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  1. #1
    jewell_diva is offline Junior Member
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    Angry Refusing to pay commission I earned...

    What is the name of your state? North Carolina

    Not sure if I'm posting in the right place, but I didn't know where else this would fit...

    I am a broker with an inactive NC real estate license. I worked under a broker-in-charge, and because of a family emergency beyond my control, I had to leave the brokerage and move out of state. I was working on a deal for which I believe I am due commission. I had worked with these buyers for almost a year, I executed the contract, and scheduled/attended all of their surveys and inspections. The only thing I didn't do before having to leave the brokerage was take them to the closing table.

    My ex-broker was upset that I had to leave, and she begged me to stay. When I told her that I simply couldn't, she told me she would not pay my commission. I called the NC Real Estate Commission, and the legal dept. told me that depending on the broker, I should either receive either a 25% referral fee, or my normal split. When I asked who enforces this rule, they told me I should speak with the Association of Realtors. When I called the NC Association, they said that because I was no longer a Realtor, (I lost my status as a Realtor when my license was inactive, even though I had just paid a full year of dues), their attorney couldn't help me, and I'd need to hire my own attorney to fight this.

    It seems like I will never get the money I am owed, and this is a time when I really need it! I could hire a lawyer and sue for legal costs, but if I don't win, I won't have the money to pay him/her. Is this even worth going to court for? If I get my whole split, I would be owed $5,000, and if I only got the referral fee, I would get $2500. How long do these procedings take?
  2. #2
    JETX is offline Senior Member
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    Quote Originally Posted by jewell_diva View Post
    Is this even worth going to court for? If I get my whole split, I would be owed $5,000, and if I only got the referral fee, I would get $2500.
    You might consider small claims.... but based on your post, my opinion is that you likely have little or no claim.
    As I see it, some of the problems you have are:
    1) Without a realtor license, you are likely restricted from being compensated for a real property transaction, and
    2) You would have to read and UNDERSTAND the specifics of your broker-agent agreement as to what obligations each have in this situation.
  3. #3
    jewell_diva is offline Junior Member
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    Please know that I am not meaning to sound rude when I reply to your post, but most people don't know the definitions or differences between Realtors and Brokers:

    There is no such thing as a "Realtor license." I have a valid North Carolina Real Estate lisence, which is on inactive (not suspended) status at this time. A lisence becomes inactive when you are not working under a Broker-in-Charge. Your lisence does not get taken away from you simply because you leave a brokerage, or decide to pursue employment elsewhere. You only lose your lisence if you fail to pay fees, fail to take required continuing education, break real estate practice laws (which includes, but is not limited to, neglegence or misrepresentation), lying on your application to obtain a lisence, incorrectly maintaining trust accounts, breaking any civil rights laws, or not reporting a name change or address change to the NC Commission within 10 days. The North Carolina Real Estate Commission governs real estate brokers. Anyone who holds are real estate license in NC is considered a broker.

    The Assiation of Realtors is an association which deals with the ethics of real estate, and is a completely different entity from the Real Estate Commission. You can be a broker without being a Realtor, and you may still participate in the buisness of practicing real estate. You cannot, however, be a Realtor without an active lisence.

    You are granted a real estate license from the Real Estate Commission, and you join the Board of Realtors to have access to privileges, such as use of the MLS and lockboxes/lockbox keys. Again, the Board of Realtors enforces ethics between agents. When I did buisness with these clients, I was both an actively licensed broker, and I was a member of the Board of Realtors.

    The commission rules clearly state that when a broker leaves a firm, or switches firms, he or she is still due any and all unpaid commissions earned. I have procuring cause on the sale, and I worked very hard on this deal. Since I'm in a strange position, I'll just have to hire my own attorney. That broker has stomped all over me, and I'm not going to take it again. She is unethical, sleazy, and has no moral values... I am embarrased to have worked for her.
  4. #4
    JETX is offline Senior Member
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    Quote Originally Posted by jewell_diva View Post
    most people don't know the definitions or differences between Realtors and Brokers:
    Trust me... I DO know the difference.

