Avoid Double Commission Disputes
Category Property News
The dynamic property market has prompted sellers to seek the professional services of estate agents. While sellers enlist the help of multiple agents in the hope to make a quicker sale, be mindful when accepting offers to avoid liability for a double commission dispute.
Be wary of granting mandates to several agents simultaneously as a buyer could view the property with one agent, and thereafter put in an offer with a different agent which could lead to disputes over commission.
By introducing a client to a property, an agent becomes the "effective cause" of a sale, and is entitled to commission. Should a second non-mandated agent introduce a client to the property, commission will be due to this agent as well. In this case you could be in breach of contract of the mandate of which these damages will amount to the commission.
Granting a sole mandate to a reputable agent will aid and safeguard you against unforeseen legal issues.
Author: Prime Property Marketing
