Potential Loss of Fee

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  • #55889

    smile please
    Member

    We have had a property on the market since the turn of the year.

    Seller contacted me a week ago to say he would like to go multi (said that’s fine). He also asked what would happen if he found his own buyer (odd).

    We get a call a week later from the sellers solicitor asking for us to send sales memos. Call the seller and he has found a private buyer apparently a ‘Friend’ – We agreed if it was a genuine friend we would halve our fee.

    Chasing up details today for sales memos the seller advised the buyer knocked on his door and they did a private deal – Now to me this means i am due my fee in full as who randomly knocks on a door asking if it is for sale (we have a board up).

    I want to chase him for the full fee as this is obviously our introduction, my worry is because i have already said we would half our fee if he did find a buyer i am on dodgy ground.

    To add another fly to the ointment the buyer is a builder and clearly cannot to be trusted so will probably lie, and also i doubt he will go through with the purchase so is it worth antagonising the buyer.

    #55890

    smile please
    Member

    Sorry for poor spelling. spell check did not pick it up ūüôā

    #55905

    Property Pundit
    Member

    If he can’t prove the buyer was a ‘friend’ then your offer doesn’t stand and they have to pay your full fee. Best to be upfront about your concerns and your legal position. If you are entitled to the fee – check your contract – you should chase & collect.

    #55911

    AgencyInsider
    Member

    Was your firm the ‘effective cause of sale’? Did you have sole selling rights? From what you say, I suspect that’s a no to both, and therefore you’ll be on thin ground to make a claim if it goes through.

    #55913

    PeeBee
    Member

    Seems to me you have two paths of action.

    IF you want to keep goodwill Рwhich is often worth far more in the long-run than immediate gain Рthen confirm you will bill the vendor 50% Fee and seek confirmation that it will be paid by his solicitor on completion of the transaction.

    That way, if the sale does go t!ts-up, you’ve honoured your side of the bargain (even if the Vendor appears not to have on their part) so you look like the Good Guy in all this palaver¬†– and you’ll click for full fee when you introduce the buyer that DOES complete!

    OR…

    IF goodwill means nothing to you (which I don’t believe for one second but this is mainly¬†for the chancers who learn all they will ever know from these pages…) then tell the V there was never a deal agreed¬†and bill him for the whole Fee.

    If I’m reading it as it is,¬†basically it’s¬†his word… your word… but the trump card is¬†a signed Agreement giving you legal right to seek payment.

    I’m sure you’ll do ‘the right thing’.

    #56189

    Secretagent1239
    Member

    If he’s entered into a contract with you, he has to honour it, regardless of where the buyer comes from. You should be careful not to tell the Vendor that you’ll do a half¬†fee if you’re thinking about changing your mind. Did you write this down? This would also have to be agreed with the other Agents involved.

    If the Vendor was more savvy he’d have waited until your contract was up¬†and sold it without an agent in the first place.

    I should talk to their solicitor and say your going for a split fee. I’d get the other agents to do the same. The solicitors should deal with it and you could relax. Who actually handles the sale could be another tricky question.

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