What type of listing is often considered a unilateral contract?

The open listing is characterized as a unilateral contract because it allows the property owner to list their property with multiple agents simultaneously while only being obligated to pay a commission to the agent who ultimately finds a buyer. In this arrangement, the seller does not guarantee compensation to any agent unless they are the one who successfully completes the sale. The agent's commitment is also unilateral, as they invest time and resources in marketing the property with no guarantee of payment unless a sale occurs.

This contrasts with other types of listings like exclusive agency and exclusive right to sell listings, where the commitment from the seller is more binding. In exclusive agency contracts, the seller may work independently to sell the property too, but they still have promised to pay the agent if the agent is responsible for the sale. Exclusive right to sell listings provide a commission to the broker no matter who sells the property, emphasizing a stronger mutual obligation. A net listing, meanwhile, may complicate matters concerning the sales price and agent's compensation, but it doesn't fit the unilateral framework as neatly as an open listing does.

Understanding these distinctions helps clarify the underlying laws of contracts in real estate and the various obligations each party has in different listing agreements.