Estate Agent claiming Fees for a sale they didn’t complete

AlmightyCorgi

Hi, 
I put my house up for sale in 2018, wasn’t happy with the estate agents so ended their contract and after the allotted time engaged a new agent. 2 months later, the new agency introduced a viewer who subsequently bought the house and the sale went through in 2019. I’ve just had a letter from BW Legal on behalf of the original agents to say that they originally introduced the buyers so are entitled to a large sum of money and if I don’t pay within 7 days they are taking me to court. They didn’t to my knowledge show them the house, I’ve spoken to the agents who did sell it who have confirmed they were new viewers and said the old agents are chancing their arm. 

Has anyone experienced this? How do I prove they didn’t view the house!
Any help appreciated, thanks.

movingon2020

What was the time period between ending one agreement and signing with a new agent? Did they give you a list of people they introduced when you ended the contract?

ss2020jd

That’s an unpleasant thing to receive in the post.

Do you have any records of the viewing details from the new estate agents you appointed? I’m sure they would have records and could provide the evidence if it came to it.

it sounds like they are definitely trying it on if it’s clear you dis-instructed them and they did not conduct the viewing. 

This link has some quite useful information - the gist below the link. Hopefully some of the posters with legal experience will be able to advise as well. 

https://www.estateagenttoday.co.uk/breaking-news/2019/3/dual-fees-new-guidance-over-a-growing-issue--ombudsman

“An effective introduction must evidence that the agent carried out an act that initiated the buyer’s reaction to the property.  As such, there is a need for a defined transaction event to occur. It is TPO’s view that this can be most clearly evidenced by an agent carrying out a viewing. 

“When considering if an agent has introduced the buyer, TPO expects to see evidence that the viewing has been booked, confirmed in writing to both seller and buyer and taken place. In this way, TPO will be in a position to state that, following the viewing, the agent that conducted the viewing introduced the buyer.

AlmightyCorgi

Hi, it was 15 days, the agreement I had stated I needed to leave it 14 days. No they never gave me a list of names of viewers they had. 

ss2020jd

Did they do this?

The guidance issued by TPO outlines agent obligations upon dis-instruction, including disclosing to the seller a list of parties that they have introduced - that is, a list of those who have viewed the property.  

And the Ombudsman’s guidelines says that if the seller signed a sole selling rights agreement, the agent must advise the seller on dis-instruction, in writing, that a fee will be due if any party who was introduced during the sole selling rights period proceeds to exchange of contracts.

Sandtree

Have you re-read your original agreement with the first agent?

Does “introduced” even get a definition? I wouldnt automatically assume it goes as far as having done a viewing with them... it could be as simple that the buyer was on their books and was included in a mailshot introducing the property as a new one on their books that meets their requirements. 

Agents dont like loosing work and their terms are generally fairly broad to still get their slice of the pie if you abandon them 

AlmightyCorgi

Hi, no they never did either of those things! After I deinstructed them I didn’t hear from them until this legal letter nearly 2 years later

ss2020jd

According to The Property Ombudsman it’s unlikely they have a leg to stand on then:

Katrine Sporle, Property Ombudsman, comments: “If a dual fee complaint is referred to TPO, we will be looking to address any consumer detriment. Our stance is that no consumer should unknowingly be placed in a position of paying more than one commission fee.” 

She continues: “TPO will reach a conclusion against the requirements of the Code of Practice and associated TPO Guidance, having taken into account the contractual entitlement of the agent under the terms of the agreement signed by the consumer.  To establish an effective introduction, there must be a viewing of the property.”

You could always try to get advice from them directly and refer the case to them if necessary. 

AlmightyCorgi

Ss2020jd - Thank you. The info you’ve given is so helpful. The agent that’s sold it have said they will back me in any legal action taken if they go that far and confirmed the people that bought it never viewed with the original agents only them. It’s just terrifying, it’s not a small amount of money they want either. But looking at the comments above they didn’t follow any of the procedures they should have.

ss2020jd

That must be awful. Sorry to hear that. That’s good news re the agent at least, but hopefully it won’t come to that. Any legal determination should hopefully take the ombudsman’s guidance, even if the agent is not a member of the property ombudsman. You can also find out more here:  

https://www.tpos.co.uk/consumers/can-i-complain

AskAsk

i would have asked the first agent for the names of the clients they took round to cover myself.