Adversarial Relationship
In jurisdictions that abide by the law of agency there are those who mistakenly believe that it is the responsibility of both the seller and buyer’s agent to see that the property gets sold, especially if the buyer’s agent ever wants to get paid.

There are others, however, who hold that, with the advent of agency law and the fiduciary obligations entailed that an adversarial relationship has evolved, with consequences should an agent breach their fiduciary duty to a client.

Although, it may be the primary purpose of the seller’s agent to sell their client’s property, it differs greatly with the advent of agency law and the fiduciary obligations entailed, the buyer’s agents primary purpose according to caselaw, is to fulfill their fiduciary obligations and protect the interest of their client, failing which they can be held accountable and liable both legally and financially.

Caveat Emptor there are some in real estate who interpreted that legal doctrine to actually mean “it’s for the seller to know, and for the buyer to find out” and disregard the true and legal meaning of full and timely disclosure and this places the onus of due diligence upon the buyer’s agent.

In the event the buyer’s agent fulfills their duty of due diligence and exposes areas of risk and/or detrimental to his client’s best interest, he does so with the realization that by so doing, his client may then choose not to buy the property, resulting in a situation where a buyer’s agent who has successfully fulfilled their obligations to their client, may again be left without any compensation whatsoever, for a job well done.

This then raises the question of when a diligent buyer’s agent will be compensated, if ever ?

Imagine an instance where an investor wants to purchase a property and wants you to find them a “suitable” investment property to purchase, but concealing the fact that what they really mean by “suitable” is an under valued property that they can in a sense, steal at a rock bottom price rather than purchase at market value. The buyer’s agent could be looking for a long time with a very slim chance of ever being compensated.

That is why some professional’s may require a non-refundable deposit simply to offset their ongoing expenses that may be incurred on behalf of their client.

Is Change Inevitable ????????

Important Notice: This information is provided as basic educational information by the author and is not a substitute for the advice of an expert and/or the advice of a lawyer. There is NO representation as to legality, accuracy, correctness of the herein
information and the reader is strongly urged to consult a lawyer in the relevant jurisdiction to ensure accuracy before acting on this
information .