“The Tail”? yes, the tail. When you sign a listing agreement to sell your home in New Orleans the contract contains a “tail” to the expiration date. This extension is for a period of time after the listing agreement expires that if a buyer who saw the property during the term of the agreement comes back after the listing agreement expires and decides to buy the house the listing agent will still be paid their commission UNLESS the seller has re signed with another brokerage/agent.
An example of this would be signing a listing agreement for six month let’s say from January 1st – June 30 th. The agent you sign with will then insert into the contract a period of time, could be one, three, six months or even a year. Now it is June 26th and Joe the agent comes along and shows the house but his buyer is not sure if they want to put in an offer, the husband has a business trip coming up and will be back in two weeks and they will think about it. June 30th comes and the listing agreement expires. July 14th comes along and the husband returns from his trip and decides to buy the house. The owner has not signed with another agent which means that the original agent will be paid.
A seller should never pay more than one full commission and should never have to pay two listing agents which is why it is clear that if a seller resigns with another agent the second agent would be paid for this sale which doesn’t seem fair but is the best way to handle it.