You assume a buyer who wants out can simply fire you and move on, and that a one-year agreement is normal wherever you work. A Pennsylvania couple who tried it were offered reassignment, a referral, or a payment instead — and the cap that would have limited it is three months in one state and two years in another.
The Close opens with a Business Insider report about a Pennsylvania couple who signed a one-year exclusive buyer agreement at their first home tour. When they wanted a different agent, they learned the agreement was with the brokerage, not the person. "the brokerage offered reassignment, a referral arrangement, or an early-termination payment." And "The contract reportedly included a percentage-based commission plus a $995 fee that could still apply if they purchased during the agreement term."
Then The Close does the useful part and puts three states side by side. California generally limits "individual-buyer agreements to three months and requires renewals to be separately signed and dated." Oregon agreements must disclose exclusivity, compensation, both parties' termination rights, and the supervising principal broker's contact information, and "The maximum term is 24 months, including renewals." Ohio requires a written agreement before an agent makes a residential purchase offer, and "The agreement must state its expiration date and compensation terms, among other disclosures."
On getting out, the article is blunt. Under the state association's standard buyer agency contract in Pennsylvania, "neither party has an automatic termination right unless one is negotiated." More broadly: "Ending contact with an agent does not necessarily end the buyer’s contractual compensation obligations." And "Contracts may also include protection periods covering properties introduced before termination."
“The maximum term is 24 months, including renewals.”
The buyer asks what happens if this does not work out, and most agents answer with a feeling instead of a term. That answer is the one they will hold you to later. If your state caps the term, say the cap out loud at signing. If it does not, say what your brokerage's release process actually is — who approves it, how quickly a buyer gets an answer, and what survives the release.
The renewal rule is the quiet trap. In a state that requires renewals to be separately signed and dated, an agreement that rolls over on its own is defective, and you find that out in the week you least want to. Two questions to your managing broker this month cover it: what is our maximum term, and does a renewal need a fresh signature.