Errors and Omissions (E&O) lawsuits can be triggered by events such as:
Mistakes or errors in your work
Misrepresentation of a property or other information
Nondisclosure or omissions
Real estate malpractice or negligence
Misinterpretation of advice provided to a client
Breach of confidentiality
Missed deadlines
Violating state or federal real estate regulations
Professional liability lawsuits can also happen even if you haven’t made a mistake. If a client believes you have acted negligently or that your services caused them a financial loss, they could sue you.