A Richmond realtor is suing her former employer for alleged unpaid commissions of more than $240,000.
Morning Yu filed the claim against Richmond-based New Coast Realty — which has an office at 7100 River Road, as well as four others across Metro Vancouver — last week at the BC Supreme Court.
In the claim, Yu states that Pan Pacific Platinum Real Estate Services Inc., doing business as New Coast Realty, owes her $240,346.74 for commissions on listings and pre-sales she had entered into when working for the real estate company for two years.
Yu alleges that the number of referrals given to her by her employer dropped off sharply after she refused to partake in the controversial practice of shadow-flipping, whereby agents encourage homeowners to accept low offers and then the property is sold on again at a higher price.
As the practice goes, the double commission on the two sales would then be split between the agent and the company.
“The Plaintiff was of the view that this practice was blatantly unethical and it ran contrary not only to real estate rules but fairness and honesty and refused to agree to such practices,” according to Yu’s court filing last week.
In spring of this year, the B.C. government introduced new regulations to discourage shadow-flipping, which included homeowners giving their consent before contracts are re-assigned.
When the allegations first surfaced in the spring, New Coast Realty denied it was involved in shadow-flipping and has also denied it asked its agents to break any rules or regulations and claims it doesn’t owe Yu any money.
None of Yu’s allegations have been proven in court.