Unilateral termination of the contract with the realtor

Today, most transactions with residential real estate are carried out with the participation of professional realtors who search for a buyer and seller, and also provide full support for the transaction. However, it is worth noting the fact that real estate agency services, as a rule, are provided on the basis of a written contract, and entail certain consequences due to the occurrence of unforeseen situations associated, for example, with the termination of the purchase and sale of an apartment or house. In order to secure a future transaction, it is first necessary to carefully study the contract and determine the responsibilities of all parties.

How to draw up an agreement with a realtor to sell an apartment

On the part of the executor, the document must be signed by the director or his deputy who has such authority. If the agreement is signed by an ordinary agency employee, it will not have legal force. Ensuring the safety of documents that were transferred by the Customer. 3. OBLIGATIONS OF THE CUSTOMER In accordance with this Agreement, the Customer undertakes: 3.1. Provide copies of title documents for the Property.

When concluding a contract for the provision of services with a real estate agency, it is necessary to check the signature of the head of the agency or his deputy, otherwise this document will not have legal force. The preamble must reflect all parties to the contract: the customer (recipient of services) and the contractor (represented by an agency representative).

However, there are also open-ended contracts, i.e. without specifying the validity period, i.e. the intermediary will sell your home or home until it sells or you unilaterally refuse.

The client is not always right: the courts side with realtors

Another thing is compensation for expenses incurred when an agency orders advertising for the sale or purchase of real estate. But such expenses must be documented. Transport costs, for example, are quite difficult to confirm.

— There are no problems with compensation - these are not such large amounts, and if we talk about fines, this is not legal. Another thing is when the service is performed and the client refuses to pay for the service, then the law, of course, protects the performer. There are many examples when a person uses the services of an agency and enters into a deal... then the courts side with the contractor. Because it would be unfair if they dealt with impunity to organizations that spend their strength, energy, and money on this,” says Ruslan Khabibrakhmanov.

“It’s another matter when the service is performed and the client refuses to pay for the service, then the law, of course, protects the performer,” says Ruslan Khabibrakhmanov. Photo by Roman Khasaev

Thus, in Yekaterinburg, the court sided with a realtor, to whom the client refused to pay a fee. He found a suitable option for her, but after a while he found out that the purchase and sale agreement was concluded behind his back, and sued the client. The defendant filed a counterclaim for consumer protection. In particular, she asked the court to invalidate the clause in the contract that prohibited the client from independently searching for potential buyers and concluding an agreement for the sale of an apartment with other persons. The court sided with the realtor, ruling to recover 104 thousand 615 rubles from the defendant. Of these, 80 thousand rubles are remuneration under the contract for the provision of services, 4 thousand 615 rubles are interest for the use of other people’s funds and 20 thousand rubles are the costs of paying for the services of a representative in court.

In another case, the Supreme Court did not decide which side to take. The plaintiff is a realtor to whom the client refused to pay a fee. She motivated her refusal by the fact that the advertisement for the sale of the apartment was in the public domain and the realtor did not perform any special actions to find an apartment. The civil panel of the Supreme Court sent the case for a new appeal hearing to check whether the defendant was in good faith by refusing to pay for services, and to establish additional circumstances.

Moscow history created a new precedent when the court sided with the client, not the realtor.

Daria Turtseva

An agreement with a realtor is by its nature a contract for the provision of services. The subject of such an agreement, as a rule, is the fulfillment by the realtor of certain actions to search for residential or non-residential premises (or land) for the customer to purchase for ownership or temporary possession (rent, lease).

Duration of the contract for the provision of real estate services and the right to unilaterally withdraw from the contract

An agreement for the provision of real estate services can be concluded either for a specific period (for example, 3 months) or without specifying its validity period.

However, in both cases, the client (customer) needs to know that he has the right to refuse to fulfill the contract for the provision of real estate services at any time, regardless of the terms of the contract. In this case, the realtor needs to send a letter with approximately the following content: “01.02.13. An agreement was concluded for the provision of real estate services. Guided by Article 782 of the Civil Code of the Russian Federation, I unilaterally refuse to fulfill the contract dated... The contract is considered terminated from the moment you receive this letter.”

