The Delaware legislature recently passed the “Commercial Real Estate Brokers’ Lien Act” which allows brokers to place a lien on commercial real estate that is the subject of a brokerage/commission agreement in order to collect unpaid commission.

The Act requires that the brokerage/commission agreement state the following:

1. The agreement/contract is binding under state law;

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2. The amount and/or method of calculating the commission;
3. The identity of the subject property (by description and/or tax parcel number).

Source: Michael J. Isaacs (Fox Rothschild LLP).

Last Updated on April 24, 2013 by Ramin Seddiq