Estate Agent goes bust

gadg

I have learnt that my estate agent, Jump Property Group, has gone bust. The company had about 30 branches in Yorkshire but was placed in administration in August and the assets transferred to a new "Phoenix" company with a similar name and run by the same person. Can someone tell me what my contractual obligation is in circumstances like this? My contract was with the old company but am I also bound to the new one?

I ask this because in July they failed to place newspaper ads for my house (I now realise because they were insolvent) so I told them I was going to another agent. The new company is now trying to invoice me for a contractual "termination fee".

Would appreciate any advice.

Fraserca

Check your contract - does it say what happens to the contract in case of insolvency of the business? Sounds to me as if the original company cancelled the contract by becoming insolvent and so was not able to carry out its side of the contract.

It may be worth seeing a solicitor about this - most will give you a half hour free advice..

This example goes to shows why few tears are shed over Estate Agents going bust

gadg

Thanks for the advice. I finally got a letter from them this morning saying they were waiving the fee - but I'm going to check the contract anyway out of interest.

lush_walrus

Very cheaky of them to try to pull that stunt, glad you are out of it. I may be biased, but try an independant agent next!

ManAtHome

Saw a couple of their 'for sale' boards this morning - looks like they haven't wasted money on changing their name... maybe one to avoid in future.