Land Sale Commission Agreement Template for United Arab Emirates

The Land Sale Commission Agreement is a critical document used in UAE real estate transactions to formalize the relationship between property owners and licensed real estate brokers. It is essential when engaging a broker to sell property, whether residential or commercial, and must comply with UAE Federal Laws and specific emirate regulations, particularly RERA requirements in Dubai. The agreement typically includes detailed commission structures, payment triggers, broker obligations, and property owner responsibilities. It becomes particularly important in high-value property transactions where significant commissions are involved and in cases where multiple brokers might be engaged. The document protects both parties' interests by clearly defining the terms of engagement, commission rates, and conditions for payment, while ensuring compliance with local real estate regulations and market practices.

1. Parties: Identification of the property owner and the licensed real estate broker, including their full legal names, addresses, and relevant registration numbers

2. Background: Context of the agreement, including brief description of the property and the owner's intention to sell

3. Definitions: Key terms used throughout the agreement, including 'Property', 'Commission', 'Completion', 'Sale Price', and 'Qualifying Transaction'

4. Appointment: Formal appointment of the broker and scope of authority

5. Broker's Duties and Obligations: Detailed listing of the broker's responsibilities, including marketing efforts, showing the property, and negotiating with potential buyers

6. Property Owner's Obligations: Owner's commitments, including providing accurate information and reasonable access to the property

7. Commission Structure: Details of commission rate, calculation method, and timing of payment in compliance with UAE regulations

8. Payment Terms: Specific conditions for commission payment, including trigger events and payment process

9. Term and Termination: Duration of the agreement and circumstances under which it can be terminated

10. Representations and Warranties: Standard declarations by both parties regarding authority, capacity, and compliance with laws

11. Confidentiality: Obligations regarding confidential information and property details

12. Governing Law and Jurisdiction: Specification of UAE law application and jurisdiction for disputes

13. Notices: Process and requirements for formal communications between parties

14. General Provisions: Standard boilerplate clauses including entire agreement, amendments, and severability