Potential ‘ready willing and able’ clause in an estate agent contract

NI_Sense

Hi.

Straight to the point. After having signed up to a high street estate agent to sell my home, I have reread my contracts Terms of  Business and am now concerned with one particlar paragraph re regarding withdrawing my property if I choose to do so. Basicallly I am concerned that this paragraph is actually a ‘ready willing and able’ clause  in disguise. On that, I would appreciate it if someone could give me an opinion if they think this paragraph could be a ‘ready willing and able’ clause. See below.

'Withdrawing Your Property – The Vendor has the right to remove your property from the market. If you decide to withdraw your property from the market, we will you will not be expected to be pay a selling fee unless a party introduced by us later purchases your property. You will however be expected to pay for any expenses incurred by the agent in relation to the marketing, administration or viewing of your property'.

Its the 'unless a party introduced by us later purchases your property' bit that concerning me most!

Help is appreciated.

davidmcn

No, it's nothing like a "ready, willing and able" provision. It just says the fee is payable if somebody they've introduced actually buys the property.

anselld

"Ready willing and able" tends to allow the agent to charge the full fee if you withdraw form a sale.  This is not that, it is expenses only at the point of withdrawal.

You would surely not attempt to sell privately to someone introduced by the EA so no need to worry about that either.  No EA contract will allow that.

eddddy

NI_Sense said:

Hi.

Straight to the point. After having signed up to a high street estate agent to sell my home, I have reread my contracts Terms of  Business and am now concerned with one particlar paragraph re regarding withdrawing my property if I choose to do so. Basicallly I am concerned that this paragraph is actually a ‘ready willing and able’ clause  in disguise. On that, I would appreciate it if someone could give me an opinion if they think this paragraph could be a ‘ready willing and able’ clause. See below.

'Withdrawing Your Property – The Vendor has the right to remove your property from the market. If you decide to withdraw your property from the market, we will you will not be expected to be pay a selling fee unless a party introduced by us later purchases your property. You will however be expected to pay for any expenses incurred by the agent in relation to the marketing, administration or viewing of your property'.

Its the 'unless a party introduced by us later purchases your property' bit that concerning me most!

Help is appreciated.

That is an appalling clause - but not for the reasons you say. I've never seen an EA contract with such punitive (and unspecified) withdrawal costs.

They are saying that if you end the contract, you have to cover all their costs - which could be hundreds of pounds (or maybe more). 

i.e. If they are useless and cannot sell your property, you have to pay their marketing, admin and viewing costs. And the scope for the EA to abuse that clause is massive (e.g. they pay their mates huge amounts for carrying out viewings)



They also say that if you sell to somebody they introduce, you have to pay them a fee. That's usual for all EA contracts (but it should state a time limit of 6 months or 2 years, depending on circumstances).

There's nothing about 'ready, willing and able'  in the clause you quote. 

greatcrested

NI_Sense said:

Its the 'unless a party introduced by us later purchases your property' bit that concerning me most!

Help is appreciated.

Seems very fair. They find someone looking to buy your house. That person buys your house. They've earned their fee. Whether you are still in contract or not.

Without such a clause, every seller would write and end their contract as soon as an offer was accepted but before Exchange of Contracts!

As edddy says above a time limit would be usual (so if you sold to someone 3 years later who'd they'd introduced, no fee would be due) but I believe this is covered by legal precedence which limits it to 6 months. Someone may know the relevant case law which I can't be bothered to search for!

But as edddy aso says, the costs for withdrawing from market without a sale are both unusual and exhorbitant, though one can understand the rationale - based on the understanding that you wish to sell, the EA has incurred certain (possibly significant) costs to asist you. If you 'change your mind' whether on a whim or for some personal reason, why should the EA suffer those costs.....?

moneysavinghero

I would be more worried about the 'You will however be expected to pay for any expenses incurred by the agent in relation to the  marketing, administration or viewing of your property' section. Hope you got a good price to compensate for  not being on the usual no sale no fee terms.