Can you cancel a real estate brokerage contract in Quebec?

    By Thomas Lymburner, real estate agent (broker), RE/MAX Direct

    Key facts

    • Commission is freely negotiable with the broker, is not set by law and is paid when the transaction is completed.
    • The contract binds you to sell or buy through the broker: check its term, termination conditions and applicable penalties.
    • The 3-day cooling-off right applies in some cases, not to every contract.
    • Written withdrawal notice must go to the broker or agency within 3 days of receiving the signed contract.
    • The 180-day clause can apply even after exercising the cooling-off right.
    • Taking the property off the market does not end the brokerage contract.

    Selling costs and proceeds at the notary

    Receiving a promise to purchase: options and conditions

    What should you check before signing?

    Commission is freely negotiable with the broker and is not set by any law. It is paid when the transaction is completed. The contract is binding: you agree to sell or buy through the broker.

    Review its duration, termination conditions and applicable penalties. Ask your questions before signing. Thomas Lymburner explains these terms before every signature as part of his practice as a real estate agent (broker).

    How do you use the 3-day cooling-off right?

    In some cases, whether buying or selling, you can cancel without reason or penalty within 3 days of receiving your copy. This right of withdrawal is not universal: confirm its application with the OACIQ or your broker.

    Send written notice to the broker or their agency within 3 days of receiving the signed contract, delivered in person or by mail. A service that keeps proof of the sending date is recommended. The contract ends when the notice is sent or delivered.

    What costs may follow cancellation after 3 days?

    After the 3 days, you can still cancel, but you may have to reimburse certain costs the broker already incurred: professional photos, advertising, signs or brochures and, rarely, travel, with supporting documents.

    It is best to agree beforehand with your broker on which costs would be reimbursed.

    How does the 180-day clause work?

    Even after cancellation, you must pay a commission if the sale closes with someone who showed interest in the property during the contract and the property is sold to that person within 180 days after the contract ends. This applies whether or not you used the right of withdrawal.

    The clause is not valid if a new exclusive brokerage contract was signed in good faith with another broker.

    Taking off the market vs cancelling: what is the difference?

    If you no longer want to sell and cannot agree on termination, you could ask that the property be taken off the market. The broker can no longer list, advertise or show it, but the contract stays in force.

    While the contract is not terminated or ended, you cannot sell or buy without the broker or give a new contract to another licence holder.

    Who can answer your questions?

    Ask about commission, the term and cancellation before signing. Confirm with the OACIQ or your broker whether the cooling-off right applies.

    Frequently asked questions

    Yes. Commission is freely negotiable with the broker and is not set by any law. It is paid when the transaction is completed. Ask your questions before signing.

    Yes. In some cases, you can cancel without reason or penalty within 3 days of receiving your signed copy. After that period, some already incurred costs may be reimbursable, with supporting documents. The 180-day clause may also apply.

    In some cases, whether buying or selling, it allows cancellation without reason or penalty within 3 days of receiving the signed contract. Send or deliver written notice to the broker or their agency, in person or by mail. The contract ends when the notice is sent or delivered. Confirm applicability with the OACIQ or your broker.

    Commission is payable if the property is sold within 180 days after the contract ends to someone who showed interest during the contract, even after using the cooling-off right. The clause is not valid if a new exclusive contract is signed in good faith with another broker.

    Taking the property off the market stops the broker from listing, advertising or showing it, but the contract stays in force. Until it is terminated or ended, you cannot sell or buy without the broker or give a contract to another licence holder.

    The OACIQ can answer your questions. Also ask your broker before signing about commission, duration, termination conditions and penalties. Confirm whether the cooling-off right applies to your situation.

    According to the OACIQ, the period is three days following the day you receive a copy of the brokerage contract. To cancel, send a written notice to the broker or the agency. Confirm with the OACIQ or your broker whether the right applies to your situation.

    Yes, with the client’s agreement. According to the OACIQ, the broker can add, before signing, the statement “This contract is non-cancellable” to the “Other declarations and conditions” clause (11.1 for a sale, 10.1 for a purchase or a lease). The broker must first clearly inform the client of the legal right to cancel at any time (clause 2.1) and make sure they understand the consequence: the contract can then end only by mutual agreement.

    Sources

    General information only. This guide is not legal advice; confirm your situation with the OACIQ or your broker.

    Related guides

    Let’s discuss your plans in Gatineau

    Contact Thomas