GENERAL TERMS AND CONDITIONS of the real estate company LEBAN INVEST, accounting and real estate brokerage, LTD, Bratuževa 13A, 5290 Šempeter pri Gorici, identification number: 8152110000, tax number: 96037288
1. INTRODUCTORY PROVISIONS
a) The General Terms and Conditions for Real Estate Brokerage (hereinafter: the General Conditions) regulate the legal relations between the real estate company and the client.
b) The general terms and conditions are an integral part of any brokerage contract concluded by the real estate company with the client. Integral parts of each contract are; the price list for real estate company’s services and a copy of the insurance policy.
c) If the brokerage contract contains provisions that are contrary to these General Conditions, then the contract’s provisions shall prevail.
d) The real estate company has accepted the commitment to respect the Code of Good Business Practices in Real Estate, which was adopted on 17.05.2018 by the Association of Real Estate Brokers at the Chamber of Commerce and Industry.
e) The General Terms and Conditions are translated into English in good faith and within the limits of knowledge of English language, for additional interpretation and composition of the brokerage contract the General Terms and Conditions written in Slovenian language are read and interpreted.
The General Terms and Conditions define the following terms:
- REAL ESTATE COMPANY: is a company with a registered real estate brokerage under the 'sl.ZNPosr' as its main economic activity,
- REAL ESTATE BROKERAGE: means a registered gainful activity in the field of real estate industry, whereby individual real estate broker oversees a transaction of a property between seller-to-buyer. A transaction can comprise number of activities: establishing contact between the client and a third party, negotiating, arranging the singing of a contract or other real estate documentation, such as a purchase, sale, lease, or other contract,
- REAL ESTATE BROKER: is an individual person who performs brokering activities for a real estate company on the basis of an employment contract or other legal basis, having obtained a license from the competent ministry for conducting brokering activities and is listed in the directory of real estate brokers within the competent ministry,
- CONTRACTING AUTHORITY (CLIENT): is an individual or legal person who concludes a brokerage contract with a real estate company, and for whom the real estate company provides real estate brokerage services,
- THE CLIENT'S CLOSE FAMILY MEMBERS ARE: the client's spouse or the person with whom the client lives in the type of marriage community in accordance with the regulations on marriage and family relationships; their children or adoptive parents; adoptive parents and persons who are legally obliged to support them,
- THIRD PERSON: is the person who the real estate company is trying to contact in the name of company’s client with the aim to negotiate with this third person the conclusion of the contract, which concerns and defines a selected real estate,
- BROKERAGE CONTRACT: is a written contract signed by a real estate company and a contracting authority, and based on which the real estate company is eligible to seek in the name and for the client a third party buyer or seller with whom will aim to negotiate a contract of purchase. An integral part of the contract is the payment of a commission to the agency by the client,
- CONTRACT WHICH THE SUBJECT IS REAL ESTATE: is a purchase, sale, lease, or other contract for a specific real estate that was signed as a result of real estate company mediation.
3. REAL ESTATE SERVICES
a) A real estate company provides brokerage services concerning sale, purchase, and rental or leasing of a specific real estate.
b) The brokerage services referred to in point 3.a shall cover in particular the following actions performed by the real estate company for the client, if and as far as this is dictated by the circumstances of the individual transaction:
- Accepting an order for mediating in legal transaction, where the subject of the legal transaction is a specific real estate, and the type of transactions is a purchase, a sale, a lease, or other type of contract for a specific real estate;
- Identification of a client by accessing to his/her personal documents and public records;
- Obtaining client’s contact information with the purpose of establishing a contact between the client and a third party (personal name / company, address / company’s address, telephone, fax, e-mail, etc.);
- Obtaining personal information or identification data of the client or of the third party for the preparation of the contract of which the subject is a specific real estate (personal name / company, address / company’s address, registration number, tax number, personal account number);
- Preparation of a real estate brokerage contract with determining the scope of brokerage services, the amount of the payment for the brokerage services, the terms of the payment and other components of the contract in accordance with the law governing the real estate brokerage/ and commissions;
- Providing an explanation to the client and the third party about the market conditions relevant for determining the price of the sale or for determining monthly or yearly rent;
- Informing the client and the third party about the content of the regulations that are relevant for the valid conclusion of the contract that is the subject to the mediating;
- Informing the client and the third party about the amount and type of tax liabilities, possible attorney costs, costs of registration into land registry and any other costs related to the conclusion of the contract;
- Determining the actual state of the property by carefully viewing the property;
- Determining the equipment of the property (telecommunication and communal equipment), as well as inspecting the landscape and identifying other characteristics of the property;
- Determination of the legal status of the real estate on the basis of data from official records and public books (in particular the land register, land cadastre, building cadastre, or, if the real estate is not entered in the land register, on the basis of documents showing the existence of property rights, other real and obligation rights and other legal facts);
- Writing a notification to the client and third parties about obvious material errors and legal errors found during the examination of the physical and legal status of the property;
- Informing the client and the third party of the risks arising from the unregulated legal status of the real estate, in particular the rights of third parties to the real estate, restrictions on public law, etc .;
- Preparation of an appropriate advertising strategy followed by active advertising of the property;
- Familiarizing the third party with the real estate and key properties of the real estate, organizing and conducting viewings, organizing meetings between the client and the third party, providing the contact information defined by the data subject in the contract of communication to the third party or to the client, when both have a serious interest into negotiating the conclusion of the contract of which the property is the subject;
- Communication with the client and third parties by telephone, written or online media, as well as informing the client about provided real estate brokerage services;
- Participating in the negotiations between the parties with the aim to conclude the contract.
