It is also very important for brokers and agents to determine who actually owns a particular property before representing a party or entering into a listing agreement. If there are multiple owners, real estate agents must ensure that all lawful owners execute an agreement on the sale and listing of a home or rent and the representation of owners, owners or tenants. This article highlights some court cases (current and less new) that illustrate the problems that can arise if due process is not followed to ensure that the right parties sign such agreements. Is a signed written agreement, such as e.B. The agreement to represent the buyer and the tenant of LA TAR, the only way for a broker to establish an agency relationship with a buyer? I recently sold a house listed in MLS and a neighbor called me to ask about the sale price. Can I tell them? With respect to the second point, the wife attempted to enter into a registration agreement with another brokerage firm and no longer wanted to use the brokerage firm agreed to by both spouses in the settlement agreement. Unfortunately, given the separation agreement, which presided over specific rights and obligations with respect to the relationship between the parties and with respect to the sale of the property, neither spouse had the right to enter into a registration agreement with another brokerage firm without renegotiating the terms of the original settlement agreement and obtaining prior judicial approval. Another important point emphasized by the court is that a broker or agent is not required by law to .” to as to whether the defendant was the sole owner of the premises or whether he was the owner of the premises. And while this is a very important part of the decision, brokers and sellers should know that a court will try to determine, based on the facts of the case, whether it was aware of it or whether it knew the property was in co-ownership. Whether or not a broker or agent has the required knowledge is a fact-specific determination and each case may be different. While the courts have ruled that a broker does not need to conduct an independent investigation into the ownership status of a particular property, a court may rule that the broker or agent has a copy of the deed, survey, tax bill, or other document typically provided to them. that show that there is another owner, then a court may decide that the broker or agent has the necessary knowledge and that the broker will not be entitled to the commission. Elissa Koopmans Schwartz owned a house in Bloomfield Hills, Michigan, which she wanted to sell or rent.
It entered into a listing agreement with Real Estate One (“REO”) in which REO agreed to sell or lease the house. REO worked through its broker Christopher Lee. In the listing agreement, Lee said a sale price of $1.57 million was reasonable and the market rent was $8,000 per month. In the event that REO could rent the property, REO would receive a commission of one month`s rent. REO and Lee tried to argue that they were not required to rent the property because Schwartz had removed the rental price and commission from the listing agreement. Admittedly, this indicated his intention not to want REO and Lee to rent the property. In U-Buy Realty, Inc.c. Aliota (151 Misc. 2d 485; 573 N.Y.S.2d 824; 1991 N.Y. Misc. LEXIS 417 (1991)), the plaintiff, U-Buy Realty, Inc., a real estate brokerage firm, brought a lawsuit in commission against defendant Jack Liota, one of the owners of the property in question[…].