Samuel Nichols, Inc. v. Berte

1989 Mass. App. Div. 37, 1989 Mass. App. Div. LEXIS 65
CourtMassachusetts District Court, Appellate Division
DecidedFebruary 28, 1989
StatusPublished

This text of 1989 Mass. App. Div. 37 (Samuel Nichols, Inc. v. Berte) is published on Counsel Stack Legal Research, covering Massachusetts District Court, Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Samuel Nichols, Inc. v. Berte, 1989 Mass. App. Div. 37, 1989 Mass. App. Div. LEXIS 65 (Mass. Ct. App. 1989).

Opinion

Hershfang, J.

Samuel Nichols, Inc., a real estate brokerage firm, (“Nichols”), sued for a real estate sales commission under its "Exclusive Agreement to Sell” form (the Form). Without word to Nichols, defendants had sold their property to their neighbors, the Hanulas, about eleven months after Marcia Nichols had shown it to Mr. Hanula. Nichols says the agreement continues indefinitely after the first ninety days unless and until defendant gives thirty days prior written notice of termination. The trial judge found that Nichols had received and accepted oral notice of termination and had waived the need for written notice, and found for defendants. Nichols contends that insufficient evidence warrants the finding for defendants. We agree with the trial judge.

From the Report the following facts emerge:

Alexander T. Berte (Alexander), one of the defendants here, came into Nichols’ offices in Roslindale on or about July 20, 1985. Present at the time were Nichols’ employees, Samuel Nichols and Marcia Nichols, each a licensed real estate broker with at least fifteen years experience. Alexander listed with Nichols the property he owned with his wife, Joan Berte, at 576 South Street, Roslindale. Alexander then accompanied Samuel Nichols (Samuel) to the dwelling where Samuel, on a so-called listing card which appeared on the back side of the Form, made notations concerning the premises’ condition, its rent and its utilities’ costs. Samuel and Alexander then returned to Nichols’ office where Alexander signed the Form. Mrs. Berte signed it thereafter.

The Form, printed except for the addition of dates and numbers, is set forth in the margin.2

[38]*38The Form purports to establish three time periods. Payment of a 6 percent commission to Nichols is due on any sale effected during the first 90 days. The same 6 percent fee is due on any sale of the property within the following second 90 day period “to any person or firm to whom said property was recommended, shown or exhibited during the term hereof.” In the third time period following the one hundred eighty days, unless Nichols gets thirty days prior written notice the same 6 percent fee is to be due on a sale to any such person no matter when the sale is made.

Within the next approximately ten-twelve days following the signing of the agreement, Marcia Nichols showed the property to several of her customers. During that time Bogdan Hanula, a neighbor of the Bertes, expressed interest and Ms. Nichols twice showed the property to him. In early August, 1985 Ms. Nichols submitted offers to the Bertes, the highest being $120,000.00. She also included an oral offer from Mr. and Mrs. Hanula for a sum less than $115,000.00. The Bertes, who had listed the property with Nichols for a sale price of $130,000.00, declined all of these offers.

About twenty days after all this began, on August 9, 1985, Ms. Berte called Ms. Nichols and said the Bertes were taking the house off the market because they decided it would need certain repairs and they were having tenant problems. Ms. Berte’s brother was to move into one of the vacant apartments and help make those repairs. In their telephone discussion, Ms. Nichols encouraged the Bertes to list the property with Nichols when and if the Bertes decided to put it back on the market. As the trial judge expressly found, as a consequence of that telephone discussion, “Ms. Nichols agreed to take the property off the market ánd the plaintiff [Nichols] made no further attempts to sell this property.” About a year later, Nichols learned from a trade newspaper that the Bertes’house had been sold to the Hanulas for $120,000.00. The sale had taken place on July 14, 1986. Nichols filed suit, claiming an entitlement to a 6 percent commission on that $120,000.00 sale, or $7,200.00. The trial judge concluded the agreement had been terminated, the provision requiring written notice having been waived, and found for defendants, the Bertes.

Nichols timely filed four numbered requests for rulings, two of which were denied. It claimed to be aggrieved by the denial of those two requests, numbered #1 and #4, which read as follows:

1. On all the law and evidence, there must be a finding for the plaintiff because:
. A. The agreement entered into by and between the parties is a binding contract.
■B. There is consideration flowing from the plaintiff to the defendants.
C. The agreement entered into by and between the parties cannot be revoked at the option of the defendants.
D. The plaintiff, its agents, servants or employees did introduce the Hanula family or buyers of the real estate in issue to the real estate before the revokal of said exclusive agreement to sell.
4. There is insufficient evidence to warrant a finding for the defendants.

Appellant presses no argument concerning the denial of the Request for Ruling #1, and we shall thus not consider it.3___

[39]*39We are left with appellants’ single contention, that insufficient evidence warranted the finding of waiver the judge made on the aforesaid contract provision calling for thirty day written notice.

In considering Nichols’ contention here it may be helpful first to explain what this case is not about. This is no ordinary brokerage claim where “the broker is entitled to a commission only if he is the efficient or predominating cause of the sale of the property.” Bump v. Robbins, 24 Mass. App. Ct. 296, 303 (1987). Here the trial judge noted that “[although the plaintiff [Nichols] showed the house to the ultimate purchasers, no written offer of an acceptable amount was made to the defendants [the Bertes] and plaintiff did not participate in the ’.ater negotiations for the purchase . . . [The Bertes] took the house off the market in order to repair it and sold it approximately one year later at the same price as h.ad been turned down the year before.” Although services were provided by Nichols, the trial judge concluded “that the plaintiffs efforts were not the real, predominating and efficient cause of the sale.” This result is not unusual, for as Bump v. Robbins points out, brokerage contracts “by their very nature entail a high risk of noncompensation ... It is not at all uncommon for a broker to perform services for which he is not compensated.” op. cit, at p. 305. Indeed, Nichols does not appear to contend otherwise.

Instead, Nichols’ claim to a 6 percent commission is based solely on its exclusive brokerage agreement. In the “Argument” portion of Nichols’ brief,4 the first almost nine pages discourse on the differences between bilateral and unilateral agreements. In substance, Nichols argues that the agreement here (the Form) constitutes a bilateral agreement which cannot be revoked during its term; the term was indefinite at least so long as no 30 day written notice was sent; no written notice was issued; the property was sold to someone it had introduced, and Nichols is thus entitled to a commission. Nichols also cites and appears to rely on its recent success in Samuel Nichols, Inc. v. Molway, 25 Mass. App. Ct. 913 (1987) where the Form used here was used and interpreted. Nichols’ analysis is wrong and its reliance misplaced.

The cited Bump

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Related

Plymouth Port, Inc. v. Smith
530 N.E.2d 194 (Massachusetts Appeals Court, 1988)
Bump v. Robbins
509 N.E.2d 12 (Massachusetts Appeals Court, 1987)
Costonis v. Medford Housing Authority
176 N.E.2d 25 (Massachusetts Supreme Judicial Court, 1961)
Suit v. Woodhall
113 Mass. 391 (Massachusetts Supreme Judicial Court, 1873)
Zlotnick v. McNamara
16 N.E.2d 632 (Massachusetts Supreme Judicial Court, 1938)
Samuel Nichols, Inc. v. Molway
515 N.E.2d 598 (Massachusetts Appeals Court, 1987)

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Bluebook (online)
1989 Mass. App. Div. 37, 1989 Mass. App. Div. LEXIS 65, Counsel Stack Legal Research, https://law.counselstack.com/opinion/samuel-nichols-inc-v-berte-massdistctapp-1989.