The following article, written by the Counsel for the Oregon Association of Realtors, refers to a Kansas by Supreme Court decision:

What rights does an owner have after he has listed his property with a Realtor using on "open listing"? May he lawfully sell to a buyer who had been shown the property by the Realtor so long as the purchaser was not in "actual communication" with the seller?

On December 11, 197 1, the Supreme Court of Kansas decided this question in the case of Holloway vs. Forshee. Holloway was the Realtor; Forshee was the seller. On February 7, 1969, Forshee gave Holloway an open listing for the sale of his residence located at 565 Wetmore Court, Wichita, Kansas, for the listed price of $55,000. The Realtor was to receive six percent. Holloway showed the property to Mr. and Mrs. Loris V. Bell, and discussed with them the price and loon balance. Holloway did not introduce the Bells to the sellers. The Bells did not make an offer. Two days after showing the property to the Bells, Holloway checked with the ,Aid-Kansas Federal Savings and Loon to inquire as to financing and interest rates. The next day, he called the Bells to ask whether he could help them complete the transaction. The Bells informed Holloway that they had already checked into financing. Four days later, Holloway learned the property had been sold. He confronted the seller with this fact. They informed the Realtor that they sold the house to the Bells, and the Bells had not disclosed that they had been shown the property by Holloway.

The sellers claimed that the Realtor was not the procuring cause of the sale being consummated because they were not introduced to the buyers.

The sellers also claimed that he was not notified of Bell as an interested buyer, and that said lack of notification constituted negligence on the part of the plaintiff Realtor.

The court held for the Realtor on both counts, stating:

"Even though a broker's contract here was an 'open' listing, if plaintiff were otherwise entitled to a commission, the defendant could not defeat that right by closing the deal himself."

"Where a Real Estate Agent is employed to find a purchaser ready, willing and able to buy on terms acceptable to the seller, it is not required, in order to earn his commission, that he bring the parties together personally or introduce them."

The court also found that there was no negligence since the broker did follow up, in an attempt to arrange financing for the buyer.

(From Jayhawk Realtor)