Last reviewed and updated: May 2026. By Mark Harley, Principal Solicitor, Boss Lawyers.
Real Estate Agents and Commission Disputes in Queensland
One of the most common disputes we handle for real estate agents is the situation where a vendor sells their property but then refuses to pay the agent’s commission — sometimes claiming the agent did not procure the sale, or that the agent’s appointment was not in the required form. These disputes can involve significant sums and raise nuanced questions of Queensland property law and contract law.
When Is a Real Estate Agent Entitled to Commission in Queensland?
In Queensland, the entitlement of a real estate agent to commission is governed primarily by:
- The Property Occupations Act 2014 (Qld) (POA)
- The terms of the appointment (Form 6 — Appointment of Property Agent)
- General contract law principles
Under the POA, an agent is only entitled to commission if:
- The agent holds a valid licence
- The agent was properly appointed in writing using the prescribed Form 6
- The agent performed the work required under the appointment
- A sale (or other transaction) was achieved in accordance with the appointment terms
The Form 6 Appointment — Getting It Right
A Form 6 is the prescribed appointment document under the Property Occupations Regulation 2014 (Qld). It must include the agent’s authorised activities, the period of appointment (exclusive or open listing), the property details, the commission rate or amount, and any expenses authorised.
Common pitfalls that can result in an agent losing their commission claim include:
- Invalid appointment period: The appointment must specify the term. An exclusive appointment cannot exceed 90 days without the vendor’s written agreement after the appointment is signed.
- Commission rate not agreed: The Form 6 must specify the commission — oral agreements about commission rates may not be enforceable.
- Appointment not signed: The vendor must sign the Form 6 before the agent performs any services.
- Agent not properly licensed: A person who is not properly licensed under the POA cannot recover commission.
The “Effective Cause” Doctrine
Even where the Form 6 is properly executed, a vendor may dispute that the agent was the “effective cause” of the sale. Under Queensland law, an agent is generally entitled to commission only if their efforts were the effective (or proximate) cause of the sale — not merely a contributory factor.
Disputes often arise in the following scenarios:
- The agent introduced a buyer who eventually purchased privately, after the listing expired
- The vendor sold through another agent shortly after the exclusive period ended
- The vendor claims to have already known the purchaser before the agent’s appointment
Queensland courts have held that an agent can still be entitled to commission even after the listing period has expired if they were the effective cause of introducing the purchaser who ultimately bought the property — provided the sale occurs within a reasonable time and can be attributed to the agent’s efforts.
Recovering Unpaid Commission — Your Options
If a vendor refuses to pay commission, Queensland real estate agents have several options:
- Letter of demand: A formal letter of demand from a solicitor often prompts payment, particularly where liability is clear.
- Queensland Civil and Administrative Tribunal (QCAT): QCAT has jurisdiction over commission disputes up to $25,000 (and up to $100,000 by agreement).
- Magistrates Court or District Court: For higher-value commission disputes, litigation in the appropriate court may be necessary.
- Caveat on the property: In appropriate circumstances, an agent may be able to lodge a caveat on the property to protect their commission claim — though this is subject to strict requirements and should only be pursued with legal advice.
What This Means for Queensland Real Estate Agents
The best protection against commission disputes is rigorous compliance with the Form 6 requirements, clear record-keeping of all buyer introductions and correspondence, and prompt action when a dispute arises. Do not wait — limitation periods apply, and delay can prejudice your claim.
How Boss Lawyers Can Help
Boss Lawyers regularly acts for real estate agents in commission disputes across Queensland, from letters of demand through to QCAT proceedings and Supreme Court litigation. We also advise on Form 6 compliance and appointment documentation to minimise the risk of disputes arising in the first place.
Contact Mark Harley on 1300 267 711 or visit our Commercial Litigation page to discuss your commission dispute.
This is general information only and is not legal advice. You should obtain professional advice specific to your circumstances.
