On February 7, C. L. Hollaway, a real estate broker, obtained an open listing to sell Forshees

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On February 7, C. L. Hollaway, a real estate broker, obtained an open listing to sell Forshee’s residence. The property was listed for sale at $55,000, and Hollaway was to receive a 6 percent commission if he sold it. On May 17, Elaine Sparks, a real estate agent who worked for Hollaway, showed the Forshee property to Mr. and Mrs. Corris Bell. She told the Bells where Forshee lived. She also offered to help the Bells find financing but was told that they were obtaining financing themselves. On May 23, Sparks learned that the Forshee property had been sold to the Bells. Hollaway then brought a lawsuit against Forshee to recover a commission. Was Hollaway entitled to a commission on the grounds that his sales agent had been the effective procuring cause of the sale?

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Law for Business

ISBN: 978-1259722325

13th edition

Authors: A. James Barnes, Terry M. Dworkin, Eric L. Richards

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