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I have a question in regard to the QLD gov form 6

I have a question...

I have a question in regard to the QLD gov form 6 appointment of a real estate agent Clause 7 commissions . How much would it be to ask a question

Lawyer's Assistant: Have you talked to a Queensland lawyer about this?

In part 7 of the form there are two choices in regards ***** ***** a commission is payable . I am looking to appoint and agent on the basis of open agency . I need to know which is the correct box thanks

Lawyer's Assistant: What steps have you taken so far?

My own research into the QLD gov form 6 and the associated REIQ essential terms and conditions

Lawyer's Assistant: Anything else you want the lawyer to know before I connect you?

I dont want to speak to the lawyer until i know how much it will cost thank you

Lawyer's Assistant: It can cost anywhere from $10 to $100, depending on the type of issue and how much of the Lawyer's time your question is expected to take (how complex and lengthy an answer you require).

Hm I think ive detailed the question pretty well, have a think about it and then maybe tell me the cost

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Answered in 5 minutes by:
3/22/2018
Leon
Leon, Solicitor
Category: Australia Law
Satisfied Customers: 46,970
Experience: BEc Dip Ed, Dip Law (SAB) MTax (UNSW)
Verified

Hi, I am Leon, a NSW Solicitor. I am reviewing your question and will reply again in a moment.

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Customer reply replied 5 months ago
Leon I only need my immediate question answered I do not want to enter into a monthly arrangement.

Good Afternoon,

The court use what you have already offered to pay, plus an additional fee of the phone call. You will be advised of what the call is when you request a call at which point you can continue or cancel the option for a call.

I'm happy to continue here if you do not wish to have a phone call.

Part 7 only deals with the type of agency. What exactly are you asking in relation to which one to select? The commission is only paid one the property is settled and not before and this is irrespective of what type of agency you enter into under part 7

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Customer reply replied 5 months ago
HI it would be good if I could email the clauses I need help with or send them to you here
Customer reply replied 5 months ago
Hi can I add a file ive put all the clauses into a sensible order there are only a couple of clauses in a MS word Doc 2 Pages
Customer reply replied 5 months ago
Ah they went through to you now. They are both the same sorry I just re named the file

I'm not sure why you have sent me the attachments.

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I have seen your question and I also have the form 6 opened in front of me

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Customer reply replied 5 months ago
Ok great thanks Leon, I want to go down the open agent option I need advice wich box to select in Part 7 commission I think it should be the first option where by commission is payable on the contract being brokered and completed by that agent.As you can see the agents contract calls up part 5 and part 6 the reiqs essential terms and conditions Im pretty ok with part 6 however part 5 worries me specifically 5.2 / 5.2.3 Ive heard agents try and claim a commission under this clause even if the home is sold by someone else
Customer reply replied 5 months ago
Also it worries me where it states in REIQ 5.1 the commission is still payable even after the term of the agreement has ended . Even if I terminate the agreement the commission is still payable ??
Customer reply replied 5 months ago
Thats all my questions Leon

Good Afternoon,

you would select open listing.

This means anyone can sell the property, and provided the purchaser had not been introduced to the property by an agent that is part of the open listing, they cannot claim a commission.

This means if you sell privately and that your purchaser was introduced to the property by you then let the agent that you have also listed with cannot claim their commission.

In relation to 5.1 that you refer to are we now talking about page 7 onwards under the essential terms and conditions?

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Customer reply replied 5 months ago
Hi yes that is correct

Good Afternoon

in the copy I have there is only 5.1 under the heading what happens if the client is in default under the tenancy agreement. There is no 5.2 or 5.2.3

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Customer reply replied 5 months ago
I know I want to select open agent the question is to the ticking of when commission is payable in Part 7 of form 6 I need advice as to wich box to tick I believe the first box in part 7 is the best one for me however the agent wants me to tick the other box and include items 5 and 6 from the REIQ Ts and Cs ie part 5 and 6
Customer reply replied 5 months ago
Yep if you refer to the word doc I have attached you will see clause 5 and 6 in this case it is the appointment of the agent to sell the property not put in a tennante . I can attached the whole agreement if you like

I have the word documents you sent but they do not contain any clauses they are simply your discussion with the bot before the question was forwarded to me.

If you can upload the whole agreement it would be of assistance

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Customer reply replied 5 months ago
Hi LeonThe whole doc is attached thank you.

Good Afternoon,,

in relation to 5.2.3 if the agent is the only agent you have listed the property with under an open listing, and that agents is the relevant person that has introduced the property to the buyer, only then can they get a commission. That if the buyer the not get introduced to the property by the agent, the agent cannot claim the commission.

This can all be overcome by having a special condition in the contract that clearly makes the buyer liable to pay any commission if they had been introduced to the property by any relevant person in the contract.

