Who is the only party that may earn a commission or sue to collect it?

In the context of real estate and agency law, the only party that may earn a commission or sue to collect it is the licensed broker. A broker operates under a valid real estate license and is considered the intermediary between the buyer and seller. Brokers have the legal authority to enter into contracts and negotiate commissions for services rendered in a transaction.

While licensed agents work under brokers and may perform many tasks associated with real estate transactions, it is the broker who holds the license and can legally enforce commission agreements. Therefore, if a commission disputes arise, it is the broker who has the right to pursue legal action to collect the commission owed. This legal standing is crucial for protecting the interests of brokers and ensuring that commissions are managed under the law. Other parties, such as licensed agents, sellers, or clients, do not have the same legal standing to claim or sue for commission directly.