Your Listing Expired — So Why Do You Still Owe Commission? The Holdover Clause in an Ontario Listing Agreement

What the holdover clause actually says — start with the OREA Form 200 wording

Many sellers assume the deal with their agent is over the moment the listing expires. It isn’t that simple. Ontario’s standard OREA Form 200 listing agreement contains a holdover clause that, in substance, reads:

• The seller agrees to pay commission under the original agreement if an agreement to purchase is reached within XX days after the listing expires (the holdover period), so long as it is with anyone who was introduced to the property from any source whatsoever, or shown the property, during the listing period.

Note the two key phrases: “introduced from any source” and “shown.” That means if a buyer first encountered your home during the listing period — through your agent’s marketing, an open house, an ad, MLS exposure, any channel — the commission obligation can still attach even though the sale closes after the agreement expired, and even if you thought you sold it privately. This isn’t a clause some agent slipped in; it’s standard contract language.

How long is the holdover period? Negotiable, commonly 60–90 days, with no statutory cap

This is the number you should pin down before you sign. The length of the holdover period is negotiable — it isn’t fixed by law.

• The common range in the market is 60 to 90 days. Many listing agreements default to 90 days, but that figure is up for negotiation, not legally mandated.
• Ontario sets no statutory maximum on the holdover period. In principle, as long as the seller agrees after being fully informed, it can run longer — which is exactly why you should read and confirm that number yourself, rather than let it default to something that doesn’t serve you.
• The number of days goes in a blank on the form (the “XX days”). At signing, that blank is not a throwaway detail — it directly decides how long you stay bound after the listing expires.

My advice: if you’re unsure about this brokerage’s marketing, it’s fair to negotiate the holdover length. And if you might switch agents or try selling yourself after expiry, think this number through alongside the “re-listing” section below.

Procuring cause — the core logic of who actually earns the commission

The legal idea behind the holdover clause is procuring cause. Stripped down, it answers one question: whose effort actually brought about this sale?

• Procuring cause is the “uninterrupted series of causal events that results in a successful transaction.” Put differently, if a buyer came to know and approach your home because of the listing brokerage’s marketing during the listing period — the open house, online ads, MLS exposure — then even if the sale closes after expiry, the listing brokerage may be the procuring cause and entitled to commission.
• Conversely, if the buyer first connected with your property only after the listing ended, through a genuinely new channel with no link to the original brokerage, the original brokerage’s claim is far weaker.
• This is why the holdover clause is also called a broker protection clause — it exists to protect the marketing work the brokerage already did from being taken for free, not to protect the seller. Understanding that tells you which side of the table you’re on when you sign.

If I re-list with a new brokerage, do I get charged commission twice?

This is the part sellers worry about most — and the part they’re most often misled on. Suppose your agreement with Brokerage A has expired but the holdover period is still running, and you sign a new agreement with Brokerage B and sell the home. Do you owe two full commissions, one to A and one to B?

The standard OREA agreement actually contains a provision specifically to prevent double commission:

• If your sale is pursuant to a new agreement in writing to pay commission to another registered brokerage (i.e., you re-listed with B), then your commission liability to the original brokerage (A) is reduced by the amount you pay under the new agreement.
• In practice this usually means: if the property is not re-listed with another brokerage, the original brokerage can claim the full commission under the expired listing; if it is re-listed with another brokerage, the original brokerage is generally entitled only to the excess, if any — not a second full commission.

So “switching agents means paying twice” is a common misconception. But the reduction depends on there being a written agreement to pay commission to a registered brokerage. If instead you bypass an agent and sell privately to a buyer who was introduced during the listing period, the reduction doesn’t apply — and that’s precisely where the original brokerage’s full claim is strongest.

The holdover clause isn’t there to scare you; it’s there to be understood before you sign. Before signing an OREA Form 200, I have clients confirm each of these:

• The number of holdover days (that XX). Exactly how many days is it — 60, 90, or longer? Confirm that blank yourself; don’t let it default.
• Request a list of introduced buyers. A brokerage owes the seller a duty of accounting (under RECO). You have the right to ask your brokerage for a list of every buyer introduced to or shown your property during the listing period. That list is how you know which buyers would trigger commission during the holdover period and which wouldn’t — a key step in protecting yourself.
• Confirm the re-listing reduction clause is in your contract. Make sure the double-commission-prevention reduction is actually written into the version you’re signing.
• Understand how cancellation interacts with the holdover. The holdover clause normally survives cancellation unless explicitly waived in writing. So “I cancelled early” does not mean “I escaped the holdover.”

Practical tip: the moment the listing ends, proactively ask your agent for that introduced-buyer list and file it. Then if a buyer surfaces during the holdover period, you have the record and won’t be caught out arguing over whether that buyer “counts” as the original brokerage’s introduction.

Drawing on cases I’ve seen, these three scenarios cause the most trouble:

• Scenario 1: After the listing expires, someone who came to an open house comes back and makes an offer. That buyer was shown the property by the listing brokerage during the listing period — this very likely falls inside the holdover clause, and the commission obligation probably stands.
• Scenario 2: After expiry I list it myself as FSBO and sell to a buyer who toured during the listing. “I sold it myself” usually won’t save you — if the buyer was introduced or shown during the listing period and the sale falls within the holdover window, the original brokerage can still claim commission.
• Scenario 3: After expiry I hire new Brokerage B, and B brings a brand-new buyer that A never touched. B is the procuring cause here, and because you’re paying B under a written agreement, the reduction clause lowers your liability to A — you generally won’t pay twice.

Every contract’s exact wording, holdover length, and whether any waiver was signed differs. The above is general guidance; if a real dispute arises, take your specific contract to a lawyer.

How long is the holdover period, and is it set by law?

It isn't a fixed legal figure. The holdover length is negotiable before you sign; 60 to 90 days is the common range in Ontario, and many standard OREA agreements default to 90 days. Ontario sets no statutory maximum, so in principle it can run longer if the seller agrees after being fully informed — which is exactly why you should read and confirm that blank yourself at signing.

If I sell privately after my listing expires, do I still owe commission?

You might. What matters isn't whether you sold it yourself — it's whether the buyer was introduced or shown the property by the listing brokerage during the listing period, and whether the sale falls within the holdover window. If both are true, the standard OREA holdover clause can leave you owing the original brokerage. So before closing a private sale, check whether that buyer is on the brokerage's introduced-buyer list.

If I re-list with a new brokerage, will I be charged commission by both?

Usually not. The standard OREA agreement has a reduction safeguard against double commission: if you sell pursuant to a written agreement to pay commission to a new registered brokerage, your liability to the original brokerage is reduced by what you pay the new one. In practice, after re-listing, the original brokerage can generally claim only the excess (if any), not a second full commission — provided the new agreement is in writing and to a registered brokerage.

What does 'procuring cause' mean, and why does it matter?

Procuring cause is the 'uninterrupted series of causal events that results in a successful transaction.' It answers whose effort actually brought about the sale. If a buyer came to your home because of the listing brokerage's marketing during the listing period, that brokerage may be the procuring cause and can claim commission during the holdover period. If the buyer instead surfaced after the listing ended through a genuinely new channel unrelated to the original brokerage, the claim is much weaker.

Before signing the listing agreement, what should I check about the holdover?

At least four things: one, how many days are written in the holdover blank — confirm it, don't let it default; two, ask the brokerage for a list of buyers introduced to or shown your property during the listing period (the brokerage owes you a duty of accounting under RECO); three, confirm the double-commission reduction clause is actually in your contract; four, understand that the holdover normally survives cancellation, so cancelling early doesn't free you from it. If anything is unclear, have a lawyer review the contract.