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Estate Agent Withdrawal Fee.

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  • Estate Agent Withdrawal Fee.

    I put my house on the market with Newton Fallowell on 21/06/2018 and signed their sole selling rights agreement. Having had 14 viewings up to the end of June 2019 and having had one offer well below the asking price and having reduced the price below that which they had recommended I gave them the required 28 days notice to withdraw the property from the market which expired on 01/06/2019.

    When I signed the sole selling rights agreement there wasn't any discussion about the small print on the back and I didn't read the 22 listed conditions. There was no mention of a withdrawal fee at the time but it does say "3. We require 28 days notice after the expiry of the minimum term of the sole selling rights agreement, in writing for withdrawal of the property from the market and to cancel our sole selling rights agreement and we reserve the right to withdraw the property from the market upon giving 28 days notice in writing to you. At the date of receipt of such notice of withdrawal we reserve the right to charge you a fee of £300 inc vat towards reasonable marketing expenses incurred by Newton Fallowell".

    Although the property was meant to be withdrawn from the market on 01/06/2019 it was still being marketed on Rightmove by Newton Fallowell on 12/06/2019 and I had to request that they removed it.


    Whilst I understand they have had costs associated with listing my property I consider the £300 excessive given the fact they had failed to sell the property, hadn't made me aware of the withdrawal fee at the time I signed the agreement and the fact it took them 12 days to remove the property from Rightmove.


    Am I legally obliged to pay the £300 invoice?


    I'd be grateful for any advice.
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  • #2
    There can be problems enforcing the small print terms on the back of consumer contracts, but in practice you might want to avoid court action over a fairly small sum.

    What I suggest you do is complain to the firm that this contract term was unfair and ask them to investigate formally. Point out to them the ruling in OFT vs Foxtons, which found that a similar term was unenforceable. When, inevitability, they reject your complaint, complain to the ombudsman. All estate agents belong to one of three ombudsman services. At the same time, offer the agent perhaps £100 to drop their claim.

    people here could advise you better with sight of the contract. Can you post that, minus your name and address?

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