Legal Question in Business Law in Florida

Restaurant sales agreement
My husband is a broker that had a buyer looking for a restaurant. Through a 2nd broker , my husband hooked his buyer up with a man that was selling his waterfront restaurant (business only and all of the inventory) for an asking price of over a one million dollars. He says that his business grossed $2.1 million in sales last year.
This 2nd broker only negotiated a 4% commission (2% each) for the transaction. Well, through the acccountants of the buyer and seller the deal was structured as follows:
The purchase price of the business was $450,000 and the buyer is going to pay the seller a $100,000 consulting fee each year for the next five years. Since my husband is getting paid on the purchase price he is only getting $9,000. My husband didn't write the deal, the owner of the business basically wanted the brokers out of the way and worked out the deal entirely with the accountants and the seller. It wasn't until disbursment of funds that we saw the commission.
This deal was structured in a way that stiffs my husband on half of his commission . Is this a valid deal or is this fraud? Is this actionable on my husband's part?

Asked on 1/11/08, 9:23 am

David Slater David P. Slater, Esq.

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Re: Restaurant sales agreement

Without reading the original agreement no one can answer properly.

Answered on 1/11/08, 11:39 am

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