The Tenant Broker Agreement serves as a crucial document in Indian real estate transactions, establishing the formal relationship between a professional real estate broker and a client seeking to lease property. This agreement becomes necessary when individuals or businesses require professional assistance in identifying, evaluating, and securing suitable rental properties. The document, compliant with RERA and state-specific regulations, typically outlines the scope of services, commission structures, and mutual obligations. It's particularly relevant in today's complex real estate market where professional representation can significantly impact successful property acquisition. The agreement includes essential protective clauses for both parties, ensuring transparency in dealings and establishing clear parameters for the broker-tenant relationship.
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1. Parties: Identification of the broker and the tenant client with complete details as required by RERA
2. Background: Context of the agreement and brief description of the broker's services
3. Definitions: Key terms used in the agreement including 'Services', 'Property Requirements', 'Commission', etc.
4. Scope of Services: Detailed description of services to be provided by the broker
5. Broker's Obligations: Specific duties and responsibilities of the broker including RERA compliance requirements
6. Client's Obligations: Responsibilities and commitments of the tenant client
7. Commission Structure: Details of broker's fees, payment terms, and conditions for commission eligibility
8. Exclusivity: Terms regarding exclusive or non-exclusive nature of the broker's appointment
9. Term and Termination: Duration of the agreement and conditions for termination
10. Confidentiality: Provisions for handling confidential information
11. Representations and Warranties: Standard declarations by both parties
12. Indemnification: Mutual indemnification clauses
13. Governing Law and Jurisdiction: Applicable law and jurisdiction for dispute resolution
14. Notices: Process and addresses for formal communications
15. Entire Agreement: Standard boilerplate confirming this as the complete agreement
1. Non-Compete: Restrictions on client engaging other brokers, used in exclusive arrangements
2. Force Majeure: Provisions for unforeseen circumstances, particularly relevant post-COVID
3. Insurance: Requirements for professional indemnity insurance if required by local regulations
4. Assignment: Rights to transfer the agreement, if permitted
5. Dispute Resolution: Detailed arbitration or mediation procedures if preferred over court litigation
6. Digital Communications: Terms for electronic communications and virtual property viewings
7. Sub-Agents: Terms for broker's use of sub-agents or associates
8. Performance Metrics: Specific targets or KPIs for the broker, used in professional arrangements
1. Schedule A - Property Requirements: Detailed specifications of the type of property sought by the tenant
2. Schedule B - Commission Structure: Detailed breakdown of commission calculations and payment terms
3. Schedule C - Broker's License and Registrations: Copies of RERA registration and other relevant licenses
4. Schedule D - Service Level Agreement: Specific timelines and service standards
5. Schedule E - Excluded Properties: List of properties or dealings excluded from the agreement
6. Appendix 1 - Required Documents: List of documents required from tenant for property transactions
7. Appendix 2 - Communication Protocol: Agreed procedures for regular updates and communications
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