Question: I have an exclusive buyer brokerage agreement with my buyer client and have been diligently working with him for quite some time. The buyer has suddenly stopped returning my calls and texts. I have now learned that he is under contract to purchase a home and is working with a new agent from another brokerage. What can I do?

Answer: First, review the exclusive buyer brokerage agreement that you have between your brokerage and the buyer. It can provide a contractual basis for payment by your buyer client for whom you are providing, or have provided, valuable services. You will need to determine if the buyer has breached that agreement with your brokerage. You and your designated managing broker might want to consult the brokerage's legal counsel to discuss the situation and review the terms of the exclusive buyer brokerage agreement. The brokerage's legal counsel could then advise as to the brokerage's options versus the buyer as it relates to their potential breach of the brokerage agreement. Your brokerage will then make a business decision as to whether it wishes to seek enforcement of the agreement against this buyer who appears to have gone rogue.

Another option to consider would be to file for arbitration under Article 17 of the Code of Ethics on the question of procuring cause.* A hearing panel would need to consider both sides of the argument to determine who best fits within the definition of procuring cause.

NAR has produced a 17-questions "Arbitration Worksheet" available here that you might review. This worksheet contains pertinent questions and factors that a hearing panel would consider in such a dispute. The existence of an exclusive buyer brokerage agreement will be one factor in an arbitration panel's consideration of a procuring cause argument, and while it may not be a deciding factor, it could be a factor in your favor.

If you find yourself in a commission dispute or a contractual dispute with your client, you should visit with your managing broker and perhaps your brokerage's legal counsel for advice on how best to proceed. Your managing broker will need to be on board with any decision regarding the efforts for the brokerage to be paid.

*Article 17 provides for arbitration between REALTORS® in certain non-contractual situations. This could be a situation where one buyer brokerage could seek arbitration or mediation against the buyer brokerage that got paid.