Terms of Business for Estate Agency Services
Phipps and Pritchard with McCartneys Estate Agent Confirmation of instructions
Agreement
(In accordance with the Estate Agents Act 1979 and The Estate Agents (Provision of Information)
Regulations 1991)
TERMS AND CONDITIONS OF BUSINESS
Important Notice
This is a legal document. Please take time to read it carefully and ask any questions relating to the terms and
conditions below before signing.
1.
This is a Joint Agency Agreement between
Phipps and Pritchard with McCartneys (the “Agent”) and
(the “Client):
Correspondence address:
FOR THE SALE OF (the “Property)
This agreement is for marketing starting on the date of this agreement for a minimum period of 14 weeks (the
“Minimum Period”) and will continue after the Minimum Period unless and until terminated by notice under the
termination of agency clause below.
This agreement appoints the Agent to market the Property for sale on the terms set out below agreed between the
parties. The Property will be marketed at an initial asking price of £
. (The asking price is not a valuation
but a figure for marketing purposes). The asking price may subsequently be changed with the Client’s agreement.
2.
Agency Fees
Commission of
% of the selling price at which contracts are exchanged (including any part of the price
attributable to contents (such as curtains, carpets and any other fixtures and chattels) where their sale is agreed by
the Agent) + VAT at the prevailing rate will be charged by the Agent if payable under the terms of this agreement.
Based on the initial asking price referred to above our fee will be £
inclusive of VAT.
Please note that should the final sale price be higher or lower than the asking price our commission will be
correspondingly higher or lower.
And is subject to a minimum fee of £
inclusive of VAT.
Or
A fixed fee of £
inclusive VAT will be charged by the Agent if earned under the terms of this agreement
whatever sale price is eventually agreed.
Additional Notes
TCA/JAA/04/14
Page 1 of 6
3.
Energy Performance Certificate (“EPC”)
Before a residential property can be marketed, an EPC must be available or have been commissioned. Failure by
the Agent or Seller to comply with this requirement carries a penalty charge of £200.
Do you the Client require the Agent to produce your EPC? Yes / No (Please select) at an upfront fee of
£
inclusive of VAT.
4.
Sale Board
Do you the Client require the Agent to erect a sale board at the Property? Yes / No (Please select)
5.
The Agent’s Charges
The commission the Client pays the Agent is based on the total value of the transaction including the price of
fixtures and fittings.
The total value of the transaction will also include the value of any non cash consideration put forward by the buyer
including the property exchanged.
The amount charged will be either the percentage rate or the specified amount shown, subject to any minimum fee
detailed above.
6.
Withdrawal Charges
If the Agency Agreement is terminated by the Client or the Property is sold, in either case other than in
circumstances entitling the Agent to a fee as stated in these terms and conditions, the Client will pay to the Agent a
withdrawal charge of £
including VAT plus any agreed marketing charges. The withdrawal charge will be
paid by the Client within fourteen days of withdrawal. This does not affect the Client’s rights to withdraw or withhold
payment where the Agent has failed in his obligations and responsibilities to the Client under this Agreement.
7.
Marketing Expenses
The client agrees to reimburse Phipps and Pritchard with McCartneys for the marketing expenses and
disbursements whether a sale takes place or not (unless agreed otherwise in writing) to a maximum sum of £
including VAT. Phipps and Pritchard with McCartneys reserve the right to forward an interim account for said
expenses/ disbursements during the marketing period.
8.
Settlement of Fees
(a) Fees Payable for Joint Agency
Commission fees are payable as a result of the circumstances outlined in this Agreement. Fees become due at
exchange of contracts or (if there is no contract) upon completion of the sale. If unconditional contracts are
exchanged for the sale of the Property but the transaction fails to complete the Agent is still entitled to commission
and this is to be paid out of deposit monies held by the client’s legal advisor within 7 days of the contracted
completion date.
(b) Responsibility for the payment of these fees remains with the Client (Clients who are jointly severally liable)
named above. The Agent will submit his account to the Client’s solicitors/licensed conveyance who should settle
the payment no later than three working days after completion or three months after exchange of contracts on the
Property, whichever is sooner.
If the account remains unpaid after the payment date the Agent reserves the right to charge daily interest on the
outstanding balance at an annual rate of interest of 4% above the Bank of England base rate from the due payment
date until payment is received in full.
9.
Double Commission Warning
The Client may be liable to pay agency fees to more than one agent if:
- The Client has previously instructed another agent to sell the same property on a sole agency, multiple
agency or sole selling rights basis; or
- The Client instructs an additional agent during or after the period of the Agent’s Joint agency.
