Commission to Agent

Discuss about where to live, renting a property, tenancy issues, property trend and property investment in Singapore.
Post Reply
BoroBoy
Regular
Regular
Posts: 98
Joined: Fri, 27 Mar 2009 3:17 pm

Post by BoroBoy » Thu, 28 Mar 2013 5:01 pm

Doesn't help the OP but do the renewal fees have to go into the contract? If we agree to rent and the landlord is happy with the price being offered, and then before we sign the contract is it possible to ask the agent to remove the condition?

Singapore Property Search

 

User avatar
zzm9980
Governor
Governor
Posts: 6865
Joined: Wed, 06 Jul 2011 1:35 pm
Location: Once more unto the breach

Post by zzm9980 » Thu, 28 Mar 2013 5:07 pm

BoroBoy wrote:Doesn't help the OP but do the renewal fees have to go into the contract? If we agree to rent and the landlord is happy with the price being offered, and then before we sign the contract is it possible to ask the agent to remove the condition?
My TA has no such terms in it, but I suspect I signed a separate agreement with my agent.

If this was the US, I could make a strong case that the agent's representation was misrepresented to me as a requirement by the relocation company (and most likely win). But in Singapore, I'm SOL.

Fmeu
Newbie
Newbie
Posts: 2
Joined: Fri, 05 Apr 2013 12:42 am

Post by Fmeu » Fri, 05 Apr 2013 1:46 am

Hi all,

I have a similar scenario to the recent post.

'On 1st renewal of the lease, the Tenant shall/shall not be liable to pay further commission to the Estate Agent. If further commission is payable upon renewal, such commission should amount to half month's rent for 12 months.'

So my questions are:
1. if the renewal is done without the agent's involvement, would the clause be applicable still?
2. if so, what is the legal implication if you don't pay the commission? Technically, you are not using their service anymore for the renewal since you did the negotiation yourself.
3. is there any other way to continue staying in the same place with the same landlord without legally obliged to pay the commission?
4. if we extend contract less than a year, will the clause be applicable?

I feel that it is absurd expecting tenants to fork up the agent fees just because of renewal which we could easily sort it with landlords.

Appreciate everyone's input soon.
Last edited by Fmeu on Sat, 06 Apr 2013 10:43 pm, edited 2 times in total.

beppi
Manager
Manager
Posts: 1752
Joined: Thu, 07 Sep 2006 11:15 am
Location: Ahlongistan (O$P$)

Re: Agent Commission

Post by beppi » Fri, 05 Apr 2013 5:33 am

Fmeu wrote:'On 1st renewal of the lease, the Tenant shall/shall not be liable to pay further commission to the Estate Agent. If further commission is payable upon renewal, such commission should amount to half month's rent for 12 months.'

So my questions are:
1. if the renewal is done without the agent's involvement, would the clause be applicable still?
If "shall not" in the above statement is crossed out and/or "shall" marked as valid, it is applicable and you have to pay.
2. if so, what is the legal implication if you don't pay the commission?
The agent can sue you and will win.
3. is there any other way to continue staying in the same place with the same landlord without legally obliged to pay the commission?
No legal way, but under the radar (with constant fear that the agent finds out) might be possible.
4. if we extend contract less than a year, will the clause be applicable?
No idea.

I feel that it is absurd expecting tenants to fork up the agent fees just because of renewal which we could easily sort it with landlords. I should add that the agent has been persistent in pursuing information with regards to continuation of lease.
I feel that it is absurd to sign a clearly worded and understood contract and later expecting it not to be valid or to get away with not fulfilling it.

Appreciate everyone's input soon.

User avatar
JR8
Immortal
Immortal
Posts: 16516
Joined: Wed, 24 Mar 2010 12:43 pm
Location: K. Puki Manis

Re: Agent Commissio

Post by JR8 » Fri, 05 Apr 2013 5:44 am

No, don,t do it.

You reap what you sow (x125%)

Just my 2p

Fmeu
Newbie
Newbie
Posts: 2
Joined: Fri, 05 Apr 2013 12:42 am

Post by Fmeu » Fri, 05 Apr 2013 6:34 am

Dear all,

Thank you for your prompt replies. The 'shall/shall not' was not crossed out, but one would assume that the following sentence of ...commission payable..means its 'shall' pay.
Last edited by Fmeu on Sat, 06 Apr 2013 10:38 pm, edited 1 time in total.

x9200
Moderator
Moderator
Posts: 9872
Joined: Mon, 07 Sep 2009 4:06 pm
Location: Singapore

Re: Agent Commission

Post by x9200 » Fri, 05 Apr 2013 8:15 am

Fmeu wrote:Hi all,
'On 1st renewal of the lease, the Tenant shall/shall not be liable to pay further commission to the Estate Agent. If further commission is payable upon renewal, such commission should amount to half month's rent for 12 months.'

So my questions are:
1. if the renewal is done without the agent's involvement, would the clause be applicable still?

This clause is completely meaningless so it is like it was not there at all. If this is not specified (as you mentioned in another post) whether you should pay or not pay there is nothing that can force you to pay anything. Besides, the sentence: If further commission is payable .... What further commission? The further commission as per the wording you quoted would be for the 2nd renewal or some unspecified 3rd commission payment so this makes no sense whatsoever.

x9200
Moderator
Moderator
Posts: 9872
Joined: Mon, 07 Sep 2009 4:06 pm
Location: Singapore

Post by x9200 » Fri, 05 Apr 2013 8:16 am

Fmeu wrote:Dear all,

Thank you for your prompt replies. The 'shall/shall not' was not crossed out, but one would assume that the following sentence of ...commission payable..means its 'shall' pay.
:o :shock: :shock: :shock:

beppi
Manager
Manager
Posts: 1752
Joined: Thu, 07 Sep 2006 11:15 am
Location: Ahlongistan (O$P$)

Post by beppi » Fri, 05 Apr 2013 4:21 pm

If "shall/shall not" is not marked, the signing parties have not indicated which of the options they agree on, and thus none can derive any rights (e.g. for a payment) from this.

User avatar
JR8
Immortal
Immortal
Posts: 16516
Joined: Wed, 24 Mar 2010 12:43 pm
Location: K. Puki Manis

Post by JR8 » Fri, 05 Apr 2013 5:09 pm

beppi wrote:If "shall/shall not" is not marked, the signing parties have not indicated which of the options they agree on, and thus none can derive any rights (e.g. for a payment) from this.

I agree with x9 and beppi. If neither is struck through the clause is rendered meaningless.

Post Reply
  • Similar Topics
    Replies
    Views
    Last post

Return to “Property Talk, Housing & Rental”

Who is online

Users browsing this forum: No registered users and 1 guest