Breaking Buyer's Agent Contract

[aqneuguy]

What is the name of your state? Michigan
My wife and I recently signed a Exclusive Buyer's Agent Contract before making an offer on house. Unforunately the house we intended to buy fell through after the Inspector went through (significant termite damage). Since then, we found a house that we absolutely love on our own that is not on the market yet and actually will never go on the market if we agree with the seller's to buy it (friend of a friend sort of deal).
We would like to break the contract with our Buyer's agent and feel we have a right to based on a clause in the contract that states:

"The purchase fee shall be deemed earned if a) the BROKER, or anyone on the BROKER'S behalf, shall enter into an agreement to purchase, acquire by excahnge, or option any property of the nature generally described in paragraph 3 within one (1) year after the end of this contract AND b) the BROKER, or any party acting on the behalf of the BROKER, shall have shown, or offered to show, the property to the BUYER during the term of this contract."

As the agent never showed us this property, we feel that we should be able to go forward with purchasing this house without involving him. Am I correct in assuming this?

I am not sure if this really matters, but we never really had any luck with our agent the whole time we have been looking. He has taken us out a couple of times, but has not found anything that is remotely what we wanted to see (we wanted a house that just needed cosmetic fixes and he was bringing us to foreclosures and real dumps that needed 20k - 30k worth of work to be livable). Even the first house (the one with termite problems), we found on our own and then involved him.

[PghREA]

As the agent never showed us this property, we feel that we should be able to go forward with purchasing this house without involving him. Am I correct in assuming this?

That depends on the terms in your contract. You need to read each paragraph carefully.

In general, any house, no matter how you find it will result in a commission to your agent during the contract period.

[MGNiko]

Exclusive agency contracts are between you & the agent. Most companies that the agent would work for (Re/Max, Prudential, ect) it is as simple as writing a nice letter to the agent and broker of his company explaining that you don't connect and you are cancelling your representation agreement with this agent. 99% of agents will accept this just fine. You will have the odd ball that would want to be compensated, but they are really few & far between. Be honest & strait with the guy; that's how I always want my clients to treat me. He may get you back when you want to sell, or you may refer someone to him.