c) Commission shall cover the costs of the broker services as referred in point 3.2.
d) Client must inform the Real Estate Company in writing within 3 (three) working days when he or she has already been in contact with the third party. Otherwise, the client is deemed to have been put in touch with the third party through the Real Estate Company.
The same meaning as in point d) applies if the client finds or sells a property himself.
4. ADDITIONAL SERVICES
a) A real estate company may provide additional services to the client if agreed with the client in a brokerage contract or with a specific agreement formed as an annex to the brokerage contract.
b) In particular, the following actions shall be considered as additional services:
- Preparation of a real estate contract by a law graduate, lawyer or public attorney;
- Representation in the procedures of obtaining approvals, permits and other documents necessary for the conclusion of the contract to which the property is subject;
- Organization of real estate appraisal;
- Representation in the tax process;
- Regulating the legal status of the property;
- Deposit of financial assets on a fiduciary account;
- Archiving documents;
- Drawing up a handover record upon acquisition or final transfer of the property;
- Representation of the parties during the process of property transfer finalization.
- Informing the electricity, water or other suppliers, and building administrator, about the change of property owner;
- Other negotiations of deals related to the property transaction.
c) The prices of additional services are specified in the price list of the real estate company.
d) The real estate company is entitled to payment for the additional services provided even if the contract, of which the subject is a specified property, has not been concluded.
5. PAYMENT FOR MEDIATION
a) The real estate company and the client agree on the amount of the brokerage payment within the brokerage contract.
b) The payment for mediation in case of purchase or sale for the same property shall not exceed 4% of the contract price. This limit does not apply when the contract value of the property is less than EUR 10.000,00.
c) The payment for the mediation in case of a lease for the same real estate is no more than 4% of the contract value, but not more than the amount of one month's rent and not less than 150 euros, the restriction does not apply when the client is a company.
d) Value added tax (hereinafter: VAT) is not included in the brokerage payment, therefore the brokerage payment is increased by the value of VAT when the invoice to the client is issued.
e) In case the real estate company does not perform one or more actions/services referred in the 3 of these General Terms and Conditions because this was not necessary due to the circumstances or at the request of the client, then the client shall not have the right to request a reduction of the payment for the mediation.
f) Notarial fees, taxes, court and administrative fees, fees for certificates and licenses required for a valid contract to be concluded, and the costs of additional services referred to in point 4 of these General Conditions are not included in the brokerage fee.
g) The real estate company has the right to issue the invoice for commission in the specific moment when the contract is signed by both parties.
h) The real estate company may not even demand a partial payment for mediation prior to the conclusion of the contract subject to the real estate.
i) The real estate company charges the client for the brokerage on the basis of the brokerage contract.
j) A real estate company is entitled to full payment even if the client or third party subsequently withdraws from the already concluded Contract to which the real estate is subject.
k) The real estate company and the client agree that the real estate company is entitled to payment for mediation even when the client finds a third party with whom he or she concludes the contract himself/herself. Payment for mediation referred to in the previous sentence must be based on transactions already completed and shall not exceed one-quarter of the contractually agreed mediation fee. In case the third party is a close family member of the client, then the client is obliged to pay the contractually agreed payment for brokerage services in full and as agreed.
l) l) A real estate company has the right to receive the payment for mediation even in case where the client or his family member concludes the contract with the third party who was put in touch with him/her by the agency and the contract was signed in six months after termination of the brokerage contract.
