Does my current realtor entitled to any commission if the current tenant should purchase the house after I fire him?
UPDATED: Sep 30, 2022
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Does my current realtor entitled to any commission if the current tenant should purchase the house after I fire him?
I have a tenant living at the house at the moment, from April 2015 to now.
I hired the current realtor on February, since it was getting close to lease end,
but I am not happy with his service so, I’m planning in firing him.
However, it seems that the current tenant is considering purchasing the house.
Is he entitled to any commission if my tenant purchases the house?
Leo
Asked on April 22, 2016 under Real Estate Law, Pennsylvania
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 6 years ago | Contributor
You have to look to the commission or service agreement with the realtor: it is a legally enforceable contract, so whatever it says, goes. Most such agreements either have an exclusion or carve out for current tenants or other persons that the seller was in contact with prior to engaging the realtor; and/or state that the realtor must have introduced the buyer, or the buyer saw the house for the first time during the realtor's agency. If that's the case, you would not owe any commission. But it would be legal for the agreement to say that the realtor gets a commission if *anyone* purchases during their agency; if that's what you signed, that is legal and enforceable, and you'd have to pay.
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