| An
agreement (such as a listing or sales agreement) which
establishes or increases the amount or rate of a real
estate agent’s compensation for the sale of residential
real property of not more than four units or a mobile
home must contain the following disclosure in not less
than 10-point boldface type:
NOTICE: The amount or rate of real estate commissions
is not fixed by law. They are set by each broker individually
and may be negotiable between the seller and broker.
This notice must precede the agreement’s provision
for compensation of the agent and, of course, the amount
or rate of compensation cannot be preprinted.
Business and Professions
Code Section 10147.5
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