procuring cause

procuring cause

A broker is considered the procuring cause of a sale and is entitled to a commission if the broker's efforts are the foundation on which negotiations resulting in a sale are begun.

References in periodicals archive ?
"In a business where we are so focused on procuring cause for lead payout, the waters become murkier here," he says.
Defining what constitutes "procuring cause" has been discussed extensively by every Trial and Appellate Court in the New York State.
These cases can be difficult to prosecute because there is usually no writing to support the broker's claim that they were the procuring cause of the transaction.
Whenever there is a dispute, often times, courts will look to determine the procuring cause of the transaction.
Upon occasion, the scope of his activities exceeds his intense concentration of leasing space, and he has been the procuring cause of different types of transactions, such as the sale of 405 Park Avenue.
JJG: If a broker can prove in court that he or she was the "procuring cause" for a sale, or lease of real estate he will be entitled to a brokerage commission based on a percentage of the purchase price on a sale or based on a percentage of the rents in the event of a lease.
Procuring Cause refers to the direct effort that brought about the desired result, or sale.
It is a well settled rule of brokerage law that in order to recover a commission, the broker is required to prove to be the "procuring cause" of the sale.
The answer lies in whether the broker was the procuring cause of the transaction.
The Appellate Division found that the language in the contract of sale constituted an admission by the seller that the broker was the procuring cause of the sale.
Exclusive brokerage agreements "cover" or "protect" the broker's right to a commission whether or not the broker is the procuring cause of the lease or sales transaction.
The answer to this question depends on whether the court finds that the broker abandoned the deal, or was instead the procuring cause of the sale.