We have already mentioned that you will be a real estate seller or broker when you start. And to get your license, you must have filed with a broker. This broker will sponsor your license and your license will still have to be held by a broker while you are a practicing seller. While it is customary to say that you work for your broker, it is a little more accurate to say that you work under your broker, because, while it can often seem that your broker is your boss, you are actually an independent contractor and not an employee of the broker or agency for which you work. In another lesson, we will discuss what it means to be an independent contractor, but to understand how real estate agents and sellers are paid, it is important to understand the basics of this relationship. Here are some of the functions that are important when talking about independent contractor agreements. One day, even the best will end. Depending on the state in which you live, termination of employee status is subject to different rules. With an independent contractor, it is usually quite simple to end the relationship. Both the real estate agent and the seller have the right to terminate their relationship at any time.
There is no reason to say. In the agreement, there should be a clause stipulating logistics in order to make this separation as simple as possible. It is likely that this section will indicate the amount of written notification to be given to formally denounce the agreement, as well as the procedure to be followed to determine whether an additional commission is due to the seller and how it should be paid. The relationship will always be between a licensed broker and a licensed seller, and the agreement stipulates that the two contracting parties each meet this requirement. Much of what is included in the agreement relates to the characteristics that must be dealt with in all independent contracting agreements, not just real estate. There will often be a declaration of liability – which is responsible for legal challenges. An independent contractor does “rental work.” Unless the contractual agreement is made otherwise, it is likely that the licensee is entitled to the work they have created, including copyright. State licensing considers the relationship between seller and broker to be a traditional relationship between employee and employer. There are many other occupations in which a person is an independent contractor for another person or another company, but in these contractual agreements it is customary for the independent contractor to assume full responsibility for his or her own actions.