What is required for a brokerage engagement to be enforceable in Georgia?

For a brokerage engagement to be enforceable in Georgia, it must be in writing. This requirement is grounded in the necessity for clear and documented agreements between parties. Having a written agreement helps to avoid disputes regarding the terms of the engagement, as it provides an official record of the obligations and expectations that the parties have agreed upon.

In the context of real estate transactions, a written agreement outlines the responsibilities of the broker and the client, including the scope of services, commission structures, and the duration of the agreement. This formal documentation is not only beneficial from a legal standpoint but also serves to protect the interests of both the broker and the client by clearly delineating the terms of the engagement.

Verbal agreements, while they may be made, do not hold the same level of enforceability and can lead to misunderstandings or disputes. Recording an agreement with the county is not a requirement for enforceability, and it is not necessary for a buyer's attorney to sign the brokerage engagement in order for it to be binding. Thus, having the agreement in writing is a fundamental requirement in Georgia to ensure that it holds up legally.