TCA/JAA/04/14
Page 2 of 6
10. Joint Agency – Liability to Pay Commission
The Client will be liable to pay remuneration to the Agent, in addition to any other costs or charges agreed, in each
of the following circumstances:
i) If unconditional contracts for the sale of the Property are exchanged in the period during which
the Agent has Joint agency rights to a purchaser introduced by the Agent or by another Agent.
ii) If unconditional contracts for the sale of the Property are exchanged after the expiry of the period
during which the Agent has Joint agency rights but to a purchaser who was introduced to the Client during
that period or with whom the Agent had negotiations about the Property during that period.
But where the Client exchanges unconditional contracts for the sale of the property after the expiry of the period
during which the Agent has Joint agency rights, the Client will only be liable to pay remuneration to the Agent under
paragraph ii) above if:
- Such exchange of contracts takes place through another agent within six months after such expiry; or
- Where no other agent is involved, such exchange takes place within twelve months after such expiry.
Reference above to the exchange of unconditional contracts shall be deemed to include:
(a) Completion of a sale of the Property where no contracts are exchanged; and
(b) The exchange of a conditional contract the condition(s) of which is subsequently satisfied.
11.
Termination of Agency
Either party can terminate this agreement by giving twenty-one days notice to the other in writing. The twenty-one
days notice may be given at any time to terminate this agreement at the end of or after the last day of the Minimum
Period.
The Agent shall be entitled to terminate this Agency Agreement at any time by giving written notice to the Client to
that effect if:
- The Client is in breach of any of his obligations in this Agency Agreement and (if the breach is capable of
remedy) fails to remedy the same within seven days notice in writing from the Agent to do so; or
- The Client persistently breaches his obligations in this Agency Agreement.
12.
Access to Premises
The Client agrees to co-operate in the arrangement of viewings of the Property and to permit the same at
reasonable times, on reasonable notice.
It is the Agent’s usual practice to release the keys to certain professionals who require access, such as surveyors
acting on behalf of the purchasers. In order to avoid delaying the sale, once the Agent has established their
identity, they are permitted to inspect the Property unaccompanied. Please advise the Agent immediately if this is
NOT acceptable to the Client. The Agent will continue to seek the Client’s permission to allow unaccompanied
visits by any other third parties such as trades people or representatives of any utility companies.
The Agent accepts no responsibility for any damages to the property resulting from frost or other damage.
13.
Extra Services
It is the intention of Phipps and Pritchard with McCartneys to offer its Estate Agency, Associated Mortgage and
other services to any prospective purchaser and the Client agrees to this.
14.
Personal Interest
By law, the Agent must declare whether there is a personal interest in the sale of the Property. To assist the Agent
to fulfil this obligation the Client is asked to indicate any personal association with the Agent of which the Client is
aware. If the Client is, or thinks there may be, a close relative or a friend or have any business interests with
anyone involved with the Agent, the Client should let the Agent know immediately.
Is the Client aware of any such interest? Yes / No
TCA/JAA/04/14
(Please select)
Page 3 of 6
15.
The Property Details
The Property details the agent has prepared after the Agent’s visit are either attached to this agreement or will be
sent to the Client as soon as they have been prepared. Under current legislation, anything the Agent says or
publishes about the Property as the Client’s Agent must not be false or misleading. It is very important that the
Client reads these details carefully and immediately informs the Agent if there is anything that the Client thinks the
Agent should have included or that is inaccurate or misleading. Please remember that the Agent cannot say
anything about the Client’s property that the Agent cannot prove. For example, the Agent should not say that a
home has cavity-wall insulation if there are no guarantees or invoices to show that the work was done.
16.
Data Protection
The Agent is registered under the Data Protections Act 1998. The Client agrees to the Agent holding, processing
and disclosing personal data of the Client (including any details or photography of the Property and any sale
agreed) for any reason connected with the marketing of the Property or negotiations in respect of its proposed sale,
in the Agent’s own marketing or advertisement campaigns, to other agents for the purpose of comparing property
sale prices or for any other purpose permitted by law, both before and after the termination of this Agency
Agreement.
17.
Money Laundering
Under the Money Laundering Regulations 2007 the Agent is legally obliged to undertake Customer Due Diligence.
This will required the Client to produce to the Agent satisfactory evidence of the Client’s identity and current
residential address.
18.
The Ombudsman Services
The Agent is a member of a redress scheme. The Client agrees that the Agent may give information about the
sale of the Client’s property to the Redress Scheme, if the Client has registered a complaint and he asks for that
information. The Client also agrees that the Agent may give the Client’s contact details to the Redress Scheme (if
they ask for it).
19.
