Almost all list agreements have an expiration date if the contract is terminated, if no sale takes place by then. If the broker proposes a contract that does not have an expiry date, the broker`s real estate license may be suspended or revoked in most countries. With an exclusive-authorized offer, a broker is designated as the seller`s sole representative and has the exclusive right to represent the property. The broker receives a commission, regardless of who sells the property, while the listing agreement is in effect. In an exclusive agency list, only 1 broker has the right to represent the seller, but the seller has the right to sell his property without the broker and without paying commission. As contracts, list contracts can be terminated in the same way that any contract can be terminated: before that date, the seller died and the personal representative of her estate immediately sold all three properties. The broker filed a complaint to recover his commission, accusing the real estate of having been sold during the exclusivity period provided by the agreements. The case was dismissed and the broker appealed. The exclusive right of the sales list only allows the broker and his agents to represent the seller. With this offer, the broker is entitled to a commission, even if the seller sells his property on his own, without resorting to the services of the broker.
As the broker is more secure of remuneration with this type of agreement, she will generally work harder to represent the client. Some contracts have automatic renewal clauses that automatically extend the list period by a certain amount, for example. B 30 days, in the absence of sale. Automatic extension clauses create a contract with no actual expiry date and are not in the seller`s interest because the broker is not motivated to sell the property within a reasonable time. As a result, in many countries, extension clauses are illegal and most types of standardized real estate do not have the clauses. Frequent breaches of contract are the task when the stockbroker does little to try to sell the property, or the seller does not go through the sale, if a buyer is found who is willing to pay the asking price. The Court of Appeal found that courts in other states «consistently consider that a real estate listing agreement creates an agency relationship between the broker and the property owner.» The general rule of choice is that the death of the client automatically terminates the officer`s real and apparent authority «because he denies the existence of the person in whose name the officer is acting.» The exception to this rule is when the agency is related to an interest in the property. One of the most important details of the property is the list price set by the seller, often based on the broker`s advice.