Real Estate Agent Agreement With Broker Template for Malaysia

The Real Estate Agent Agreement with Broker is a fundamental document in the Malaysian real estate industry, essential for formalizing the professional relationship between licensed real estate brokers and their agents. This agreement is required under Malaysian law, specifically the Valuers, Appraisers, Estate Agents and Property Managers Act 1981, and must be in place before an agent can operate under a broker's license. It covers crucial aspects such as commission splits, territory rights, compliance requirements, professional standards, and operational procedures. The document ensures both parties understand their rights, obligations, and responsibilities while maintaining compliance with Malaysian regulatory requirements, including anti-money laundering regulations and data protection laws. It's particularly important as it provides legal protection for both parties and establishes clear guidelines for their professional relationship.

1. Parties: Identification of the broker and the real estate agent, including their respective license numbers and business addresses

2. Background: Context of the agreement, including the broker's authority to operate and the agent's qualifications and desire to work under the broker

3. Definitions: Key terms used throughout the agreement, including technical real estate terms and specific Malaysian real estate industry terminology

4. Appointment and Scope: Terms of the agent's appointment, territory coverage, and types of properties/transactions authorized to handle

5. Term and Termination: Duration of the agreement, renewal terms, and conditions for termination by either party

6. Commission Structure: Detailed breakdown of commission splits between broker and agent, payment terms, and conditions for commission eligibility

7. Duties and Responsibilities: Specific obligations of both the agent and broker, including compliance with Malaysian real estate laws and regulations

8. Compliance Requirements: Obligations regarding Malaysian real estate regulations, anti-money laundering requirements, and professional standards

9. Professional Standards: Requirements for maintaining professional conduct, continuing education, and adherence to industry standards

10. Confidentiality: Provisions regarding confidential information and client data protection in accordance with Malaysian law

11. Insurance and Liability: Requirements for professional indemnity insurance and allocation of liability between parties

12. Dispute Resolution: Procedures for resolving disputes, including jurisdiction under Malaysian law

13. General Provisions: Standard clauses including notices, amendments, entire agreement, and governing law