Let us recall that the reason for the unilateral refusal of the contract for the provision of paid services declared on the basis of clause 1 of Art. 782 of the Civil Code of the Russian Federation, has no legal significance. The real reason may be either dissatisfaction with the work of the realtor, or changed circumstances, for example, you yourself managed to find an apartment that suits you to buy it.

Costs actually incurred by the realtor

Please note that in accordance with Article 782 of the Civil Code of the Russian Federation, the customer has the right to refuse to fulfill the contract for paid services provided that the contractor pays the actual expenses incurred by him.

The realtor has the right to demand reimbursement of expenses actually incurred only if the fact of incurring expenses is documented, and not simply declared in the contract. For example, newspaper advertising expenses would then be actual expenses of the realtor when they are supported by checks or receipts for services.

Fines under the contract for the provision of real estate services

Often in an agreement with a realtor you can see a condition according to which the client (customer), in case of refusal of the agreement, is obliged to pay a fine to the realtor. Such a condition of a real estate contract is void as it contradicts the provisions of the Civil Code on the unconditional right of the customer under a service agreement to refuse to fulfill the contract at any time. A sanction in the form of a fine for refusing a contract for the provision of services is illegal.

Recommended articles:

Buying and selling an apartment. Transaction security!

Risks for the buyer of an apartment or real estate. Seller's capacity

other publications in the section “Transactions with residential premises”

Alexander Otrokhov, Legal (Omsk), 05/08/2013

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Choosing a company

When you are searching for a suitable agency, you should pay attention to the fact that the company carries out this procedure, taking into account all the available nuances that are provided for when buying and selling real estate.

Keep in mind that the best option would be an agency that has positive recommendations and is a member of a real estate society or professional association. Learn that those companies that offer to carry out a transaction without observing any formalities. When concluding such transactions, all formalities must be observed, since they are an important component of the transaction.

Ways to terminate a contract with a realtor for the sale of an apartment

Each realtor or company usually has an independently developed agreement, which the client is invited to conclude. In most cases, the basis is a service agreement or an exclusive agreement.

The contract itself involves the provision of services. According to it, the realtor is required to carry out actions aimed at selling real estate and finding a buyer. In this case, the contract can be fixed-term or indefinite. Lawyers advise prescribing a period not exceeding 3 months. It can always be extended further. An open-ended contract can lead to the deal dragging on for a long time.

Otherwise, immediately after signing the agreement, you will have to look for ways to terminate the contract, avoid financial losses and the threat of paying additional penalties or fines.

Before concluding an agreement with a real estate agency, it is advisable to check its reliability. Find information about the agency on their official website. Find and read customer reviews about the agency's activities. When designating the subject matter, the obligations that are assigned to the parties must be clearly indicated. In particular, it specifies what kind of service should be provided to the realtor and what payment is due for it. Please note that responsibilities must be specific.

What to pay attention to

When concluding an agreement, please note that it will have legal force if it is signed by the head of the agency or his deputy

The Preamble reflects the parties to the agreement.

In addition to the customer, or recipient of services, there is a second party, the performer, represented by the agency as a legal entity.

The document can only be signed by the manager or deputy, vested with authority on the basis of the provided power of attorney or the organization’s charter.

The signature of an ordinary employee on the contract will not have legal significance.

The charter, power of attorney or other source mentioned in the contract must be freely available and not a trade secret.

The Subject of the agreement clearly and unambiguously states the obligations of the parties: what the realtors’ service is and the readiness to make payment after its acceptance.

Obligations must be spelled out as accurately and in detail as possible. The property is reflected with parameters and unambiguous characteristics. Legal disputes and consequences will arise from how the contractual requirements are defined.

