The Brokerage Contract serves as a fundamental legal instrument in the Philippine real estate market, establishing the professional relationship between licensed brokers and their clients. This document is essential when engaging professional brokerage services for real estate transactions, whether for sale, purchase, or lease of property. It ensures compliance with the Real Estate Service Act of 2009 (RESA) and other relevant Philippine regulations while protecting both parties' interests. The contract typically includes detailed provisions about service scope, commission structures, professional obligations, and compliance requirements specific to the Philippine jurisdiction. It's particularly important for maintaining transparency in professional relationships and ensuring all parties understand their rights and obligations under Philippine law.
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1. Parties: Identifies the broker and the client, including their complete legal names, addresses, and professional license details for the broker
2. Background: Establishes the context of the agreement, including the client's intention to engage the broker's services
3. Definitions: Defines key terms used throughout the agreement to ensure clarity and prevent misinterpretation
4. Scope of Services: Details the specific services to be provided by the broker, including property listing, marketing, negotiation, and transaction assistance
5. Term and Termination: Specifies the duration of the agreement and conditions for termination by either party
6. Broker's Rights and Obligations: Outlines the broker's responsibilities, professional duties, and standard of care
7. Client's Rights and Obligations: Defines the client's responsibilities, including providing accurate information and cooperation
8. Commission Structure: Details the broker's compensation, including commission rates, payment terms, and conditions for earning commission
9. Confidentiality: Addresses the handling and protection of confidential information shared during the engagement
10. Representations and Warranties: Contains statements of fact and promises made by both parties
11. Liability and Indemnification: Defines the extent of broker's liability and mutual indemnification provisions
12. Governing Law: Specifies that Philippine law governs the agreement and references relevant regulations
13. Dispute Resolution: Establishes procedures for resolving disputes between parties
14. Entire Agreement: Confirms that the document represents the complete agreement between parties
1. Multiple Listing Service: Include when the property will be listed on MLS platforms, detailing specific terms and conditions
2. Co-Brokerage: Add when cooperation with other brokers is anticipated, including commission sharing arrangements
3. International Transactions: Include for deals involving foreign buyers or properties, addressing specific requirements
4. Digital Marketing Services: Add when specific online marketing strategies and platforms will be used
5. Property Management Services: Include if the broker will provide additional property management services
6. Force Majeure: Add to address unforeseeable circumstances that may affect contract performance
7. Anti-Money Laundering Compliance: Include for high-value transactions requiring specific AML compliance measures
1. Schedule A - Property Details: Detailed description of the property(ies) covered by the agreement
2. Schedule B - Commission Structure: Detailed breakdown of commission rates and payment terms
3. Schedule C - Marketing Plan: Specific marketing strategies and activities to be undertaken
4. Schedule D - Required Documentation: List of documents required from the client
5. Appendix 1 - Broker's License and Certifications: Copies of broker's professional credentials and certifications
6. Appendix 2 - Service Level Agreement: Detailed performance standards and service expectations
7. Appendix 3 - Compliance Checklist: List of regulatory requirements and compliance measures
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Commercial Property
Residential Property
Industrial Property
Retail Property
Property Development
Property Investment
Property Management
Professional Services
Financial Services
Relevant Teams
Legal
Compliance
Real Estate
Sales
Business Development
Operations
Contract Administration
Risk Management
Property Management
Asset Management
Relevant Roles
Real Estate Broker
Property Manager
Sales Director
Business Development Manager
Legal Counsel
Compliance Officer
Real Estate Agent
Contract Manager
Property Consultant
Real Estate Investment Manager
Asset Manager
Operations Manager
Transaction Coordinator
Real Estate Portfolio Manager
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