What should I do when co-owners cannot agree?
QUESTION: I have a listing where the co-owners cannot agree on anything. One owner wants to lower the list price, but the other refuses. We have received an offer that one owner wants to accept, but the other does not. How should I handle situations where co-owners give conflicting instructions? Can I simply choose what I consider to be the best instruction for my clients and go with that plan?
ANSWER: As an agent, you cannot decide what to do based only on what you think is best. This issue commonly arises in divorce proceedings, inherited property, family-owned property, and entity-owned property. Regardless of the circumstances, a broker should remember that their role is to facilitate the transaction, not decide disputes between owners. When co-owners cannot agree, the disagreement may ultimately need to be resolved by the owners, their attorneys, or the courts.
If a property has multiple owners at the time of listing, then best practice is to review any applicable court orders, trust documents, powers of attorney, operating agreements, partnership agreements, and other legal instruments may affect who has authority to make decisions concerning a property. Brokers should carefully review any applicable documents provided by their clients and consult legal counsel when necessary. These documents may well address what needs to happen when owners disagree later in the relationship.
When representing multiple owners, a broker owes duties to all of them. As a result, the broker must avoid favoring one owner’s instructions over another’s. If one owner wants to lower the list price agreed to in a listing agreement, and the other objects, the listing price should remain unchanged until both owners can agree. Likewise, if one owner wants to accept an offer and the other refuses, the transaction cannot move forward unless all owners agree.
Brokers should communicate with all owners and make sure each owner receives the same information. In many cases, that means informing each owner of the wishes, requests, and instructions being communicated by the other owner. It is generally appropriate to communicate one owner’s position to the other owner. In some situations, brokers may also need to communicate with the owners’ attorneys.
If an owner instructs a broker that the broker can no longer communicate fully with another owner, or if the agency relationship otherwise becomes too difficult to manage, then the broker should consider terminating agency. In some cases, an owner may be breaching the agency agreement or the purchase contract (or both). Owner(s) in breach may owe the listing firm a commission, and may face a claim for specific performance from the buyer. For these reasons, the listing agent should consult with their BIC and the firm’s legal counsel, and also recommend that owners seek their own legal counsel.
Release Date: 6/4/2026
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