Agency

What is the 'termination of agency by mutual agreement' in Kansas real estate?

AThe agency terminates when one party decides to end it without notice
BBoth the principal and agent agree to cancel the agency relationship before the original term expires; all parties should sign a written termination agreement✓ Correct
CThe agency terminates when the property is listed on the MLS
DMutual agreement is required only for buyer's agency, not listing agreements

Explanation

When both the principal (client) and the agent mutually agree to end their agency relationship before the original contract term expires, the agency terminates by mutual agreement. A written termination agreement protects both parties and should clearly state the termination date and any compensation obligations.

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