Legal Question in Real Estate Law in New York

Conflict of interest of realtor

A realtor listed our commercial property and presented a willing, able & ready buyer (his brother-in-law) who made an offer that was accepted. A closing date has not yet been set. Can this realtor represent the prospective buyer (his brother-in-law) by showing the property to other possible buyers before our deal has been finalized?


Asked on 2/12/04, 4:23 pm

4 Answers from Attorneys

David Slater David P. Slater, Esq.

Re: Conflict of interest of realtor

yes

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Answered on 2/12/04, 5:10 pm
Robert R. Groezinger GroezingerLaw P.C.

Re: Conflict of interest of realtor

The obligation runs to you, not to the brother-in-law. Until you execute a contract, it may still be shown, and even after that conditionally.

Good Luck

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Answered on 2/12/04, 5:19 pm
richard feldman richard d. feldman

Re: Conflict of interest of realtor

It appears that there is a conflict of interest or at least the appearance of impropriety especially if the broker made representations that the price that you accepted was a good deal.

call me at 516 410 4001

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Answered on 2/12/04, 5:21 pm
Walter LeVine Walter D. LeVine, Esq.

Re: Conflict of interest of realtor

This depends upon whether or not the contract has been completed and finalized. It also depends upon the language of the final contract which may state that once finalized, the property comes off the market. Unless and until a contract of sale is finalized and depending what it states, the property may continue to be shown. As the seller, you can control this through the contract. This leads to several questions that come to mind. Why is the property continuing to be shown? Is your buyer trying to get a better price for a resale after your closing, or just determining if the price he accepted is realistic? Is the broker concerned that the current deal may fall through and wants a back-up buyer? You should have your attorney find the answers.

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Answered on 2/13/04, 11:24 am


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