The obligations should take into account the need to verify the purity of the transaction, i.e. absence of encumbrances on the object, collection of necessary documents, registration procedure, etc.

The deadlines for fulfilling obligations should not be confused with the validity of the contract. It is recommended to specify each stage: terms of search, registration, registration - separately and indicating the execution time. Then the facts of non-fulfillment of obligations will be obvious.

The cost of real estate services is a broad concept, so you need to indicate a specific list for the indicated remuneration.

The collection of amounts in excess of the contract price may be reflected with an indication of possible additional costs: hiring a notary, advertisements, payment for certificates.

Please note that the advance and deposit referred to in the contract are different concepts; they determine the progress of settlements in the process of further processing of the transaction

The settlement procedure usually requires payment of certain amounts in the form of an advance or deposit. It is important not to confuse them, since the consequences of the calculations are different.

When making a deposit, in case the customer refuses to cooperate, the agency withholds this amount. If the relationship is terminated due to the fault of the real estate agency, realtors are obliged to return the deposit amount in double amount.

The advance payment must be returned for any reason for termination of the contract.

In the Terms and Conditions for terminating the contract, it is important to provide for the mutual obligations of the parties in order to eliminate possible disputes.

This paragraph explains whether it is possible to terminate a contract with a real estate agency unilaterally, indicates the notification rules, and the consequences for each party.

The responsibility of the parties, as a rule, is prescribed, indicating penalties for customers for violations of obligations. Realtors are trying to reduce their liability.

This point should be checked for equality of the parties and adjustments should be sought if the balance is upset.

How to write a letter of termination of a contract

Along with personally delivering an application of the established form, in which the applicant reflected his request, you can submit it in the following ways: There are also 2 more options for sending an application, and you can use them without leaving your home.

However, these methods can only be used in cases where the contract provides for such a possibility:

  • Via an email to the company's official email address.
  • Through a personal account - many Internet and cable television operators provide this opportunity, since this saves a lot of time and other resources.

If the applicant himself submits a sample application for termination, then along with it you need to take your passport and service agreement (original).

All terms and conditions of real estate contracts regarding penalties, fines, etc. are void by law and do not affect any obligations, the issue of payment for services provided (selection of options, preparation of documents, etc.

Article 9 of the Federal Law of January 26, 1996 N 15-FZ “On the entry into force of part two of the Civil Code of the Russian Federation” determines that in cases where one of the parties to the obligation is a citizen using, purchasing, ordering or intending to purchase or order goods (work, services) for personal household needs, such a citizen enjoys the rights of a party to an obligation in accordance with the Civil Code of the Russian Federation, as well as the rights granted to the consumer by the Law of the Russian Federation “On the Protection of Consumer Rights” and other legal acts issued in accordance with it .

Article 782 of the Civil Code of the Russian Federation and Article 32 of the Law of the Russian Federation dated 02/07/1992 N 2300-1 “On the Protection of Consumer Rights”, hereinafter referred to as the Law on the Protection of Consumer Rights, establishes the customer’s right to unilaterally refuse to fulfill a contract for paid services.

Moreover, this norm is imperative in nature and by virtue of Art. 422 of the Civil Code of the Russian Federation cannot be changed by agreement of the parties.

According to paragraph 1 of Art. 422 of the Civil Code of the Russian Federation, the contract must comply with the rules obligatory for the parties, established by law and other legal acts (imperative norms) in force at the time of its conclusion.

In accordance with paragraph 1 of Art. 16 of the Law on the Protection of Consumer Rights, contract terms that infringe on consumer rights in comparison with the rules established by laws or other legal acts of the Russian Federation in the field of consumer rights protection are declared invalid.

Therefore, even if it is stated in your contract that the contract is terminated only by agreement of the parties, or it is stated that penalties and other nonsense will be collected from you, then this condition is invalid. In this situation, you simply need to send a notice of termination of the contract to the Customer.

It must be sent by registered mail with notification so that you have proof that the Contractor received your notification, unless another method of sending is provided for in the contract. Well, or hand it in person against a signature, but this is more difficult.

sample notification example.

