Reference no: EM133145318

1. Respond to the article with a 75-word minimum,

2. Evaluate the issue.

3. Summarize the article in your own words.

Broker Denied Commission for Lack of Written Agreement

The article "Broker Denied Commission for Lack of Writing Agreement" speaks about a New York real estate agent and business brokerage Tayyib Bosque Corp, who had agreed to assist a seller in exchange for commission in New Jersey. Bosque did not hold a New Jersey real estate license in New Jersey and provide services as a business broker and finder. With this in mind, Bosque conducted inspections, market analysis, and took investors to view the various properties being sold by the seller. Furthermore, the seller decided to sell to a different buyer but Bosque stated that the agreement did not require him to sell in order to receive his commission. And since the seller disagreed and did not want to pay the commission; Bosque followed through with a lawsuit for a breach of contract among other claims. In court, New Jersey law noted the distinctions between a real estate broker, a business broker, and a finder. Bosque stated that he was a finder, but the court found that he went beyond the finder's duties limited to finding and introducing parties, and negotiating terms and prices; he was a business broker. Consequently, the buyer and the seller never entered into a binding contract and Bosque knew that the seller was working with another broker to find a buyer. And as a business broker, Bosque's dealings were subject to the New Jersey Statute of Frauds. Which states that a business broker is only entitled to a commission if the amount or rate of commission is in writing and is signed by the seller, buyer, or authorized agent. Furthermore, Bosque had presented text messages discussing his commission amount but the court found that the text did not constitute a contract as there was no signature provided. Consequently, Bosque's conversations with the seller through text were insufficient to meet his standard. In conclusion, misrepresentation is a big factor in real estate and can cause real estate professionals to get in trouble.