Contracts

A Florida seller signs a listing agreement that includes an 'automatic extension' clause. This means:

AThe listing extends indefinitely until cancelled
BThe listing period automatically extends if a sale is pending at the expiration date
CThe listing renews for the same term if not cancelled in writing before expiration✓ Correct
DFREC prohibits automatic extension clauses

Explanation

An automatic extension clause in a listing agreement causes the agreement to automatically renew for the same or a new specified period unless either party cancels in writing before the expiration date. FREC rules do not prohibit these clauses.

Related Florida Contracts Questions

Practice More Florida Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Florida Quiz →