Contracts

A Wyoming 'net listing' contract specifies that the seller will receive $350,000 and the broker will retain anything above that amount as commission. If the property sells for $410,000, the broker receives:

A$21,000 (standard 6% commission)
B$60,000✓ Correct
C$35,000
D$350,000

Explanation

In a net listing, the broker's commission = Sale Price − Net to Seller = $410,000 − $350,000 = $60,000. This illustrates why net listings create a conflict of interest—the broker benefits by getting the highest price over the seller's minimum, potentially at the seller's expense.

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