Three weeks into a campaign, strong buyer feedback shows that a Sydney agent's estimated selling price in the agency agreement is no longer reasonable. The vendor is overseas and hard to reach. What must the agent do?
Correct Answer
A) Revise the estimate, amend the agreement and notify the vendor in writing
NSW Fair Trading guidance on agency agreements states that an agent must amend the estimated selling price if it is no longer reasonable, notify the client in writing and amend the agency agreement. Unlike other alterations, the client's consent is not required for a revised estimated selling price. The agent must also be able to show evidence supporting the reasonableness of the estimate.
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