In the context of real estate, what does "procuring cause" refer to?

Procuring cause refers specifically to the initial efforts that lead to a successful sale or transaction in the context of real estate. It highlights the actions taken by a broker or agent that directly result in a buyer purchasing a property. This concept is crucial in determining commission disputes and understanding who is entitled to the commission if multiple agents were involved.

When an agent can establish that their activities, such as introducing a buyer to a property and facilitating the sale process, significantly contributed to the successful closing of a sale, they are generally recognized as the procuring cause. This underscores the importance of the agent's initial involvement and subsequent actions in real estate transactions.

Understanding this term helps agents navigate their roles and responsibilities within transactions, establishing their entitlement to commissions based on their contributions to the sale process.