6. PAYMENT OF OCCURED COSTS
a) If the parties agree within the contract that the real estate company, in accordance with the second paragraph of Article 848 of the Code of Obligations, is entitled to reimbursement of the actual costs incurred by providing services referred to in point 3 of these General Conditions, then the real estate company has the right to invoice those costs to the client.
7. PROTECTION OF CLIENT'S AND THIRD PARTY INTERESTS
a) In providing services the real estate company must inform the client in a most suitable way about all the circumstances that are important for securing client’s interest.
b) When a real estate company provides brokerage services for a client who wishes to remain anonymous, the real estate company is not obliged to a third party who wishes to enter into an agreement with the client, to issue the client's identity until the conclusion of the contract subject to the property.
8. FIDUCIARY ACCOUNT
a) The real estate company may accept from the execution of the contract if ordered by the client or a third party. The execution of the contract may include safekeeping of funds. If the real estate company has a contract with the bank for managing the fiduciary account and if the client or a third party authorizes it then the real estate company can provide safekeeping of funds.
9. PROFESSIONAL LIABILITY INSURANCE
a) The real estate company has professional liability insurance. The insurance covers the liability for damage that could occur to the client or a third party by violating the contract on real estate brokerage in the territory of the Republic of Slovenia. The name of the insurance company, the insurance policy number and the sum insured are indicated in the brokerage contract.
10. EXCLUSIVITY CLAUSE
a) In case when the client and real estate company sign an agreement that includes a clause of exclusivity, the client obliges himself that he shall not conclude a brokerage contract with a competing real estate company or advertise or sell the same property himself during the binding-term of the contract.
11. TRANSFER OF REAL ESTATE AGENCY SERVICES
a) The real estate company may, in agreement with the client, transfer the brokerage services to another real estate company.
b) In this case when the client and real estate agency agrre of transferring the services performed by the real estate agency to another real estate company, then the client shall remain in the contract relation only with the real estate agency with which he or she has signed a contract of brokerage, while this same real estate agency shall hand out to the client the list of real estate agencies to whom it delegated the business of selling the real estate that is subject to the contract.
12. OTHER OBLIGATIONS OF THE CLIENT
a) The contracting authority must provide the real estate company with all available documentation relating to the real estate which is a subject of the of the contract (in particular, proof of ownership from land registry statement or documentation which proves the ownership right of the client, building permit, location information and all other documents). If the client, that is contracting authority, does not provide the real estate agency with the demanded documentation or he/she obstacles the work of real estate agency the real estate agency has the right to demand repayment of occured cost and damages. Real estate agency is not responsible for the arrangement of house documentation nor its legalization nor any other procedure that is not obvious from the land registry.
b) The Client guarantees the truthfulness, accuracy and completeness of the submitted data or documentation.
c) The Client must inform the Real Estate Company in writing immediately, within 8 (eight) days of the change, of any change in its interests (sale price, date of availability of the property, etc.); and of any change in the actual or legal status of the property.
d) In the event that he also markets the property on his own or with competing real estate companies, the client will market the property under the same conditions as agreed with the Brokerage Agreement.
e) In the event that the client finds himself or with the help of a third party real estate agency a third party, with whom, he or she signs a contract or pre-contract, he is obligate to inform the real estate agency about the singing occurred within 8 (eight) days and not later, and hand over a copy of the signed contract.
13. DISHONEST ACTIONS BY THE CLIENT
a) The Client is obliged to compensate the real estate company for any damage caused by the Client's breach of contractual obligations.
b) In particular, the following actions of the client are considered serious violations of the brokerage contract:
- the client makes it impossible for the real estate company to conduct visits to the real estate without justified reasons;
- the client violates the exclusivity agreement of the brokerage contract;
- the client markets the property on his own or with other real estate companies on terms more that favorable or favors the competitive re. company;
- the client does not inform or inform the real estate company in time about the conclusion of the sale of the property after signing the purchase contract or pre-contract, which is the subject of the real estate, with the third party, which he finds, or does not hand over a copy of the contract;
- the Client, contrary to good faith and honesty, does not enter into negotiations for the conclusion of the contract or refuses, without giving a good reason, to conclude a contract for which the real estate is subject, with a third party contacted by the Real Estate Company;
- the Client shall provide to the third parties the information and data that are confidential and considered as a business secret.
