ALL
employees of (insert name of firm) will adhere to the Agency Disclosure
provisions as set out in the Code of Virginia. These provisions include, but
are not limited to:
Ҥ 54.1-2136.
Preconditions to brokerage relationship.
Prior to entering into
any brokerage relationship provided for in this article, a licensee shall advise
the prospective client of (i) the type of brokerage relationship proposed by the
broker and (ii) the broker's compensation and whether the broker will share such
salary or compensation with another broker who may have a brokerage relationship
with another party to the transaction.
(1995, cc. 741, 813.):
AND
Ҥ 54.1-2137.
Commencement and termination of brokerage relationships.
A. The brokerage
relationships set forth in this article shall commence at the time that a client
engages a licensee and shall continue until (i) completion of performance in
accordance with the brokerage relationship or (ii) the earlier of (a) any date
of expiration agreed upon by the parties as part of the brokerage relationship
or in any amendments thereto, (b) any mutually agreed upon termination of the
relationship, (c) a default by any party under the terms of the brokerage
relationship, or (d) a termination as set forth in subsection D of § 54.1-2139.
B. Brokerage
relationships shall have a definite termination date; however, if a brokerage
relationship does not specify a definite termination date, the brokerage
relationship shall terminate ninety days after the date the brokerage
relationship was entered into.
C. Except as otherwise
agreed to in writing, a licensee owes no further duties to a client after
termination, expiration, or completion of performance of the brokerage
relationship, except to (i) account for all moneys and property relating to the
brokerage relationship and (ii) keep confidential all personal and financial
information received from the client during the course of the brokerage
relationship and any other information that the client requests during the
brokerage relationship be maintained confidential, unless otherwise provided by
law or the client consents in writing to the release of such information.
(1995, cc. 741, 813.)”
AND
Ҥ 54.1-2138. Disclosure
of brokerage relationship.
A. Upon having a
substantive discussion about a specific property or properties with an actual or
prospective buyer or seller who is not the client of the licensee and who is not
represented by another licensee, a licensee shall disclose any broker
relationship the licensee has with another party to the transaction. Further,
except as provided in § 54.1-2139,
such disclosure shall be made in writing at the earliest practical time, but in
no event later than the time when specific real estate assistance is first
provided. Such disclosure may be given in combination with other disclosures or
provided with other information, but if so, the disclosure must be conspicuous,
printed in bold lettering, all capitals, underlined, or within a separate box.
Any disclosure which complies substantially in effect with the following shall
be deemed in compliance with this disclosure requirement:
DISCLOSURE OF BROKERAGE RELATIONSHIP
The undersigned do hereby acknowledge disclosure that:
The license:
Name of Firm:
represents the following party in a real estate transaction:
Seller(s) or Buyer(s)
Landlord(s) or Tenant(s)
Date Name.
Date Name
B. A licensee shall
disclose to an actual or prospective landlord or tenant, who is not the client
of the licensee and who is not represented by another licensee, that the
licensee has a brokerage relationship with another party or parties to the
transaction. Such disclosure shall be in writing and included in all
applications for lease or in the lease itself, whichever occurs first. If the
terms of the lease do not provide for such disclosure, disclosure shall be made
in writing no later than the signing of the lease. Such disclosure requirement
shall not apply to lessors or lessees in single or multifamily residential units
for lease terms of less than two months.
C. If a licensee's
relationship to a client or customer changes, the licensee shall disclose that
fact in writing to all clients and customers already involved in the specific
contemplated transaction.
D. Copies of any
disclosures relative to fully executed purchase contracts shall be kept by the
licensee for a period of three years as proof of having made such disclosure,
whether or not such disclosure is acknowledged in writing by the party to whom
such disclosure was shown or given.
(1995, cc. 741, 813; 1997, cc. 86,
119.)”
AND
Ҥ 54.1-2139. Disclosed
dual or designated representation authorized.
A. A licensee may act as
a dual representative only with the written consent of all clients to the
transaction. Such written consent and disclosure of the brokerage relationship
as required by this article shall be presumed to have been given as against any
client who signs a disclosure as provided in this section.
