Can I be locked into paying commission on a deal that falls apart?

It depends on your listing agreement's wording and exactly why the deal fell apart. Some agreements tie commission to an actual closing, meaning no commission is owed if the sale never completes, regardless of how far negotiations got. Others tie commission to the broker producing a buyer who was ready, willing, and able to buy on your listed terms — under that kind of clause, commission can potentially still be owed even if you decided not to proceed, or the deal collapsed for reasons unrelated to the broker's performance.

This distinction matters most when you're the one who walks away from a deal that was otherwise ready to close, as opposed to a deal falling apart because of the buyer's financing, due diligence findings, or something outside anyone's control. Before signing a listing agreement, understand which type of clause you're agreeing to, since it changes your risk if you later decide not to proceed with an otherwise qualifying offer. If a deal has already fallen apart and a commission dispute is emerging, a Treadstone business lawyer can review the specific agreement language against what actually happened.