Commercial Lease Commission Agreement for the United States
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Commercial Lease Commission Agreement
"Need a Commercial Lease Commission Agreement for our retail property in Chicago, with an exclusive broker arrangement and a 6% commission rate for the first year of any lease signed before March 2025, reducing to 3% for subsequent years."
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1. Parties: Identifies the broker/agent and property owner/landlord, including full legal names and addresses
2. Background: Explains the context of the agreement, including property details and the parties' intentions
3. Definitions: Defines key terms used throughout the agreement including commission, lease, property, and other relevant terms
4. Scope of Services: Details the specific services the broker will provide in relation to the commercial lease
5. Commission Structure: Specifies commission rates, calculation methods, and payment terms
6. Payment Terms: Details when and how commissions will be paid, including timing and method of payment
7. Term and Termination: Specifies duration of agreement and conditions for termination
8. Representations and Warranties: Standard declarations by both parties regarding authority, capacity, and compliance
9. Governing Law: Specifies applicable jurisdiction and legal framework for the agreement
1. Protection Period: Defines period after agreement termination during which broker may still earn commission on leads generated during the agreement period
2. Co-Broker Arrangements: Terms for splitting commissions with other brokers when multiple brokers are involved in the transaction
3. Exclusivity Provisions: Terms establishing the broker as the exclusive agent for the specified property
4. Indemnification: Mutual or one-way indemnification provisions for additional liability protection
1. Property Details Schedule: Detailed description of the property including address, size, and specifications
2. Commission Rate Schedule: Detailed breakdown of commission rates for different scenarios and transaction types
3. Service Level Agreement: Detailed scope of services and performance metrics for the broker
4. Broker's License Documentation: Copies of relevant licenses and certifications required for the transaction
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