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</o:shapelayout></xml><![endif]--></head><body lang=EN-US link="#0563C1" vlink="#954F72"><div class=WordSection1><p class=MsoNormal style='margin-bottom:12.0pt'><font size=2 face="Times New Roman"><span style='font-size:11.0pt;font-family:"Times New Roman",serif'>An out-of-state real estate broker entered into a “Referral Agreement” with a property owner (Seller) with respect to commercial real property in this state. The key provisions of the agreement are:<o:p></o:p></span></font></p><p class=MsoListParagraphCxSpFirst align=left style='text-align:left;text-indent:-.25in;line-height:15.0pt;mso-list:l0 level1 lfo1;background:white'><![if !supportLists]><font size=3 color=black face="Times New Roman"><span lang=EN style='font-size:12.0pt;font-family:"Times New Roman",serif;color:windowtext'><span style='mso-list:Ignore'>1.<font size=1 face="Times New Roman"><span style='font:7.0pt "Times New Roman"'> </span></font></span></span></font><![endif]><font color=black face="Times New Roman"><span lang=EN style='font-family:"Times New Roman",serif;color:windowtext'>Broker will provide property information and contact information for Seller to prospective buyers for the property with the intent that buyer will submit an offer on the property with the intent to purchase the property. <o:p></o:p></span></font></p><p class=MsoListParagraphCxSpMiddle align=left style='text-align:left;text-indent:-.25in;line-height:15.0pt;mso-list:l0 level1 lfo1;background:white'><![if !supportLists]><font size=3 color=black face="Times New Roman"><span lang=EN style='font-size:12.0pt;font-family:"Times New Roman",serif;color:windowtext'><span style='mso-list:Ignore'>2.<font size=1 face="Times New Roman"><span style='font:7.0pt "Times New Roman"'> </span></font></span></span></font><![endif]><font color=black face="Times New Roman"><span lang=EN style='font-family:"Times New Roman",serif;color:windowtext'>Broker will have no further involvement in the process of evaluating the property or negotiating any potential transaction.<o:p></o:p></span></font></p><p class=MsoListParagraphCxSpLast align=left style='text-align:left;text-indent:-.25in;line-height:15.0pt;mso-list:l0 level1 lfo1;background:white'><![if !supportLists]><font size=4 color=black face="Times New Roman"><span lang=EN style='font-size:12.5pt;font-family:"Times New Roman",serif;color:windowtext'><span style='mso-list:Ignore'>3.<font size=1 face="Times New Roman"><span style='font:7.0pt "Times New Roman"'> </span></font></span></span></font><![endif]><font color=black face="Times New Roman"><span lang=EN style='font-family:"Times New Roman",serif;color:windowtext'>Seller agrees to pay Broker a referral fee of 6% in case a transaction is completed with Buyer.</span></font><font size=4 color=black face="Times New Roman"><span lang=EN style='font-size:12.5pt;font-family:"Times New Roman",serif;color:windowtext'> <o:p></o:p></span></font></p><p style='margin:0in;margin-bottom:.0001pt;background:white'><font size=3 face="Times New Roman"><span lang=EN style='font-size:12.0pt'><o:p> </o:p></span></font></p><p style='margin:0in;margin-bottom:.0001pt;background:white'><font size=3 face="Times New Roman"><span lang=EN style='font-size:12.0pt'>The Seller has sold the property to a Buyer introduced by the Broker to the Seller. Is the Broker entitled to collect his commission, or is he barred from collecting it by RCW 18.85.331? <o:p></o:p></span></font></p><p style='margin:0in;margin-bottom:.0001pt;background:white'><font size=3 face="Times New Roman"><span lang=EN style='font-size:12.0pt'>That statute, set out in full below, provides that a</span> prerequisite to a suit for compensation as a real estate broker is that the plaintiff was a licensed as such at the time of the “</font><span lang=EN>contract for the payment of compensation for any contemplated real estate transaction.” Does anyone know of any case law addressing a “referral agreement,” however stylized, which attempts to skirt the statutes regulating real estate brokers.