Under what circumstances can a buyer's broker be fired?
Started by Eurocash
almost 16 years ago
Posts: 124
Member since: Aug 2008
Discussion about
Inability to negotiate a contract.. animosity versus the seller's broker???
I dont think you can "fire" the broker. If the broker was a procuring cause of the transaction, I would think he/she will have to be paid on account of the transaction. You of course can terminate your relationship with the broker and look at apartments that he/she hasnt shown you and there should be no liability to the fired broker in case you buy one of those.
What do bums do on their day off?
Ultimately, it's probably up to the listing agent(s), because that's who pays the selling agent (a.k.a. "buyer's broker") upon closing.
If you want to sever ties with your broker, first tell him/her, then notify the listing agents for properties you have seen together in which you still have interest. They will inform you of their policies in this area. Some will say "OK, duly noted." Others may tell you they're sorry, but their co-brokerage agreements with your ex-broker's firm obligates them to regard the "fired" broker as your agent of record for properties you have already viewed.
I'm almost positive that the NYS Atty General and Dept of State are under the impression that a buyer can change brokers any damn time they want to, unless there is some written agreement to the contrary (between the broker and the buyer, not between other parties, like the 2 brokers).
Eurocash, you can stop working with the broker right now. You can tell him/her to go away and never call or darken your door again. You can tell them to put your number on the "Do Not Call" list, and that you will handle this yourself from now on.
But the seller may still have a legal obligation, or a Real Estate Board of NY (REBNY) expectation, to pay the broker you fired a commission. They might settle for a finder's fee--that's what I would propose in your situation if I were either one of the brokers involved.
Thanks Fluter, that helps a lot..
I'm really curious to hear more, partly because if "animosity" versus the other side caused me to be fired, I'd never have any work ... did your broker say that they had dealt with the other broker previously, and there was a bad history? The flipside of REBNY forcing us all to play nicely together is that one can usually overcome that.
However, the posted are right, you can be represented by who you want, though the listing side will probably end up paying out some portion of the commission out to your first broker. Fluter, your referral fee arrangement is what I would propose too, depending on the circumstances.
ali r.
DG Neary Realty