Listing Contracts

May the personal representative enter into a contract with a licensed real estate broker to sell estate real property?

Yes.  The personal representative may enter in to an exclusive right to sell contract with a broker for an original period of not more than 90 day plus one or more extensions each limited to the same periods (Cal. Prob. Code Section 10150(c) ).  This real estate broker may cooperate with other brokers and may advertise the property on the MLS (Cal. Prob. Code Section 10150(a)).  Prior court approval must be obtained for each extension unless the personal representative is acting under IAEA.  However, even here, if the personal representative has obtained only “limited” power rather than “full” power to administer the estate, court supervision of the sale of real property is required (Cal. Prob. Code Section 10501(b)). 

May a listing broker obtain an extension of the listing contract if the estate real property does not sell within the original listing ninety day period?

Yes.  However, any extension of the listing given requires prior court approval unless the personal representative is acting under IAEA.  Each extension shall not exceed 90 days (Cal. Prob. Code Section 10150(a)).  Under IAEA authority, the personal representative may give discretionary 90 day extensions to the original period as long as the total time is less than 270 days.  Once 270 days are exceeded, the IAEA personal representative must give a Notice of Proposed Action of such further extension (Cal. Prob. Code Section 10538( c)). 

Is there a required form that must be used for listing estate real property?

No. For sales under the IAEA any exclusive authorization and right to sell form is acceptable such as California Association of REALTORS® (C.A.R) standard form listing contracts: RLA, RLAA and RLAN.

However, in the event court confirmation is required, C.A.R Standard Form PL is appropriate, but it may also be used for probate sales under the IAEA.