Contracting Agreement

What terms do we work under?

Here is an example CONTRACTING AGREEMENT, to give you an idea of what to expect when you sign on with us. 

ACKNOWLEDGMENT

The Agent believes that the Contractor possesses the experience and abilities to provide contracting services as detailed in this Agreement while acknowledging the Contractor is not a licensed real estate professional, and the Contractor is willing to provide services under the terms and conditions herein. The Agent and the Contractor (individually the “Party” and collectively the “Parties”) agree to the terms of this Agreement as follows:

SERVICES PROVIDED

  1. The Agent hereby agrees to engage the Contractor to provide the Agent with the following contracting services (the “Services”):
    1. EXAMPLE: Listing and subsequent sale transaction administrative services and general assistance
    2. EXAMPLE:  Sale transaction administrative services and general assistance
  2. The Services may also include any other contracting tasks which the Parties may agree on from time to time. 
  3. The Parties acknowledge that this Agreement is non-exclusive, and that the Agent is free to contract with third parties for any service similar to the Services identified in this Agreement.

COMPENSATION

  1. The Contractor will charge the Agent for the Services at a rate of $_____ per minute (the “Compensation”).
  2. The Agent will be invoiced once a month.
  3. Invoices submitted by the Contractor to the Agent are due within ____ days of receipt.
  4. The Compensation in this Agreement does not include GST, which will be charged in addition to the Compensation.
  5. The Agent acknowledges that if the Contractor is required by the Agent to travel for any purpose, including but not limited to; to and from a brokerage, office, or meeting, that the Compensation will be inclusive of travel time.
  6. All monetary amounts referred to in this Agreement are in Canadian currency (CAD).
  7. Payment of the Compensation made by Debit or Credit Card will incur a 4% processing fee.

REIMBURSEMENT OF EXPENSES

  1. The Contractor agrees to carry costs from time to time, where the Agent agrees to reimburse the Contractor for such costs, including but not limited to third party product orders such as titles; city files; strata documents; online advertising campaigns; VistaPrint; etc.
  2. The Agent agrees to reimburse the Contractor for any necessary expense incurred in connection with providing Services.
  3. The Agent agrees to be responsible for any and all printing of Services if required by the Agent, at their own expense.

CARRYING COSTS AND INTEREST ON LATE PAYMENTS

  1. The Agent acknowledges that the Contractor will carry a maximum unpaid invoice amount of $________, at which time this threshold is reached the Services will cease until a minimum payment of ____% is made.
  2. Interest payable on any unpaid invoice amount under this Agreement is charged at a rate of 4% per month on the total invoice amount. This interest and the outstanding balance will be added to the next invoice for Services. Compound interest will accrue on each monthly unpaid invoice, until the invoice is paid in full.

INDEPENDENT CONTRACTOR & BCFSA REGULATIONS

  1. In providing the Services under this Agreement it is expressly agreed that the Contractor is acting as an independent contractor and not as an employee. 
  2. The Contractor will have full control over working time, methods, and decision making in relation to completion of the Services in accordance with this Agreement. The Contractor will work independently and not at the direction of the Agent, however the Contractor will be responsive to the reasonable needs and concerns of the Agent.
  3. The Contractor has the right to refuse requests for Services for any reason, including any requests for Services on behalf of the Agent that require a licence or are defined as a real estate service under RESA. The Agent is responsible for ensuring they do not violate RESA by requesting services that are regulated, or that require a licence from BCFSA, which include but are not limited to:
    1. Hosting open houses, kiosks, or booths;
    2. Soliciting buyers or sellers;
    3. Showing property;
    4. Responding to questions from anyone other than the Agent about information concerning listings, contracts, titles, financial documents, closing documents, or any other information relating to a transaction;
    5. Explaining or interpreting a Contract of Purchase and Sale or any form of service agreement (e.g., Exclusive or Multiple Listing Contract) with or to anyone other than the Agent;
    6. Negotiating or agreeing to any commission, splits, or referral fees on behalf of the Agent;
    7. Presenting or negotiating an offer, or any form of service agreement; or
    8. Providing any other service for which a licence is required under RESA.

TIMEFRAME

  1. Completion of Contracts of Purchase and Sale with information provided and with approval by the Agent, will be completed same day if possible. If same day completion is not possible then the Contractor will advise the Agent. 
  2. All other Services will be completed to the best of the Contractor’s ability within one week from the notice or request of Service, unless otherwise agreed upon.
  3. The Agent is responsible for giving the Contractor any applicable due date for any time sensitive Services.
  4. The Contractor is responsible for advising the Agent if this timeline needs to be extended for any reason.
  5. The Agent acknowledges that from time to time larger tasks will take longer than one week to complete, and the Contractor will advise if the requested Service falls within this timeframe.

