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In the Spotlight: Evidence in Broker's Actions for Commissions
In the litigation of an action brought to recover real-estate brokerage commissions, evidence that is ordinarily excluded is nevertheless admitted because of the necessities attendant in such actions for the claimant to establish the elements of a cause of action.
Specifically, in New York, hearsay testimony of conversations between a broker and a prospect not in the presence of a seller is allowed, as is proof of a seller's motive in refusing to sell after a meeting of minds has been procured. Proof of the acceptance by a seller of a prospect identified by a broker may be received in lieu of the requirement that a broker must prove the financial capacity of a prospect in a transaction that failed to close.
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