Terms and conditions
KRKIMMO d.o.o. (trading as KrkImmo, hereinafter the Agency), from Šilo, Kostrij 7, OIB 16270002658, according to the Article 18 of the Croatian Real Estate Brokerage Law, on 14 Feb 2018 adopts the following Amended Terms and conditions.
I. Opening statements
- The Agency is a real estate brokerage company, licensed by the Ministry of economy, entrepreneurship and crafts and registered with the Croatian chamber of economy.
- Terms and conditions of real estate brokerage define business relations between the Agency and its Principal (person or legal entity).
- By entering into a real estate brokerage agreement the Principal confirms that he/she is aware of and agrees with the provisions of these Terms and conditions.
- Terms and conditions are published on the Agency's website www.krkimmo.com and exposed in the Agency's office.
II. General terms of brokerage agreement
- General terms of brokerage agreement are contractual provisions which one contracting party proposes to the other, whether they be contained in the written contract, or referred to in the form of the agreement.
- These Terms and conditions specify the type and conclusion of the real estate brokerage agreement, rights and obligations of the Agency and Principal in property sale-purchase process, brokerage commission, rights and obligations of contractual parties in the event of real estate brokerage agreement termination and the use of Agency's website.
Certain terms in the context of these Terms and conditions are determined by Croatian Real Estate Brokerage Law, and have the following meanings:
- Real estate / Properties are land plots along with anything permanently attached to it, on the surface on beneath, according to the provisions of Ownership and other real rights law;
- Real estate Agency / Broker is a licensed company, a person, or a tradesman, fulfilling the business requirements for real estate brokerage;
- Real estate Brokerage are any actions the Agency undertakes in order to liaise between the Principal and the third party, including Property viewings, negotiations and efforts taken for closing legal deals concerning the purchase or sale of a property;
- Principal is a person or company with whom the Agency is concluding the real estate Brokerage agreement (seller, buyer and any other parties to a property ownership transfer);
- Third Party is a person whom the real estate Broker seeks to introduce to the Principal, in order to negotiate a business deal regarding a particular property;
- Real estate Brokerage Agreement is the written contract between the Agency and the Principal.
III. Brokerage agreement
Real estate brokerage agreement must be signed by the Principal in the event of the Principal being the Seller who wishes to engage the Agency into the process of selling the Property and/or Principal being the (prospective) Buyer who wishes to engage the Agency into the process of showing, buying, and/or revealing location the Property.
In signing the real estate brokerage agreement, the Agency assumes the obligation to try to find and bring in contact with the Principal a third party interested to make a property sale or purchase contract with the Principal; and the Principal undertakes to pay the Agency fee in case the sale or purchase is made.
Real estate brokerage agreement is made in written form and becomes valid in the moment of conclusion. It is valid for 1 year and automatically extended until the property is sold/withdrawn from the market. Duration period may be differently agreed between the Parties.
- Real estate brokerage agreement must contain information on the Agency, the Principal and the Property, type and essential content of the subject for which the brokerage is being carried out and information on Agency commission and its due.
- Should the Principal be the Buyer, Terms and conditions will apply to the properties explicitly exposed location-wise, whether in email communication or in person. In the event of property viewing, in addition to the real estate brokerage agreement the Principal being the Buyer will be presented with the Viewing Form – a list of properties shown by the Agency.
Standard real estate brokerage agreements are non-exclusive. The Principal is obliged to pay the commission to the Agency only if the sale-purchase of the Property is a result of actions the Agency undertook in order to liaise between the Principal and the third party, including explicit exposure of location and characteristics of the Property.
The Principal may agree to exclusively use the brokerage services provided by the Agency, in the event of which:
- Exclusive brokerage must be clearly stated in the title of the agreement;
- The brokerage agreement shall contain mutually agreed validity period;
- The Principal will commit not to use services of other brokers during validity of the agreement.
