Legal Question in Real Estate Law in California

Re: Real Estate Agent Commission

You will need to examine all contracts that exist as to commissions and sale of the property. Normally, all that exists is a contract between your agent and yuorself that if a willing, etc. buyer is produced, you owe your agent a percentqage commission, which they, through the customary practice of real estate agents, then divide up. So if your agent is not asking for a commission, then you might be able to argue that the buyer's agent is not in privity with your agent as to the contract so has no right as a third party to enforce it herself.

It might be best to have local real estate attorney look at all of the paperwork and then write a sharp letter to the agent.

Re: Real Estate Agent Commission

She MAY have a claim for lost commission if your failure to deliver the home did IN FACT cause her to lose out. However, if she placed the same buyers in another house, she did not entirely lose out. If the commission on the home that DID close was less, she MAY have a claim for the difference.

It is possible that her only claim would be against the listing agent, NOT you.

If she keeps putting the heat on you, you'll have to consult with a lawyer regarding all the details.

Re: Real Estate Agent Commission

I agree with Mr. Berger.

It wasn't the agent's fault that your transaction was not completed, and she was under no obligation to wait, especially when it appeared the sale would not be going through.

If she keeps looking to you for more money, retain a real estate attorney.

Good luck!

Re: Real Estate Agent Commission

I agree with the previous answers, and would like to add a thought.

An agent's entitlement to a commission is a matter of contract interpretation. The first issue will be whether you were obligated to pay the buyer's agent a commission if the buyer didn't buy your house. It's easy to see that YOUR agent, the seller's agent (if you had one) would be entitled to receive a commission from you upon finding a ready, willing and qualified buyer, all contingencies are removed, and yet you fail to close. You are in direct contract with your agent, and when he or she has done everything required of him or her to earn a commission, you are liable for it, whether or not the deal closes.

It is far more difficult to visualize a contract situation that would oblige the seller to pay the buyer's agent. You aren't in direct contract with the buyer's agent unless there is an approved dual agency. Maybe you are liable under some kind of intended third-party beneficiary theory, but it is hard to see.

I'll do some further research after 5 p.m. and if I come up with anythig of interest, I'll post another answer.