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.
Ohio Termination or Cancellation of Listing Agreement refers to the process through which a real estate listing agreement between a seller and a real estate agent is terminated or canceled before the agreed-upon termination date specified in the contract. This termination can occur under certain circumstances, allowing both parties to dissolve their contractual relationship. There are various types of termination or cancellation of listing agreements in Ohio, including: 1. Mutual Agreement: This type of termination occurs when both the seller and the real estate agent mutually agree to terminate the listing agreement. It typically happens when the parties are no longer satisfied with the services provided or wish to pursue other options. 2. Expiration: A listing agreement may naturally expire on the agreed-upon termination date if the property has not been sold or if the seller has decided against extending the contract period. 3. Breach of Contract: If either party fails to fulfill their obligations as outlined in the listing agreement, the injured party may terminate the contract. This may include issues such as non-performance, improper marketing, or breach of confidentiality. 4. Death or Incapacitation: If either the seller or the real estate agent passes away or becomes incapacitated during the term of the listing agreement, it may be terminated. 5. Failure to Adequately Market the Property: If the real estate agent proves incompetent or negligent in marketing the property effectively, the seller may have grounds for terminating the listing agreement. 6. Property Sale Outside the Listing Agreement: If the seller finds a buyer for their property outside the listing agreement, they may terminate the agreement with the real estate agent. However, this termination may involve paying the real estate agent a commission as per the terms of the listing agreement. To initiate the termination or cancellation process, the terminating party must provide a written notice to the other party, clearly stating the intention to terminate the listing agreement. It is advisable to consult legal counsel and follow the specific provisions and procedures outlined in the listing agreement regarding its termination. Keywords: Ohio, termination, cancellation, listing agreement, mutual agreement, expiration, breach of contract, death, incapacitation, failure to market property, property sale outside agreement, written notice, legal counsel.