14. RIGHT TO OBTAIN DATA
a) In the event that the client withdraws from the brokerage contract or does not conclude a purchase contract where the subject is real estate, at that point the real estate company may make inquiries about a possible contract, that is suspected to be signed between the client /seller and a third party where the subject is the real estate under the signed brokerage contract.
15. OBLIGATIONS UNDER THE LAW OF PREVENTION OF MONEY LAUNDERING AND TERRORISM FINANCING
a) Real estate company must in accordance with Prevention of Money Laundering and Terrorism Financing Act when concluding business liaisons and transactions above the legally prescribed sums and other cases, that are prescribed by law, must do the checkup of the client which includes the following actions:
- identification and verification of client's identity;
- identification of the 'de facto' owner of the client if the client is a legal person;
- obtaining information about the purpose and expected nature of the business relationship or transaction, or any other information required by law;
- regular careful monitoring of the client's business activities with the Real Estate Company.
b) The Client is aware that in order to fulfill his or her obligations as stated under the previous point, the real estate company has the right to obtain and verify (including by accessing the personal document) the following personal data of the client and personal data of the client's legal representative:
- name surname,
- temporary or permanent address,
- date and place of birth,
- tax number,
- number, type andi name of the ssuer of the official identity document.
16. PROTECTION, PROCESSING AND USE OF PERSONAL AND CONFIDENTIAL DATA
a) All information and data obtained by the client from the Real Estate Company shall be confidential and shall be considered a business secret, except for information and data that is publicly available.
b) In order to fulfill the obligations under the brokerage contract and the obligations imposed on the real estate company by the Law on Prevention of Money Laundering and Terrorism Financing, the real estate company may, in accordance with the regulations, inspect and copy the information from the identity document (personal name , address of permanent or temporary residence, date and place of birth, tax number and the official identity document data, e.g. issuer, number of ID, type of ID) .
c) When explicitly dictated by the nature of an individual transaction (e.g. verification of the client signature or that of a third party, etc.), the real estate company may, upon the written consent from the holder (of the ID) from which the determined purpose is derived, copy the holder's personal document.
d) On the photocopy of the personal document, the real estate company shall indicate:
- that it is a photocopy,
- its name,
- purpose for making a photocopy,
- legal ground for making the photocopy – clear written consent from the ID holder.
e) The real estate company states to not further copy the client's identity document. The real estate company may not keep a copy of the personal document in e-form.
f) The real estate company is committed to protecting all personal data in accordance with the rules on personal data protection. All personal data will only be used for the purpose of forming, executing, modifying and terminating the brokerage contract and the contract of which the subject is the real estate. For any other use of the client’s personal data, the real estate company will obtain the prior written consent from the client.
g) The individual person who is the holder of the personal data given to real estate company has the right to:
- obtain a confirmation from the real estate company if he or she is a subject of a data base processing,
- access personal data and the purpose of the processing, the type of personal data concerned,
- users or categories of users, in third countries or international organizations,
- estimated retention time of personal data, or the criteria used to determine retention time.
h) Individual person, of whom real estate company has the data, has the right to:
- require from the real estate company to correct or delete his personal information,
- require from the real estate company a restriction of his personal data processing,
- object to his personal data processing,
- require from the real estate company a correction of the inaccurate personal data without unnecessary delay,
- require from the real estate company to complete incomplete personal data,
- ask the personal data to being transferred directly from the current real estate company to another one (where this is technically feasible),
- file a complaint within the supervisory authority.
i) When the individual's personal data is being transferred to a third country or to an international organization, the individual whose personal data is being transferred has the right to ask and be informed about the safeguarding procedures regarding the transfer of his personal data.
j) When the individual's personal data is being processed for purposes of direct marketing, this same individual has the right to object at any time to such processing of personal data for the purposes of such marketing, including the creation of profiles insofar as such direct marketing.
17. DURATION OF THE CONTRACT AND TERMINATION OF THE CONTRACT
a) The brokerage contract is concluded for a fixed term of nine (9) months, unless agreed by the parties for a shorter period.
b) The contract terminates:
- with termination of the contract,
- with fulfillment of the contract,
- in other cases as provided by the law.
c) The parties may terminate the contract of brokerage at any time, unless this is contrary to good faith and honesty. The waiver must be in writing.
18. APPLICABLE LAW
a) The Code of Good Business Practices (sl. kodeks dobrih poslovnih običajev) in Real Estate Industry, adopted by the Association of Real Estate Brokers (sl. Zbornica za nepremičninsko posredovanje) at the Chamber of Commerce (sl. GZS), shall apply for the assessment of the Brokerage Agreement (sl. pogodba o posredovanju) and the General Conditions (sl. Splošni pogoji), and for matters not regulated by the Brokerage Agreement and the General Conditions, and Slovenian law without conflict of laws rules (sl. brez kolizijskih pravil).
