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What is the clause in a listing agreement that allows a broker to collect a commission, after the listing expires, if the seller sells to a prospect who was shown the home or had made an offer before the listing expired?

Sagot :

Final answer:

The 'Procuring Cause' clause in a listing agreement permits a broker to receive a commission post-expiration if the sale involves a prospect from the active listing period.


Explanation:

Procuring Cause is the clause in a listing agreement that allows a broker to collect a commission after the listing expires if the seller sells to a prospect who was shown the home or had made an offer before the listing expired. This clause ensures that the broker who initially introduced the buyer to the property is still entitled to compensation even if the sale occurs after the listing agreement ends.


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