Seller wants to pay less commission; or not sign settlement papers!

[MrJodyHudson]

Here is a new one for me... after only 35 years in the business.

We are scheduled to settle on Saturday a property that has been particularly difficult to sell and settle. In addition, we have represented this seller for nearly a year on other incredibly difficult to sell properties. Now, with settlement scheduled for Saturday; she says she won't sign papers unless we cut 30% from our contracted commission. YUCK!

[chachi]

that sounds like a good time. I don't know what your situation is, but you may just want to say, NO. If you need the money, that is one thing. If you don't, I always liked to say, "I don't ask you for 30% (or whatever the amount is) of your paycheck." No is a viable answer.

[sward]

I'm not a licensed realtor my husband is but what he would say about this is a smaller % is better then nothing. However it would be awful satisfying to tell them a resounding NO! They after all signed a contract.. Is the offer full price? If so I believe they have to sell or pay your broker the fee anyway. Depends on where you are and your local laws and contracts.
do you call their bluff? Your choice .. One thing for sure I would NEVER do business with them again.

Good luck with this let us know what happens.

sward

http://greatcarolinaproperty.com/

http://greatgeorgiaproperties.com/

[MrJodyHudson]

My attorney has told me to go fill out a complaint with the Justice of the Peace, Court and have the seller served with a suit for the commission. I'm on my way in a few minutes to start the sequence.

[sward]

Gee good luck with that.
I stay as far away from court as I can myself.
Keep us informed.
Sward

[MrJodyHudson]

This will be my first time in 35 years, of a seller trying to stiff me just before settlement, and first time in my life of me going to court against anyone for anything.

[sward]

I'm with ya! My hubby reconfirmed what I said as far as your rights. You most likely can make them responsible for the fee. Plus your buyers might can sue for their own expenses incurred.

If you need an attorney might want to check out my PPL site. I hate to use them but when ya gotta you gotta.

seriously best of luck.
sward

[MrJodyHudson]

I've been a PPL member, that is PrePaid Legal services, for nearly 10 years. I did call them and, of course, got my attorney call-back in less than an hour and a letter out to the seller within a few hours.

[sward]

Well now I know you are a smart cookie!

I predict your seller will cave and you won't have to go through court. If your State provider Attorneys are as good as our here in North Carolina, one strong letter ought to wake them up!

I feel better for you now. it will all work out

[MrJodyHudson]

Thanks, I hope so. But, still, there is no settlement today and the loss of cash flow does hurt, always. I struggle to eliminate anger, to understand (although not agreeing with) the feelings and motivations of the seller, and to maintain a posture of professional effectiveness, internally as well as externally.

The hurt of false accusation, and the penalty of invalidation, especially when it is financial as well, are strong factors that can cause anger and other lesser responses. I hope to remain mostly above that internally and wholly above that, externally.