AGREEMENT GRANTING A SOLE AND EXCLUSIVE MANDATE TO SELL
(HOUSES AND VACANT URBAN LAND)
1. The printed portions of this document have been approved by the Estate Agents Board. This document, may only be reproduced in its entirety without additions or amendments to the printed portions thereof.
2. This document should only be used - (a) for the granting of a sole mandate,
3. Signature of this document gives rise to legal consequences and, when duly signed by both seller and estate agent, will result in a legally binding contract. Accordingly, and before signing, please ensure that this document accurately reflects all of the terms and conditions of the proposed sole mandate and that you fully understand all of its provision and the consequences of each. In particular, careful consideration should be given to the expiry date of the mandate to be inserted in clause 3.
4. The seller should not sign this document if another sole and/or exclusive mandate to sell the property described herein was previously granted to him to another estate agent and such mandate has not yet expired.
AGREEMENT GRANTING A SOLE AND EXCLUSIVE MANDATE TO SELL
1.1____________________________________________________________ _____ (“Seller”)
of (address) __________________________________________________________
1.2 The firm __________________________________________________________
trading as ___________________________________________________________ (“Estate Agent”)
of (address) __________________________________________________________
(Refer Mr/Ms) ________________________________________________________
2.1 The property to be sold is Stand/Erf no. __________________________________
in the township of _____________________________________________________
and situated at (street address) ___________________________________________
together with all buildings and erections thereon and all fixtures and fittings of a permanent nature pertaining there to (“the Property)
2.2 The Seller is prepared to sell the Property on the following material terms:
2.2.1 Included in the sale of the Property are the following appurtenances and items of equipment:
2.2.2 The purchase price is (__________________________________________________Rand) or such
lesser amount as the Seller may be prepared to accept and is payable against registration of transfer. Unless the Purchaser qualifies for and intends to avail himself of a 100% (one hundred percent) loan, a deposit of ___________________________ Rand is required.
2.2.3 The following provisions shall apply in respect of the date of occupation of the Property:
22.214.171.124 Occupation of the Property shall be given to the Purchaser on _________________ or such other date as may be mutually agreed upon in writing.
2.2.4 If the date upon which occupation of the Property is given to the Purchaser does not coincide with the date of registration of transfer, the party enjoying occupation of the Property while it is registered in the name of the other party shall, in consideration of such occupation and for the period thereof, pay to the other party monthly in advance, occupational interest of _________________ ( _______________________Rand) per month:
Provided that if transfer of the Property is not registered within 60 (sixty) days after the date upon which the Purchaser has taken occupation of the Property, and the cause of such non-registration is due to the fault of either the Purchaser or the conveyancer appointed by him, the occupational interest payable monthly by the Purchaser with effect from the expiry of the said 60 (sixty) days period shall be either the aforesaid amount or one twelfth of the annual interest.
2.2.5 All the benefits and risks of ownership of the Property shall pass to the Purchaser on registration of transfer, unless otherwise agreed in writing.
2.2.6 If so required by the Purchaser, the sale will be subject to the suspensive condition that the Purchaser is able to obtain approval of a loan from a financial institution on the security of a first mortgage bond to be registered over the Property, such loan to be approved within________(________________) days after the date of sale.
2.2.7 The commission payable by the Seller shall be ______%(__________________ percent) of the purchase price. The said commission shall be deemed to have been earned upon the signature of an Agreement of Sale by both the Seller and the Purchaser and the fulfillment (or waiver, as the case may be) of all suspensive conditions contained therein and is payable upon registration of transfer of the Property into the name of such Purchaser.
The full terms of the sale shall be as contained in the Estate Agent’s standard sale document (duly completed in terms of the aforegoing), a copy whereof is available to the Seller on request: Provided that the Seller shall not be obliged to accept any suspensive condition not contained herein.
3. GRANT OF MANDATE
The Seller hereby grants to the Estate Agent for the period commencing from date of signature hereof and terminating at ___________________(time) on __________________(date) (“the mandate period”) a sole and exclusive mandate to offer the Property for sale substantially in accordance with the provisions of 2.2 above. Upon expiry of the mandate period or a valid sale of the Property being concluded, whichever occurs first, this Agreement will automatically lapse and subject to 5.3 and 5.4 hereunder be of no further force or effect whatsoever.
4. ESTATE AGENT’S OBLIGATIONS
The Estate Agent hereby undertakes:
4.1 to use his best endeavors to find a Purchaser who is willing and able, both legally and financially, to purchase the Property from the Seller on the terms stated above. Without in any way derogating from the generality of the aforegoing, the Estate Agent undertakes, at his sole cost and expense, to:
4.1.1 advertise the Property for sale in the press at regular intervals on at least on ______________ occasions during the mandate period; and
4.1.2 take all reasonable steps to put the Property on show on ________________________________________________; and
4.1.3 communicate with the Seller at regular intervals during the mandate period to advise him of progress concerning the sale of the Property, such communications to be in writing at the Seller’s written request; and
4.1.4 to furnish the Seller with all written offers made to purchase the Property forthwith upon such offers being received by the Estate Agent;
4.2 to furnish the Seller, forthwith upon the termination of this Agreement, either by cancellation or effluxion of time, with a list of the names of all persons introduced by the Estate Agent to the Property or the Seller as bona fide potential purchasers.
