How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Sam Your Own Question
Sam, Attorney at Law
Category: Legal
Satisfied Customers: 27010
Experience:  More than 20 years of experience practicing law.
Type Your Legal Question Here...
Sam is online now
A new question is answered every 9 seconds

Can a town in NY State pay a real estate brokerage commission

This answer was rated:

Can a town in NY State pay a real estate brokerage commission upon the sale of the town's surplus property if the purchaser was brought to the transaction by a real estate broker?

Only if that is the agreement with the town. Without an Exclusive Buyer Agency agreement, then the town is not bound to pay anyone anything.
Customer: replied 3 years ago.

I am getting a contradictory answer from the town's attorney. Can you quote a specific section of the NY law that covers this issue?


What is the answer you are getting from the town, please?
Customer: replied 3 years ago.

Town attorney says that they CANNOT pay brokerage commissions.



Well, that is what I said. If the town is allowed to, then they will enter into an agreement with the broker. But if the Charter prohibits that, then they cannot. And so it is not a matter of a state law but rather how it pertains to the Town's Charter.

I cannot obtain a town charter online, but I suggest you can ask the Attorney to point that out to you in the Charter.

So the answer is as I said - If they enter into an agreement to pay a commission. But if not, then no they owe nothing to anyone and it may be in the Charter that it is prohibited


In such a case, the broker would need to have the buyer pay them a commission or agreed upon "finder's fee" so to speak. But a seller - this case being the Town - never has to pay a commission if they are not in an agreement to do so.


So in other words, the Town is Selling as Owner without the help of a broker.

Sam and other Legal Specialists are ready to help you