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George Richert agreed to retain Crye - Leike Realtors as his sole and exclusive real estate agent to find a building for Richert s business.
George Richert agreed to retain CryeLeike Realtors as his sole and exclusive real estate agent to find a building for Richerts business. The agency contract was signed by Richert and by Colman Borosky for CryeLeike. All parties understood that Richert would soon form a corporation that would be the actual party to lease the building found by CryeLeike. A month later, Richert formed WDM Inc. Richert was president and CEO. WDM never formally adopted the agency contract with CryeLeike. However, CryeLeike contacted various landlords for WDM showed several properties to WDM and prepared an offer to lease space on behalf of WDM All these efforts were done with Richerts full knowledge. When WDM hired another real estate agent, CryeLeike sued for breach of the exclusive agency contract. WDM claimed that it was not a party to the contract between Richert and CryeLeike. Was WDM correct?
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