A Kentucky seller signs a listing agreement but later decides not to sell. The listing broker's most likely remedy is:
Correct Answer
B) Sue for the commission if a ready, willing, and able buyer was procured
If the broker procured a ready, willing, and able buyer under the terms of the listing agreement, the broker has earned the commission. The broker can sue for the commission but typically cannot force the sale.
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Related Topics & Key Terms
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Related Concepts
Liquidated damages are a predetermined amount of money specified in the contract that the non-breaching party is entitled to receive if the other party breaches. In real estate, the earnest money deposit typically serves as liquidated damages.
Novation is the substitution of a new contract for an existing one, or the replacement of one party with a new party, with the consent of all parties involved. The original party is completely released from all obligations.
Offer and acceptance is the process by which one party proposes specific terms for a contract and the other party agrees to those exact terms, creating mutual assent. This mutual agreement, also called a meeting of the minds, is an essential element of every valid contract.
More Contracts Questions
A contract formed for an illegal purpose is considered:
After a residential purchase contract has been signed by both parties in Illinois, the buyer and seller verbally agree to change the closing date. What is the legally sound way to document this change?
Specific performance in North Dakota:
In a contract for deed (land contract), who retains legal title to the property until the purchase price is fully paid?
A Nevada real estate salesperson is helping a buyer draft a purchase agreement. Which of the following is NOT a required element for a Nevada residential purchase agreement to be legally enforceable?
- → Sawyer Iverson is reviewing an Illinois issue in Joliet. The person assumes that attorney review automatically replaces every inspection, appraisal, or financing deadline in a standard Illinois residential contract. Which statement best applies?
- → Tom and Linda sign a purchase agreement for a home in Hartford, Connecticut. The agreement includes a financing contingency stating that if Tom cannot obtain a mortgage commitment within 21 days, either party may void the contract. On day 19, Tom's lender issues a written mortgage commitment. On day 22, Tom changes his mind and tries to void the contract by claiming the financing contingency was not satisfied. Which of the following best describes the legal status of the contract?
- → Avery Jenkins is reviewing an Illinois issue in Normal. The person asks what happens if neither attorney sends a disapproval or proposed change during the standard review period. Which statement best applies?
- → Under Montana law, a purchase agreement for residential real property becomes legally binding on the seller when which of the following occurs?
- → A bilateral contract in real estate is best described as:
- → A contract where one party uses threats to force the other party to sign is considered:
- → Washington's standard real estate forms are provided by:
- → A New Jersey real estate licensee represented a seller and, during negotiations, made false statements about the property's square footage to induce the buyer to pay a higher price. After closing, the buyer discovered the misrepresentation. Under which New Jersey law is the buyer most likely to have the strongest claim, given that it provides for treble damages and attorney's fees?
- → Jennifer is selling her home in Anne Arundel County. She receives an offer that includes a home sale contingency, meaning the buyers must sell their current home before they can purchase Jennifer's property. Jennifer receives a second offer without any contingencies. Under Maryland contract practice, which of the following best describes Jennifer's options regarding the first offer?
- → In Massachusetts, the purchase and sale agreement is typically signed:
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