In Klein v. Antebi , Elliot Klein sued to recover a real-estate brokerage commission from Morris Antebi.
Klein was a licensed New York real-estate broker who entered into a confidentiality agreement and a commission agreement with Antebi concerning three parcels of land in Harrisburg, Pennsylvania.The latter document provided that upon closing, Antebi would be obligated to pay Klein a "brokerage commission of a certain percentage of the purchase price."
Klein drove with Antebi to Pennsylvania, introduced him to the seller of the properties, and viewed the properties with the buyer. Of course, once the deal closed, Antebi refused to pay the brokerage commission, citing a Pennsylvania law -- Real Estate Licensing and Registration Act -- which exempted him from having to pay the fee since Klein wasn't a licensed broker in that state.
Klein argued the law didn't apply because he hadn't supplied "any significant brokerage services" in that jurisdiction.
When the Kings County Supreme Court eventually dismissed the case, Klein appealed to the Appellate Division, Second Department, which affirmed. The AD2 thought the mere introduction of the parties fell within the law's purview and, without a Pennsylvanian license, Klein was precluded from recovering a fee.
We're sure that got no Penn State cheer .
For a copy of the Appellate Division's decision, please use this link: Klein v. Antebi