Broker A shows a prospective buyer a home three times, answers her detailed questions, and helps her draft an initial offer that the seller rejects. The buyer then quietly approaches Broker B, who submits a nearly identical offer that closes successfully. Both brokers later claim the commission. An arbitration panel must decide which broker's efforts set in motion the unbroken chain of events that produced the closing. The panel does not focus on who wrote the final accepted offer or whose name appears on settlement papers — it focuses on continuity of effort. Which doctrine guides the panel's decision?
Correct Answer
C) Procuring cause
The panel must trace continuity of effort from first showing through closing — not look at who wrote the accepted offer or appeared at settlement. The doctrine asking which broker's effort produced the unbroken causal chain leading to the sale is procuring cause.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.
Florida brokers are required to maintain transaction records and escrow records for a minimum of five years.
A tie-in arrangement is an illegal antitrust practice in which a seller conditions the purchase of one product or service on the buyer's agreement to purchase a separate product or service.
More Practice Of Real Estate Questions
In Wyoming real estate practice, an associate broker or salesperson is not associated with a responsible broker at renewal. What should the licensee remember?
In Wyoming real estate practice, a first-time salesperson applicant completes coursework. What should the licensee remember?
A Wyoming licensee is reviewing an out-of-state salesperson applicant prepares for testing. What is the best answer?
In Wyoming real estate practice, a salesperson applicant age is reviewed. What should the licensee remember?
A responsible broker in Wyoming asks about a nonresident applicant provides home-state evidence. Which answer follows Wyoming law?
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