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If a real estate exclusive to represent contract, has 3 names on there, and the contract is terminated early and there is a penalty for early termination, do all 3 applicants pay the same amount or is that fee split one-third each?

The fee is owed by all three people. It doesn’t matter if they share the fee equally, each paying 1/3, or they come up with some other agreement for how to divide and pay the fee. The party being paid doesn’t care how they are being paid. The fee is owed, and the three who owe it are each liable for the full amount unless/until the other two pay the share they’ve agreed to pay. If one person pays the fee in full in fulfillment of the contract, the other two may owe money to the one who paid provided the one who paid can prove they had an agreement with the others for how the fee would be divided.

In contract law, unless otherwise specified in the contract itself, a joint party is liable for the whole. Think of it as a joint credit card. You both/all make charges, and you are both/all liable for the total. How you divvy it up is up to you, but that has no effect on the party you owe the money to, or the contract itself. Each party remains liable until all debts are paid in full.

Please note, I am not an attorney and this is not legal advice. I am merely answering based on my own knowledge of contact law in my daily work. If you have a legal situation that isn’t easily resolvable, seek legal advice from a licensed attorney.

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