RE/MAX AROUND ATLANTA
  • Home
  • RMAA HUB
  • Events
  • Local Service Providers
    • Attorney Partners
    • Lender Partners
    • Home Cleaning Services
    • Home Inspection Companies
    • Home Warranty Companies
    • Insurance Providers
    • Moving Company
    • Photography
    • Property Management
    • Repair Services
    • Residential Renovations
    • Security Systems
  • OUR TEAM
  • Online Payments
  • BROKER CORNER
  • Locations
  • MAXtech
  • Request Field Services

BROKER CORNER

If a buyer terminates a previous buyer brokerage agreement, is there still a protected period in place?

4/6/2024

0 Comments

 
Picture
Section 4.d in the GAR buyer brokerage engagement agreement lays it out.  The Protected Period is the period of time commencing upon the expiration or earlier termination of this Agreement by Buyer in writing during which Broker shall be protected for its Commission. The Protected Period is the number of days remaining on what would have been the original agreement as of the date the Buyer terminates the Agreement plus the number of days set forth as the Protected Period in Section 4.d of the buyer brokerage engagement agreement.

  • If the Agreement is unilaterally terminated by Buyer without the consent of the Broker, the protected period remains in place.  
  • If the termination is mutual (buyer and broker agree to a termination in writing), the entire protection period is forfeited. 

The GAR Exclusive Buyer Brokerage Engagement Agreement provides that the broker is entitled to a commission, if the buyer purchases or contracts to purchase, for a period of time after the termination or expiration of the brokerage agreement, a property identified or shown to the buyer by the broker or about which the broker provided information to the buyer during the brokerage agreement. While the terms “identified” and “shown” are not defined, the terms were intended to protect brokers in situations where the buyer learned of the property through the broker’s efforts. The language allowing a broker to collect a commission if the buyer purchased property based on information the broker provided to the buyer accomplishes the same goal. As such, it is not required that the broker actually show the property to the buyer, provided that the broker has taken other reasonable steps to make the buyer aware of the property. 

Verbiage from the GAR Buyer Brokerage Engagement Agreement:
4.d The Protected Period shall be the period of time set forth in this Agreement commencing upon the expiration of this Agreement or what would have been the expiration of this Agreement had it not been unilaterally terminated by Buyer during which Broker shall be protected for its Commission and/or Leasing Commission, as applicable. There shall be no Protected Period if Buyer and Broker mutually terminate this Agreement. In the event Buyer enters into a Contract to Purchase or lease, lease to purchase or lease with an option to purchase of real property which, during the term of this Agreement or what would have been the term of this Agreement had it not been unilaterally terminated by Buyer, was shown to Buyer by Broker, either virtually or in person, or which Buyer otherwise visited ("Protected Properties"), then Buyer shall pay Broker at closing or prior to the commencement of the lease the Commission and/or Leasing Commission, as applicable, set forth above.
0 Comments



Leave a Reply.

    RMAA

    Real Estate News, Brokers Blog & More

    Categories

    All
    Broker's Corner
    Mortgage Minute

    Archives

    May 2025
    April 2025
    March 2025
    February 2025
    January 2025
    December 2024
    November 2024
    October 2024
    September 2024
    August 2024
    July 2024
    June 2024
    May 2024
    April 2024
    March 2024
    February 2024
    January 2024
    December 2023
    November 2023
    October 2023
    September 2023
    August 2023
    July 2023
    June 2023
    May 2023
    April 2023
    March 2023
    February 2023
    January 2023
    December 2022
    November 2022
    October 2022
    September 2022
    August 2022
    July 2022
    June 2022
    May 2022
    April 2022
    March 2022
    February 2022
    January 2022
    December 2021
    November 2021
    October 2021
    September 2021
    August 2021
    July 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    July 2020
    June 2020
    May 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019

    RSS Feed

RE/MAX AROUND ATLANTA
Phone # 404-252-7500
RE/MAX Around Atlanta licensed in the State of Georgia

© COPYRIGHT 2025. ALL RIGHTS RESERVED.
  • Home
  • RMAA HUB
  • Events
  • Local Service Providers
    • Attorney Partners
    • Lender Partners
    • Home Cleaning Services
    • Home Inspection Companies
    • Home Warranty Companies
    • Insurance Providers
    • Moving Company
    • Photography
    • Property Management
    • Repair Services
    • Residential Renovations
    • Security Systems
  • OUR TEAM
  • Online Payments
  • BROKER CORNER
  • Locations
  • MAXtech
  • Request Field Services