A Practice Exam Question About Terminating The Listing Contract
Here’s a practice question that is similar to something you might see on the Florida Real Estate Sales Associate Exam…
Jones lists his property with Broker Bob on July 1. On July 15, Jones filed bankruptcy. On July 25, Broker Bob found a buyer who was ready, willing, and able to purchase the property at full price. Is Broker Bob owed a commission?
a. Yes, if the bankruptcy court requires it.
b. Yes, because the listing was an exclusive agency listing.
c. No, because it was not a single agency relationship.
d. No, because the listing contract has been terminated.
Bankruptcy of either the seller or the broker terminates the listing contract, so the correct answer is D.
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Please note that neither I, nor anyone in the Climer family, have any affiliation with Climer School of Real Estate. My father, Ron Climer, sold Climer School of Real Estate in 2014. You can find me at Demetree School of Real Estate.