It depends on the brokerage agreement. Under the Commercial Code, commission generally becomes due as an entitlement when the brokered agreement is concluded. If commission is tied only to securing an opportunity to enter into an agreement, entitlement arises once that opportunity is secured. For a consumer client, remuneration is payable only if the result was achieved through the broker’s efforts.
What determines entitlement to commission?
The brokerage agreement primarily determines when a real estate agency becomes entitled to commission. The Commercial Code provides two regimes:
- Commission tied to a result: entitlement arises when the brokered agreement is concluded (Section 644).
- Commission tied to an opportunity: if the agreement requires the broker only to secure an opportunity to enter into an agreement with specified content, entitlement arises upon securing that opportunity (Section 645).
For a consumer client, the civil-law rule applies: remuneration is payable only if the result was achieved through the broker’s efforts (Section 774 of the Civil Code). There must therefore be a causal connection between the broker’s activity and the transaction.
Where do commission disputes arise?
The most common dispute concerns “circumventing commission”: a seller and buyer introduced by the broker conclude the transaction directly to avoid paying commission. This is why the agreement must clearly define what gives rise to entitlement, and why verifiable records of the activity must be kept: viewings, introduction of the prospective buyer and communications. Without them, causation is difficult to prove.
How to structure commission
We recommend precisely defining when entitlement arises and when payment falls due, linking commission to a specific result and adding protection where parties introduced by the broker conclude the transaction directly. We also ensure that the provision is not an unfair term against a consumer.
We arrange contracts and commission models through our legal services for real estate agencies, prepare agents to conclude agreements properly through agent training, and address ongoing questions under our retainer for real estate agencies.
This answer provides general information on the law as at 21 July 2026. It does not constitute legal services or replace an assessment of an individual case. The details of your situation may differ. Book a consultation to discuss them.
