Lawsuit for Seller’s Run Around (Commission is Owed)


I received a full price offer on one of my listings and my Clients, the Sellers turned it down. Then, they let the listing expire. I had some suspicions about them.

Apparently, they sold to friends …who were introduced to the property while I had it listed.

I spent thousands in marketing and my commission would be substantial. What can I do?


Don’t threaten to sue them (that can be a problem), just SUE them. Wait until they close and commence the action in Superior Court. Don’t waive the excess and go in Small Claims (that’s just a gift for them).

Make them spend some money to defend the action. You want their telephone records as part of your case. There are legal ways to get them. In fact, that might be enough to have them appreciate that you are serious and settle the case.

The Listing Agreement is all that you need. The trigger for payment is actually the Offer, not the closed transaction.

When approached by the friends, it is their obligation to bring that person to your attention so that you can generate an Offer from them. Otherwise, they have to wait until the holdover period expires.

You need to prove:

  1. contact during the listing period, and
  2. an agreement during the holdover period.

As long as you address those two matters, you should be successful.

Brian Madigan LL.B., Broker

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