A real estate commission can run into tens of thousands of dollars, and whether it is owed turns on the written agreement, who was the procuring cause, and whether the deal met the agreement’s terms. We represent both sides of these disputes across Northern Virginia.
Sources: Code of Virginia § 54.1-2137 (written brokerage agreements; definite termination date, defaulting to ninety days), § 54.1-2106.1 (licenses required), and §§ 54.1-2130 through 54.1-2134 (brokerage services; ready, able, and willing standard); procuring-cause doctrine.
Most commission disputes come down to the same handful of questions. Was there a written agreement, and what did it say about when the fee is earned? Who actually brought the deal together? And did the transaction hit the point that triggers payment? Answer those, and the dispute usually answers itself.
Commission disputes arise in a lot of shapes. A seller refuses to pay after closing. Two agents each say they earned the fee on the same sale. A buyer signs a brokerage agreement and then buys through someone else. An agent and the brokerage disagree over the split. The dollars are significant, and Virginia has specific rules about written agreements, licensing, and when a fee is actually earned.
We handle both directions. We represent owners and buyers who are being asked to pay a commission they do not believe is owed, and we represent brokers and agents pursuing a fee they earned. Because these fights often ride on top of a deal that closed or fell apart, we look at the whole transaction, including the purchase and brokerage agreements that set the terms.
Schedule a ConsultationWhether you are being asked to pay or working to collect, the written terms and the facts drive the result.
Sorting out which agent actually brought the deal together when more than one claims to have earned the same commission.
Pursuing, or defending against, a claim for a fee a seller or client did not pay after a closing or a completed engagement.
Resolving disagreements between the listing and selling sides over how a promised commission is shared.
Handling questions about whether a buyer owes a fee under a signed agreement, an increasingly common issue after recent industry changes.
Addressing disagreements between an agent and the firm over splits, withheld commissions, and post-departure compensation.
Guiding brokers who hold disputed funds through the interpleader process so a court can decide who is entitled to them.
Virginia requires a brokerage agreement to be in writing, to have a definite termination date, and to state the fee and how and when it is paid. If the agreement leaves out a termination date, it ends ninety days later by default. The law defines brokerage services around producing a buyer or seller who is ready, able, and willing to close, and courts look to the procuring cause, meaning the broker whose efforts created the unbroken chain of events leading to the sale, to decide who earned the fee. An exclusive agreement helps, but it does not automatically make an agent the procuring cause of a particular deal, so a buyer who signs with one agent and then closes with another can create a real dispute. A real estate license is required to provide brokerage services and to collect a commission, and a principal broker holding disputed funds can ask a court to sort out the claims through an interpleader action. Recent industry changes have also made written buyer-brokerage agreements the norm, which makes reading those agreements carefully more important than ever.
“Commission cases almost always turn on two things: what the written agreement says, and who really brought the deal together. People get attached to the idea that they showed the house first or signed the client first, but the law cares about the procuring cause and the terms on the page. The first thing I do is read the agreement closely and build the timeline of who did what and when. That is usually where it becomes clear whether the fee is owed, and I represent both the people trying to collect and the ones being asked to pay.”
Whether you are trying to collect a commission you earned or defend against one you do not owe, the sooner we look at the agreement and the timeline, the sooner you will know where you stand. Serving Leesburg, Fairfax, and all of Northern Virginia.