Broker Mike has an exclusive listing agreement with seller Karen. Sales Associate Amy, who works for a different brokerage, brings a buyer who makes an offer $10,000 below asking price. Karen counters at $5,000 below asking price, but the buyer rejects the counter and walks away. Two weeks later, the same buyer contacts Karen directly and purchases the property at Karen's counter-offer price. What are Mike's commission rights?
Correct Answer
D) Mike's commission rights depend on the protection clause terms in his listing agreement
The broker's commission rights in this situation depend on the specific protection clause language in the listing agreement, including time frames and conditions for post-listing contact with previously introduced buyers. Option A is incorrect because exclusive listing alone doesn't guarantee commission if protection clauses aren't met. Option B is incorrect as commission splits don't determine entitlement. Option C is incorrect because protection clauses can still apply even after initial rejection.
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Previous Question
Broker Lisa lists a commercial property for $2,800,000 with a commission structure of 4% on the first $1,000,000 and 2.5% on the amount over $1,000,000. If the property sells for the full listing price and Lisa's sales associate receives 40% of the total commission earned, what amount does the sales associate receive?
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Which statement best describes Florida's rule on broker supervision of sales associates?