Renewal of a contract

[SciaccaAZ]

Our contract with our agent is due to expire on 9/17/07. However, I found out today that our agent extended our contract until 12/30/07 but never asked us. Can she do that? We were planning on contacting her this weekend to let her know that we wanted it to expire because we have been in touch with a new agent. Help?

[Dan Connolly]

Just tell her you want the contract to end on 9/17/07 as contracted! If she fights you on that call her broker. If she is the broker and fights you call the state Real Estate Commission. If she releases it without struggle I would let it go!

[SciaccaAZ]

Thank you very much. I looked over the entire contract and it did not state that it automatically renewed, but I was worried anyway. Thanks for the help.

[BuyHawkeye]

Also, you have a copy of the original contract, correct?

[SciaccaAZ]

Yes, I have a copy of the original contract. Wouldn't our signatures be required in order to renew the contract? We are in Arizona.

[Jason Painter]

You should have no problem, just tell your agent that your listing has expired and you are hiring a new agent. You also can pretty much fire your agent whenever you wish and hire another one anyway, so its really a not that big of a deal.

[kensmith]

You also can pretty much fire your agent whenever you wish and hire another one anyway, so its really a not that big of a deal.

Sure hope you aren't suggesting that someone can just fire an agent during the contract period. If you are you are giving very bad legal advice. Seller sign a legal document and the terms are binding.

As for your current contract it would be very hard for anyone here to give accurate opinions as every contract is different. So without giving you legal advise here is how I would do things.

For the most part an agent and/or an office doesn't want bad blood out there so they will end a contract fairly. With that said contact the agent and tell them you never authorized the extension and see what is said. From there the broker is your best bet. After that if they both tell you they are in the right, you might want to have an attorney look at your contract to tell you your options.

[Jason Painter]

Sure hope you aren't suggesting that someone can just fire an agent during the contract period. If you are you are giving very bad legal advice. Seller sign a legal document and the terms are binding.

Yes, I am suggesting just that. Its called "conditional termination" and its written right into Florida contracts, I would guess Arizona has something similar. I'm not a lawyer, I'm a Broker and I don't give legal advice, just chatting in the internet.

[erogers]

I don't know about other states, but in Illinois, each contract must have a specified start and end date. Automatic renewals are expressly forbidden. I'm not sure about other states - you can ask your attorney who specializes in real estate to look over your listing contract and advise you.

Also in Illinois it is not possible for a seller to unilaterally cancel a listing contract unless specifically stated in the listing contract that they can do it. Again, check with your attorney (you were going to hire an attorney to represent you for the sale of your home, weren't you?).

[BuyHawkeye]

Yes, I have a copy of the original contract. Wouldn't our signatures be required in order to renew the contract? We are in Arizona.

You are absolutely correct. As long as you have the original, SIGNED, contract, you are no longer obligated to that broker. Follow the previously posted advice from Dan about informing the agent that the relationship has terminated, then the broker, then the agency responsible for administering license law.