Question
You and Falicia, another broker, agree to cooperate on a transaclion. You represent the buyer, and Felicia represents the seller. Which of the following is true? Felicia is required by law to share her commission with you. The clients will be required to pay your respective compensation. You two may negotiate whether or not to share any applicable commission. You will be sharing your commission with Felicia.
Answer
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Laurie
Veteran · Tutor for 9 years
Answer
You two may negotiate whether or not to share any applicable commission.
Explanation
In real estate transactions, the sharing of commissions between brokers is typically a matter of negotiation and agreement rather than a legal requirement. The law does not mandate that Felicia must share her commission with you. Instead, brokers often negotiate the terms of commission sharing based on their agreements and the specifics of the transaction. Therefore, the most accurate statement is that you and Felicia may negotiate whether or not to share any applicable commission.