I have been showing a particular property over a year now. My first 3 clients moved in on 10/10/2015, 10/31/2015 and 12/31/2015. For these 3 deals I was paid a full brokers fee by the property. I stopped showing this property over the winter months to make sure my payment's came through for all my deals (and it did). I received the last check the middle of March and started to advertise the property again.
I had another client move in on 4/30/2016 and on this date I billed this property for a full fee. They never said anything about this invoice or asked me to resubmit so I went forward assuming they are still paying out a full fee. I had 3 more people move into this property (2 people on 6/01/2016 and 1 person on 6/30/2016).
I ended up having a falling out with this specific property in the beginning of June and they asked me to never step foot on their property. The owner called me and was mad that I brought a client who used to own a strip club and that wasn't acceptable to the owner. She said that was "dirty money" and she only wanted "good people." At this point she banned me from the property and said "why do I need to pay you when my leasing agents can do the same thing."
So needless to say I stopped advertising the property at this time and haven't been back since.
By law, properties have 60 days to pay the agents. I should have received my 4/30/2016 payment on 6/30/2016.
About 2 weeks after the falling out the book keeper from this proeprty called my boss (on 6/16) and asked him to resubmit the invoice for the person who moved in on 4/30/16 and that they are only paying out a half month's broker fee.
I could understand them switching to paying a half fee at their discretion, but it seems there has to be some type of policy in place where they notify brokers when that will take effect. If there isn't a policy in effect, it seems like on 4/30/2016 when I billed them for a full fee that would have been the time for them to let me know they changed to a half fee.
It seems to convenient that after I was banned from the property, and the owner made it clear she doesn't like paying me, that they switched there fee to 50% of what should be getting.
My boss thinks we should just accept that half fee if they are willing to pay that, but I feel like I am owed a full fee for those 4 deals.
The total amount is $8310 and they want to pay $4155
1 Answer from Attorneys
You can take them to small claims court or sue them with an attorney. But your boss is probably right. You do not want to get a reputation of suing landlords especially with larger landlords.