"We wrote to Tesco yesterday to tell them that we will not accept their application. The decision has been taken despite the prospect that Rightmove may face a legal challenge from Tesco",

- explains Miles Shipside, Commercial Director of Rightmove in a letter sent to all Rightmove estate agent members.

But what would be the ramifications of a legal battle where Tesco's win?

Here are two outcomes, and in my humble opinion, one inevitability.

1. Tesco use the current No Sale No Fee model and charge a % commission on completion - This would just mean another competitor in the market for agents to go up against. Not too much of a problem for independent agents, as we already compete against large corporates. But there are no benefits to the customer.

2. However, the second, more worrying outcome for agents would be Tesco changing the model. We already know Tesco entered the market in June 2007 with a private sale site Tescopropertymarket.com and an offer of £199. We also know they withdrew the ability to upload property to their site in September as the Office of Fair Trading concluded they were operating as estate agents and therefore were required to comply with the Estate Agents Act 1979.

What if they mixed it up a bit when they return?

What if they used the same £199 upfront marketing fee and then added a much smaller commission fee upon completion? With their very deep pockets and infrastructure already in place, they could completely destroy the current No Sale No Fee method.

Estate agents would suffer immediately because Tesco could offer a more attractive alternative to an already expensive and unpopular method. Who wins? Tesco and the seller.

Instead of resisting, what if estate agents took the lead and changed the model now

We know customers are unhappy with the amount estate agents charge, it's all over the media. And everybody knows we no longer have the monopoly on buyers, because the majority are online at Rightmove.

Rightmove is now the ultimate shop window, displaying 9 out of 10 properties for sale in England.

... And now for the inevitability

The outdated current system will be replaced with a much fairer alternative. Agents will have to cut the fat and move away from unnecessarily expensive high street units into serviced offices on the outskirts of towns.

Because of current commitments to leases and contracts it's not an option for many, which might explain the resistance to change.

It's inevitable the system will change, which is why we've already committed to the new method, and everybody wins.

The customer wins as their fees are £1,000's less. And a small, upfront marketing fee allows us to operate at much lower costs.