So if you sell the property to a buyer, and they were introduced to it by the agent that you have signed this agreement with, then that age and can claim a commission even though the buyout came directly to you later.

It is for this reason the majority of people to the exclusive agency agreements so that they avoid this type of issue.

In relation to clause 6 is only applies on the sale of the property. You can speak to amend the by adding the word and is authorised to the pay the deposit by both the buyer and seller or the representatives.

If you wish to have a phone call to discuss this in more detail please elect a call or I can send you a request.

I hope this makes sense and is of assistance. If you have found my answer to be helpful, please rate me five stars so I can get paid for my services to you. You rating my work 5 stars allows me to continue to provide a service to those who require it.

I am happy for you to ask further questions on anything you wish more detail on.

Let me know if I have answered your question today.

Regards

Leon

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Customer reply replied 5 months ago
Hi LeonThis is the question as I sent through above wich is what need an answer on
Yes I know I want to select open agent the question is to the ticking of when commission is payable in Part 7 of form 6 I need advice as to wich box to tick I believe the first box in part 7 is the best one for me however the agent wants me to tick the other box and include items 5 and 6 from the REIQ Ts and Cs ie part 5 and 6
Customer reply replied 5 months ago
This shows exactly the clauses in question

Good Afternoon,

if you want the agent to receive a commission if the contract is entered into a settlement of the contract occurs, this means that when the sale is completed and you are to receive your money, then you take the first box.

And you white out what the agent has ticked

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Customer reply replied 5 months ago
As you can see the agent wants to select other but would it not be better just to select the first option where by the agent gets paid there commission if a contract is entered into

Good Afternoon,

the first option is better because they only get the commission if that fails finalised.

If the sale is not finalised then they do not get the commission.

I hope this is clear and assist you with your question.

Regards,

Leon

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Customer reply replied 5 months ago
HI Leon
There are a few typos in this answer wich makes it a bit hard to understandGood Afternoon,,in relation to 5.2.3 if the agent is the only agent you have listed the property with under an open listing, and that agents is the relevant person that has introduced the property to the buyer, only then can they get a commission. That if the buyer the not get introduced to the property by the agent, the agent cannot claim the commission.This can all be overcome by having a special condition in the contract that clearly makes the buyer liable to pay any commission if they had been introduced to the property by any relevant person in the contract.So if you sell the property to a buyer, and they were introduced to it by the agent that you have signed this agreement with, then that age and can claim a commission even though the buyout came directly to you later.
Customer reply replied 5 months ago
there may be multiple agents thats why im going for open agent I need to makes sure only the agent that sells the house is paid the commission. Will the special condition you mention cover this eventuality
Customer reply replied 5 months ago
I have no problem with paying one agent ie the one that sells the home but I do not want to be liable to pay commission to any other agent whom may claim to be a relevant person

Good Afternoon,

I have simply tried to explain what 5.2.3 says.

It only applies if there is only one agent on the property. If there is more than one agent 5.2.3 does not apply.

This special condition I have suggested, protects you against multiple agents asking for a commission if the buyer has seen 2 or 3 of them and then decide to buy the the property.

You make it clear that date will be liable for any commission above the initial one.

a special condition is there to protect you from having to pay more than one commission, not to stop more than one commission being paid

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Customer reply replied 5 months ago
LeonIm sorry this sentance dosent make senseYou make it clear that date will be liable for any commission above the initial one.
Customer reply replied 5 months ago
What date.???
Customer reply replied 5 months ago
the buyer liable to pay any commission if they had been introduced to the property by any relevant person in the contract. Leon could you re write this condition in proper English for me please.
Thank you

My apology for the errors I am using a dictation system as I am unable to type and it is not working well today.

Here is that sentence again.

You make it clear that they will be liable for any commission above the initial one.

a special condition is there to protect you from having to pay more than one commission, not to stop more than one commission being paid

By "they" I mean the purchaser.

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This special condition has to be in the Contract for the sale before all parties sign it.

The agent usually prepares it in QLD and you have to make sure they put it in there.

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Customer reply replied 5 months ago
thanks Leon i am a contract manager whom studied contract law at the Queensland University of Technology to Masters level. Im ok with all the basics of law I was looking for specific property law advice on these clauses. Thanks I have to say ive found it very difficult to understand due to the errors the sentences didn't make sense.

Good Afternoon

My apology of those errors.

I am happy that I have been able to assist.

Please do not forget to rate my work 5 stars so I can be paid and be able to continue to provide my services.

If there is anything else please do not hesitate to contact me.

