This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
A Hawaii Referral Agreement, also known as a Sharing of Commission Agreement, is a legally binding contract that dictates the terms and conditions between a Real Estate Broker and a Real Estate Salesperson or Agent or Realtor. This agreement outlines the division of a commission earned from a real estate transaction when the referring party is not directly involved in the transaction but has referred a client to the broker. Being a part of a real estate industry, it is vital to establish clear guidelines and protocols to ensure fair and equitable sharing of commission between different parties involved in a real estate transaction. The purpose of a Hawaii Referral Agreement is to define the responsibilities and compensation details between the referring party and the broker, safeguarding their interests and maintaining a professional relationship. Types of Hawaii Referral Agreement — Sharincommissionio— - Between Real Estate Broker and Real Estate Salesperson or Agent or Realtor: 1. Referral Agreement for In-State Transactions: This type of agreement deals with referrals made within the state of Hawaii. It specifies the commission percentage or amount that the referring party is entitled to receive for any successful real estate transaction resulting from their referral. It also outlines any additional terms, such as the time frame for the referral to be valid and any exclusions. 2. Referral Agreement for Out-of-State Transactions: When a referral is made from Hawaii to a real estate transaction outside the state, a separate agreement is necessary. This agreement will include provisions for compensation, referral validity period, and any restrictions or limitations imposed by the state where the transaction occurs. It ensures that both the referring party and the broker understand their obligations and rights when dealing with out-of-state referrals. 3. Referral Agreement with Multiple Parties: In some cases, there may be multiple referring parties involved in a real estate transaction. This type of agreement clarifies how the commission will be divided among the referring parties and ensures that everyone's interests are protected. It may specify the percentage or amount of commission each party is entitled to receive based on their contribution to the referral. 4. Exclusive Referral Agreement: An exclusive referral agreement restricts the referring party from referring clients to any other real estate broker besides the one mentioned in the agreement. In return, the broker agrees to pay a higher commission or provide additional benefits to the referring party. This type of agreement promotes an ongoing relationship between the referring party and the broker and ensures a higher level of commitment and exclusivity. In conclusion, a Hawaii Referral Agreement — Sharing of Commission — Between Real Estate Broker and Real Estate Salesperson or Agent or Realtor is an essential tool in the real estate industry to establish clear guidelines and ensure fair compensation when a referring party contributes to a successful transaction. By having specific types of agreements catering to different scenarios, all parties involved can operate with transparency and mutual understanding.A Hawaii Referral Agreement, also known as a Sharing of Commission Agreement, is a legally binding contract that dictates the terms and conditions between a Real Estate Broker and a Real Estate Salesperson or Agent or Realtor. This agreement outlines the division of a commission earned from a real estate transaction when the referring party is not directly involved in the transaction but has referred a client to the broker. Being a part of a real estate industry, it is vital to establish clear guidelines and protocols to ensure fair and equitable sharing of commission between different parties involved in a real estate transaction. The purpose of a Hawaii Referral Agreement is to define the responsibilities and compensation details between the referring party and the broker, safeguarding their interests and maintaining a professional relationship. Types of Hawaii Referral Agreement — Sharincommissionio— - Between Real Estate Broker and Real Estate Salesperson or Agent or Realtor: 1. Referral Agreement for In-State Transactions: This type of agreement deals with referrals made within the state of Hawaii. It specifies the commission percentage or amount that the referring party is entitled to receive for any successful real estate transaction resulting from their referral. It also outlines any additional terms, such as the time frame for the referral to be valid and any exclusions. 2. Referral Agreement for Out-of-State Transactions: When a referral is made from Hawaii to a real estate transaction outside the state, a separate agreement is necessary. This agreement will include provisions for compensation, referral validity period, and any restrictions or limitations imposed by the state where the transaction occurs. It ensures that both the referring party and the broker understand their obligations and rights when dealing with out-of-state referrals. 3. Referral Agreement with Multiple Parties: In some cases, there may be multiple referring parties involved in a real estate transaction. This type of agreement clarifies how the commission will be divided among the referring parties and ensures that everyone's interests are protected. It may specify the percentage or amount of commission each party is entitled to receive based on their contribution to the referral. 4. Exclusive Referral Agreement: An exclusive referral agreement restricts the referring party from referring clients to any other real estate broker besides the one mentioned in the agreement. In return, the broker agrees to pay a higher commission or provide additional benefits to the referring party. This type of agreement promotes an ongoing relationship between the referring party and the broker and ensures a higher level of commitment and exclusivity. In conclusion, a Hawaii Referral Agreement — Sharing of Commission — Between Real Estate Broker and Real Estate Salesperson or Agent or Realtor is an essential tool in the real estate industry to establish clear guidelines and ensure fair compensation when a referring party contributes to a successful transaction. By having specific types of agreements catering to different scenarios, all parties involved can operate with transparency and mutual understanding.
