Mark Reality Inc Vs Rogn Essay

726 words - 3 pages

Mark Realty, Inc. v. Rogness

418 SO.2D 373 (1982)

District Court of Appeals of Florida

COWART, Judge

Tilman A. Rogness, owner, entered into four separate agreements with Mark Realty, Inc., a real estate broker.  They were entitled "exclusive right of sale" and gave the broker, for a stated period of time, the exclusive right to sell the property for a certain stated price and on certain terms.  The broker sued on the four agreements for brokerage commissions, alleging that during the time provided in the agreements the owner had conveyed the four properties.  The owner's answer alleged affirmative defenses to the effect that the owner had "canceled, revoked, and terminated" ...view middle of the document...

  Such a transaction as this is an offer by the owner of a unilateral contract, an offered promise to pay by the owner, creating in the broker a power of accepting the offer by actual rendition of the requested services.  The only contemplated contract between the owner and broker is a unilateral contract - a promise to pay a commission for services rendered.  Such an offer of a promise to pay a commission for services rendered is revocable by the owner by notice before the broker has rendered any part of the requested service.

On the other hand, the transaction between the owner and the broker can be a bilateral contract.  An owner who puts his land in the hands of a broker for sale usually clearly promises to pay a commission, but the broker rarely promises in return that he will produce a purchaser, although he often promises, expressly, or impliedly, that he will make certain efforts to do so.  If the parties have thus made mutual promises, the transaction no longer has the status of an unaccepted offer - there is an existing bilateral contract and neither party has a power of revocation.  During the term of such a...

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