    There is no such thing as a "Realtor license." I have a valid North Carolina Real Estate lisence, which is on inactive (not suspended) status at this time.
    Pretty much the same thing....
    The real terms (in NC) are:
    - Real Estate Broker (several levels - including 'provisional')
    - Real Estate Salesperson (expired April 1, 2006)
    (effective April 1, 2006, all salesperson licenses shall become broker licenses, and each person holding a broker license that was changed from salesperson to broker on that date shall be classifi ed as a provisional broker as defined in G.S. 93A-2(a2).)

    A lisence becomes inactive when you are not working under a Broker-in-Charge. Your lisence does not get taken away from you simply because you leave a brokerage, or decide to pursue employment elsewhere. You only lose your lisence if you fail to pay fees, fail to take required continuing education, break real estate practice laws (which includes, but is not limited to, neglegence or misrepresentation), lying on your application to obtain a lisence, incorrectly maintaining trust accounts, breaking any civil rights laws, or not reporting a name change or address change to the NC Commission within 10 days.
    Who cares?? The bottom line here is... YOU are no longer eligible to receive a commission for a real property sale.

    You are granted a real estate license from the Real Estate Commission
    HUH??? Above you claimed that there was no such thing as a 'real estate license'.

    and you join the Board of Realtors to have access to privileges, such as use of the MLS and lockboxes/lockbox keys. Again, the Board of Realtors enforces ethics between agents. When I did buisness with these clients, I was both an actively licensed broker, and I was a member of the Board of Realtors.

    The commission rules clearly state that when a broker leaves a firm, or switches firms, he or she is still due any and all unpaid commissions earned. I have procuring cause on the sale, and I worked very hard on this deal. Since I'm in a strange position, I'll just have to hire my own attorney. That broker has stomped all over me, and I'm not going to take it again. She is unethical, sleazy, and has no moral values... I am embarrased to have worked for her.
    And of course, NONE of all of that is relevant to YOUR problem.
  5. #5
    pattytx is offline Senior Member
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    Quote Originally Posted by JETX View Post
    And of course, NONE of all of that is relevant to YOUR problem.
    That's what *I* was gonna say.
    ---------------------------------------------------------------------------------------------------------------------------------------------------------
    You have not won the law suit lottery; in fact, you haven't even won the law suit scratch-off.
  6. #6
    ecmst12 is offline Senior Member
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    Take the firm to small claims court and take your chances. All you'll be out if you lose is the filing fee, no attorney fees.
  7. #7
    Gadfly is offline Senior Member
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    My first thought is that since you are no longer a Realtor and didn't take the deal to closing when you were you are entitled to nothing. I understand you situation, but remember the listing and the commission belong to the broker, not you and it is up to the broker what he does with them.
  8. #8
    jewell_diva is offline Junior Member
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    ~"HUH??? Above you claimed that there was no such thing as a 'real estate license'."

    You said "REALTOR License, not REAL ESTATE Lisence, which is the proper term, and therefore also tells me you are completely uneducated about North Carolina Real Estate Law. Re-read your first post, Captain Lawyer-Wannabe.

    ~"Who cares?? The bottom line here is... YOU are no longer eligible to receive a commission for a real property sale."

    Yes I am. It was wired into my account and should be available for withdrawal by 12:00 am EST. Didn't even have to go to court, or putt up with your bull$hit. She should have paid me a referral fee no later than three business days following the recording of the deed at the courthouse. I learned this is the second time she has done this to someone.

    "The real terms (in NC) are:
    - Real Estate Broker (several levels - including 'provisional')
    - Real Estate Salesperson (expired April 1, 2006)
    (effective April 1, 2006, all salesperson licenses shall become broker licenses, and each person holding a broker license that was changed from salesperson to broker on that date shall be classifi ed as a provisional broker as defined in G.S. 93A-2(a2).)"

    WOW! You know how to GOOGLE!
    Why don't you re-Google "real estate law" and find the place where it says any broker leaving a firm is still enititled to earned commissions.

    "And of course, NONE of all of that is relevant to YOUR problem."
    Do you have a learning disability? It was completely relevant.
    YOU said:
    "1) Without a realtor license, you are likely restricted from being compensated for a real property transaction..." (LOL... there you go with the "Realtor Lisence" again)
    I replied:
    "When I did buisness with these clients, I was both an actively licensed broker, and I was a member of the Board of Realtors." At the time of business, I was (and still AM) lisenced.

    "Who cares?? The bottom line here is... YOU are no longer eligible to receive a commission for a real property sale."

