Question 40

Broker B will earn the full commission if the buyer performs.

In this situation, Broker B will earn the full commission since they are the current broker representing the seller after the listing agreement with Broker A has expired. The involvement of Broker A does not entitle them to a commission as their agreement has ended.

A) Broker B must call Broker A to present the offer

This option is incorrect because Broker B has no obligation to contact Broker A regarding the offer. Since Broker A's listing agreement with the seller has expired, Broker B is now the sole representative for the seller and can handle the transaction independently.

B) Broker B will earn the full commission if the buyer performs

This statement is correct as Broker B is the active broker representing the seller at the time the buyer is presented. If the buyer successfully closes on the home, Broker B is entitled to the full commission as they facilitated the sale.

C) Broker A and Broker B will split the commission upon closing

This option is incorrect. Since Broker A's listing agreement has expired, they are not entitled to any commission from this transaction. Therefore, there is no basis for splitting the commission between Broker A and Broker B.

D) The seller is required to pay a commission to Broker A upon closing

This statement is false. The seller is not obligated to pay Broker A any commission because the listing agreement has expired. The seller is only responsible for paying the commission to Broker B since they are the current representative in this transaction.

Conclusion

Broker B is definitively the correct answer as they will earn the full commission if the buyer closes on the home. All other options incorrectly imply obligations or rights that do not exist due to the expiration of Broker A's listing agreement. Therefore, Broker B's current representation of the seller solidifies their entitlement to the commission.