By
Anita R. Burt
Consumer Protection Officer
Recently a "would-be seller" came to the Commission office to discuss an unfortunate situation which occurred while his property was listed for sale. He stated that he had entered into a listing agreement to sell his home and he assumed that the listing broker would cooperate with all other licensed brokers in the area. This home was located in an area where there was no Multiple Listing Service, and the actual listing contract was silent on the matter of cooperation with other brokers. At some point while the house was listed, a broker from another company in town told the seller that he knew of someone who might be interested in buying the seller's house, but that he would not prepare an offer because the listing broker would not cooperate (and share commissions) with him.
The seller complained to the Real Estate Commission that he had been harmed because of his listing broker's failure to cooperate with the broker who could have produced a buyer. And he was particularly angry that the listing broker had not disclosed to him at the time of listing that there was one real estate company in town with whom he refused to cooperate. The seller maintained that, had he known that the listing broker did not cooperate fully with all other licensed brokers, he would not have listed his house with him.
Although there is nothing in the Real Estate License Law that requires an agent to cooperate and share commissions with another broker, the Commission agrees that a listing broker's failure to disclose the limits of his willingness to cooperate with other brokers is unfair to the seller. The Commission takes the position that a listing agent should disclose to sellers the full extent of his willingness to cooperate with other brokers prior to the signing of any listing contract. Unless the specific limits of the agent's willingness to cooperate with other agents is disclosed prior to the signing of a listing contract, a seller may rightfully expect his listing agent to cooperate fully with all other agents, especially when the listing agreement bears the MLS logo.