19. SETTLEMENT OF DISPUTES
a) Any disputes arising out of or in connection with this brokerage agreement shall be settled by mutual agreement between the contracting parties.
b) If no amicable settlement of the dispute is possible, the court in Nova Gorica is in charge of the case if the contract is with consumers.
c) Where no amicable settlement of the dispute is possible, in this case where the contract is between legal entities, the parties agree that any disagreement, dispute or claim arising out of or in connection with this contract, termination or invalidity, is finally resolved by a panel of three arbitrators or an individual arbitrator appointed pursuant to the Rules of Arbitration Procedure before the Permanent Arbitration at the Chamber of Commerce and Industry of Slovenia.
20. VALIDITY AND PUBLICATION OF THE GENERAL TERMS
a) The updated terms and conditions as presented in this tab are effective as of January 1, 2020. They are an integral part of the brokerage agreement, link to the General terms tab The real estate company Leban Invest d.o.o. shares in the signature of their emails and are made available to each client or potential client, also apply to clients who do not wish to sign a formal brokerage agreement, but it would be understood from the e-correspondence that the services of the real estate company are ordered or used.
b) The applicable general terms and conditions are published on the premises of the Real Estate Company in a prominent place.
21. ENERGY CARD
a) By signing the brokerage contract, the client confirms that the real estate company has informed him of the provisions of the Energy Act relating to the energy performance certificate, paying particular attention to the fact that:
- that the energy certificate must be provided by the owner of the property at his or her or their own expenses in next cases: for properties that are under construction, for properties that are for sale, for properties to be rented out for more than one year,
- that the owner of the building or a part of it must submit a valid energy certificate to the buyer or tenant no later before the conclusion of the sale or lease contract,
- that when selling or renting out a part of it, the owner must ensure that the advertisement indicates the energy performance indicators of the building or its part of it from the energy performance certificate,
- that sanctions are prescribed for the owner of the building or its individual part in the event that the obligation regarding the energy certificate is not fulfilled.
22. SERVICE PRICES
- commission for brokerage when selling or purchasing a real estate: maximum 4% of contractual price,
- commission for brokerage when renting a real estate: maximum 4% of value of the deal.
Indent 2 (a) of Article 22 of these General Terms and Conditions shall not apply to contracting parties which are companies.
- For the purchase or sale of property where the final sale value of the property is less than € 10,000, the indents 1 and 2 of point (a) of Article 22 shall not apply.
b) INDIVIDUAL SERVICES OR ADDITIONAL SERVICES:
- consulting with the client, reviewing the documentation, informing the client about the legal and / or actual status of the property (in writing or verbally), participation in handing over the property, all other services or services, not covered by within this description: € 30 for each commenced half an hour,
- obtaining land registry statement or 'lokacijska informacija' or certificate of intended land use: 29€ per paper,
- preparation and submission of a newspaper or internet advertisement: € 80 per advertisement for a period of three months,
- viewing the property and preparing an assesment of market situation where the goal is to find the market value of the property: 149 €,
- obtaining a copy of the files and documents from the court or administrative unit or other public institution: € 100 per document,
- pre-contract composition where the subject of this contract is the real estate: 400 €,
- composition of the draft contract where the subject was the real estate: 0.5% of contractual price but not lower than 400€,
- composition of rental/lease contract: 400 €,
- safekeeping of documents: 50 € for each month of safekeeping of individual document (contract),
- travel costs: 0,37 € / km,
- daily allowances: as provided by Decree on tax treatment of reimbursement of expenses and other income from employment (sl. Uredbi o davčni obravnavi povračil stroškov in drugih dohodkov iz delovnega razmerja),
- administrative costs and legal fees, notary fees, attorney fees are charged in the amount of cost as invoiced,
- production of EI card 150 €,
- role of the witness at the notary office: 30 € per hour,
- coordination of the meeting between the seller, potential buyer and notary: € 30 per meeting.
c) Payment for the mediation referred to in point a) and the prices of individual and additional services referred to in Article 22 (b) of these General Conditions do not include VAT (22%).
The real estate company is not liable for value added tax. Should the real estate company become liable for VAT, these General Terms and Conditions will be reformed appropriately and in accordance with the new status of Leban Invest.