Legal Question in Real Estate Law in California

Four years ago I hired a RE agent to find a tenant for my rental property. The agent added a modification to the contract saying that the annual commission check be made out to him, by name, not the broker (a big real estate, franchising company). The contract is signed by me, and the agent as licensee for the broker. I paid the commission to broker for first year, and agent, for second and third years. Now, agent has left the broker, and asked the check be mailed to his PO Box. I called the broker, who has no record of the deal, and said checks should not have been made out to agent, in spite of contract. And forget the commission -- this is a mess -- they have no records of the deal at all. The agent said to send the check to the old broker anyway. And, now, the broker is asking me for records. What should I do? What are my legal rights?


Asked on 10/28/14, 3:39 pm

1 Answer from Attorneys
Anthony Roach Law Office of Anthony A. Roach

The agent is the agent of the broker. When you hired the agent, you were hiring that broker, and the agent owed a fiduciary duty to you and that broker. That agent stole from his or her broker when they directed you to pay them directly, especially if the agent was engaged in activities that require a real estate license. I suggest you cooperate with the broker as much as possible and get away from that agent. You may also need to cooperate with a BRE investigation of that agent.

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Answered on 10/28/14, 5:59 pm


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