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Broker Representation Agreement for the United States

Broker Representation Agreement Template for United States

A Broker Representation Agreement is a legally binding contract used in the United States that establishes the formal relationship between a real estate broker and their client. The agreement outlines the scope of services, compensation terms, and duration of representation while complying with federal and state-specific real estate laws. It includes essential provisions for agency disclosure, broker duties, commission structures, and termination conditions.

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What is a Broker Representation Agreement?

The Broker Representation Agreement serves as the foundational document for establishing professional relationships in real estate transactions across the United States. This contract type is essential for defining the rights, responsibilities, and obligations of both the broker and client, ensuring compliance with state-specific real estate regulations and federal laws. The agreement typically includes detailed provisions about the scope of services, commission structures, duration of representation, and specific terms related to the property transaction type, whether residential, commercial, or investment-focused.

What sections should be included in a Broker Representation Agreement?

1. Parties: Identification of the broker and client, including full legal names and contact details

2. Background: Brief context of the agreement and the parties' intention to enter into a broker-client relationship

3. Definitions: Key terms used throughout the agreement including 'Services', 'Property', 'Commission', etc.

4. Scope of Services: Detailed description of broker's duties and responsibilities

5. Term and Termination: Duration of the agreement and conditions for termination

6. Compensation: Commission structure and payment terms

7. Representations and Warranties: Standard declarations by both parties

What sections are optional to include in a Broker Representation Agreement?

1. Dual Agency Provisions: Additional provisions required when broker may represent both parties in a transaction. Include in jurisdictions allowing dual agency.

2. International Transactions: Additional provisions for cross-border dealings, required when handling international properties or clients

3. Virtual Services: Provisions covering digital and remote services delivery, include when services will be provided primarily online

What schedules should be included in a Broker Representation Agreement?

1. Schedule A - Property Details: Specific property information if agreement relates to particular properties

2. Schedule B - Commission Structure: Detailed breakdown of commission calculations and scenarios

3. Schedule C - Required Disclosures: State-mandated disclosures and forms

4. Appendix 1 - Agency Disclosure: State-required agency relationship disclosure forms

5. Appendix 2 - Service Level Agreement: Detailed description of service standards and expectations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

United States

Publisher

Genie AI

Document Type

Broker Agreement

Cost

Free to use
Clauses






























Industries

RESPA: Real Estate Settlement Procedures Act - Federal law governing real estate transactions and settlement processes

Fair Housing Act: Federal law prohibiting discrimination in real estate transactions based on race, color, religion, sex, national origin, familial status, or disability

ADA: Americans with Disabilities Act - Federal law ensuring equal access and preventing discrimination against individuals with disabilities

Truth in Lending Act: Federal law requiring disclosure of credit terms and standardizing how costs associated with borrowing are calculated and disclosed

Anti-Trust Laws: Federal and state laws preventing anti-competitive practices in real estate markets

State Real Estate Commission Regulations: State-specific rules and regulations governing real estate practice and broker conduct

State Licensing Requirements: State-mandated qualifications, education, and licensing requirements for real estate brokers

State Disclosure Requirements: State-specific mandatory disclosures that must be made during real estate transactions

State Agency Relationship Laws: Laws governing the relationship between brokers and their clients, including fiduciary responsibilities

State Consumer Protection Laws: State-specific laws protecting consumers in real estate transactions

NAR Code of Ethics: National Association of REALTORSยฎ professional standards and ethical requirements

Statute of Frauds: Legal requirement that certain contracts, including real estate agreements, must be in writing to be enforceable

Gramm-Leach-Bliley Act: Federal law requiring financial institutions to explain their information-sharing practices and protect sensitive data

Dual Agency Regulations: State-specific rules governing situations where a broker represents both parties in a transaction

Local Zoning Laws: Municipal regulations governing property use and development that may affect broker representations

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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