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Resolving disputes about procuring cause

On Behalf of | Jul 19, 2023 | Real Estate Disputes

When you bought your Washington home, you likely did so with the help of a real estate agent. It’s possible that you used more than one agent during the process of finding and acquiring your ideal property. The agent who took action to secure the sale is the one who gets the commission.

Procuring cause

The actions that led to a transaction taking place are referred to as procuring cause. There are several that might qualify, such as negotiating the terms of a purchase contract or providing advice during the initial stages of the home buying process. The realtor who first shows a property to the eventual buyer may be the one who is entitled to the commission. If disputes occur, there are several questions that parties involved with the sale can ask to determine who is entitled to be paid.

Resolving procuring cause disputes

When multiple parties are engaged in real estate disputes regarding procuring cause, everyone is encouraged to take a closer look at their actual involvement in the sale. For instance, talking to someone at an open house may not qualify as a procuring cause because the buyer found the property without the agent’s help. Of course, if the agent said something that caused a visitor to put an offer on the home, that agent may be entitled to compensation.

Disputes regarding commissions may delay the sale of a home or cause other issues for buyers, sellers and agents alike. Arbitration or litigation may provide possible ways to resolve a dispute in a timely manner without potentially causing a purchase to fall through. A seller may also agree to provide additional compensation to any agents who were involved in the sale but may not have directly secured the sale.