My Real Estate Team currently has a 28 acre new development listed. We've had the listing for 6 months and have spent thousands of dollars advertising/promotions etc. The sellers have continued to demand duties and we just found out they have been working with buyers on some of the building lots but don't want to pay commission to us. They've also asked for a release of all listings. We are only assuming so they can now go and sell to the buyers they have been keeping quiet about. Can't we request a monetary amount for all the expenses that we've spent thus far since they are clearly breaking the listing agreement?
2 Answers from Attorneys
It would depend on the exact language of your listing agreement. You should confer with a lawyer and have her or him look at the language and go over the facts in detail with you. You should be able to claim your marketing expenses on an unjust enrichment theory and depending on your contract language may be able to claim commissions. The defense will probably be something along the lines of inadequate services.
It is really necessary to review the listing agreement and know all the facts. Certainly, from what you say, there may be a case.