Legal Question in Business Law in California
conditional purchase contract
I am a broker with a listing agreement. I prepare a purchase agreement which contains certain protections for me. the buyer depsoits $25,000 and offers $255,000 by signing contracr and initialing each page. the seller writes $285,000 on offer as a counter-offer, signs agreement and initials all pages. Buyer does not like price and let's the offer expire.
buyer and seller get together privately and sell the yacht at $285,000 6 weeks later.
the internal Terms of Purchase Agreement call for Arbitration of disputes, name me as procuring cause, etc.
Question- eventhough the paper contract expired, are the provisions in the contract pertaining to me as broker 3rd party enforceable?
9 Answers from Attorneys
Re: conditional purchase contract
Real estate brokers have legal protection as 'procuring cause'. Your original listing contract may have similar language in it. If it does, you're on sounder footing. Even if it doesn't, you still have a claim you could make, which would be the basis for some settlement discussions. Feel free to contact me to discuss your rights and remedies.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Depending on the terms of your listign agreement (which may give you a contractual right to a commission from your seller), you may also have a tort claim against the buyer for inducing breach of contract or interference with your contractual relation with your seller by (a) rejecting the 285k counter-offer, then (b) waiting for your listing to expire, and (c) accepting the very same counter-offer that he had rejected earlier. It sounds like the buyer and seller merely went behind your back to avoid paying your commission. That aspect is certainly worth exploring, and will create more pressure for the buyer and seller to pay you.
Also, if your listing agreement has a mediation clause and an attorneys' fees clause (similar to standard real estate listing agreements), you should demand mediation to preserve your right to collect attorneys' fees should you have to sue.
In any event, you should retain an attorney to review your listing agreement and advise you of what rights and options you have.
Re: conditional purchase contract
Well, let's see; there are three documents or deals here. The first is your listing agreement; the second is a purchase agreement that never became binding because there was an offer and counteroffer but no acceptance; third, there was a behind-your-back contract under which the property was finally sold.
The really important document is #1, because that's where you'd look for language that entitles you to a fee or commission under the scenario at hand. The second set of papers may be irrelevant or not, depending upon whether they are needed as evidence of your role under the provisions of #1. Contract #3 is relevant to show that a deal happened between X and Y, and when.
If #1 were worded the way most real estate listing agreements are, you would be entitled to a commission.
The term you used in your heading, "conditional purchase contract," does not seem to be a technically correct label for any of the agreements or proposed agreements described in your question, however. In the law of commerce, a conditional sales agreement is one where title doesn't pass upon delivery of the goods or upon signing of the contract, but upon some future event, usually the buyer making a series of payments - in other words, the sale is conditioned upon final payment.
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