80. In order to collect a commission, which of the following is a requirement for a broker with an open listing?
Answer: C
The broker or one of the broker's licensees must be the procuring cause for the sale.
For a broker to collect a commission on an open listing, it is essential that the broker or one of their licensees is the procuring cause of the sale. This means they must have been the primary agent responsible for bringing about the sale, which is a crucial condition for earning a commission.
A) The broker must put the listing in the MLS.
This option is incorrect because an open listing does not require the property to be listed in the Multiple Listing Service (MLS). Open listings are often not submitted to the MLS, as they are typically used in situations where the seller is willing to work with multiple brokers.
B) The listing must have a protection clause.
This option is also incorrect. A protection clause is not a requirement for open listings. Open listings are generally non-exclusive, meaning that they do not provide a broker with the same protections as exclusive listings, which might include such clauses.
C) The broker or one of the broker's licensees must be the procuring cause for the sale.
This option is correct because it directly addresses the requirement for a broker to earn commission on an open listing. The broker must prove that they were instrumental in facilitating the sale, which is the essence of being the procuring cause.
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 requirement for brokers to notify other brokers about the sale in an open listing scenario. Open listings allow for multiple brokers to work on the same property independently, so such notifications are not mandated.
Conclusion
The requirement that the broker or their licensee must be the procuring cause is the only correct condition for earning a commission in the context of an open listing. The other options either misinterpret the nature of open listings or introduce requirements that do not apply, reinforcing that understanding the role of the procuring cause is critical for brokers in such agreements.