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Ash
Ash, Solicitor
Category: Law
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Experience:  Solicitor with 5+ years experience
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I sold my café in 2014. I gave 60 day notice in writing which

Resolved Question:

I sold my café in 2014. I gave 60 day notice in writing which terminated my contract with preferred commercial agent on 21st April 2014 (sole selling rights contract) my brother then offered the café to a friend at a very reduced price and exchanged contracts on 30th April 2014.
No 'unconditional' contracts were exchanged during the period of 'sole selling' rights ...do I still have to pay the agents commission?
Submitted: 1 year ago.
Category: Law
Expert:  Ash replied 1 year ago.
Hello my name is ***** ***** I will help you with this.
Are fees only payable if they 'introduce' someone please?
Customer: replied 1 year ago.

This was a contract with 'sole selling rights' which I assume you understand the definition of this contract. Fees are payable if 'they introduce someone' during and after the end of the sole selling right contract., but they didn't and the café was sold a week after the contract was officially terminated by letter (recorded delivery) by means of a 'quick' reduced sale price, therefore no 'unconditional contracts' were 'exchanged' during the period of their 'sole selling rights' therefore am I right in saying that we do not owe any agency fees? please tell me what my position is? thank you

Expert:  Ash replied 1 year ago.
Ok. If they didnt introduce anyone then no fees are payable. They cant claim for something which they didnt or havent done. Its not in the contract that they cant claim anything.
Therefore you can say no, there is nothing in the contract which states you are liable for the fee. So you are not liable for anything.
Can I clarify anything for you about this today please?
Alex
Ash, Solicitor
Category: Law
Satisfied Customers: 10915
Experience: Solicitor with 5+ years experience
Ash and other Law Specialists are ready to help you
Customer: replied 1 year ago.

Thank you, ***** ***** what you mean 'its not in the contract that they can't claim anything?'

Expert:  Ash replied 1 year ago.
If they fail to mention in the contract they are owed any fees regardless of whether or not they introduce someone, then they can't claim it.
Alex
Customer: replied 1 year ago.

I'm confused now! because a 'sole selling rights' means fees are payable whether the agent or the owner/third party finds their own buyer! my argument for believing I don't owe any fees is purely based on the fact that the contracts were exchanged after the contract was terminated! but the agent argues that the deal was discussed and agreed prior to the termination of the contract, therefore they are entitled to claim their fee!

I so not! because contracts were exchanged 7 days after the contract was terminated! please could you clarify??

Expert:  Ash replied 1 year ago.
Indeed I would agree. Either party can pull out before contracts are exchanged. So after termination and contracts are exchanged, no fee is payable.
Alex
Ash, Solicitor
Category: Law
Satisfied Customers: 10915
Experience: Solicitor with 5+ years experience
Ash and other Law Specialists are ready to help you
Expert:  Ash replied 1 year ago.
Hi
I am just following up to see if there is anything else I can help with?
If this answers your question might I ask you to rate my answer before you go today please, the button should be at the bottom of the screen.
If you need more help please click reply.
Alex

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