Sole Agency Agreement Contract

Adly812

Agreed with you both, I’ll remove that. I’m negotiating with them now as I feel 16 weeks is not necessary though for the duration of the agreement. 

I had an estate agent list it last year, I took it off the market as I wasn’t ready to sell and now for reasons have changed my mind and want to try sell it for definite.

I have had the previous agent write yesterday to me and quote ‘ Just to confirm the date of Terms of Business would of ended now ’ .

I just had to double check liability with them had expired, before I go with this new agent.

I just wanted to cover my back, as I have had some painful issues with estate agents in the passed,

Adly812

You (The Seller) will be liable to pay remuneration to us, in addition to any other costs or charges agreed, if at any time unconditional contracts for sale of the property are exchanged with a Buyer introduced by (The Agent) during the period of their sole agency or with whom The Agent had negotiations about the property during that period, or, with a buyer introduced by another agent during that period.

The Agent will be able to claim the agreed fee or commission for a period of 6 months after expiry or cancellation of the sole agency agreement if a buyer, introduced during the sole agency period, goes on to purchase the property within 6 months of expiry of the agreement.

Hoping for some advice on this occasion..... If I sold the property myself... would I b3 liable their fee based on their sole agency agreement??

eddddy

Adly812 said:

You (The Seller) will be liable to pay remuneration to us, in addition to any other costs or charges agreed, if at any time unconditional contracts for sale of the property are exchanged with a Buyer introduced by (The Agent) during the period of their sole agency or with whom The Agent had negotiations about the property during that period, or, with a buyer introduced by another agent during that period.

The Agent will be able to claim the agreed fee or commission for a period of 6 months after expiry or cancellation of the sole agency agreement if a buyer, introduced during the sole agency period, goes on to purchase the property within 6 months of expiry of the agreement.

Hoping for some advice on this occasion..... If I sold the property myself... would I b3 liable their fee based on their sole agency agreement??

What you've quoted is part of a very standard Sole Agency Agreement

• If the buyer was introduced by your EA, or the buyer was introduced by another EA, or your EA negotiates with the buyer - you have to pay the EA a fee.

• But if you find the buyer in any other way (e.g. word of mouth, friend of a friend etc), and you do all the negotiations yourself - you don't have to pay the EA a fee.

• But if the buyer was introduced by a previous EA, you'll probably have to pay the previous EA a fee - so you don't want that buyer to negotiate with the new EA, because you'd then have to pay the new EA a fee as well

Adly812

Gotcha, as I’ve put the word out myself to get a buyer. And I signed up with this EA last night and just this morning I heard that I might have a buyer..... so I am kicking myself, as within the space of 24 hours I may have got a buyer myself and it would pain me if I had to pay their fee, considering the fact the property hasn’t even been live for a few hours with them ...

what timing ?

justworriedabit

eddddy said:

Adly812 said:

I never marketed with anyone prior to them. So does this mean that once the contract ends and the 190 days liability, that I can exchange and sell to another buyer without being liable their fees?

The 190 days only applies to buyers introduced during the "Sole Selling Rights" contract period.

For example...

• If the "Sole Selling Rights" contract period runs from April to July, maybe 15 prospective buyers will be introduced during that period.

• If, within 190 days after you've terminated the contract, one of those 15 prospective buyers goes on to buy your property, you have to pay the EA a fee.

• If you sell to somebody else within those 190 days, you don't have to pay this EA a fee.

So... you have to give a list of those 15 people to your new EA, and tell the new EA not to deal with them, but refer them back to the old EA - and agree with the new EA that you won't pay them a fee, if one of those 15 people eventually purchase.

The highlighted bit. Years ago we were asked if we could go outside the the EA that did the intro - we said no as it's not worth the hassel or the chasing you'd get from the EA's - they will find out.

Adly812

They haven’t done any intros yet to me, I only just signed with them, so they have had no chance to get interested buyers. I just put word out myself and have had someone keen

justworriedabit

Adly812 said:

They haven’t done any intros yet to me, I only just signed with them, so they have had no chance to get interested buyers. I just put word out myself and have had someone keen

With respect, what is the point of signed contracts when you can back out.
Was it advertised on property websites, etc? The y also ring people before going live/etc

Anyway, EA are no ones friend and let us know if your buyer is able to complete.

Good luck.

Adly812

 No it wasn’t advertised anywhere, and I am shocked in fact that I got an interested buyer just through word of mouth, I never anticipated it... that’s why I was being proactive and putting it up with an estate agent .. then Sod’s law the day after I signed up, they said they’d be keen..

im not sure If I can back out..l the TOB say that there’s a 14 day cooling off period but only for face to face signatures. However I got an email in writing when I asked and the reply was “ With regards to the cooling off period, you do have two weeks from signing the contract, as stated in the terms and conditions.”

so I’m unsure if that would be sufficient enough if I cancel

 

justworriedabit

Adly812 said:

 No it wasn’t advertised anywhere, and I am shocked in fact that I got an interested buyer just through word of mouth, I never anticipated it... that’s why I was being proactive and putting it up with an estate agent .. then Sod’s law the day after I signed up, they said they’d be keen..

im not sure If I can back out..l the TOB say that there’s a 14 day cooling off period but only for face to face signatures. However I got an email in writing when I asked and the reply was “ With regards to the cooling off period, you do have two weeks from signing the contract, as stated in the terms and conditions.”

so I’m unsure if that would be sufficient enough if I cancel

 

It happens but the downside is buyers do back out for various reasons. Good luck.

Adly812

True. My brain is melting with stress. It’s so tough to know what’s best. 

Still not too sure if that cancellation is sufficient though or what to tell them, if I just cancel without reason or tell them