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I am an expatriate in Singapore, in my agreement with the property agency on a tenancy contract a clause quoted below is included:

"In the event of renewal of the Tenancy Agreement by tenant, the prevailing rate of commission at the time of renewal will be payable to the agency by the relevant parties."

Kindly advise:

1. Is the above clause a standard to all property agency agreements in Singapore in providing tenancy services.

2. Is it legal to include such clause to ask for commission again and again on subsequent contract renewal (s) after the agency has been fully paid on the first contract two years ago.

3. The property agency was absent in the entire process of the contract renewal between the tenant and the property owner, which means the agency provided not the least service, will he be entitled to claim commission under the clause in question.
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1 Answer

Morning Jackson,

1) The clause is a standard template printout, at least for my company. I'm not liable to speak out for the others. Hope you understand that.
2) As it's a standard template and we are currently governed by CEA, it's definitely legal to include that clause into the TA.
3) The salesperson is to be present, as he is required to assist you in the paperwork, stamping of documents, checking through the unit with you again, etc.

FYI
Mike Lim
 96929209 
ERA Read More
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