In the context of real property law, a listing agreement governs the terms of the sale of real property by a third party real estate agency or broker. A listing contract may cover issues, among others, such as the price and terms of sale, broker's commission, agency duties of a listing agent, whether or not the property will be listed with the local MLS (multiple listing service), lockbox use, and resolution of disputes.
There are at least ten ways that a listing agreement may be terminated.
" When a real estate broker successfully sells a property for their client the listing agreement is complete.
" Listing agreements are typically inclusive of a definite time frame. When this period of time is reached, the listing agreement is terminated. Automatic extensions are illegal in many states, and are highly discouraged.
" If a broker does nothing to market the property, the owner of the property may end the listing due to the brokers abandonment of the property.
" Sellers can revoke the listing agreement, however there may be damages to the broker for which the seller can be held liable.
" Brokers can renounce the listing agreement, however they may be held for damages to the seller.
" Death, insanity, or bankruptcy of either the broker or the seller will often terminate the listing.
" Destruction of the property terminates the agreement because the agreement cannot be performed.
" The listing agreement can be terminated through a mutual consent between the broker and the seller.
" If the use of the property changes significantly, the listing agreement can be cancelled.
" In the real estate market, transfer of title by operation of law can terminate the listing agreement.
In Louisiana, the Termination or Cancellation of Listing Agreement refers to the legal process through which a real estate listing agreement between a property owner (seller) and a licensed real estate agent is terminated or canceled before the agreed-upon expiration date. This agreement outlines the terms and conditions under which the agent represents the seller in marketing and selling the property. There are different types of termination or cancellation of listing agreements in Louisiana, including: 1. Expiration: A listing agreement typically has a specified duration, after which it automatically expires. If the property doesn't sell within the agreed-upon timeframe, the agreement terminates. Both the seller and agent are relieved of their respective obligations. 2. Mutual Agreement: The seller and agent can mutually agree to terminate the listing agreement at any time, even before the expiration date. This requires the consent of both parties, usually in writing, detailing the termination terms and any financial obligations, if applicable. 3. Breach or Default: If either the seller or the agent fails to fulfill their responsibilities outlined in the listing agreement, it may result in a breach or default. This could include situations where the agent fails to adequately market the property or the seller fails to provide necessary disclosures. If a breach or default occurs, the non-breaching party might have the right to terminate the agreement. 4. Revocation: In some cases, the seller may decide to revoke the authority given to the agent to represent the property. This might occur if the seller changes their mind about selling, decides to switch agents, or wants to pursue alternative means of selling the property. Regardless of the type of termination or cancellation, it is crucial to refer to the terms outlined in the original listing agreement. Additionally, it is advisable to consult with legal professionals or real estate experts to ensure compliance with Louisiana's real estate laws and regulations. Keywords: Louisiana, termination, cancellation, listing agreement, expiration, mutual agreement, breach, default, revocation, property owner, real estate agent, obligations, marketing, selling, duration, consent, responsibilities, breach or default, real estate laws.