Regards

Leon

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Customer reply replied 5 months ago
Ok thank you.
John Melis
John Melis, Lawyer
Category: Australia Law
Satisfied Customers: 3,570
Experience: Principal Lawyer at Legal AU Pty Ltd
Verified

Hi, my name is***** solicitor in Melbourne. Thank you for using Just Answer, and I will answer your question today, and ask various questions to narrow the issues in your post raised.

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I will ready through your situation and advise you

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I have extended a special offer to talk on the phone to assist you as yo have been waiting for a long period of time.

please look, it will help you

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Customer reply replied 5 months ago
Hi John thank you for talking with me
Customer reply replied 5 months ago
I am happy to complete this via text . I have had trouble understanding Leons sentences.

ok

so in summary what are you trying to achieve - avoid paying a double commission ?

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Customer reply replied 5 months ago
John or in fact the possibility of multiple agents trying to claim a commission.

this will only occur where the authority form permits all agents to claim

as example: if you sign an exclusive authority with an agent, you are bound by that agent to pay that commission if they sell the property, and if another agent sells the property, this is a double hit.

but if you sign a general authority agreement, only the agent that sells the property, gets the commission, So commission is only paid once.

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Customer reply replied 5 months ago
John can you confirm this advice is included in the 82.00 fee i have agreed to.

as long as we chat in this forum post there is no further charges

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Customer reply replied 5 months ago
Ok John yes thats fine I would be very grateful for your advice at this point. Leon suggests a special condition be added I had trouble exactly what the special condition should state Leon said he couldn't type today ?? and was using a dictation machine as such his sentences didn't make sense.

the realestate forms do not need a special condition.

the only form you need sign is the general authority form.

do not sign the exclusive agency form as this will created the problem with the commission.

the general authority form allows many agents to act for the property, and only one commission is payable.

it is imperative that you do not sign and exclusive authority form.

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Customer reply replied 5 months ago
Hi John as as snap shot these are the clauses in question

are you able to load the document as PDF please

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Customer reply replied 5 months ago
Hi John Yes as attached

it is showing the upload as a word doc.

could please make it a PDF

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Customer reply replied 5 months ago
Here we go it says pdf on the file ext
Customer reply replied 5 months ago
As a snap shot John .
With regards ***** ***** 6
Part 6
I will go open agent which allows me to engage multiple parties.
Part 7 I believe I should tick the first box not other wich is were the agent wants to call up clause 5 and 6 from the REIQ Ts and Cs

based on the document I have read.

you are entering into a non-exclusive authority,

so you only pay commission to the agent that sells the property

therefore you have no issue with that document, you can use multiple agents

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Customer reply replied 5 months ago
Ok thanks john so is what ive written in the previous message correct in your opinion.

Part 7 only applies to that agent specific.

the important aspect is Part 6

you have ticked open and you are ok

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Customer reply replied 5 months ago
that is correct however if he selects the other option it calls up the REIQ Ts and Cs 5 and 6

clause 5.2.3 secures your commission position.

you are ok with open listing and you can have multiple agents

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the document pages you have shown to me secures what you need.

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Customer reply replied 5 months ago
Thanks John
The contract from the estate agent is attached.Do you see any issue with not using the other box in part 7 of form 6 as the agent currently suggest

part 7 will not cause you any issue.

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Customer reply replied 5 months ago
Clause 5.1 states the commission must be paid during or even after the agreement has expired. Ok John so should it be the first tick box or the other tick box in Part 7 of form 6.

Part 7 either box can be ticked as it is just related to when commission is payable to the agent.

you may concern is Part 6 and you have ticked the right box

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Customer reply replied 5 months ago
The estate agent holds the position that the inclusion of clause 5 gives clarity to the agent and the client / seller , to my mind if I pick the first box in part 7 the agent will be paid there commission if they complete the sale contract to me thats all that should be required.
Customer reply replied 5 months ago
Yep agreed John , I will be going with the Open agent box in part 6.

ok, good

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Customer reply replied 5 months ago
Hello John ,
Whats your view on this point.The estate agent holds the position that the inclusion of clause 5 gives clarity to the agent and the client / seller , to my mind if I pick the first box in part 7 the agent will be paid there commission if they complete the sale contract to me thats all that should be required.

yes you are right, so you can chose that option if that makes you feel comfortable with the situation

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Customer reply replied 5 months ago
Ok John, I will try and go down that path however if the agent wont budge I will accept the inclusion of clause 5 and 6.
Thanks for your help today

you are most welcome

If you need any further information please let know.

You can come back to this post any time to ask questions and there will be no further charges to you.

Don’t forget to rate me 5 stars as this supports me helping the community, and thank you for using Just Answer.

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Customer reply replied 5 months ago
Ok great thank you I will do the rating now , I am sending back a draft of the contract to the agent this afternoon. Thanks for sorting this out today.
Regards
Ken Harper

you are welcome Ken

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DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

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