Treadstone Associates
Ask an Expert · 3 min read

How long can a representation agreement run?

As long as you and the client agree to, and not one day more — TRESA leaves the term entirely to negotiation.

Treadstone Associates · Updated 2026

Short answer

There is no minimum or maximum duration set by RECO for a buyer or seller representation agreement. It can run for a single showing, a few weeks, or several months — whatever the two of you agree and write into the contract. The number that actually matters to a client, though, is usually not the expiry date. It's the holdover clause that can survive it.

What TRESA actually requires

Representation agreements in Ontario must be in writing and presented as soon as possible — but the required contents are about disclosure, not duration. RECO's own guidance is explicit that “there is no set time or standard term” for the agreement: it can be in place for a day, a few weeks, or months, according to the RECO Information Guide. The one hard rule is presentation: the expiry date must appear prominently on the first page, so a client can never claim they didn't know when the contract ended.

The clause that outlives the expiry date

Most agreements also carry a holdover clause, and it is the part clients (and some newer agents) genuinely misread. The RECO Information Guide walks through its own worked example: a buyer agreement with a 30-day holdover, where the agent shows the client a home before the contract expires. If that client buys the same home after the agreement expires but inside the 30-day holdover window, they can still owe your brokerage commission. Note that 30 days is this specific example in RECO's guide, not a fixed rule — the holdover period, like the term itself, is negotiable per agreement and has no province-wide standard.

Setting the term in practice

OREA's standard forms — Form 300 for a buyer representation agreement, Form 200 for a seller representation agreement — are what most Ontario brokerages actually use, and both leave the term as a field you fill in, not a fixed clause. A short first agreement (a single showing, or two weeks) is a reasonable way to earn a new client's trust before asking for a longer commitment; a longer term with a clear holdover protects your commission on a deal that closes just after expiry. Whatever you choose, put the reasoning in the client conversation, not just the contract — a client who understands why the holdover exists is far less likely to dispute it later. See how a holdover clause is defined and what happens when one is contested in a real expired-agreement dispute.

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