Question 3

The listing licensee, if having procured the buyer before the expiration date on the listing, is to receive a commission even though negotiations were completed after the expiration date.

This provision is a standard aspect of exclusive right-to-sell listing agreements, ensuring that the listing agent is compensated for their efforts in securing a buyer, even if the sale is finalized after the agreement expires.

A) The listing licensee, If having procured the buyer before the expiration date on the listing, is to receive a commission even though negotiations were completed after the expiration date

This option accurately reflects a common provision in exclusive right-to-sell listings, protecting the listing agent's commission for buyers they introduced to the property, which incentivizes agents to work diligently throughout the listing period.

B) The listing of the house will automatically extend an additional 30 days, if the house has not been sold during the term of the listing

This option is generally not a standard provision in exclusive right-to-sell agreements. While extensions can be negotiated, they are not automatically included, as such terms depend on the specific agreement between the seller and the listing agent.

C) The listing agency has the first right of renewal, if the house is not sold during the term of the original listing

While some agreements may include a right of renewal, this is not a typical provision in exclusive right-to-sell listings. The focus is more on ensuring commission payment for agents rather than automatic renewal rights, which can vary widely.

D) The seller has the right to cancel the listing contract at any time, for any reason, without any obligation to compensate the listing licensee

This option contradicts the nature of exclusive right-to-sell agreements, which typically bind the seller to compensate the agent for services rendered during the listing period, even if the seller decides to cancel the contract.

Conclusion

Option A is definitively correct as it encapsulates a key provision in exclusive right-to-sell agreements, ensuring agents are rewarded for their role in securing buyers. The other options either misrepresent standard practices or fail to address the core purpose of such agreements, which emphasizes the agent's entitlement to commission under specific conditions.