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Old 08-14-2010, 11:28 AM
 
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Does anyone know of any case law where a real esate agent sues the seller for the commission. The broker does not want to get involved? The agent did sign an independent agreement contract with the broker and is paid the 100% commission, the broker receives a brokers fee from the realtor only?
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Old 08-14-2010, 11:59 AM
 
Location: Mokelumne Hill, CA & El Pescadero, BCS MX.
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Real estate listings are between the broker and the seller, not the agent and the seller. If an agent wants to sue for a commission, the broker has to do it, not the agent.

My agents do have an independent contractors agreement (which is mandated by the state) but I retain the right to decide whether a commission is worth going to court for. In my small community, I can't imagine a scenario in which that would be beneficial to me in the long run.
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Old 08-14-2010, 12:02 PM
 
Location: Tempe, Arizona
4,511 posts, read 12,523,885 times
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Quote:
Originally Posted by jon heenan View Post
Does anyone know of any case law where a real esate agent sues the seller for the commission. The broker does not want to get involved? The agent did sign an independent agreement contract with the broker and is paid the 100% commission, the broker receives a brokers fee from the realtor only?
If the broker does not want to get involved, then the agent can't sue. The commission belongs to the broker, not the agent. The portion of the commission that the broker gives the agent should be in the agents contract with the brokerage. Could be any amount up to 100%. The agent may also owe the broker other fees, especially if getting 100% commission.
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Old 08-14-2010, 12:21 PM
 
Location: Hernando County, FL
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Then again if the agent tells the broker that he is going to sue him if he does not file suit for the commission then the broker may change his mind.

I am curious as to the background on all this. Does the agent have a basis for his claim Jon? Did the house sell while you were under contract with him?
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Old 08-14-2010, 12:28 PM
 
10,135 posts, read 24,740,078 times
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Quote:
Originally Posted by jon heenan View Post
Does anyone know of any case law where a real esate agent sues the seller for the commission. The broker does not want to get involved? The agent did sign an independent agreement contract with the broker and is paid the 100% commission, the broker receives a brokers fee from the realtor only?
In most states where the broker is licensed as a "realtor" and the sales agent is licensed as long as he is associated with a broker, it is illegal for an agent to be paid or attempt to collect a commission. Take the demand letter from the sales agent and send it to the licensing agency with your complaint that a sales agent is attempting to collect a commission direct from a seller. If you post your state, i'll look it up for you.
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Old 08-14-2010, 12:45 PM
 
Location: Hernando County, FL
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Quote:
Originally Posted by wilson1010 View Post
In most states where the broker is licensed as a "realtor" and the sales agent is licensed as long as he is associated with a broker, it is illegal for an agent to be paid or attempt to collect a commission. Take the demand letter from the sales agent and send it to the licensing agency with your complaint that a sales agent is attempting to collect a commission direct from a seller. If you post your state, i'll look it up for you.
It seems the agent is wanting to sue but the broker is reluctant.

I don't see where any demands for direct payment to the agent were made.
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Old 08-14-2010, 12:58 PM
 
10,135 posts, read 24,740,078 times
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Quote:
Originally Posted by Mike Peterson View Post
It seems the agent is wanting to sue but the broker is reluctant.

I don't see where any demands for direct payment to the agent were made.
The agent must have contacted the seller directly. Maybe he did it on the phone but if he gets a demand letter he can put it to rest at least where I practice.
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Old 08-14-2010, 01:06 PM
 
Location: Hernando County, FL
8,488 posts, read 18,830,026 times
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Quote:
Originally Posted by wilson1010 View Post
The agent must have contacted the seller directly. Maybe he did it on the phone but if he gets a demand letter he can put it to rest at least where I practice.
Only if the demand letter is asking the seller to pay direct to the agent would there be some basis but it does not seem at all like this is what happening and that is why I asked the OP for more information.

I am a lot more curious why the agent thinks he is entitled to a commission and the seller does not feel he is. Did the home sell while under contract with the agent? Did it sell within the protection period to someone that previously viewed it while it was under contract?
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Old 08-14-2010, 01:18 PM
 
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Well, he seems a little confused and more information will be helpful. I take from his post that it is the agent and not the broker who is approaching him. How couldit be otherwise? And, I would doubt the the agent is allowed to collect a direct commission from the seller no matter what the seller did wrong. Hopefully, he will post the state and I'll just look it up for him.
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Old 08-14-2010, 01:45 PM
 
Location: Columbia, SC
9,807 posts, read 19,300,893 times
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Quote:
Originally Posted by wilson1010 View Post
Well, he seems a little confused and more information will be helpful. I take from his post that it is the agent and not the broker who is approaching him. How couldit be otherwise? And, I would doubt the the agent is allowed to collect a direct commission from the seller no matter what the seller did wrong. Hopefully, he will post the state and I'll just look it up for him.
By your line of thinking, if taken a step further, then the agent should never have any contact with the client ever since they work for the broker. Again, the agent demanded a commission per the OP but it wasn't stated that the agent asked to be paid directly.

OP, we really need more information if you expect useful advice.
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