IV. Property offer, prices, availability and viewings
The Agency offer is based on the information received from the sellers, which is subject to change we may have not known about. The Agency reserves the possibility of errors in the description and/or price of the property; or if the advertised property is already sold and/or rented, and/or that the seller decided to take the property off the market.
- The Agency is not responsible for any errors or negligent behavior by the sellers, omissions or damage caused by limitations and hidden flaws of the Property, which the Principal knew or should have known, but failed to notify the Agency about.
- The Agency is not responsible for negligent behavior by the Principal, in particular for false, incorrect, untimely information, or omitting to provide true, correct, updated information on properties, or conditions and subject of brokerage.
Prices are generally stated in Euro, payable in Kuna counter value, according to the exchange rate agreed by both parties. If exchange rate is not specified, a middle rate of Croatian National Bank on the payment day shall be applied.
While the Agency will strive to show the Property to prospective Buyer on agreed date and time, it is not responsible for its occupancy or other third-party cause that may prevent from viewing. Should there be any viewing fee, the Agency will inform prospective Buyer upfront.
V. Acceptance of fullfilment
- Real estate brokerage agreement does not authorize the Agency to accept on Principal’s behalf the fulfillment of obligations arising from a (pre)contract concluded as a result of the brokerage. The Broker may, as an exception, conclude a sale-purchase (pre)contract on behalf of the Principal, but only if the Principal issues a special Power of Attorney for this purpose.
- The Principal is not obligated to enter into sale or purchase negotiations with the third party found by the Agency, or conclude a (pre)contract under terms he/she has given to the Agency; however the Principal shall be responsible for any damage in case he/she acted against the principles of honesty and conscience.
VI. Obligations of the Agency
By signing the real estate brokerage agreement, the Agency agrees to:
- Try to find and bring in contact a third party interested to make a property sale-purchase agreement with the Principal;
- Inform the Principal of average prices for similar properties in the area, on request and subject to availability;
- Inspect all available documentation proving ownership, possession and/or other real rights over the subject property;
- Undertake necessary actions in order to present the Property to the market and publish appropriate advertisements without Pincipal's influence;
- Organize property viewings;
- Participate in negotiations and endeavour to close a sale-purchase agreement;
- Keep Principal's personal data for internal use only, as well as any information on the subject property or real estate brokerage agreement confidential, if this is required by the Principal;
- Inform the Principal on all circumstances relevant for the intended sale-purchase, of which the Broker is or should be aware of.
VII. Obligations of the Principal
By signing the real estate brokerage agreement, the Principal agrees to:
- Inform the Broker of all circumstances important in providing brokerage services and present accurate information on the subject property, in particular building and/or usage permit or other documents proving legality of the Property;
- Present proof of ownership (title deed) or other rights over the subject Property and inform the Agency of any existing registered or unregistered liens or mortgages on the Property;
- Inform the Broker of any changes associated with the subject property, especially the changes in the ownership over the Property;
- Facilitate property viewings to the Agency and the third party interested in the Property;
- Provide the Agency with relevant and updated information on the property, especially including the description and price;
- Pay the agreed brokerage commission to the Agency, should the conclusion of the sale-purchase agreement be a result of actions the Agency undertook in order to liaise between the Principal and the third party;
- Cover any costs exceeding agreed brokerage commission, if so agreed upon in the real estate brokerage agreement;
- Allow the Agency to reveal Property details and/or organize viewings only for the third party that has status of the Principal.
VIII. Agency commission
Typical commission for the brokerage services provided by the Agency is 3,75% from the finally agreed value of the Property, but not less than 2.500 EUR.
- Commission is subject to the real estate brokerage agreement signed between the Agency and the Principal. Agency reserves the right to agree the commission lower or higher than the typical, if in harmony with the financial situation of the Principal, the work done and the result achieved.
