MENUMENU
  • High Swartz Logo
  • About Us
  • Services
    • Business and Corporate Law
    • Education Law
    • Employment Law
    • Environmental Law
    • Family Law
    • Franchise Law
    • Intellectual Property Law
    • Litigation
    • Municipal & Government Law
    • Personal Injury
    • Real Estate Law
    • Social Security Disability Law
    • Estate Planning
    • Workers’ Compensation
  • Attorneys
  • Blog
  • News
  • Contact Us
High-Swartz-logo-avatar
Facebook Twitter Youtube Linkedin
Toll-Free 1-833-LAW-1914 • Norristown (610) 275-0700 • Doylestown (215) 345-8888
Facebook Twitter Youtube Linkedin
MENUMENU
  • High Swartz Logo
  • About Us
  • Services
    • Business and Corporate Law
    • Education Law
    • Employment Law
    • Environmental Law
    • Family Law
    • Franchise Law
    • Intellectual Property Law
    • Litigation
    • Municipal & Government Law
    • Personal Injury
    • Real Estate Law
    • Social Security Disability Law
    • Estate Planning
    • Workers’ Compensation
  • Attorneys
  • Blog
  • News
  • Contact Us
Toll-Free 1-833-LAW-1914
Norristown (610) 275-0700
Doylestown (215) 345-8888
High Swartz › High Swartz Blog › Real Estate Law › Real Estate Agents in Pennsylvania Should Always Get Contract in Writing
Contract, High Swartz

Real Estate Agents in Pennsylvania Should Always Get Contract in Writing

  • Kevin Cornish
  • March 17, 2016

March 17, 2016

By: Kevin Cornish

Contract, High SwartzAs a real estate agent in Pennsylvania, payment for your services is almost always contingent on the sale of a property. Such a commission structure assures that when you have closed a sale, you will be paid for your services. In order to assure that you get paid, your fee agreement must be in writing and signed by your client. The Real Estate Licensing and Registration Act (RELRA), 63 P.S. 455.606a, provides in relevant part:

“A licensee may not perform a service for a consumer of real estate services for a fee,  commission or other valuable consideration paid by or on behalf of the consumer unless the nature of the service and the fee to be charged are set forth in a written agreement between the broker and the consumer that is signed by the consumer. This paragraph shall not prohibit a licensee from performing services before such an agreement is signed, but the licensee is not entitled to recover a fee, commission or other valuable consideration in the absence of such a signed agreement.”

Further, the Pennsylvania Superior Court has upheld the requirement that a fee agreement be set forth in writing and signed. In the case of Coldwell v. Dreslin, the realtor only had an oral agreement with its client for payment of a commission. When the realtor was not paid, the realtor filed a lawsuit to recover its commission. The court ruled that the oral fee agreement was not enforceable.

While it is often standard practice to obtain a written fee agreement prior to performing services, it is vital that the agreement is signed prior to performing any services for a client. Sometimes realtors may begin performing services expecting that the fee agreement will be signed in due course. However, if the client is successful in buying or selling a property quickly, the realtor could face a difficult position if the fee agreement has not been signed. This may be especially true in a situation where the realtor and client are friends, longtime business acquaintances, or family.

If you are not sure if you have an enforceable real estate agreement for the distribution of commissions, you should contact a real estate lawyer.

As a realtor, you should always obtain a signed fee agreement in Pennsylvania before performing any services for a client. This holds true throughout the Commonwealth including for real estate transactions in Montgomery, Bucks, and Philadelphia County.

For more information about real estate agreement, feel free to contact Kevin Cornish at (610) 275-0700 or by email at kcornish@highswartz.com.

The information above is general: we recommend that you consult an attorney regarding your specific circumstances.  The content of this information is not meant to be considered as legal advice or a substitute for legal representation.

Kevin Cornish

Kevin Cornish

Kevin Cornish focuses his practice on commercial, civil, and contract & business litigation. His clients include individuals as well as local, regional, and national businesses. Kevin has handled cases involving contract disputes, the Mechanic’s Lien Law, the Contractor Subcontractor Payment Act, the Unfair Trade Practices and Consumer Protection Law, the Fair Debt Collection Practices Act, the Real Estate Seller Disclosure Law, and the Landlord Tenant Act. Kevin’s experience includes resolving cases through trial, arbitration, and negotiation.

Latest Posts

Pennsylvania Workers’ Compensation Benefits Frequently Asked Questions

December 11, 2019
Pennsylvania Workers’ Compensation Benefits Frequently Asked Questions
Here are some frequently asked questions to help guide you through the workers’ compensation benefits process in Pennsylvania. If you sustain a job injury or a work-related illness, the Pennsylvania Workers' Compensation Act provides for > Read More

Divorce Checklist

December 9, 2019
divorce checklist | Pennsylvania | High Swartz
Divorce is never easy, even more so if you have children involved. But if you’ve decided a divorce is the only way out, make sure you’re completely prepared. Use this divorce checklist to ensure you’re > Read More

Tips for Helping Your Case for Child Custody in PA

December 6, 2019
father saying goodbye to daughter off to school
In the event that child custody has to be decided by a judge or arbitrator, you can help your own position by following these tips. When custody is part of a divorce or just the > Read More

Why is Establishing the “Date of Separation” important in a divorce?

December 5, 2019
Why is the “Date of Separation” important in a divorce
Depending on your date of separation, the value of your marital estate and any award of alimony could be vastly different. In Pennsylvania, the date that you are deemed to be separated from your spouse, > Read More

Got a Subpoena to testify tomorrow?

November 27, 2019
subpoena to testify in pennsylvania
New Pennsylvania rules regarding subpoenas to testify require reasonable advanced notice.  On April 8, 2015, The Pennsylvania Supreme Court amended Pennsylvania Rule of Civil Procedure 234.1. Now, the rule requires that a subpoena must be > Read More

Contact Us

  • Disclaimer
  • Terms & Conditions
  • Privacy Policy
  • Site Map
Menu
  • Disclaimer
  • Terms & Conditions
  • Privacy Policy
  • Site Map

Norristown

40 East Airy Street
Norristown, PA 19401
Phone: (610) 275-0700
Fax: (610) 275-5290

Doylestown

116 East Court Street
Doylestown, PA 18901
Phone: (215) 345-8888
Fax: (215) 345-5358

Disclaimers

High Swartz Law firm is committed to providing efficient and responsive full-service legal representation to businesses, public and privately-held entities, educational institutions, nonprofit organizations, municipalities and individuals throughout Pennsylvania, New Jersey and the mid-Atlantic region. This website is for informational purposes only and should not be used as a substitute for personal legal advice.

© 2019 by High Swartz LLP. All rights reserved.