Disputes involving compensation are common between real estate agents, and these types of disputes can even hold up real estate deals and make them more stressful for everyone involved. Real estate agents are usually focused on finalizing a deal and ensuring that every party is happy, but disputes can arise regarding commission percentages, listing referrals, and more.
Whether you are an agent, buyer or seller, there are a few things that you can and should do if there is an agent to agent monetary dispute, including contacting a Fort Lauderdale brokerage disputes attorney.
Disputes often occur between team members
As real estate teams start to grow, disputes often occur between team members or agents from the same brokerage. These disputes often involve deals and agreements that are made between team members regarding compensation.
Disputes can arise based on a lack of a written compensation agreement regarding a particular deal. Even if agreements are written out properly, it does not necessarily mean that they will be honored. Agreements can be interpreted differently, and one party may not hold up to their end of the agreement. In this case, agents have to work out their differences amongst each other or meet with a third party for arbitration.
Many brokers won’t deal with agent to agent disputes
Many brokers don’t want to get involved with agent to agent disputes. They see it as a no win situation because it may jeopardize their relationship with one of the agents. As a result, there are often non-arbitration clauses that agents sign with their broker that explicitly state that the broker will not be involved in monetary disputes. This seems perfectly just, but an agent still may have a legitimate claim regarding unfair compensation or another type of dispute.
If arbitration is not possible there may not be recourse
Agents should always try to deal with disputes regarding compensation between each other or with the assistance of an attorney. Resorting to litigation for most disputes is undesirable. If a dispute is somehow prolonging a deal, it’s even more important for the agents to settle it quickly to protect their reputation and avoid stressing their clients out.
If you are involved in an agent to agent real estate dispute, Mark Schecter at Schecter Law is a Fort Lauderdale brokerage disputes attorney who can give you guidance on your particular situation. Schedule a consultation today by calling (954) 779-7009.