Fair or Unfair clause?

sheramber

grwiffen said:

Current situation is we are looking to move to a new agent. We do not have a buyer yet and no contracts are due to be exchanged, so they havent asked yet for any fees.

Yes, we should have questioned this at the time, but were told it was a take-it or leave-it contract and 'industry standard'. 

The third bullet covers any sale, from anyone for the next 6 months .... ie after they have been terminated.

Does it not mean during the time of their some agency?

In other words you signed. Some contract for X months.

You are breaking that contract by leaving early, after Y months.

The clause applies  until the end of the X 

appointed agent during our period of sole agency; or
 Whom we had negotiations with about the property during that period; or
 Introduced by another third party agent during that period.

grwiffen

Edddy, I think you've missed my main point of contention....

"Introduced by another third party agent during that period."

Which as outlined above seems to give them the right to claim fees if ANYONE introduces a buyer over the next 6 months ...  which means if we move agency, and the new agency introduce a new buyer in the next 6 months, then the first agency can still claim a fee as well as the 2nd agent

saajan_12

grwiffen said:

Edddy, I think you've missed my main point of contention....

"Introduced by another third party agent during that period."

Which as outlined above seems to give them the right to claim fees if ANYONE introduces a buyer over the next 6 months ...  which means if we move agency, and the new agency introduce a new buyer in the next 6 months, then the first agency can still claim a fee as well as the 2nd agent

No it doesn't. The clause says: 

grwiffen said:

“Sole Agency means you will be liable to pay remuneration to us in addition to any other costs or charges agreed, if at any time unconditional contracts for the sale of the property are exchanged with a purchaser:-

 Introduced by us or any other jointly appointed agent during our period of sole agency; or
 Whom we had negotiations with about the property during that period; or
 Introduced by another third party agent during that period.

From the 3rd bullet, if a purchaser is introduced by another agent during "that" period ie the first agent's Sole Agency period, then that purchase invokes the commission. Then the clause starting 'please note' makes that commission payable even if the completion is 6 / 24 months after the contract terminates. 

If you don't get another agent involved during the sole agency period then its never triggered. 

What its trying to avoid is you signing a sole agency contract, then simultaneously engage a 2nd agency, who introduces a buyer, then you wait until 1 day after terminating the agreement with the 1st agent and complete with the buyer from the 2nd agency. 

grwiffen said:

I have no issue if one of their introductions comes back later. I have a definitive list of those and told the new agency not to deal with them. But this is highly unlikely as we've had so few and they all moved onto other properties.

.

Basically this is what you have except replace 'their introductions' with introductions during their 'sole agency' period, which is exactly what you signed up for. It is NOT applicable for buyers introduced after the agreement ends, only to completions after the agreement ends that were INTRODUCED before.