Can a Real Estate Agent Sue for Breach of Contract? The answer is yes, a real estate agent can sue for breach of contract in the United States. In fact, anyone can sue for breach of contract if they suffered damage as a result of the breach. But can a real estate agent sue for breach of contract? Of course, a real estate agent can sue for breach of contract when the client doesn't delay their end of the deal. In practice, this means that the real estate agent performed their duties under the realtor agreement and the client completed the real estate transaction, but did not pay the commission as agreed or paid only part of the money owed to the realtor.
In such a case, the real estate agent can sue for breach of contract. If the contract contains an alternative dispute resolution clause that provides for arbitration or mediation as an option to resolve any dispute, then the real estate agent must use this option to resolve any default. However, if the parties disagree with an alternative dispute resolution clause, then the real estate agent can sue in court for breach of contract. Remedies available to the realtor include suing for monetary damages or specific compliance with the agreement (in other words, having the client act according to the terms of the contract or complete the payment).
My experience suggests that brokers are generally successful in recovering the fees that have been earned. That judges and jurors favor clients over their real estate brokers is not true in my experience, especially for those brokers who maintain good records and can establish that they provided the services that a prudent and reasonable licensee must provide. It seems to be a long-standing tradition among lawyers to make these c. Letters can embellish or distort facts, erroneously qualify bona fide conduct as deliberate fraud, and inflate damages claimed.
While many Chapter 93A claims can be successfully defended, it's best to avoid receiving such a demand letter in the first place. Even if a lawsuit is baseless, defending it is stressful and costs time and money. Real estate agents work with both buyers and sellers of real estate and their tasks vary depending on whether they represent buyers or sellers. Just as any person or entity has the right to bring a lawsuit against another, a real estate agent can sue you, whether you are your client or another party to a sale.
In general, whether you buy or sell residential real estate (a house) or commercial real estate, you are likely to work with a real estate agent or real estate agent for your transaction. Broadly speaking, in this category, a real estate agent can sue a customer, or someone who reasonably believes they are a customer, if the agent has performed work as part of the sales process and can show that they have a legitimate claim to receive payment. It is understood that Chapter 93A requires disclosure to prospective buyers of any known issues or issues that may be material to a reasonable buyer of the property. A real estate agent can try to sue you in exactly the same way that anyone can try to sue anyone else.
Similarly, the buyer's real estate agent has a contract with the buyer that sets out the exact commission that the real estate agent receives when the buyer completes the purchase. In either of these scenarios, whether or not your real estate agent is likely to sue depends on how much work you have done so far and how much the commission is worth. Real estate agents spend a lot of time and money preparing the property for sale, marketing real estate and advertising, and commissions are paid for these services. When a real estate agent sues, it's usually for breach of contract or because they believe a commission has been improperly withheld.
The real estate agent agreement gives the real estate agent the exclusive right to market and sell the property, specifies the duties that the real estate agent agreed to perform, such as marketing, displaying the property and others, and includes the fiduciary duties owed to the client, such as loyalty, confidentiality, accounting, disclosure, and reasonable care and due diligence. There are only a small number of more likely reasons a real estate agent might sue you, and they fall into three broad categories. Although a real estate agent can sue you, you won't find marauding herds of litigation-hungry real estate agents, waiting for the opportunity to take you to court. So, for example, a real estate agency could theoretically try to sue you for defamation if you spoke ill of them online.