Protection Period | Practical Law

Protection Period | Practical Law

Protection Period

Protection Period

Practical Law Glossary Item w-041-4632 (Approx. 2 pages)

Glossary

Protection Period

Also known as a tail period. A negotiated time period following the expiration or earlier termination of a brokerage agreement during which a real estate broker may earn commission on the sale or lease of real property.
Within a certain number of days after the listing term ends, the broker must give the owner a list of the prospects it marketed the property to during the listing term. If the owner enters into (and later closes on) a purchase and sale agreement or a lease for the property with an identified prospect during the protection period, the broker is entitled to receive its commission as if the listing were still in effect.