Delaware Code Title 25 Sec. 2603 – Right to lien
Upon performance of all of the duties of the real estate broker as stated in the brokerage agreement except completing settlement, the broker shall have the right to place a lien upon commercial real estate that is the subject of the brokerage agreement for the unpaid amount of compensation due the broker as stated in the brokerage agreement. The brokerage agreement must expressly:
(1) State the amount or the method of calculating the amount of compensation for the services of the broker; and
(2) State that the brokerage agreement is a binding contract under state law; and
(3) Identify the real estate that is covered by the brokerage agreement by description and/or tax parcel number.
Terms Used In Delaware Code Title 25 Sec. 2603
- Broker: means any individual who holds a broker license from the Delaware Real Estate Commission and who for a compensation or valuable consideration, is self-employed or is employed directly or indirectly by a brokerage organization to sell or offer to sell, or to buy or offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. See Delaware Code Title 25 Sec. 2602
- Brokerage agreement: means any written agreement for the payment for brokerage services of a broker for the management, sale, purchase, lease, or other conveyance or acquisition of commercial real estate. See Delaware Code Title 25 Sec. 2602
- Commercial real estate: means any estate or interest owned in:
- Contract: A legal written agreement that becomes binding when signed.
- Lien: A claim against real or personal property in satisfaction of a debt.
- Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
Failure of the brokerage agreement to contain these provisions shall render the brokerage agreement ineligible for a broker’s lien, but shall not otherwise affect the validity or enforceability of the brokerage agreement.