Define: Procuring Cause

Procuring cause refers to the actions or efforts that result in the successful completion of a real estate transaction. It is the party or agent who initiates a series of events that leads to the sale or lease of a property.

Determining procuring cause involves evaluating various factors, such as the agent’s role in introducing the buyer to the property, the agent’s ongoing involvement in negotiations, and any contractual agreements between the parties involved. It is typically assessed on a case-by-case basis.

Yes, it is possible for multiple agents to claim procuring cause. In such cases, the specific circumstances and actions of each agent will be carefully examined to determine who played the most significant role in facilitating the transaction.

If there is a dispute over procuring cause, it is advisable to consult with a real estate attorney. They can help analyze the facts, review any relevant contracts or agreements, and provide guidance on how to resolve the dispute, which may involve negotiation, mediation, or even litigation.

Procuring cause can be transferred from one agent to another if there is a valid agreement or arrangement between the agents involved. This transfer typically occurs when an agent refers a client to another agent and both parties agree to the transfer of procuring cause.

In some cases, procuring cause can still be established even if the buyer or seller terminates the relationship with the agent. If the agent can demonstrate that they initiated the series of events that ultimately led to the transaction, they may still be considered the procuring cause.

Yes, procuring cause can apply to both residential and commercial real estate transactions. The principles and factors used to determine procuring cause are generally applicable across different types of real estate transactions.

No, procuring cause and commission claims are not the same. Procuring cause refers to the party or agent who initiated the transaction, while a commission claim involves the right to receive compensation for services rendered in the transaction.

If the buyer or seller finds the property independently, it may be challenging to establish procuring cause for an agent. However, if the agent can demonstrate that they played a significant role in facilitating the transaction, such as providing valuable advice or negotiating terms, they may still be considered the procuring cause.

Yes, there have been numerous legal precedents and case law related to procuring cause in real estate. These cases often provide guidance on how courts have interpreted and applied the concept of procuring cause in various situations. It is important to consult with a legal professional familiar with the relevant jurisdiction’s case law for specific guidance.