*Please note: Any questions regarding Legal Hotline Spotlights should be submitted via the Virginia REALTORS^® Legal Hotline. Our attorneys are unable to respond to questions through our comments section.

Q: “A buyer has approached me to represent him. The buyer signed an exclusive buyer brokerage agreement a few months ago with another firm, and he now wants me to represent him in purchasing a home. I asked the buyer when the previous brokerage agreement expires, and he told me there is no end date specified in the agreement. What do I do?”

A: Virginia Code section 54.1-2137.C. provides that brokerage agreements are required to have a definite termination date. However, if a brokerage agreement does not have a definite termination date, the brokerage agreement shall automatically terminate after 90 days.  

In this situation, the best practice would be for the buyer to provide you with a copy of the previous brokerage agreement to confirm it has terminated. If the agreement does not have a specified end date, and more than 90 days have elapsed, then the buyer is free to enter into a new exclusive brokerage agreement.  

If the first brokerage agreement is still active, then you may negotiate a brokerage agreement to begin after termination or expiration of the current agreement with the other broker.  

Have a question about this article? Submit it to the Legal Hotline!

The Legal Hotline is a member benefit that has been supporting members for over 25 years. Our team of lawyers answers your important questions about real estate transactions quickly and accurately (usually within three business hours!).

Here are some tips to help make the Legal Hotline work for you!