    We've already established the fact that you were wrong. No further explanation needed.

    Join Date: Jun 2000
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    Senior Member, huh? HOLY GOD you have a lot of posts... 34,585?? You must have NO life! That's pathetic. Look, I'm sorry you flunked your freshman year of pre-law, and are living vicariously through a web forum, but stop making posts if you don't know what the hell you're talking about.

    "Take the firm to small claims court and take your chances. All you'll be out if you lose is the filing fee, no attorney fees." Thank you for not being a jerk, and thank you for the advice, ecmst 12. I really appreciate it. I was just getting online to post that the situation was taken care of by my local Board of Realtors. It normally takes a couple weeks time to do something like this, but my ex-broker got scared because she has already been fined and reprimanded for this once before. She took the easy way out and had her husband call me to arrange the wire... she didn't aplogize, and wouldn't talk to me. I confirmed everything with my bank this morning. I'll be $2500 richer tomorrow!

    Post all the garbage you want about me, because I'll never be back.
  9. #9
    jewell_diva is offline Junior Member
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    North Carolina

    ~"HUH??? Above you claimed that there was no such thing as a 'real estate license'."

    You said "REALTOR License, not REAL ESTATE Lisence, which is the proper term, and therefore also tells me you are completely uneducated about North Carolina Real Estate Law. Re-read your first post, Captain Lawyer-Wannabe.

    ~"Who cares?? The bottom line here is... YOU are no longer eligible to receive a commission for a real property sale."

    Yes I am. It was wired into my account and should be available for withdrawal by 12:00 am EST. Didn't even have to go to court, or putt up with your bull$hit. She should have paid me a referral fee no later than three business days following the recording of the deed at the courthouse. I learned this is the second time she has done this to someone.

    "The real terms (in NC) are:
    - Real Estate Broker (several levels - including 'provisional')
    - Real Estate Salesperson (expired April 1, 2006)
    (effective April 1, 2006, all salesperson licenses shall become broker licenses, and each person holding a broker license that was changed from salesperson to broker on that date shall be classifi ed as a provisional broker as defined in G.S. 93A-2(a2).)"

    WOW! You know how to GOOGLE!
    Why don't you re-Google "real estate law" and find the place where it says any broker leaving a firm is still enititled to earned commissions.

    "And of course, NONE of all of that is relevant to YOUR problem."
    Do you have a learning disability? It was completely relevant.
    YOU said:
    "1) Without a realtor license, you are likely restricted from being compensated for a real property transaction..." (LOL... there you go with the "Realtor Lisence" again)
    I replied:
    "When I did buisness with these clients, I was both an actively licensed broker, and I was a member of the Board of Realtors." At the time of business, I was (and still AM) lisenced.

    "Who cares?? The bottom line here is... YOU are no longer eligible to receive a commission for a real property sale."

    We've already established the fact that you were wrong. No further explanation needed.

    Join Date: Jun 2000
    Location: Somnambulist University
    Posts: 34,585


    Senior Member, huh? HOLY GOD you have a lot of posts... 34,585?? You must have NO life! That's pathetic. Look, I'm sorry you flunked your freshman year of pre-law, and are living vicariously through a web forum, but stop making posts if you don't know what the hell you're talking about.

    "Take the firm to small claims court and take your chances. All you'll be out if you lose is the filing fee, no attorney fees." Thank you for not being a jerk, and thank you for the advice, ecmst 12. I really appreciate it. I was just getting online to post that the situation was taken care of by my local Board of Realtors. It normally takes a couple weeks time to do something like this, but my ex-broker got scared because she has already been fined and reprimanded for this once before. She took the easy way out and had her husband call me to arrange the wire... she didn't aplogize, and wouldn't talk to me. I confirmed everything with my bank this morning. I'll be $2500 richer tomorrow!

    Post all the garbage you want about me, because I'll never be back.
  10. #10
    pattytx is offline Senior Member
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    Post all the garbage you want about me, because I'll never be back
    Oh, darn. That means you won't see this response:

    We don't care!
    ---------------------------------------------------------------------------------------------------------------------------------------------------------
    You have not won the law suit lottery; in fact, you haven't even won the law suit scratch-off.
  11. #11
    Zigner is offline Senior Member
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    From all of us - you're welcome and we're glad to have been able to assist you in recovering what you were owed.

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