Legal Question in Real Estate Law in California
Payment of Referral Fees
I am an inactive Realtor and refer real estate clients to an active Realtor. It has is customary to receive 25% of the commission on any closed deal. I referred a listing to this agent and she reduced her commission to 1% and gave the selling office 2.5% in order to obtain this listing. Upon closing she will not pay me the referral fee becuse she took the listing for a reduced fee and did not make as much commission. Am I intitiled to 25% of her commission?
1 Answer from Attorneys
Re: Payment of Referral Fees
Check out this web page, it has references to the 4 major areas of RE law in California: http://www.dre.ca.gov/relaw.htm
If that not answer your question, call the DRE and find out if referral fees are legal and if so, you can enforce those rights.
JOEL SELIK
Attorney at Law/CA Real Estate Broker
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