B. Such disclosure may
be given in combination with other disclosures or provided with other
information, but if so, the disclosure must be conspicuous, printed in bold
lettering, all capitals, underlined, or within a separate box. Any disclosure
which complies substantially in effect with the following shall be deemed in
compliance with this disclosure requirement:
DISCLOSURE OF DUAL REPRESENTATION
The undersigned do hereby acknowledge disclosure that:
The licensee
(Name of Broker, Firm or Salesperson as applicable)
represents more than one party in this real estate transaction as indicated
below:
Seller(s) and Buyer(s)
Landlord(s) and Tenant(s).
The undersigned understands that the foregoing dual representative may not
disclose to either client or such client's designated representative any
information that has been given to the dual representative by the other client
within the confidence and trust of the brokerage relationship except for that
information which is otherwise required or permitted by Article 3 (§
54.1-2130 et seq.) of Chapter 21 of Title 54.1 of the Code of Virginia to be
disclosed. The undersigned by signing this notice do hereby acknowledge their
informed consent to the disclosed dual representation by the licensee.
Name (One Party)
Date Name (One Party)
Date Name (Other Party)
Date Name (Other Party)
C. No cause of action
shall arise against a dual representative for making disclosures of brokerage
relationships as provided by this article. A dual representative does not
terminate any brokerage relationship by the making of any such allowed or
required disclosures of dual representation.
D. In any real estate
transaction, a licensee may withdraw, without liability, from representing a
client who refuses to consent to a disclosed dual representation thereby
terminating the brokerage relationship with such client. Such withdrawal shall
not prejudice the ability of the licensee to continue to represent the other
client in the transaction nor to limit the licensee from representing the client
who refused the dual representation in other transactions not involving dual
representation.
E. A principal or
supervising broker may assign different licensees affiliated with the broker as
designated representatives to represent different clients in the same
transaction to the exclusion of all other licensees in the firm. Use of such
designated representatives shall not constitute dual representation if a
designated representative is not representing more than one client in a
particular real estate transaction; however, the principal or broker who is
supervising the transaction shall be considered a dual representative as
provided in this article. Designated representatives may not disclose, except to
the affiliated licensee's broker, personal or financial information received
from the clients during the brokerage relationship and any other information
that the client requests during the brokerage relationship be kept confidential,
unless otherwise provided for by law or the client consents in writing to the
release of such information.
F. Use of designated
representatives in a real estate transaction shall be disclosed in accordance
with the provisions of this article. Such disclosure may be given in combination
with other disclosures or provided with other information, but if so, the
disclosure must be conspicuous, printed in bold lettering, all capitals,
underlined, or within a separate box. Any disclosure which complies
substantially in effect with the following shall be deemed in compliance with
such disclosure requirement:
DISCLOSURE OF THE USE OF DESIGNATED REPRESENTATIVES
The undersigned do hereby acknowledge disclosure that:
The licensee
(Name of Broker and Firm)
represents more than one party in this real estate transaction as indicated
below:
Seller(s) and Buyer(s)
Landlord(s) and Tenant(s).
The undersigned understands that the foregoing dual representative may not
disclose to either client or such client's designated representative any
information that has been given to the dual representative by the other client
within the confidence and trust of the brokerage relationship except for that
information which is otherwise required or permitted by Article 3 (§
54.1-2130 et seq.) of Chapter 21 of Title 54.1 of the Code of Virginia to be
disclosed. The undersigned by signing this notice do hereby acknowledge their
informed consent to the disclosed dual representation by the licensee.
The principal or supervising broker has assigned
to act as Designated Representative
(Licensee/Sales Associate)
for the one party as indicated below:
Seller(s) or Buyer(s)
Landlord(s) or Tenant(s).
and
.o act as Designated Representative
(Licensee/Sales Associate)
for the other party as indicated below:
Seller(s) or Buyer(s)
Landlord(s) or Tenant(s)
Date Name (One Party)
Date Name (One Party)
Date Name (Other Party)
Date Name (Other Party)
(1995, cc. 741, 813.)”
AND
Ҥ 54.1-2140.
Compensation shall not imply brokerage relationship.
The payment or promise
of payment or compensation to a real estate broker does not create a brokerage
relationship between any broker, seller, landlord, buyer or
tenant.”
In addition
to the above-referenced provisions within the Code of Virginia, ALL employees of
(insert name of firm) will adhere to the following Virginia Real Estate Board
Regulations, as they pertain to Agency Disclosure.
They are as
follows:
“18 VAC
135-20-220. Disclosure of brokerage relationships.
A. Purchase
transactions.
