We represent real estate agents and brokers in Texas Association of Realtors arbitration.
The Texas Association of Realtors arbitration process has many pitfalls that realtors are not told about. There are technical rules and references the state law that no one explains. As lawyers, we have been very successful in representing real estate agents and brokers in arbitration matters.
This is a story about a Texas Association of Realtors arbitration case we won for a Texas real estate broker that was simply impossible to believe, but it's true.
We represent a Texas real estate broker who listed a property for a seller. The buyer initially viewed the property without an agent. But the buyer had a relative who was an agent. The buyer's agent then proceeded to assist the buyer but agreed to zero commission to keep the price of the property lower.
The Sales Contract between the buyer and seller indicated in two separate places that no commission would be due to the buyer’s agent and this signed contract was emailed back and forth between our client and the buyers agent before execution and closing with no objections from the buyer's agent.
The buyer’s agent further showed up at closing and made no objections to the fact that she was not receiving a commission at closing.
Nevertheless, the buyer’s agent filed an arbitration claim against our client (the listing broker) seeking 3% commission stating that the MLS listing offering 3% commission was the only relevant agreement between brokers and that the Sales Contract was irrelevant.
We took the matter to arbitration and after a full hearing involving multiple witnesses the Texas Association of Realtors Panel found unanimously in favor of the listing agent and no commission was awarded.
This was another example when the power at your disposal when you have a savvy and knowledgeable representative.