Cases - Andrew v Ramsay & Co

Record details

Name

Andrew v Ramsay & Co

Date

[1903]

Citation

2 KB 635

Keywords

Estate agency

Summary

The plaintiff instructed the defendant estate agents to sell his property. The defendant found a buyer. It transpired that the defendant had had dealings with the buyer before, and the buyer had paid the defendant's commission for the transaction with the plaintiff. The plaintiff sought to recover both the secret commission and the commission he had paid. The defendant paid the secret commission into court, but claimed the right to keep the commission on sale.

Lord Chief Justice Alverstone said:

'A principal is entitled to have an honest agent, and it is only the honest agent who is entitled to any commission. In my opinion, if an agent directly or indirectly colludes with the other side, and so acts in opposition to the interest of his principal, he is not entitled to any commission.'

Commission was forfeited.