NOTIFICATION

We invite you to familiarize yourself with: Limitation periods for debt collection on loans: how to calculate, is it possible not to pay?

on refusal to execute Agreement No.___ dated __.__._____.

By this letter I notify you of my refusal to fulfill Agreement N___ dated __.__.2011 concluded between me and LLC <__________> for the provision of a range of services aimed at the sale of a real estate property - an apartment located at the address:___________________________________________ ___.

According to paragraph 3 of Art. 450 of the Civil Code of the Russian Federation in the event of a unilateral refusal to fulfill the contract in whole or in part, when such refusal is permitted by law or by agreement of the parties, the contract is considered respectively terminated or amended.

I entered into an agreement with a real estate company to provide real estate services for the sale of an apartment. The contract defines the price of services, of which I pay 20% immediately, and 80% after a buyer is found and the contract is signed.

But while searching for a buyer, I changed my mind about selling the apartment and decided to refuse to fulfill the contract on the basis of Art. 32 of the Law of the Russian Federation "On the Protection of Consumer Rights", according to which I must reimburse the contractor for the expenses incurred.

I wrote a statement of refusal to fulfill the contract. The company sent me a letter in which it demands to pay a fine in the amount of the price of the service, referring to a clause in the contract according to which, in the event of a unilateral refusal to fulfill the obligation, I am obliged to pay a fine of 100% of the price of the services.

Answer: The demands of the real estate company are unlawful. Art. 32 of the Law of the Russian Federation “On the Protection of Consumer Rights” provides that the consumer has the right to refuse to fulfill the contract for the performance of work (rendering services) at any time, subject to payment to the contractor for the expenses actually incurred by him related to the fulfillment of obligations under this contract.

According to Art. 330 of the Civil Code of the Russian Federation, a penalty (fine, penalty) is a sum of money determined by law or contract, which the debtor is obliged to pay to the creditor in the event of non-fulfillment or improper fulfillment of an obligation, in particular in the case of delay in fulfillment.

Upon a claim for payment of a penalty, the creditor is not required to prove that he suffered losses. The creditor has no right to demand payment of a penalty if the debtor is not responsible for non-fulfillment or improper fulfillment of the obligation.

By virtue of Art. 400 of the Civil Code of the Russian Federation, for certain types of obligations and for obligations related to a certain type of activity, the law may limit the right to full compensation for losses (limited liability).

In this case, the law provides for a limitation of the contractor’s right to full compensation for losses, establishing the consumer’s obligation to reimburse only the costs incurred by the company in order to fulfill its obligations under the contract.

The condition of the obligation to pay a fine in this case is unlawful.

Services can be provided for a fee or free of charge.

Specific examples of such documents are discussed below.

Depending on the situation, the citizen can correct the text himself, for example, indicating various reasons for termination of cooperation:

  • personal desire;
  • life circumstances (moving, financial difficulties);
  • poor quality services provided;
  • systematic violations by the supplier and others.

If the applicant himself submits a sample application for termination, then along with it you need to take your passport and service agreement (original).

In the most comfortable option for both parties, it is necessary to sign a termination agreement, draw it up in two copies and save it.

Services can be provided for a fee or free of charge. In this case, the consumer of the service can use it: In most cases, the text should reflect the following information: In general, a sample application with the help of which the consumer seeks termination of the contract for the provision of services looks like this.

The specific method of transmitting the company's response can only be specified in accordance with the contract. For example, if the agreement directly stated that all notifications will be transmitted exclusively in paper form, then this is what you need to proceed from.

Along with personally delivering an application of the established form, in which the applicant reflected his request, you can submit it in the following ways: There are also 2 more options for sending an application, and you can use them without leaving your home.

If the applicant himself submits a sample application for termination, then along with it you need to take your passport and service agreement (original). In the most comfortable option for both parties, it is necessary to sign a termination agreement, draw it up in two copies and save it.

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