Tynemouth estate agents give undertakings to the OFT
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Two Tynemouth estate agents have been required to change their conduct and be more transparent in their dealings with consumers, following action by the Office of Fair Trading.
Gordon Reed and Jason Roberts, director and former director of Coast and Country Estate Management Limited who are trading as Roberts & Reed, Front Street, Tynemouth, have given undertakings to the OFT that they will comply with the provisions of the Estate Agents Act 1979 and related subordinate legislation, including the Estate Agents (Provision of Information) Regulations 1991 and the Estate Agents (Undesirable Practices) (No.2) Order 1991.
An investigation by the OFT into a consumer complaint indicated that Roberts & Reed had breached provisions of the above legislation but they have both given a commitment to the OFT that in future they will provide all prospective clients with written details of their charges and fees before they are committed to any liability towards them.
They are not to make any misrepresentations as to the existence or status of any prospective purchasers and pass on all offers promptly and in writing.
Both Reed and Roberts have fully co-operated with the OFT.
Christine Wade, OFT director of consumer regulation enforcement, says: Buying a house is both expensive and stressful for consumers.
Estate agents must be transparent in their dealings with clients, pass on all offers received and must not make misleading comments about prospective purchasers.
Due to the Enterprise Act there is now an expanded range of tools that can be used by the OFT to protect consumers.
If an agent breaches undertakings given to the OFT, the OFT may seek an Enforcement Order from the court.
If the agent then breaches the Enforcement Order, this would amount to contempt and could be punished by a fine and/or imprisonment.
Alternatively, if either Reed or Roberts were found to have committed the same or similar breaches again, the OFT could also consider banning them from estate agency work.
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