P orally engaged D to sell P's land, for which D was to receive a commission of $1,000. D falsely represented that he had procured a purchaser who would buy the property if he could obtain a loan of $10,000, and that D could procure the necessary loan upon paying a bonus of $3,000 to the lender. P, in reliance on these representations, entered a written agreement to pay D $4,000. P brought an action to recover the $3,000 which D had received and converted to his own use. Held: The oral agreement created an agency relationship which D breached by his misrepresentations, and RCW 19.36.010 (5) [RRS § 5825(5)], which provides that "An agreement authorizing or employing an agent or broker to sell or purchase real estate for compensation or commission" shall be void unless in writing, is not applicable since it refers only to agreements for the payment of a commission, and does not require that the actual authority to sell or purchase be in writing. Mele v. Cerenzie, 140 Wash. Dec. 115, 241 P. 2d 669 (1952).
James B. Mitchell,
Statute of Frauds—Real Estate Brokers' Contracts—Agency,
27 Wash. L. Rev. & St. B.J.
Available at: https://digitalcommons.law.uw.edu/wlr/vol27/iss3/9