1. Unless disclosure has been
previously made by a licensee, a licensee shall disclose to an actual or
prospective buyer or seller who is not the client of the licensee and who is not
represented by another licensee and with whom the licensee has substantive
discussions about a specific property or properties, the person whom the
licensee represents in a brokerage relationship, as that term is defined in
§ 54.1-2130 of the Code of Virginia.
2. Except as
otherwise provided in subdivision 3 of this subsection, such disclosure shall be
made in writing at the earliest practical time, but in no event later than the
time specific real estate assistance is first provided. Any disclosure
complying with the provisions of § 54.1-2138 A of the Code of Virginia shall be
deemed in compliance with this disclosure requirement.
3. A licensee acting
as a dual or designated representative shall obtain the written consent of all
clients to the transaction at the earliest practical time. Such consent shall be
presumed to have been given by a client who signs a disclosure complying with
the provisions of § 54.1-2139 of the Code of Virginia. Such disclosure shall be
given to, and consent obtained from, (i) the buyer not later than the time an
offer to purchase is presented to the licensee who will present the offer to the
listing agent or seller, and (ii) the seller not later than the time the offer
to purchase is presented to the seller.
4. Any disclosure
required by this subsection may be given in combination with other disclosures
or information, but, if so, the disclosure must be conspicuous, printed in bold
lettering, all capitals, underlined, or within a separate box or as otherwise
provided by § 54.1-2138 of the Code of Virginia.
B. Lease
Transactions.
1. Unless disclosure has
been previously made by a licensee, a licensee shall disclose to an actual or
prospective landlord or tenant who is not the client of the licensee and who is
not represented by another licensee, that the licensee has a brokerage
relationship with another party or parties to the transaction. Such disclosure
shall be in writing and included in the application for lease or the lease
itself, whichever occurs first. If the terms of the lease do not provide for
such disclosure, the disclosure shall be made in writing not later than the
signing of the lease.
2. This disclosure requirement
shall not apply to lessors or lessees in single or multi-family residential
units for lease terms of less than three months.”
In addition
to the above-referenced provisions within the Virginia Real Estate Board
Regulations, ALL employees of (insert name of firm) will adhere to the following
REALTOR® Code of Ethics, as they pertain to Agency Disclosure.
They are as
follows:
·
Standard of Practice 1-10
REALTORS® shall, consistent with the terms and
conditions of their real estate licensure and their property management
agreement, competently manage the property of clients with due regard for the
rights, safety and health of tenants and others lawfully on the premises.
(Adopted 1/95, Amended 1/00)
·
Standard of Practice 1-12
When entering into listing contracts, REALTORS® must
advise sellers/landlords of:
- the REALTOR®'s company policies regarding cooperation
and the amount(s) of any compensation that will be offered to subagents,
buyer/tenant agents, and/or brokers acting in legally recognized non-agency
capacities;
- the fact that buyer/tenant agents or brokers, even if
compensated by listing brokers, or by sellers/landlords may represent the
interests of buyers/tenants; and
- any potential for listing brokers to act as disclosed
dual agents, e.g. buyer/tenant agents. (Adopted 1/93, Renumbered 1/98, Amended
1/03)
·
Standard of Practice 1-13
When entering into buyer/tenant agreements, REALTORS®
must advise potential clients of:
- the REALTOR®'s general company policies regarding
cooperation and compensation; and
- any potential for the buyer/tenant representative to act
as a disclosed dual agent, e.g. listing broker, subagent, landlord's agent, etc.
