Listing broker claims in her deposition that listing agreements are not required

Listing broker claims in her deposition that listing agreements are not required

Member since 2025 · 3 posts · 0 votes

Hello, I am a plaintiff in an active legal complaint against a real estate brokerage and their listing agent. My lawyer requested them to provide the listing agreement and they responded that they never had the agreement and that it wasn't required at the defendants deposition. We also have text messages between the listing agent and seller notifying the seller that she will send him the listing agreement via authentisign. I promptly filed a complaint with the state department of licensing and the summary of charges is just recommended additional education. I expected at the very least a hefty fine or some sort of disciplinary action. Can anyone please advise. Thank you

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Attorney · UT · Member since 2025 · 55 posts · 46 votes
1y

You can review with your attorney to see if fraudulent representation should be one of the claims in your lawsuit, if it isn't already.

If it is a claim already, then the judge or jury will decide.

It's still not clear what the actual damage or harm was that resulted from not having a listing agreement.  The seller built a fence?

Maybe if the judge or jury determines that it was a fraudulent representation, and a large amount of damages resulted from that fraudulent representation, then the government agency could re-evaluate their initial disciplinary action.



Note: This information is for educational and informational purposes only and does not constitute legal, tax, financial, or investment advice. No attorney-client, fiduciary, or professional relationship is established through this communication.

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  • Chris SeveneyBusiness Member
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    Investor · VA · Member since 2015 · 21k+ posts · 19k+ votes
    1y
    Quote from @Neal S.:

    Hello, I am a plaintiff in an active legal complaint against a real estate brokerage and their listing agent. My lawyer requested them to provide the listing agreement and they responded that they never had the agreement and that it wasn't required at the defendants deposition. We also have text messages between the listing agent and seller notifying the seller that she will send him the listing agreement via authentisign. I promptly filed a complaint with the state department of licensing and the summary of charges is just recommended additional education. I expected at the very least a hefty fine or some sort of disciplinary action. Can anyone please advise. Thank you


     What are you asking? If you are asking about if listing agreements are required yes they are but your attorney should be contacted and be the one telling you this as every state may have a quirky law

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  • Member since 2025 · 3 posts · 0 votes
    1y

    My question is since they intended to obtain a signed listing agreement but never completed the contract before posting the listing live on the MLS is that fraudulent representation as the listing agent? Clearly they knew the importance of the contract but went live anyways. All they get is a slap on the wrist from the DOL for violating state law. Where else shall I file a complaint since the DOL isn't interested in holding them accountable?

  • Attorney · UT · Member since 2025 · 55 posts · 46 votes
    1y

    Generally speaking, agencies can have discretion on the kind of penalty for violations.

    Some factors may include but not limited to if it was a first time offense/complaint or have there been repeated complaints, or did they try to remedy it once they were notified of this error, or maybe it was a rogue, disgruntled, or new hourly wage employee who posted the listing.  

    It could also depend on if the seller is the one complaining about the lack of of a formal listing agreement or maybe there was a pre-existing relationship between the listing agent and seller.  Or maybe the agency did not find that there was actual harm or damages from this violation (i.e. Did a party lose lots of money from this violation?)

    There can be many other reasons for how the penalty was determined.

    Maybe if a few other clients make similar complaints against the listing agent, then the agency could investigate further and impose a harsher penalty.

    Note: This information is for educational and informational purposes only and does not constitute legal, tax, financial, or investment advice. No attorney-client, fiduciary, or professional relationship is established through this communication.

  • Member since 2025 · 3 posts · 0 votes
    1y

    The text messages from the listing agent to the seller said "I'll send you the listing agreement via authentisign and I'll need your wife's signature too" flash forward after mutual acceptance and the seller built a fence prior to closing that was never there, and claimed he never saw the listing photos. Now listing agent and her managing broker are claiming they never had a listing agreement and that they are not required. Is this fraudulent representation since they were not legally allowed to advertise and enter into a contract with a buyer? 

  • Attorney · UT · Member since 2025 · 55 posts · 46 votes
    1y

    You can review with your attorney to see if fraudulent representation should be one of the claims in your lawsuit, if it isn't already.

    If it is a claim already, then the judge or jury will decide.

    It's still not clear what the actual damage or harm was that resulted from not having a listing agreement.  The seller built a fence?

    Maybe if the judge or jury determines that it was a fraudulent representation, and a large amount of damages resulted from that fraudulent representation, then the government agency could re-evaluate their initial disciplinary action.



    Note: This information is for educational and informational purposes only and does not constitute legal, tax, financial, or investment advice. No attorney-client, fiduciary, or professional relationship is established through this communication.

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