1. Which of the following can be described as a nonexclusive listing agreement that gives multiple brokers (and owners themselves) the right to sell property, and the individual who is considered to have procured the cause of the sale is the one who will receive the commission?
Answer: D
An open listing is a nonexclusive agreement allowing multiple parties to sell a property.
An open listing is characterized by allowing multiple brokers and the property owner the opportunity to sell the property. The broker who successfully finds a buyer and procures the cause of the sale is entitled to the commission.
A) net listing
A net listing is a type of agreement where the seller sets a minimum price for the property and the broker keeps any amount above that as commission. This does not fit the description of a nonexclusive listing that allows multiple brokers to sell the property.
B) exclusive agency agreement
An exclusive agency agreement gives one broker the right to sell the property, but the owner retains the right to sell it themselves without owing a commission to the broker. This is not a nonexclusive agreement, as it limits the selling rights to one broker.
C) exclusive right-to-sell agreement
An exclusive right-to-sell agreement provides a single broker with the exclusive right to sell the property and guarantees them a commission regardless of who sells it. This option is exclusive, not allowing multiple brokers to participate in the sale.
D) open listing
An open listing is indeed a nonexclusive agreement that allows multiple brokers and the owner to sell the property. The broker who finds a buyer and facilitates the sale receives the commission, aligning perfectly with the description in the question.
Conclusion
The correct option is open listing, as it accurately describes a nonexclusive agreement that permits multiple brokers and the owner to sell a property, with the broker who procures the buyer receiving the commission. The other options are all forms of exclusive agreements or structures that do not allow for multiple brokers to participate in selling the property, thereby failing to meet the criteria outlined in the question.