(Adopted 1/93, Renumbered 1/98, Amended 1/99)
·
Standard of Practice 1-14
Fees for preparing appraisals or other valuations shall
not be contingent upon the amount of the appraisal or valuation. (Adopted
1/02)”
AND
“·
Article 9
REALTORS®, for the protection of all parties, shall assure
whenever possible that agreements shall be in writing, and shall be in clear and
understandable language expressing the specific terms, conditions, obligations
and commitments of the parties. A copy of each agreement shall be furnished to
each party upon their signing or initialing. (Amended 1/95)
·
Standard of Practice 9-1
For the protection of all parties, REALTORS® shall use
reasonable care to ensure that documents pertaining to the purchase, sale, or
lease of real estate are kept current through the use of written extensions or
amendments. (Amended 1/93)”
AND
“·
Standard of Practice 16-4
REALTORS® shall not solicit a listing which is currently
listed exclusively with another broker. However, if the listing broker, when
asked by the REALTOR®, refuses to disclose the expiration date and nature of
such listing; i.e., an exclusive right to sell, an exclusive agency, open
listing, or other form of contractual agreement between the listing broker and
the client, the REALTOR® may contact the owner to secure such information and
may discuss the terms upon which the REALTOR® might take a future listing or,
alternatively, may take a listing to become effective upon expiration of any
existing exclusive listing. (Amended 1/94)
·
Standard of Practice 16-5
REALTORS® shall not solicit buyer/tenant agreements from
buyers/tenants who are subject to exclusive buyer/tenant agreements. However, if
asked by a REALTOR®, the broker refuses to disclose the expiration date of the
exclusive buyer/tenant agreement, the REALTOR® may contact the buyer/tenant to
secure such information and may discuss the terms upon which the REALTOR® might
enter into a future buyer/tenant agreement or, alternatively, may enter into a
buyer/tenant agreement to become effective upon the expiration of any existing
exclusive buyer/tenant agreement. (Adopted 1/94, Amended
1/98)
·
Standard of Practice 16-6
When REALTORS® are contacted by the client of another
REALTOR® regarding the creation of an exclusive relationship to provide the same
type of service, and REALTORS® have not directly or indirectly initiated such
discussions, they may discuss the terms upon which they might enter into a
future agreement or, alternatively, may enter into an agreement which becomes
effective upon expiration of any existing exclusive agreement. (Amended
1/98)
·
Standard of Practice 16-7
The fact that a client has retained a REALTOR® as an
agent or in another exclusive relationship in one or more past transactions does
not preclude other REALTORS® from seeking such former client's future business.
(Amended 1/98)
·
Standard of Practice 16-8
The fact that an exclusive agreement has been entered
into with a REALTOR® shall not preclude or inhibit any other REALTOR® from
entering into a similar agreement after the expiration of the prior agreement.
(Amended 1/98)
·
Standard of Practice 16-9
REALTORS®, prior to entering into an agency agreement or
other exclusive relationship, have an affirmative obligation to make reasonable
efforts to determine whether the client is subject to a current, valid exclusive
agreement to provide the same type of real estate service. (Amended
1/98)
·
Standard of Practice 16-10
REALTORS®, acting as agents of, or in another
relationship with, buyers or tenants, shall disclose that relationship to the
seller/landlord's agent or broker at first contact and shall provide written
confirmation of that disclosure to the seller/landlord's agent or broker not
later than execution of a purchase agreement or lease. (Amended
1/98)
·
Standard of Practice 16-11
On unlisted property, REALTORS® acting as buyer/tenant
agents or brokers shall disclose that relationship to the seller/landlord at
first contact for that client and shall provide written confirmation of such
disclosure to the seller/landlord not later than execution of any purchase or
lease agreement.
REALTORS® shall make any request for anticipated
compensation from the seller/landlord at first contact. (Amended
1/98)
·
Standard of Practice 16-12
REALTORS®, acting as agents or brokers of
sellers/landlords or as subagents of listing brokers, shall disclose that
relationship to buyers/tenants as soon as practicable and shall provide written
confirmation of such disclosure to buyers/tenants not later than execution of
any purchase or lease agreement. (Amended 1/98)
·
Standard of Practice 16-13
All dealings concerning property exclusively listed, or
with buyer/tenants who are subject to an exclusive agreement shall be carried on
with the client's agent or broker, and not with the client, except with the
consent of the client's agent or broker or except where such dealings are
initiated by the client.
Before providing substantive services (such as
writing a purchase offer or presenting a CMA) to prospective purchasers,
sellers, tenants or landlords ("prospects"), REALTORS® shall ask prospects
whether they are a party to any exclusive representation agreement. REALTORS®
shall not knowingly provide substantive services concerning a prospective
transaction to prospects who are parties to exclusive representation agreements,
except with the consent of the prospects' exclusive representatives or at the
direction of prospects. (Adopted 1/93, Amended 1/03)
·
Standard of Practice 16-14
REALTORS® are free to enter into contractual
relationships or to negotiate with sellers/landlords, buyers/tenants or others
who are not subject to an exclusive agreement but shall not knowingly obligate
them to pay more than one commission except with their informed consent.
(Amended 1/98)”