Conjunctional Listings

Purpose

This procedure applies to all referrals where the Referring Agent requests a commission.

The company needs to be able to give a fair and consistent response when this issue comes up. If it

agrees to pay a commission, then this agreement needs to be in writing and follow a documented

procedure. If there is no documentation, disputes can result.

The company is ethically bound to refer a prospective vendor to another agent if this is in the client’s best interests.

Procedure

When another agent wants to refer a prospective vendor to the company

• The company does not pay commission to a Referring Agent except if the manager approves it.
• The manager makes sure that this prospective vendor is not an existing client.
• If the company does pay a commission, it follows the steps in “Referral commission agreement”  below.

Sales Consultant

• Contacts the Agent and offers the client information in exchange for the referral commission.
• Note: Negotiate courteously. Fill in referral Form and send to relevant agent
• If the Agent is willing to pay a commission, completes a written agreement using the steps below.

Referral commission agreement

• The Referring Agent writes to the Agent setting out the terms agreed and requesting written          confirmation.
• The Agent paying commission confirms the agreement in writing.
• The Referring Agent waits for the written confirmation before referring the client.
• Once property is sold, tax invoice is sent to Agent.