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GENERAL TERMS AND CONDITIONS

Pursuant to the provisions of the Croatian Real Estate Brokerage Act (Official Gazette No. 107/07), RAPIDUS d.o.o. hereby adopts the following:

GENERAL TERMS AND CONDITIONS OF BUSINESS

I. INTRODUCTORY PROVISIONS

Article 1 – General Provisions

These General Terms and Conditions regulate, in particular:

  • the performance of real estate brokerage services;

  • the types of brokerage agreements, their conclusion, execution and termination;

  • the rights and obligations of the Broker and the Client;

  • brokerage fees.


Article 2 – Definitions

For the purposes of these General Terms and Conditions:

Real Estate Brokerage means activities performed by the Broker relating to connecting the Client with a third party and conducting negotiations and preparations for concluding legal transactions concerning a specific property, including the purchase, sale, exchange, lease, rental, and other transactions.

Broker means RAPIDUS d.o.o., a company engaged in real estate brokerage activities.

Client (Principal) means any natural or legal person, domestic or foreign, who enters into a brokerage agreement with the Broker (seller, buyer, landlord, tenant, lessor, lessee, or any other participant in a real estate transaction).

Third Party means a person whom the Broker seeks to connect with the Client for the purpose of negotiating a legal transaction concerning a specific property.

Real Estate means parcels of land together with everything permanently attached to the land, above or below its surface, in accordance with applicable ownership and property laws.


Article 3

The Broker may receive or submit offers for the conclusion of a Brokerage Agreement either verbally or in writing.

III. BROKERAGE AGREEMENT

Article 4

  1. By entering into a Real Estate Brokerage Agreement ("Agreement"), the Broker undertakes to use its best efforts to find and connect the Client with a third party for the purpose of negotiating and concluding a legal transaction involving the transfer or establishment of rights over a property. The Client undertakes to pay the agreed brokerage fee if such transaction is concluded.

  2. The Agreement shall be concluded in writing and for a fixed period. It shall be deemed concluded upon signature by both parties.

  3. Unless otherwise agreed, the Agreement shall be concluded for a period of 12 months and may be extended multiple times by mutual agreement.

  4. The contractual relationship between the Broker and the Client shall be governed by applicable obligations law.


Article 5 – Agreement Content

The Agreement shall contain:

  • information about the Broker and the Client;

  • the type and essential content of the transaction;

  • the brokerage fee;

  • payment terms;

  • any additional costs related to supplementary services provided by the Broker.

The Agreement may also include any other information relevant to the transaction.


Article 6 – Exclusive Brokerage

  1. The Client may undertake not to engage another broker or independently sell the property during the term of the Agreement ("Exclusive Brokerage Agreement"). This obligation must be explicitly agreed upon.

  2. If, during the term of an Exclusive Brokerage Agreement, the Client concludes a transaction independently or through another broker concerning the same property, the Client shall pay the agreed brokerage fee or reimburse actual brokerage expenses, which shall not exceed the agreed brokerage fee.


Article 7 – Termination of the Brokerage Agreement

  1. The Agreement terminates:

  • upon expiry of the agreed term if no transaction has been concluded;

  • by termination notice from either party.

Unless otherwise agreed, the notice period is 8 days.

  1. The Client shall reimburse any agreed expenses incurred by the Broker.

  2. If, after termination, and within a period not exceeding the duration of the original Agreement, the Client concludes a transaction resulting predominantly from the Broker's activities, the Client shall pay the brokerage fee in full unless otherwise agreed.

  3. These provisions also apply to Exclusive Brokerage Agreements.

IV. RIGHTS AND OBLIGATIONS OF THE PARTIES

IV.I. BROKER'S OBLIGATIONS

Article 8

The Broker shall perform brokerage activities:

  • with due professional care;

  • in accordance with industry standards and professional practices.

When advertising properties, the Broker shall clearly display its company name.


Article 9

The Broker shall, in particular:

  • seek and connect potential parties;

  • inform the Client about average market prices;

  • inspect ownership and legal documentation;

  • market and advertise the property appropriately;

  • organize property viewings;

  • mediate negotiations;

  • protect the Client's personal data and business confidentiality;

  • verify land-use designations where applicable;

  • inform the Client about all relevant circumstances.


Article 10

The Broker shall be deemed to have introduced the Client to a third party if it has:

  • organized a property viewing;

  • arranged a meeting;

  • provided contact information;

  • disclosed the exact location of the property.

If the Client wishes to remain anonymous, the Broker is not obliged to reveal the Client's identity until a transaction has been concluded.

IV.II. CLIENT'S OBLIGATIONS

Article 11

The Client shall:

  • conclude a Brokerage Agreement or an Exclusive Brokerage Agreement;

  • provide accurate information regarding the property;

  • provide all relevant permits and documentation;

  • provide proof of ownership or other rights;

  • disclose any registered or unregistered encumbrances;

  • allow property viewings;

  • keep all Broker information confidential;

  • pay the brokerage fee after concluding the transaction;

  • reimburse agreed expenses;

  • inform the Broker of any changes affecting the transaction.

The Client is not obliged to conclude a transaction with a third party introduced by the Broker. However, if acting in bad faith, the Client shall be liable for damages and expenses incurred.

V. BROKERAGE FEE

Article 12 – Brokerage Fee

The brokerage fee shall be determined in the Agreement.


Article 13 – Right to Brokerage Fee

  1. The Broker becomes entitled to the fee upon conclusion of the legal transaction or the signing of a preliminary agreement, unless otherwise agreed.

  2. The Broker may not request advance payment before the signing of the preliminary agreement or final contract.

  3. After termination of the Agreement, the Broker remains entitled to a fee for up to 12 months if the transaction results from activities performed during the Agreement.

  4. The Broker is also entitled to a fee if the transaction is concluded by the Client's spouse, partner, parents, or descendants.


Brokerage Fee Amount

The brokerage fee shall be calculated as a percentage of the total purchase price achieved, plus applicable VAT.

VI. FINAL PROVISIONS

  1. Matters not regulated by these General Terms and Conditions or the Brokerage Agreement shall be governed by:

  • the Croatian Real Estate Brokerage Act;

  • the Croatian Civil Obligations Act.

  1. Any disputes shall be subject to the jurisdiction of the competent court in Poreč, Croatia.


Tar, Croatia

01 January 2014

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