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    Who pays for the broker's expenses if a deal fails?

    Ali Faizan Syed1 min read0 viewsUpdated 1/2/2026
    Unless the Brokerage Agreement explicitly states otherwise, a broker is not entitled to any compensation or reimbursement if their negotiations fail to lead to a contract. This means the broker usually bears their own costs and expenses incurred during the process. This rule aligns the broker�s interests with the client�s, as the broker only receives financial reward when they successfully conclude a transaction that meets the conditions of the brokerage agreement.

    Related Topics:

    Broker Expenses
    Failed Negotiations
    Performance Reward
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