This is a question to the blog clinic ‘fast track’ from Angelika who is a landlord and vendor.
NB I don’t normally do questions relating to the sale of property but have made an exception in this case. I have not named the agents but they are a well-known London firm of letting and estate agents.
I am a landlord trying to sell a flat. Estate agents are saying that they have introduced the buyer to me, which isn’t the case. However, they introduced N, who is a brother of the buyer, last October by showing him the flat.
N saw a number of flats in the building and mine was one of them. Then, this February his brother R was trying to buy another flat in the building and that sale fell through.
R found out through the porter that I’m selling a flat and got in touch with me directly. His wife is now buying that flat, neither R nor his wife were introduced to my flat by the agents but there is a record showing that N saw it last October. I’m wondering if they have a ground by claiming that they introduced a buyer to me?
Here is the clause in the agency contract:
Where [name of agent] is instructed along with other agents, 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 with a purchaser to whose attention we brought the availability of the property. A multiple agency instruction can be terminated at any time by either party by giving four weeks’ notice in writing.
Answer
I can see why the agents might think that they are entitled to commission – if the brother-in-law of the purchaser saw the property on their introduction last year.
However, on the basis of that clause, if the buyer genuinely did not hear of the property from her brother in law, or from the agents, then I can’t see how the agents can claim the commission.
It will though, be a question of proof.
I would suggest therefore that you get the purchaser to make a statutory declaration, confirming that she and her husband learned about the property being up for sale from the porter and not from her brother in law (or the agents). The statutory declaration needs to make it clear that they were not the person who viewed the property last year even though they have the same name.
I suggest you (or your solicitors) ask them about this before contracts are exchanged and get them to agree to this as part of the deal (although of course not saying anything other than the truth in their declaration).
It may also be a good idea to get some corroborative evidence from the porter by way of a statutory declaration from him, confirming that he spoke to the husband, R, and told him about the flat being up for sale, and to confirm also that from what R said at the time, he did not appear to be aware of the property being available for sale before this conversation.
Then if the agents make a claim against you, you will have some evidence to refute it.
Have any readers come across this situation?