In what context can a brokerage firm have no brokerage relationship with FSBOs?

A brokerage firm can have no brokerage relationship with For Sale By Owner (FSBO) properties in any transaction type because FSBO transactions are characterized by the property owner choosing to sell their property independently without the assistance of a real estate broker. This means that the owners have not engaged the services of a brokerage firm, thus negating any brokerage relationship.

In general, a brokerage relationship is established through an agreement where one party provides services for another, such as listing and marketing a property. Since FSBO sellers do not enter into such agreements, a brokerage firm has no formal relationship, regardless of whether the transaction is residential, non-residential, or an auction sale. The nature of the FSBO operation inherently implies that traditional brokerage services are not being sought or utilized by the property owner.