Buyers Agent Agreement Termination wants comission for any home on market (Realtor, terminate)
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I am going to engage and attorney and will let you know how it goes. I spoke with someone from the NAEBA yesterday and they said none of this was standard practice. The funny thing is that they are the ones that had referred me to this agency. When they found out about this they were not happy.
Perhaps the confusion is in the definition of the word, "clause."
In common usage, a clause refers to a collection of words. In law, a clause refers to a section of a legal document. I'm unfamiliar with "clause" as denoting a period of time and couldn't find a dictionary with that definition.
Since you have written "when the clause in question starts," I am assuming that you are using the term "clause" to refer to the amount of time after the termination of the contract where one is obligated to pay one's original agent. In any case, obtaining a new agent does not waive the responsibilities of the buyer to pay the original agent. If the original agent can show procuring cause, he is entitled to his share of fees for services rendered.
I can't believe some of the terms and provisions of the "Exclusive Buyer Agency Employment Agreement" you posted, buyerinma!
And in the termination clause
This form does not provide for other options to terminate the contract other than the form listed. There's a lot of wording in this specific contract that I never agree to. I would consult a lawyer about my options.
Now first off this is GA but most buyer brokerage agreements are the same when it comes to certain aspects of the agreement
5. Commission.
Broker shall seek to be paid a commission from the listing broker under a cooperative brokerage arrangement or from a prospective seller if there is no listing broker. In the event the prospective seller or listing broker does not pay Broker a commission, then Buyer shall pay Broker at time of closing the following commission [The sections not marked shall not be a part of this Agreement]:
�� $_______________________________________________;
�� (Other)__________________________________________;
�� ________________________ percent (%) of the sales price;
of all real property in Georgia which Buyer purchases or contracts to purchase during the term of this Agreement whether or not the property has been identified to Buyer by Broker. In addition, if Buyer leases property or enters into a lease/purchase contract during this Agreement, and the landlord does not agree to pay Broker a leasing commission, Buyer shall also pay Broker for the duration of the lease and any renewal or extension thereof a commission of ____________ percent (%) of each rental payment paid by Buyer to Landlord there under. Furthermore, in the event that during the ____________ day period following termination or expiration of this Brokerage Agreement, Buyer purchases, contracts to purchase, leases or lease purchases any property identified to Buyer by Broker during the term of this Brokerage Agreement, then Buyer shall pay Broker at closing or the commencement of any lease, if applicable, the commission or commissions set forth above (and this provision shall survive the termination or expiration of this Agreement).
That sounds reasonable to me. I would be absolutely fine with paying commissions on houses identified to me by the agent. But, if 3 months from now we find a house that was not identified to us and has dropped into our price range we should be able to buy it without commissions.
That sounds reasonable to me. I would be absolutely fine with paying commissions on houses identified to me by the agent. But, if 3 months from now we find a house that was not identified to us and has dropped into our price range we should be able to buy it without commissions.
yes you are absolutely right you should
That shoddy realtor (and I use the term realtor for him very loosely) that you are using is trying to take advantage of you
my suggestion would be to ...instead of going to a RE attorney that you will have to pay for...go to the local board of realtors or get an appointment with your states real estate commission. It is free to persue either of these options and trust me they will get to the bottome of the matter
I do not believe a contract w/o an ending date is enforceable.
That is probably your out.
MmHmmm....
I would contact the broker, a real estate attorney & the Real Estate Commission. I'm not allowed to practice law; however, I can tell you that all contracts must have certain stipulations in order to actually be considered a contract.
It's not a valid contract unless there is a beginning and end date. This agent and broker is completely unorthodox and unethical to take advantage of you. PLEASE PLEASE PLEASE Report them to the MA Real Estate Commission!
The problem is if we sign their termination agreement we agree to pay them for all properties that were on the market at the time of the agreement.
Don't sign their termination agreement. You should not have to pay a commission to anyone unless you buy with them as your sales representative.
The agent should have provided you with a Consumer Information Statement and EXPLAINED it to you.
I'd be very surprised if there weren't any fines levied on these crooks.
i'm in mass (not in real estate as an agent but i work in a real estate office). my office uses forms from the greater boston real estate board. i've never seen a buyer agency form like that before. the forms from gbreb clearly state a start and end date for the contract.
made available could be interpreted as homes made available by the buyer agent not all homes on the market regardless of whether or not you viewed the property.
i'm in mass (not in real estate as an agent but i work in a real estate office). my office uses forms from the greater boston real estate board. i've never seen a buyer agency form like that before. the forms from gbreb clearly state a start and end date for the contract.
made available could be interpreted as homes made available by the buyer agent not all homes on the market regardless of whether or not you viewed the property.
good luck.
I put my Buyers onto an auto-email search, and can track EVERY home that goes to them. It can be hundreds of homes, depending on area and search parameters. They are made "available," I would think according to some interpretation of that phrase.
I was delighted to see that the OP is having an attorney review the contract.
I'm delighted the OP sent the form to NAEBA.
Our NC standard Realtor/NC Bar Association Exclusive Right to Represent Buyer forms are more similar to the Massachusetts Realtor form that I linked to, but also are more detailed. Reasonable protections are in place for both parties, including the stipulation that commission is not owed after expiration if the Buyer engages another Realtor.
I would wonder if an agency would go to the expense to draft their own forms to offer more protections to the client. Just a hunch...
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