- The Broker is entitled to the commission even if the commission has not been precisely agreed upon neither by tariff nor any other regulation or real estate brokerage agreement. In that case the commission shall be determined by the Court, according to the amount of work done and services provided by the Agency.
- Croatian Real Estate Brokerage Law refers to the term Principal, not making distinction between the Buyer and the Seller. Accordingly, the brokerage commission is payable by all Principals, both the Buyer and the Seller, unless stated otherwise.
- The Agency is entitled to the brokerage commission in the moment of signing the sale-purchase (pre)contract or any other legal act causing the transfer of ownership over the Property.
- The Agency will charge the brokerage commission to the Principal when the payment of any part of the sale-purchase price or the agreed fee has been made to/by the Principal. Should the sale-purchase price be paid in stages, brokerage commission will accordingly follow the percentage of the payment stage.
- Should the sale-purchase (pre)contract be canceled without the Agency's fault, the Agency reserves the right to charge a penalty fee (equal to costs occured, but not higher than the brokerage commission agreed) to the Principal who canceled the (pre)contract.
The Agency shall be entitled to the brokerage commission even in case when the (pre)contract mentioned in Article 19 is concluded by:
- Principal’s, spouse, partner, relative in a straight line or in the sideline to the second degree or any other person(s) close to him/her (e.g. an authorized person, an employer/employee or an associate);
- Company established by the Principal or by any of the persons mentioned in section A, or if the Principal and any of the persons mentioned in section A together hold over 50% (fifty per cent) of shares (business interests, shares etc.).
Brokerage commission does not include any of the costs related to the buying process, (i.e. legal fees, notary fees, court fees, accountancy fees, land registry and cadastre fees, property tax, VAT etc).
IX. Real estate brokerage agreement termination
- Real estate brokerage agreement is considered terminated immediately a written termination notice from the Party wishing to terminate the agreement is delivered to the other Party. This clause does not refer to exclusive real estate brokerage agreements.
- Upon termination, The Principal shall cover extra costs for services provided outside the usual commission, if any such costs and services have been agreed upon in the real estate brokerage agreement.
- If within 1 year upon termination of the real estate brokerage agreement the Principal concludes a sale-purchase (pre)contract as a result of actions the Agency undertook in order to liaise between the Principal and the third party during validity of the real estate brokerage agreement, the Principal shall pay the full brokerage commission to the Agency.
- Provisions of paragraphs B and C of this Article also refer to the termination of exclusive real estate brokerage agreement.
X. Agency's website
Agency's website domain is www.krkimmo.com. The content of the pages on that website is intended for your general information and use only. It is subject to change without notice.
- Neither Agency nor any third parties can provide any warranty or guarantee as to the accuracy, performance, completeness or suitability of the information and materials found or offered on that website. You acknowledge that such information and materials may contain unintentional inaccuracies or errors. The use of any information or materials on this website is entirely at your own risk.
- The website contains various materials owned by or licensed to the Agency. In accordance with the copyright laws, one should ask for permission before reproduction. All trade marks reproduced on the website, which are not the property of or licensed to the Agency, are properly accredited, if applicable.
- Link(s) to other website(s) do not signify that we endorse those website(s). We have no responsibility for the content of the linked website(s).
- Unauthorized use of this website may give rise to a claim and/or be a criminal offence. Any dispute arising out of such use is subject to the laws of Croatia.
XI. Personal data protection
- In accordance with the Personal data protection law and Directive EU 2016/679, the Agency has brought amended Personal data protection Act. The Principal accepting these Terms and conditions, accepts the Act. This particularly refers to personal data submitted in agency agreements and documentation required by the Agency in accordance with various laws.
XII. Closing statements
- Croatian Civil Obligations Act and Real Estate Brokerage Law are to be applied for matters and business relations not covered by this Terms and conditions, when considering the relationship between the Agency and the Principal.
- In case of any disputes arising from and in relation to this Terms and conditions, the parties agree to the competence of the relevant court in Rijeka.