PERFORMANCE

  1. The Parties agree to do everything necessary and to the best of their ability to ensure that the terms of this Agreement take effect in a timely fashion, including but not limited to responding to emails, offering advice or approvals, and providing materials or information required for the completion of Services where applicable.

RIGHT OF SUBSTITUTION

  1. The Contractor may, at the Contractor’s sole discretion, engage a third-party or sub-contractor to perform some or all of the obligations of the Contractor under this Agreement.
  2. In the event that the Contractor hires a third-party or sub-contractor, the Contractor will pay direct for their services and Compensation will remain payable by the Agent to the Contractor. For the purposes of the indemnification clause in this Agreement, the sub-contractor is an agent of the Contractor.

CONFIDENTIALITY

  1. Confidential information (the ‘Confidential Information’) includes any data or information, whether related to the Agent or the Contractor, which is private or proprietary, not generally known, and could reasonably harm the disclosing party. This includes, but is not limited to, client lists, business procedures, marketing practices, and other business materials.
  2. Both Parties agree not to disclose, share, or use any Confidential Information obtained during the term of this Agreement, except as authorized by the disclosing Party or required by law. These confidentiality obligations apply during the term of this Agreement and terminate upon its termination.
  3. The Agent acknowledges that the Contractor may be privy to the Agent’s clients’ Confidential Information, which is material information that should be disclosed to the Agent’s client. The Agent is advised to make a disclosure in writing to protect them should a complaint be filed with BCFSA.

CONFLICTS OF INTEREST

  1. The Agent acknowledges that there are risks associated with the Contractor providing services to agents licensed at multiple brokerages, which could create a conflict of interest. Should any information be deemed shared by the Contractor, or should it appear that information was shared, the Agent acknowledges that they and their brokerage could be sanctioned for violating their duty of confidentiality.
  2. The Contractor agrees to uphold the Real Estate Services Rules concerning confidentiality, by not sharing information with those who should not have access to it. 
  3. The Contractor further agrees to advise the Agent prior to accepting any service where a conflict of interest may occur. The Agent acknowledges that the Contractor will also advise the conflicting party, and should the conflicting party ask the Contractor to cease service for confidentiality concerns, then the Contractor will refuse Services to all parties involved.

OWNERSHIP OF INTELLECTUAL PROPERTY

  1. All intellectual property and related material (the “Intellectual Property”) that is developed or produced under this Agreement, will be the property of the Contractor. The Contractor agrees to brand such material to the Agent where applicable, and the Agent is granted a non-exclusive use license of this Intellectual Property.
  2. Intellectual Property rights, including distribution rights, remain exclusively with the Contractor.

INDEMNIFICATION

  1. Each Party agrees to indemnify and hold harmless the other Party, and its respective affiliates, agents, employees, and permitted successors against any and all claims, losses, damages, liabilities, penalties, punitive damages, expenses, reasonable legal fees, and costs of any kind or amount (collectively referred to as “Claims”) arising out of or related to the actions, errors, omissions, or negligence of the Contractor while assisting the Agent in real estate activities. This indemnification will survive the termination of this Agreement.
  2. The Agent acknowledges and accepts that the Contractor is not a licensed real estate professional, and the Contractor shall not be held responsible for actions, errors, omissions, or negligence in any Services provided to the Agent.
  3. The Agent remains solely responsible for the review and use of any and all Services.
  4. The Agent shall maintain appropriate professional liability insurance coverage, including Errors and Omissions (E&O) insurance to cover any Claims within the scope of this indemnity clause, which may be due to actions, errors, omissions, or negligence of the Contractor in any Services provided to the Agent.

TERM AND TERMINATION

  1. The term of this Agreement (the “Term”) will begin on the date of this Agreement and will remain in effect until terminated as provided in this Agreement.
  2. Any amendment or modification of this Agreement, or any additional obligation assumed by either Party in connection with this Agreement, will only be binding if evidenced in writing signed by each Party.
  3. In the event that either Party wishes to terminate this Agreement, the terminating Party shall provide 10 days notice to the other Party, during which time the Contractor will complete any outstanding Services and provide a final invoice. The Agent agrees to pay the final invoice within 5 days of receipt.
  4. The Services of the Contractor will end upon the termination of this Agreement.

GOVERNANCE

  1. This Agreement will be governed by and construed in accordance with the laws of the Province of British Columbia. In the event that any of the provisions of this Agreement are held to be invalid of unenforceable in whole or in part, all other provisions will continue to be valid and enforceable with the invalid or unenforceable parts severed from the remainder of this Agreement. Any breach, default, delay, or omission of any of the provisions of this Agreement by the either Party will not constitute the termination of this Agreement.

The Agent is advised to seek independent legal counsel to review and provide guidance on the terms and implications of this Agreement. The Agent acknowledges that the decision to obtain legal advice is their sole responsibility, and they understand the importance of understanding the legal ramifications of their contractual commitments.