to his or her rights and obligations in relation to the sales agency agreement he or she has made with the sales agent.
The real estate agent is required to serve the Form R1 before making a sales agency agreement in relation to residential land. This form outlines the rights, duties and obligations of the agent and vendor, such as the role of the agent, marketing activities and the maximum duration of the agreement.
There is no prescribed period for service of the Form R1 before the execution of the sales agency agreement, but the vendor should be allowed sufficient time to consider the Form R1.
If the agent fails to serve the Form R1, there may be an effect on the agent’s entitlement to commission and expenses and the enforceability of the sales agency agreement.
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