PROPERTY AGENT ENGAGEMENT AGREEMENT
The terms on which an owner appoints a property agent, and the event on which commission is earned
Executed at __________ on __________.
Parties
1. The Owner — __________, __________, resident of __________, mobile __________, email __________ ("the Owner").
2. The Agent — __________, of __________, mobile __________, email __________ ("the Agent").
Background
A. The Owner owns the property at __________, in __________: __________ ("the Property").
B. The Owner wishes to appoint the Agent __________, on the terms of this agreement.
1. The appointment
1.1 The Owner appoints the Agent from __________ to __________ ("the Engagement Period"), and the Agent accepts the appointment.
1.2 This appointment is not exclusive. The Owner may appoint other agents, and may sell or let the Property without any agent, during the Engagement Period. If the Owner and the Agent want the Agent to have the sole right to sell, they must sign a Sole Selling Rights Agreement, which then governs exclusivity.
1.3 The Agent is appointed to find and introduce a buyer or tenant and to help bring the transaction to completion. The Agent has no authority to sign any agreement, receipt or deed for the Owner, to accept money on the Owner's behalf, or to make any promise that binds the Owner, unless the Owner gives that authority separately and in writing.
2. What the Agent will do
2.1 Market the Property at __________, or at any other figure the Owner approves in writing.
2.2 Arrange viewings at times agreed with the Owner and with any occupant, attend them, and keep a dated record of every person shown the Property.
2.3 Pass every offer to the Owner promptly and in writing, whatever its amount, and never hold one back because the Agent thinks it too low.
2.4 Tell the Owner in writing, before making an introduction, if the Agent, a relative or an associate has any interest in the prospective buyer or tenant, and not act in that transaction without the Owner's written consent.
2.5 Make the checks the Owner asks for on a prospective buyer's ability to pay or a prospective tenant's identity and references and, for a letting, help the Owner complete the tenant police verification that is the landlord's duty in Punjab and in Chandigarh.
2.6 Not advertise the Property at a price, or with a description or photograph, that the Owner has not approved.
2.7 Where the Property is an apartment, plot or building in a project registered with a Real Estate Regulatory Authority, not deal in it unless the Agent is itself registered as a real estate agent, and keep the books of account and records that registration requires.
3. What the Owner will do
3.1 Give the Agent accurate information about the Property, its title and any charge, tenancy or dispute affecting it, and tell the Agent promptly if any of that changes.
3.2 Give reasonable access to the Property for viewings.
3.3 Tell the Agent if a person the Agent introduced later approaches the Owner directly.
4. Commission
4.1 The commission is __________ per cent of the sale price actually agreed with a buyer the Agent introduced or, for a letting, of one month's rent at the rent actually agreed with a tenant the Agent introduced.
4.2 Commission is earned __________. It is not earned because a person was introduced, or because an offer was made, and it is payable within 7 days after it is earned.
4.3 __________
4.4 The commission covers all the Agent's costs.
4.5 Only one commission is payable on a transaction, and it is payable by the Owner alone. The Agent will not accept any payment from the buyer or tenant in the same transaction without the Owner's written consent.
5. Introductions after the Engagement Period
5.1 If, within 90 days after the Engagement Period ends, the Owner enters into a transaction with a person the Agent introduced during it, commission is payable as if the transaction had been made during the Engagement Period.
5.2 Within 7 days after the Engagement Period ends, the Agent will give the Owner a written list of the persons it introduced, with the date of each introduction. Only a person on that list counts for clause 5.1.
6. Ending the appointment early
6.1 Either party may end this appointment before the Engagement Period expires by giving 15 days' notice in writing.
6.2 Ending the appointment does not take away commission already earned, or the protection in clause 5 for introductions already made.
6.3 Within 7 days after the appointment ends, the Agent will withdraw every advertisement for the Property and return any keys and documents the Owner gave it.
7. Money and accounts
7.1 The Agent will not receive a token, advance or deposit for the Property unless the Owner has authorised it in writing. Any money the Agent does receive for the Owner will be passed to the Owner within 2 working days, with a receipt.
7.2 The Agent will account to the Owner for anything done under this agreement whenever the Owner asks.
General
8.1 This agreement is governed by the law in force in __________, and only the courts having jurisdiction where the Property is situated may decide a dispute about it.
8.2 Nothing in this agreement transfers or creates any interest in the Property.
8.3 A notice under this agreement is given in writing, by hand or by email, to the address given for the other party above.
Personal data
This notice is given under the Digital Personal Data Protection Act, 2023.
The names, addresses, telephone numbers and email addresses in this document are collected for one purpose: the appointment of the Agent, the introductions it makes and the commission that follows. The Owner and the Agent each keep a copy of this record. It may be shown only to the parties, a buyer or tenant the Agent introduces, and the advocate or bank involved in the resulting transaction, and it will not be used for marketing.
If the engagement does not go ahead, the personal data in this document is kept for 90 days from that decision and then erased. If it goes ahead, this record is kept for the term of the engagement plus 12 months and then erased, unless a law requires a particular record to be kept longer.
Consent to the use of personal data in this document may be withdrawn at any time by writing to __________. A request to correct inaccurate data, to erase data once its purpose has ended, or to complain about how it has been handled may be sent to the same address, and will be answered within 30 days.
This document does not collect any Aadhaar number, PAN, bank-account detail or copy of an identity document; anything of that kind the transaction itself needs is collected in the document that requires it.
Signatures
The Owner
Signature: ________________________
Name: __________
The Agent
Signature: ________________________
Name: __________
Witnesses
Witness 1
Signature: ________________________
Name: ________________________
Address: ________________________
Witness 2
Signature: ________________________
Name: ________________________
Address: ________________________