Consumer Protection From Unfair Trading Regulations 2008 (“CPRs”)
The Agent is obliged to comply with CPRs which require the Agent to disclose information of which the Agent is
aware in relation to the Property (which includes any information relating to any defects in or drawbacks of the
Property) in a clear, intelligible and timely fashion. The Client must not raise any objection to any statement made
or action taken by the Agent with a view to complying with the CPRs.
20.
In-House Complaints Handling
The Agent maintains and operates an in-house complaints handling procedure, a copy of which is available upon
request. In the event that any complaint is not resolved between the Agent and the Client in accordance with such
procedure, the Client has a right to refer the matter to the Redress Scheme.
21.
Compliance with Laws
The Agent and the Client acknowledge their respective obligations to comply with all applicable laws in the
marketing and prospective sale of the Property and mutually agree to do so. Where the law and the interest of the
Client conflict, adherence to the law must prevail.
22.
Copyright
The Agent retains the copyrights to all sales particulars, photographs, floor plans, sketches and advertisements in
respect of the Property, none of which may be reproduced without the Agent’s express written consent.
23.
Limitation of Liability
(a) Subject as provided below so far as permissible by law our aggregate liability to you for loss or damage
caused by our negligence or breach of contract shall be limited to the higher of £50,000 or ten times the Agent's
fee for the services provided by us to which the claim relates.
TCA/JAA/04/14
Page 4 of 6
(b) We shall not accept liability for any indirect or consequential loss such as costs, expenses, out of pocket
expenses, losses, loss of profits, loss of earnings, loss of opportunity, loss of change or any liabilities of a similar
nature.
(c) No liability shall be excluded in respect of death or personal injury.
(d) If any clause, sub clause, provision or part of a provision relating to limitation of liability is declared void,
voidable, illegal or otherwise unenforceable the remaining provisions shall remain in full force and effect.
24.
Interpretation
In this the Agency Agreement, words referring to the masculine include the feminine and words in the singular
include the plural and vice versa in each case.
26.
Signatures
Before signing this Agreement you should ensure that you have read the terms of the agreement and asked for
clarification of any issue that is not understood.
By signing this Agreement, the Client is entering into a legally binding agreement and confirms that the Client has
read and agrees to the terms and conditions of this Agreement.
The Client acknowledges and warrants that by appointing the Agent the Client is contracting on behalf of the Client
and all owners of the Property.
The Client declares that all areas of the property are safe to be viewed/accessed and if the condition of the
property changes or the Client is uncertain how safe a particular area is the Client will notify the Agent immediately.
27.
Communication by E-Mail
Do you the client agree to accept correspondence by e-mail YES/NO (please select)
Please state e-mail address to be used:
CLIENT’S SIGNATURES
Signed ......................................................................... Date ...................................................
Print Name:
The Client
Signed ........................................................................ Date ...................................................
Print Name:
The Client
-------------------------------------------------------------------------------------------------------------------------AGENTS SIGNATURE
Signed ......................................................................... Date
Print Name:
Position
For and on behalf of Phipps and Pritchard with McCartneys
TCA/JAA/04/14
Page 5 of 6
Cancellation Notice
Name of the Agent: Phipps and Pritchard with McCartneys
Address of Agent:
Client Contract Reference Number:
Date of Contract:
Client Cancellation Rights
You have the right to cancel this contract within fourteen days of the date of the contract.
If you wish to cancel the contract you MUST DO SO IN WRITING and deliver personally or send (which may be by
electronic mail) this to the person named below. You may use this form if you want to but you do not have to.
(Complete, detach and return this form ONLY IF YOU WISH TO CANCEL THE CONTRACT)
Client Cancellation Notice:
To:
Name of Agent Phipps and Pritchard with McCartneys
Address of Agent
Client Contract Reference Number
I/We* hereby give notice that I/We* wish to cancel my/our* contract. *delete as appropriate
From:
Name of Client ................................................................................................
Address of Client...............................................................................................................................................
............................................................................................................................................................................
Signed .................................................................................................... Date .................................................
Your cancellation notice takes effect on the day of posting.
__________________________________________________________________________________________
Agreement for the Commencement of Work
I (Name of Client)
Client Contract Reference Number:
Date of Contract:
Name of Agent: Phipps and Pritchard with McCartneys
I would like the performance of this contract to begin before the expiry of the cancellation period.
Thus I understand that I have a fourteen day period from the date of the contract in which I may cancel the
contract. Therefore if I subsequently exercise my right to cancel I agree to pay the Agent’s reasonable costs of
providing services to me under this contract up to the point of cancellation.
I confirm that I wish the work to start on
(Date)
Signed ........................................................................................................... Date ....................................................
TCA/JAA/04/14
Page 6 of 6