PURPOSE: This rule requires specific terms in management agreements in order to alleviate confusion between the public and licensees. This confusion has been demonstrated by complaints received by the commission and audits on property management accounts performed by the commission. The licensee is required to provide a copy of the agreement to the property owner.

1. (1) Every written property management agreement or other written authorization between a broker and the owners of the real estate shall—

   1. (A) Identify the property to be managed;
   2. (B) State the amount of fee or commission to be paid and when the fee or commission will be paid;
   3. (C) Specify whether security deposits and prepaid rents will be held by the broker or the owner;
   4. (D) Contain the beginning date of the agreement;
   5. (E) Provide the terms and conditions for termination of the property management agreement by the broker or the owner of the property;
   6. (F) Include the licensee’s duties and responsibilities;
   7. (G) Contain a statement which permits or prohibits the designated broker from offering subagency (not applicable for transaction broker agreements);
   8. (H) Contain a statement which permits or prohibits the designated broker and/or affiliated licensee from acting as a disclosed dual agent and if permitted, the duties and responsibilities of a dual agent;
   9. (I) Contain a statement which permits or prohibits the designated broker and/or affiliated licensee from acting as a transaction broker and if permitted, the duties and responsibilities of a transaction broker;
   10. (J) Include specification of whether or not the designated broker is authorized to cooperate with and compensate other designated brokers acting pursuant to any other brokerage relationship as defined by 339.710 to 339.860, RSMo, including but not limited to tenant’s agents and/or transaction brokers;
   11. (K) Contain a statement which confirms that the landlord received the Broker Disclosure Form prescribed by the commission: a) on or before the signing of the brokerage relationship agreement, or b) upon the licensee obtaining any personal or financial information, whichever occurs first; and
   12. (L) Contain the signatures of all the owners and the broker or affiliated licensee as authorized by the broker.
2. (2) The licensee shall give to the owner or the owner’s authorized agent a legible copy of every written property management agreement or other written authorization at the time the signature of the owner is obtained; and the licensee’s broker shall retain a copy.

AUTHORITY: sections 339.120, 339.720, 339.780 and 339.820, RSMo Supp. 1999.* This rule originally filed as 4 CSR 250-8.210. Original rule filed June 14, 1988, effective Feb. 19, 1989. Amended: Filed Feb. 2, 1994, effective Aug. 28, 1994. Amended: Filed Jan. 14, 2000, effective July 30, 2000. Moved to 20 CSR 2250-8.210, effective Aug. 28, 2006.

*Original authority: 339.120, RSMo 1941, amended 1963, 1967, 1981, 1988, 1993, 1995, 1999; 339.720, RSMo 1996, amended 1998, 1999; 339.780, RSMo 1996, amended 1998, 1999; and 339.820, RSMo 1996, amended 1998, 1999.