsible for providing escrow instructions?

Typically, instructions come from both parties’ attorneys or brokers and are based on the purchase agreement. However, if instructions aren’t clearly written or updated after changes, it can lead to confusion or errors during the transaction.

Q: What can I do to prevent escrow issues before they happen?

The best prevention is proactive coordination. Work with an attorney who will review your documents, set up clear escrow instructions, and maintain communication with all involved parties to ensure everything is aligned well before closing day.

Q: What happens if the other party doesn’t meet escrow conditions?

Escrow will not release funds or documents until all agreed-upon conditions are met. If someone doesn’t fulfill their obligations, the deal can stall or fall apart. While we don’t handle litigation, we help structure deals to avoid getting to that point.

Q: Can escrow agents make mistakes?

Yes. Escrow agents follow the instructions they're given. If those instructions are unclear or contradict other deal documents, mistakes can happen. That’s why we take the time to align instructions with the deal terms and catch any inconsistencies before they cause problems.

Q: What is Kleiner Law’s role in managing escrow issues?

We help set up the transaction for success by reviewing contracts, coordinating with title and escrow, resolving inconsistencies, and staying involved throughout the process to avoid surprises. Our job is to keep your deal smooth and your funds secure.

Q: I’ve had escrow issues in past deals—can you help me avoid them this time?

Absolutely. Many of our clients come to us after experiencing frustrating closings. We bring the structure, communication, and foresight needed to prevent the same issues from happening again.

Q: Do you work with title companies and brokers directly?

Yes. We coordinate with all involved parties—including brokers, lenders, title agents, and escrow officers—to ensure everyone is on the same page and the transaction progresses without unnecessary delays.

Home » Commercial Real Estate Attorney » Commercial Real Estate Escrow Issues

Expert Legal Support for Common Escrow Issues

Common escrow issues in commercial real estate can stall transactions, increase costs, and create unnecessary stress. At Kleiner Law, we focus on helping clients identify and address these issues early before they become deal-breakers. We don’t do litigation or disputes. Our goal is to keep your deal on track and your funds secure through well-structured agreements, clear communication, and ongoing coordination with all parties involved in the transaction.

What Causes Common Escrow Issues?

Most escrow problems come down to miscommunication or mismatched expectations. Funds may not be released on time because the escrow agent didn’t have clear instructions. The closing might be delayed because the title documents weren’t submitted or reviewed properly. Sometimes, parties change deal terms at the last minute but forget to update the escrow file, creating confusion or conflict.

In complex deals, there may be multiple people involved—lenders, brokers, escrow officers, attorneys—and when they’re not in sync, things slip. You may end up chasing signatures, clarifying payment terms, or reviewing documents when you should be closing. These problems aren’t always dramatic, but they can be expensive. That’s why we focus on preventing them early.

Our Role in the Process

We help our clients prevent escrow issues by setting up clear, written instructions that align with the contract and the parties’ expectations. We review all related documents, early purchase agreements, title commitments, lender terms, and flag anything that could confuse closing.

Throughout the deal, we stay in contact with escrow officers, title companies, brokers, and lenders to ensure everyone is on the same page. If something starts to go sideways, we’re ready to jump in, clarify terms, and help you move forward without unnecessary drama or delay.

We don’t just protect your legal position, we help keep your business objectives in focus. That means finding solutions that make sense commercially, not just technically.

Who We Work With

Most of our clients are active in commercial real estate as investors, developers, brokers, or buyers and sellers of income-producing property. Many have dealt with escrow issues before and come to us to avoid repeating the same problems. Some are navigating complex closings for the first time and want help setting things up the right way from the start. No matter your experience level, we aim to provide practical legal support that’s easy to understand and act on. We speak your language and keep things moving.

Why Common Escrow Issues Matter

Escrow problems don’t just cost time, they create uncertainty. When money is tied up or instructions are unclear, the deal is at risk. Missed closing dates, frustrated buyers or sellers, and mismanaged funds can all damage your bottom line. Having a legal advisor who understands the moving parts of a commercial deal can make all the difference. We’re not here to slow things down—we’re here to help you close with confidence.

Let’s Fix It Before It Becomes a Problem

Escrow issues don’t always begin with a major mistake. Most start small—an unclear instruction, a delayed response, a missing document. But those small issues can quickly snowball into real problems that cost time, money, and relationships.

At Kleiner Law, we help commercial real estate clients stay ahead of these risks. Whether you’re preparing for a closing or already dealing with an escrow complication, we bring the legal clarity and transactional experience you need to keep things moving. You don’t have to wait for a crisis. The best time to solve escrow issues is before they happen.

Contact Us

Need help with an escrow issue in your commercial real estate deal? Let’s talk.

We offer clear, actionable legal support designed to protect your position without overcomplicating your transaction. Whether you're a buyer, seller, developer, or broker, we can help you structure your deal, coordinate with escrow officers, and avoid common pitfalls that slow down closings. Contact Kleiner Law today to schedule a consultation. Call 305-517-1392. Let’s keep your deal on track—and your capital working.

Some of the matters we have experience in include:

Negotiation of and execution of purchase agreements
Resolution of due diligence matters
Environmental issues
Title issues
Section 1031 tax-deferred exchanges

In addition, we provide our clients with professional assistance on the tax implications and structuring of real estate deals, including acquisitions, taxable and 1031 tax-free exchanges, sales and commercial leases.

Testimonials

Fantastic to work with. Whenever I had a question Marc or his team was there with an answer almost immediately. Made my home buying process an absolute breeze. Would gladly work with him again! You wont be disappointed.

Stephen Legow

I needed to refinance my mortgage and I went to Kleiner Law Group to get it done. They were very professional, quick and accommodating with my schedule for the necessary paperwork. I would highly recommend them.

Dania Rodriguez

I am a Real Estate Professional and I have been in service to my clients for over 18 years. I have worked with many real estate attorneys in my career and I have to say Marc Kleiner and his team are one of the best. Very professional, knowledgeable, always accessible. I appreciate how quickly they reply to phone calls and e-mails. It is so important to have this type of communication. I refer my clients to Marc with full confidence. Great job guys!

Kasia Weszczak

I needed an attorney to handle the purchase and all subsequent documentation of my condo in the Miami area. The Kleiner Law Group performed tremendously well, very timely and efficient in their work, and priced reasonably. I recommend them very highly.

Clifton Russo

Very Professional. Thank you for helping me out of a bad situation. You really saved me and my family a lot of money. We are forever thankful to you.

tina Phan

I've been a long term client of Marc and he's helped me navigate through the legal aspects of numerous real estate transactions. As a foreign investor, Marc's support gives me the confidence I need to operate from abroad.

Gul Jacobi

Escrow FAQs

What is escrow in a commercial real estate transaction?

Escrow is a neutral holding arrangement where a third party—typically an escrow or title company—holds funds and documents until all conditions of the deal are met. It's designed to protect both buyer and seller by ensuring everything is in order before money changes hands.