If a seller decides to cancel their listing after agreeing on a price, what is the broker's entitlement regarding commission?

In a real estate transaction, the broker's entitlement to a commission typically depends on specific conditions outlined in the listing agreement. In this scenario, if the seller cancels their listing, the broker may still be entitled to a commission under certain circumstances. Particularly, if the broker has successfully procured a buyer who is ready, willing, and able to purchase the property, the broker may claim a commission even if the sale is not completed due to the seller's cancellation.

This principle hinges on the idea that the broker performed their duty by bringing a legitimate offer to the seller, which fulfills part of their obligations outlined in the contract. The listing agreement usually specifies that the broker earns a commission upon securing a buyer, regardless of whether the seller ultimately sells the property. Thus, if the broker can demonstrate that they found a buyer, even after the seller's cancellation, they have a rightful claim to the commission.

Having a clear understanding of these terms is essential for both sellers and brokers in safeguarding their interests in any real estate transaction.