The Sole Agency Agreement is a crucial document in Malaysian real estate transactions that establishes an exclusive relationship between a property owner and a single real estate agency. This document is essential when property owners want to ensure coordinated marketing efforts and clear accountability in the sale or lease of their property. It is particularly relevant in the Malaysian market where property transactions must comply with specific regulatory requirements, including the Valuers, Appraisers, Estate Agents and Property Managers Act 1981. The agreement typically includes detailed provisions on commission structures, marketing strategies, property details, and obligations of both parties, while ensuring compliance with Malaysian property laws and anti-money laundering regulations.
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1. Parties: Identifies and provides full details of the principal (property owner) and the appointed sole agent
2. Background: Outlines the context of the agreement, including property details and the principal's intention to appoint an exclusive agent
3. Definitions: Defines key terms used throughout the agreement including 'Property', 'Agency Period', 'Commission', and 'Sole Agency'
4. Appointment and Duration: Formally establishes the sole agency relationship and specifies the duration of the appointment
5. Agent's Rights: Details the exclusive rights granted to the agent, including marketing and showing the property
6. Agent's Obligations: Specifies the agent's duties, responsibilities, and service standards
7. Principal's Obligations: Outlines the property owner's responsibilities and cooperation requirements
8. Commission Structure: Details the commission rate, payment terms, and circumstances under which commission becomes payable
9. Marketing and Advertising: Specifies arrangements for property marketing, including costs and approvals
10. Confidentiality: Addresses the handling of confidential information by both parties
11. Termination: Sets out the circumstances and procedures for ending the agreement
12. Governing Law: Specifies Malaysian law as governing law and jurisdiction for disputes
1. Anti-Money Laundering Compliance: Required when dealing with high-value properties or international clients, detailing compliance requirements under Malaysian AML laws
2. Digital Marketing Rights: Specific provisions for online marketing and social media promotion, recommended for modern marketing strategies
3. Property Management Services: Include when the agent will provide additional property management services beyond sales/letting
4. Multi-lingual Provisions: Required when dealing with international clients, providing translations of key terms
5. Sub-Agency Rights: Optional clause allowing the agent to appoint sub-agents, with specific conditions
6. Post-Termination Obligations: Additional provisions regarding ongoing obligations after agreement termination, particularly for commission on pending deals
1. Schedule 1 - Property Details: Comprehensive description of the property, including title details, location, and specifications
2. Schedule 2 - Commission Structure: Detailed breakdown of commission rates, calculation methods, and payment terms
3. Schedule 3 - Marketing Plan: Detailed marketing strategy and budget allocation
4. Schedule 4 - Agency Services: Comprehensive list of services to be provided by the agent
5. Appendix A - Required Documents: List of documents the principal must provide to the agent
6. Appendix B - Property Photographs: Official photographs of the property approved for marketing use
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Commercial Property
Residential Property
Industrial Property
Retail Property
Hospitality
Mixed-Use Development
Property Management
Property Investment
Relevant Teams
Legal
Real Estate
Sales
Business Development
Compliance
Property Management
Marketing
Contracts Administration
Investment Advisory
Valuations
Relevant Roles
Real Estate Agent
Property Manager
Business Development Manager
Sales Director
Property Consultant
Legal Counsel
Compliance Officer
Contract Manager
Property Valuer
Estate Agent
Marketing Manager
Property Investment Advisor
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