• South Florida / Fort Lauderdale & Luxury Residential Real Property Acquisitions and Sales

    Real Estate Closings, Title Examination & Issuance of Title Policies

    Slide1
  • South Florida / Fort Lauderdale Real Estate Contract Preparation and Review

    Real Estate Financing, Real Estate Development & Issuance of Title Policies

    Slide3
  • Real Property Acquisitions & Sales for Office Buildings

    Shopping Centers, Hotels & Apartment Buildings, Commercial Leasing & Retail

    Slide2
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BROKER’S COMMISSIONS AND PROCURING CAUSE


A real estate broker is entitled to a commission if there is a brokerage agreement or if the broker is the “procuring cause.”  Procuring cause is a method to entitle a broker to a commission if certain conditions are fulfilled.  See Allenby & Associates, Inc. v. Crown St. Vincent, Ltd., 8 So. 3d 1211, 1212 (Fla. 4th DCA 2009).
 
The first condition is that the broker must bring the buyer and seller together.  The broker must begin negotiations with the potential buyer.  The seller must know that the broker has begun the negotiations.  See Dawson v. Hadden, 743 So. 2d 1230, 1232 (Fla. 5th DCA 1999).  
 
The second condition is that the buyer and seller must come to a meeting of the minds regarding the sale of the property.  Id.  The broker’s introduction of the parties must be the source of that meeting of the minds.
 
If you are a broker who is being denied a commission for the sale of real property or if you believe that a broker is improperly seeking a commission, call one of our South Florida real estate litigation attorneys today at (954) 779-7009.    
 

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