Ending Estate Agency Contract - Advice sought

PerplexedKat

Dear All, 

Just wondered if anyone has any experience in estate agents contracts and clarification of the clauses, because I'm struggling to understand a response from the agent to a section in the contract with our current agent. 
Quick recap: Signed with agent, I was a numptie, got caught in a 20 week agreement. Had to live with this crazy choice for the last 12 weeks. Want to end the agreement, emailed agent to clarify the end date and when to submit cancellation notice.  I thought if end date is 2nd July I could submit cancellation 14 days prior, so as to end the agreement on the 2nd July. They are saying I submit cancellation on the 2nd July to end the agreement on the 15th July, which then makes the agreement period 22 weeks not 20.  Before I go back to them I wanted to gather feedback on the section cancellation refers to:

The section says: 
Agency Period: In the case of a sole agency, it has been agreed that this should be initially for a period of 20 weeks from the date of the agreement.
The sole agency will continue after this period unless terminated by you the party.
After the initial 20 week sole agency period should you the party wish to terminate the agreement 14 days written notice will be required from you.
You will be liable to pay remuneration to XXX estate agents if at any time unconditional contracts for the sale of the property are exchanged with a purchaser introduced by us during the period of our sole agency, or with whom we had negotiations regarding the property during that period, or a purchaser introduced by another agent during that period. 

In a nutshell the house we were wanting to buy got reserved during lock down. After 12 weeks we are still yet to have a viewing so can't progress to even viewing other houses. I asked during lock down if any interest, they said none. Rearranged a couple of rooms, not that I've sent the front room picture to them to change on the advert, just can't be bothered to be honest. 

Guess just looking for advice on the contract section, are they right? 

Comms69

Yes they are correct

PerplexedKat

Many thanks, utterly gutted. 

Comms69

PerplexedKat said:

Many thanks, utterly gutted. 

Doesnt really change anything though? I am somewhat confused

PerplexedKat

Really I wanted to end the agreement at the start of July and try our luck with 2 agents simultaneously on a short 6 week deal that whoever sells gets the fees. But should we decide to continue to sell, if I instruct another agent will have to pay two fees, can't use any part exchange scheme as will still be liable for his fees, can't use any type of help to move offer unless I wait til 16th July before entering into any negotiations with any other agent/developer. I'm of the negative expectation this house will not get any viewings via that agent. So it's going to either sit here not getting sold because we don't want to sell it, or not sold because no-one wants to buy it on the open market. 

I had this calendar reminder set for the start of July and now I have to move it two weeks. It's just really disappointing. 

eddddy

Is the Estate Agent a member of 'The Property Ombudsman Scheme' - most EAs are?

If so, it looks like that contract wording breaches the Ombudsman's Code of Practice - which is mandatory for members.

5s Your contract must allow for the required notice of termination to be given before the end of the term, such that termination by the client can occur at the expiry of the minimum term.
Link: https://www.tpos.co.uk/images/Codes_2019_a5/TPOE27-8_Code_of_Practice_for_Residential_Estate_Agents_A5_-_Effective_1_June_2019.pdf

If the EA is a member, point them towards the Code of Practice, and confirm that you want to terminate the contract after 20 weeks.

(If they still refuse, you can threaten to complain to the Ombudsman, if you want - it depends how far you want to fight.)

steampowered

I read the clause as you did, i.e. allowing you to serve 2 weeks notice to terminate with effect from 2 July.

That said the clause is not 100% clear.

PerplexedKat

eddddy said:

Is the Estate Agent a member of 'The Property Ombudsman Scheme' - most EAs are?

If so, it looks like that contract wording breaches the Ombudsman's Code of Practice - which is mandatory for members.

5s Your contract must allow for the required notice of termination to be given before the end of the term, such that termination by the client can occur at the expiry of the minimum term.
Link: https://www.tpos.co.uk/images/Codes_2019_a5/TPOE27-8_Code_of_Practice_for_Residential_Estate_Agents_A5_-_Effective_1_June_2019.pdf

If the EA is a member, point them towards the Code of Practice, and confirm that you want to terminate the contract after 20 weeks.

(If they still refuse, you can threaten to complain to the Ombudsman, if you want - it depends how far you want to fight.)

It says they are and gives membership number.

PerplexedKat

steampowered said:

I read the clause as you did, i.e. allowing you to serve 2 weeks notice to terminate with effect from 2 July.

That said the clause is not 100% clear.

Same, was shocked to be honest! 

eddddy

PerplexedKat said:
It says they are and gives membership number.

So in that case, I would challenge them about it - and say you want to terminate the contract after 20 weeks.

Comms69

steampowered said:

I read the clause as you did, i.e. allowing you to serve 2 weeks notice to terminate with effect from 2 July.

That said the clause is not 100% clear.

I read after the initial term, as the starting point for notice. But i guess that's how these things are sometimes