Question 75

The broker or one of the broker's licensees must be the procuring cause for the sale.

In order to collect a commission on an open listing, it is essential that the broker or one of their licensees is the procuring cause for the sale. This means they must have played a significant role in bringing about the transaction.

A) The broker must put the listing in the MLS.

This option is incorrect because an open listing does not require the broker to list the property in the Multiple Listing Service (MLS). Brokers can work with open listings without necessarily using the MLS, as the primary concern is securing a buyer through their efforts.

B) The listing must have a protection clause.

This option is also incorrect. A protection clause is typically associated with exclusive listings rather than open listings. Open listings allow multiple brokers to attempt to sell the property without a guarantee of commission unless they are the procuring cause.

C) The broker or one of the broker's licensees must be the procuring cause for the sale.

This statement is correct. For a broker to earn a commission from an open listing, they must establish themselves or one of their licensees as the procuring cause, which directly links their efforts to the successful sale of the property.

D) The broker must notify any other broker with an open listing on the property of the sale within 2 days after acceptance of an offer.

This option is incorrect as there is no formal requirement for brokers to notify other brokers involved with open listings about the sale. The nature of open listings allows brokers to work independently, and such notification is not mandated.

Conclusion

The requirement that the broker or one of their licensees must be the procuring cause for the sale is fundamental for receiving a commission on an open listing. Other options either misinterpret the nature of open listings or introduce requirements that do not apply. Thus, option C stands as the definitive requirement for brokers in this context.