Request for Reimbursement of Real Estate Broker's Commission

A transferred employee sought reimbursement for a 10 percent real estate broker's commission which he incurred purchasing a new home. He had been reimbursed for a 7 percent fee, since that was determined to be the rate generally charged for the locality. The employee claimed that the extra 3 percent was incurred because it was a guaranteed sale under difficult market conditions, that it expedited the sale, and that he had been erroneously advised by agency officials regarding the limitations on brokers' commissions. It was held that there was no authority to reimburse the employee for the extra 3 percent paid to expedite the sale, and that he could not be paid more than the prevailing rate since the Government is not bound by the erroneous advice of its agents.