Which listing agreement type is enforceable in Alabama?

Study for the Alabama Real Estate Post-License Exam. Engage with flashcards and multiple-choice questions, with hints and explanations for each question. Get ready to excel on your exam!

In Alabama, a listing agreement is enforceable when it is in writing. Written agreements provide clear and definitive terms that protect the rights of both the seller and the real estate agent. They specify details such as the listing price, the duration of the agreement, the commission structure, and any other pertinent conditions. This written form ensures that all parties have a mutual understanding and can refer back to the documented terms if any disputes arise.

While verbal, informal, and exclusive oral agreements may exist in practice, they lack the enforceability that written agreements provide under Alabama law. Such arrangements can lead to misunderstandings or legal challenges, as they may not capture the agreed-upon terms in a way that can be substantiated. Therefore, having a formal, written listing agreement is crucial for legal protection and clarity in real estate transactions.

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