Agency

Under North Dakota law, a listing agreement that automatically renews (evergreen clause) without seller's active consent may be:

ARequired for exclusive right to sell agreements
BInvalid or unenforceable under NDREC rules prohibiting automatic renewal clauses✓ Correct
CValid if it extends for no more than 6 months at a time
DValid only for commercial listings

Explanation

The NDREC has rules addressing listing agreement terms, including prohibitions against certain automatic renewal provisions that can trap sellers. Listing agreements must have a definite termination date.

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