In the event of the Estate Agent failing to comply substantially with the provisions of 4.1 above and persisting in such failure for a period of 7 (seven) days after receipt of a written notice from the Seller calling upon the Estate Agent to remedy the failure complained of, the Seller shall be entitled to forthwith cancel this agreement in writing, subject however, to any rights and obligations which may have been accrued prior to such cancellation.
5. SELLER’S OBLIGATION
The Seller undertakes that:
5.1 he will not, during the mandate period, appoint or allow any other estate agent to sell or endeavor to sell the Property nor will he or any other party on his behalf sell or endeavor to sell the Property; and
5.2 he will not do anything which might prevent, frustrate or hinder the Estate Agent from effecting a sale of the Property in terms hereof. For the purposes hereof, “prevent, frustrate or hinder” shall, without in any way limiting the generality thereof, include:
5.2.1 a refusal by the Seller to accept a bona fide written offer submitted to him by the Estate Agent during the mandate period to purchase the Property on the terms stated herein; and
5.2.2 the Seller’s withdrawal (in circumstances other than those contemplated in 6.1 below) of the Property from the
market prior to the termination of the mandate period; and
5.2.3 a refusal to co-operate with the Estate Agent in the latter’s endeavors to sell the Property, more particularly;
126.96.36.199 by denying him access to erect “For Sale” boards and/or “Show House” boards on the Property or removing such boards without good cause, if permission to erect such boards has been granted in terms of clause 8 of this mandate; or
188.8.131.52 by denying him access to the Property at reasonable times for the purpose of showing it to potential purchasers or holding show days; and
5.3 he will pay to the Estate Agent a commission based on ________%( ) of the purchase price at which the Property is sold by the Estate Agent during the currency of this Agreement, subject to the specific terms (if any) in this regard in the relevant agreement of sale. Such commission is also payable by the Seller in the event that a sale of the Property occurs:
5.3.1 within 30 (thirty) days after the termination of this Agreement (whether by effluxion of time or otherwise) to a person who was during the mandate period introduced to him or the Property, as a potential purchaser thereof, by the Estate Agent or any third party whatsoever; or
5.3.2 after the expiry of a period of 30 (thirty) days after termination of this mandate (whether by effluxion of time or otherwise) and the Estate Agent was the effective cause of such sale:
Provided, however, that there will be no liability on the part of the Seller to pay such commission in the event of the Estate Agent failing to comply with the provisions of 4.2 above; and
5.4 if he commits a breach of any of the provisions of:
5.4.1 5.1 above; or
5.4.2 5.2 above and persists in such breach for a period of 7 (seven) days after receipt of a written notice from the Estate Agent calling upon the Seller to remedy the breach complained of, he will pay to the Estate Agent, as a genuine pre-estimate of the damages that the Estate Agent will sustain as a result of such breach, the amount of the commission referred to in 2.2.7 above
6. ACKNOWLEDGEMENT BY THE SELLER
6.1 The Seller acknowledges that he is not entitled to unilaterally withdraw from or terminate this Agreement prior to the expiry of the mandate period, unless:
6.1.1 he can show that there exists good cause arising out of circumstances beyond his control for such withdrawal or termination; and
6.1.2 he undertakes in writing that:
184.108.40.206 if he decides within a period of 6 (six) months after such withdrawal or termination to again sell the Property, he will forthwith furnish the Estate Agent with written notification of such decision together with the price at which he is prepared to sell. Upon receipt of such notification all the terms and conditions of this Agreement will be automatically reinstated, mutatis mutandis, for a period of _____________ days and the Estate Agent shall forthwith after receipt of such notification notify the Seller, in writing, of the expiry date of the mandate period expressed as a calendar date;
220.127.116.11 if the Property is sold privately or through any other Estate Agent at any time within a period of 6 (six) months after the date of such withdrawal or termination, he will pay to the Estate Agent an agreed consideration of ___________ (_____________________Rand) in respect of such withdrawal or termination, which amount shall become due and payable by the Seller to the Estate Agent immediately such sale takes place.
6.2 Notwithstanding anything to the contrary contained in clause 6.1, the Seller acknowledges that he will not be entitled in any circumstances whatsoever to such a withdrawal or termination after the Estate Agent has submitted to him a bona fide written offer obtained by the Estate Agent during the mandate period to purchase the Property on the terms stated herein.
7. ERECTION OF BOARDS
Delete if not applicable
The Seller hereby grants the Estate Agent permission to erect a “For Sale” and/or “Show House” board on the Property during the period of this mandate, subject to local authority by-laws and the rules of the scheme. The Estate Agent undertakes to remove such boards immediately on termination of the mandate.
8. SPECIAL CONDITIONS
THUS DONE AND SIGNED BY THE PARTIES ON THE DATES AND AT THE PLACES STATED HEREUNDER:
DATE: ________________________________ PLACE:________________________
(OR DULY AUTHORISED REPRESENTATIVE)
I, the spouse of the Seller, hereby consent to the aforegoing and confirm all of the terms and conditions herein contained.
DATE: _________________________________PLACE: _______________________
WITNESS SELLER’S SPOUSE
WITNESS: THE ESTATE AGENT
(OR DULY AUTHORISED REPRESENTATIVE )