The Real Estate Broker Contract is a crucial document used in Indian real estate transactions to formalize the relationship between real estate brokers/agents and their clients. This contract type is essential for compliance with the Real Estate (Regulation and Development) Act, 2016 (RERA) and various state-specific regulations in India. It is used when property owners, developers, or buyers wish to engage professional real estate services for property transactions. The document typically includes detailed provisions about service scope, commission structures, exclusive rights (if any), marketing responsibilities, and compliance requirements. It's particularly important in the Indian context where real estate transactions require careful documentation and regulatory compliance, especially since RERA's implementation has standardized many aspects of real estate services.
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1. Parties: Identification of the broker/brokerage firm and the client (seller/buyer/lessor/lessee), including registration numbers, addresses, and contact details
2. Background: Context of the agreement, including brief description of the property and the purpose of engaging the broker
3. Definitions: Key terms used throughout the agreement including 'Property', 'Services', 'Commission', 'Exclusive Rights', etc.
4. Scope of Services: Detailed description of services to be provided by the broker, including marketing, showing property, negotiation assistance, etc.
5. Term and Termination: Duration of the agreement, renewal terms, and conditions for termination by either party
6. Broker's Rights and Obligations: Detailed responsibilities of the broker including RERA compliance, professional conduct, and service standards
7. Client's Rights and Obligations: Client's responsibilities including providing accurate information, access to property, and cooperation
8. Commission Structure: Detailed breakdown of commission rates, payment terms, and conditions for commission becoming due
9. Representations and Warranties: Statements of fact by both parties regarding their capacity, authority, and compliance with laws
10. Confidentiality: Obligations regarding confidential information shared during the engagement
11. Dispute Resolution: Process for resolving disputes, including mediation and arbitration procedures
12. Governing Law: Specification of Indian law and relevant state jurisdiction governing the agreement
13. General Provisions: Standard clauses including notices, amendments, severability, and entire agreement
1. Exclusive Agency Rights: Used when the broker is granted exclusive rights to represent the property/client
2. Sub-Agency: Include when the broker may need to engage other agents or brokers
3. Marketing Budget and Plan: Detailed when specific marketing commitments are agreed upon
4. Property Management Services: Include when broker will provide additional property management services
5. International Marketing: Used when property will be marketed to international buyers/tenants
6. Digital Marketing Rights: Specific provisions for online marketing and digital presence
7. Force Majeure: Include specific provisions for unforeseen circumstances affecting performance
1. Schedule A - Property Details: Detailed description of the property including location, specifications, and current status
2. Schedule B - Commission Structure: Detailed breakdown of commission rates, calculation methods, and payment terms
3. Schedule C - Marketing Plan: Specific marketing activities, timeline, and budget if applicable
4. Schedule D - Required Documents: List of documents required from the client for marketing and transaction
5. Appendix 1 - Broker's RERA Registration: Copy of broker's RERA registration and other relevant licenses
6. Appendix 2 - Property Documents: Copies of property ownership documents, permits, and certificates
7. Appendix 3 - Service Level Agreement: Detailed service standards and response time commitments
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Property Development
Construction
Commercial Property Management
Residential Property Management
Hospitality
Retail
Industrial
Corporate Real Estate
Agriculture (for farmland transactions)
Infrastructure
Relevant Teams
Legal
Real Estate
Sales
Business Development
Compliance
Property Management
Facilities Management
Contract Administration
Risk Management
Operations
Relevant Roles
Real Estate Agent
Property Broker
Real Estate Manager
Property Manager
Business Development Manager
Sales Director
Legal Counsel
Compliance Officer
Real Estate Director
Property Development Manager
Asset Manager
Facilities Manager
Contract Manager
Real Estate Consultant
Property Acquisition Manager
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