If a buyer and seller agree to terminate an agreement of sale prior to settlement, is the seller or buyer liable to pay fees to listing brokers?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
If a buyer and seller agree to terminate an agreement of sale prior to settlement, is the seller or buyer liable to pay fees to listing brokers?
Asked on June 22, 2011 under Real Estate Law, Pennsylvania
Answers:
MD, Member, California Bar / FreeAdvice Contributing Attorney
Answered 13 years ago | Contributor
If the purchase and sale agreement is terminated by mutual decision for whatever reason, the costs associated up to the closing will still be there if there are actual costs like appraisals and processing fees for let's say the loan itself to purchase the property. Now, your separate real estate broker/agent agreements will tell you if you are still required to pay any monies to the agents. Usually you don't pay until such time as closing but again, you may have negotiated to have a ready, willing and able buyer for example, and the agent provided one, then you may still be required to pay.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.