Question

Broker Hays took a 90-day exclusive agency listing to sell a property that was owned by Wilson. After 30 days, Hays had not sold the property, so Wilson sent him a certified mail letter canceling the listing. One week later Wilson listed the property with several brokers using open listings. Two weeks later, one of the brokers who had an open listing on the property completed a sale to new owners. In this situation Wilson most likely:

Answer 1

Wilson most likely has the right to cancel the listing with Hays after 30 days. Wilson can then list the property with other brokers using open listings. The broker who completes the sale is entitled to the commission.

Step-by-step explanation:

In this situation, Wilson most likely has the right to cancel the listing with Hays after 30 days. However, if the contract between Wilson and Hays had a specific provision regarding cancellation, that provision would need to be followed. Wilson was within his rights to list the property with other brokers using open listings after canceling the exclusive agency listing with Hays. The broker who completed the sale to the new owners would be entitled to the commission.