What Are The Duties Of Brokers And What Agreements Do They Have In Nevada?

 

An agent or a broker has a duty to exercise reasonable care and provide a form from the Nevada Real Estate Division which outlines all the obligations of the agent or broker to both their client and to all other parties in the transaction as well.

According to Las Vegas Nevada real estate lawyers, when an agent or broker enters into a brokerage agreement, he or she has the following obligations under BRS 645.254:

● Exercising reasonable skill and care in carrying out their obligations under the brokerage agreement.

●     Duty not to disclose confidential information for one year after the date of the end of the brokerage agreement, unless required to do so by a court of law or the client gives written consent.

●  Seeking out a deal for either the price or terms stated in the brokerage agreement (for seller) or at a price desirable to the client (for buyer).

●   Presenting all offers made by or to a client as soon as practicable, unless the client signs a written waiver.

●     Disclosing to the client all material facts known to the licensee concerning the transaction.

●     Advising the client to seek out an expert on items that are outside the licensee’s expertise.

●     Accounting for all money and property received from the client in connection with the transaction.

 

Here are Types Of Brokerage Agreements

This agreement expresses the type of representation the broker will have with the client.

In Nevada a client can hire a broker for two types of representation, Open and Exclusive.

As per the norms stated by a real estate attorney in Las Vegas, Nevada, in an Open agreement the client may hire additional brokers if they so choose. If a different broker fulfills the transaction for the client, that broker alone receives a commission and all other brokers the client may have hired do not receive any commission.

Once a broker satisfies the procuring cause all other brokerage agreements for the property are automatically terminated. An Open agreement can be oral or written. The default position under Nevada law is that all oral brokerage agreements are Open.

In contrast to an Open agreement, it is an Exclusive agreement.

Exclusive representation protects the broker from interference by other brokers which a seller may hire.

There are two types of exclusive brokerage agreements, the Exclusive Right to sell and the Exclusive Agency. An Exclusive Right to Sell gives the broker their commission regardless of who is the procuring cause.

In an Exclusive Agency agreement, the broker will not earn a commission if the seller finds a buyer on their own but is still protected in earning their commission should another broker the seller hired in violation of the exclusive nature of the agreement be the procuring cause.

 

What If You Want To File A Complaint With Mortgage Lending Division

The Mortgage Lending Division oversees the licensing of mortgage brokers and agents through its office in Carson City.

However, the Division also serves the general public by reviewing and investigating complaints brought by consumers. It is highly recommended that you consult with Las Vegas Nevada real estate lawyers for the greater assistance. These complaints often involve disputes between a prospective borrower and a licensee, but can also include complaints about a business or person practicing in Nevada without a proper license to do so.

The subject of the complaint may request a hearing by submitting a verified petition to the Division if they wish to contest the Commissioner’s order. The person or company has 30 days from the date of receipt of the written order to request a hearing. Alternatively, the person or company may also request an informal conference prior to the hearing for purposes of making themselves heard before the Division and possibly negotiating a resolution prior to an administrative hearing.