What is typically required for a brokerage engagement to be enforceable?

For a brokerage engagement to be enforceable, it is typically required to have written documentation. This written agreement serves as a formal contract between the parties involved and outlines the terms and conditions of the brokerage engagement. The requirement for a written agreement helps ensure that both parties have a clear understanding of their rights and obligations, which can reduce the chance of disputes arising in the future.

Additionally, having a written contract provides evidence that the agreement exists and can be referenced if any issues occur. While oral agreements may sometimes be recognized in certain situations, they are generally harder to enforce due to the lack of concrete evidence. Written documentation, therefore, is crucial in providing clarity and legal backing for the engagement between brokers and clients.