</span><o:p></o:p></p><p style='margin:0in;margin-bottom:.0001pt;background:white'><font size=3 face="Times New Roman"><span lang=EN style='font-size:12.0pt'><o:p> </o:p></span></font></p><p style='margin:0in;margin-bottom:.0001pt;background:white'><font size=3 face="Times New Roman"><span style='font-size:12.0pt'><o:p> </o:p></span></font></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;line-height:15.0pt;background:white'><b><font size=2 face="Times New Roman"><span lang=EN style='font-size:11.0pt;font-family:"Times New Roman",serif;font-weight:bold'>RCW 18.85.331. License required - Prerequisite to suit for commission </span></font></b><font face="Times New Roman"><span lang=EN style='font-family:"Times New Roman",serif'><o:p></o:p></span></font></p><p class=MsoNormal style='mso-margin-top-alt:auto;mso-margin-bottom-alt:auto;line-height:15.0pt;background:white'><font size=2 face="Times New Roman"><span lang=EN style='font-size:11.0pt;font-family:"Times New Roman",serif'>It is unlawful for any person to act as a real estate broker, managing broker, or real estate firm without first obtaining a license therefor, and otherwise complying with the provisions of this chapter.<o:p></o:p></span></font></p><p class=MsoNormal><font size=2 face="Times New Roman"><span lang=EN style='font-size:11.0pt;font-family:"Times New Roman",serif'>No suit or action shall be brought for the collection of compensation as a real estate broker, real estate firm, managing broker, or designated broker, without alleging and proving that the plaintiff was a duly licensed real estate broker, managing broker, or real estate firm before the time of offering to perform any real estate transaction or procuring any promise or contract for the payment of compensation for any contemplated real estate transaction.</span></font><o:p></o:p></p><p class=MsoNormal><font size=2 face=Calibri><span style='font-size:11.0pt'><o:p> </o:p></span></font></p><p class=MsoNormal><font size=4 color="#1f497d" face=Arial><span style='font-size:13.0pt;font-family:"Arial",sans-serif;color:#1F497D'>Rod Harmon</span></font><o:p></o:p></p><p class=MsoNormal><b><font size=4 color="#1f497d" face=Arial><span style='font-size:13.0pt;font-family:"Arial",sans-serif;color:#1F497D;font-weight:bold'> </span></font></b><o:p></o:p></p><p class=MsoNormal><b><font size=4 color="#1f497d" face=Arial><span style='font-size:13.0pt;font-family:"Arial",sans-serif;color:#1F497D;font-weight:bold'>RODNEY T. HARMON</span></font></b><o:p></o:p></p><p class=MsoNormal><b><font size=2 color="#1f497d" face=Arial><span style='font-size:11.0pt;font-family:"Arial",sans-serif;color:#1F497D;font-weight:bold'> Attorney at Law</span></font></b><o:p></o:p></p><p class=MsoNormal><font size=2 color="#1f497d" face=Arial><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D'> P.O. Box 1066</span></font><o:p></o:p></p><p class=MsoNormal><font size=2 color="#1f497d" face=Arial><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D'> Bothell, WA 98041</span></font><o:p></o:p></p><p class=MsoNormal><font size=2 color="#1f497d" face=Arial><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D'> Tel: (425) 402-7800</span></font><o:p></o:p></p><p class=MsoNormal><font size=2 color="#1f497d" face=Arial><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D'> Fax: (425) 458-9096</span></font><o:p></o:p></p><p class=MsoNormal><font size=2 color="#1f497d" face=Arial><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D'> <a href="http://www.rodharmon.com">www.rodharmon.com</a></span></font><o:p></o:p></p><p class=MsoNormal><font size=2 color="#1f497d" face=Arial><span style='font-size:10.0pt;font-family:"Arial",sans-serif;color:#1F497D'> <a href="mailto:rodharmon@msn.com">rodharmon@msn.com</a></span></font><o:p></o:p></p><p class=MsoNormal style='margin-top:6.0pt'><font size=2 face=Calibri><span style='font-size:11.0pt'><o:p> </o:p></span></font></p><p class=MsoNormal><font size=2 face=Calibri><span style='font-size:11.0pt'><o:p> </o:p></span></font></p></div></body></html>