Question

As per the homeowner's request, Tom removed the listing from the MLS 30 days prior to the listing expiration date. Another agent from a different broker has found a buyer who had previously viewed the property prior to the removal of the listing. Tom presented the offer to the seller which was accepted. Seller refused to pay commissions saying the listing was removed and thus the agency was terminated. However, Tom prevailed in obtaining the commission. Although the listing was removed as per the homeowner request, the agency remained in effect until the termination date had been reached. This is known as:

A. Resignation
B. Conditional termination
C. Unconditional release
D. Discharge

Answer 1

Tom removed the listing from MLS before the expiration date, but the agency relationship was still effective until the termination date. After fulfilling the obligation of presenting an offer which was accepted, Tom is entitled to commission. The situation is referred to as Discharge.

Step-by-step explanation:

In the scenario described, although Tom removed the listing from the MLS as per the homeowner’s request before the listing expiration date, the agency agreement remained effective until the agreed upon termination date. The acceptance of the offer by the seller, which was presented by Tom, implies that the agency relationship was still in place and therefore Tom was entitled to the commission. The situation described is best characterized as Discharge, which in legal terms refers to the completion or termination of an obligation. In real estate, a discharge means that the agent has fulfilled their obligations under the agreement and is entitled to payment.