SAN LUIS OBISPO
ASSN. OF REALTORS®
MULTIPLE LISTING SERVICE
RULES
&
REGULATIONS
Revised 3/18/08
TABLE OF CONTENTS
Revised CAR Model – As Amended
1. AUTHORITY
2. PURPOSE
3. MULTIPLE LISTING SERVICE COMMITTEE
4. PARTICIPATION AND AUTHORIZED ACCESS
4.1 Participant
4.1.1 Broker Participant
4.1.2 Appraiser Participant
4.2 Subscriber
4.2.1 R.E. Subscriber
4.2.2 Appraiser Subscriber
4.3 Clerical Users
4.4 Notification of Licensees
4.5 Participation Not Transferable
4.6 Listing Broker Defined
4.7 Cooperating Broker or Selling Broker Defined
4.8 Appraiser Defined
5. MLS FEES AND CHARGES
5.1 Service Fees and Charges
5.1.1 Initial Participation and/or Application Fee
5.1.2 Recurring Participation Fee
5.1.3 Listing Fee
5.1.4 Computer Access Fee
5.1.5 Certification of Nonuse
5.1.6 Clerical Users
5.1.7 Other Fees
5.2 Responsibility for Fees
6. REGIONAL AND RECIPROCAL AGREEMENTS
7. LISTING PROCEDURES
7.1 Listings Subject to Rules and Regulations of the Service
7.2 Types of Listings; Responsibility for Classification
7.21 Scope of Service: Limited Service Listings
7.22 Scope of Service: MLS Entry-Only Listings
7.23 Scope of Service: Legal Obligations
7.3 Types of Properties; Responsibility for Classification
7.4 Compliance with California and Federal Law
7.5 Mandatory Submission
7.6 Exempted Listings
7.7 Service Area
7.8 Change of Listing Information
7.9 Withdrawal of Listing Prior to Expiration
7.10 Contingencies
7.11 Detail on Listings Filed with the Service
7.12 Unilateral Contractual Offer; Sub-agency Optional
7.13 Acceptance of Contractual Offer
7.14 Consent to Act as Dual Agent
7.15 Estate Sale, Probate, Bankruptcy and Lender Approval Listings
7.15.1 Estate Sale, Probate and Bankruptcy Listings
7.15.2 Lender Approval Listings
7.16 Changes to Offer of Compensation to All Broker Participants
7.17 Broker Participant or R.E. Subscriber as Principal
7.18 Multiple Unit Properties
7.19 Expiration, Extension, and Renewal of Listings
7.20 Listings of Participants or Subscribers Suspended, Expelled or Resigned
7.20.1 Failure to Pay MLS Fees; Resignation
7.20.2 Violation of MLS Rules
7.21 No Control of Commission Rates or Fees Charged by Participants
7.22 Dual or Variable Rate Commission Arrangements
7.23 Right of Listing Broker and Presentation of Counter Offers
8. DOCUMENTATION; PERMISSION; ACCURACY OF INFORMATION
8.1 Listing Agreement and Seller's Permission
8.2 Written Documentation
8.3 Accuracy of Information; Responsibility for Accuracy
8.4 Input Defined
8.5 Buyer, Seller, Purchase and Sale Defined
9. SELLING PROCEDURES
9.1 Showings and Negotiations
9.2 Disclosing the Existence of Offers
9.3 Availability to Show or Inspect
9.4 Presentation of Offers
9.5 Submission of Offers and Counter-Offers
9.6 Right of Cooperating Broker in Presentation of Offer
9.7 Change of Compensation Offer by Cooperating Broker
9.8 Cooperating Broker as a Purchaser
10. REPORTING SALES AND OTHER INFORMATION TO THE SERVICE
10.1 Reporting of Sales
10.2 Reporting Cancellation of Pending Sale
10.3 Refusal to Sell
11. OWNERSHIP OF MULTIPLE LISTING SERVICE COMPILATIONS AND COPYRIGHTS
11.1 MLS compilation Defined
11.2 Active Listing MLS Compilation Defined
11.3 Comparable Data MLS Compilation Defined
11.4 Authority to Put Listings in MLS Compilation
11.5 Photographs on the MLS
11.6 Copyright Ownership
11.7 Leasing of MLS Compilations
12. PROHIBITIONS AND REQUIREMENTS
12.1 Notification of California Department of Real Estate (DRE)or California Office of Real Estate Appraiser (OREA)Action
12.2 Violations of the Law
12.3 Supervision of Licensees and Appraisers
12.4 Solicitation of Listing Filed with MLS
12.5 Misuse of Remarks
12.6 "For Sale" Signs
12.7 "Sold" Signs and Use of the Term "Sold."
12.8 Advertising of Listing Filed With the MLS
12.9 Limitations on Use of Association or MLS Information in Advertising
12.10 False or Misleading Advertising and Representations True Picture Standard of Conduct
12.11 Use of MLS Information
12.12 Confidentiality of MLS Information
12.12.1 Clerical Users
12.13 Access to Comparable and Statistical Information
12.14 Display
12.14.1 Clerical Users
12.15 Reproduction
12.15.1 Copies to Prospective Purchasers
12.15.2 Information Reproduced
12.15.3 Copies for Appraisals
12.15.4 Downloading into Computers
12.15.5 Sold Information
12.16 Use of Active Listing Information on Internet
12.16.1 Registry of Authorized Participants and Subscribers
12.16.2 Right to Charge for Download
12.17 Applicability of Rules to MLS or Association
12.18 Listing Broker's Right to Opt Out of Internet Advertising of MLS Information 12.19 Website Name and Status Disclosure
12.20 Use of the Terms MLS and Multiple Listing Service
13. LOCKBOXES
13.1 Eligibility for Lock boxes
13.2 SmartCard Use and Service
13.3 Accountability
13.4 Deemed Unaccountable
13.5 Written Authority
13.6 Listing Broker's Permission
13.7 Unaccountable SmartCards
13.8 Annual Audit/Maintenance Fee
13.9 Rules Violations
13.10 Right to Limit Access
14. VIOLATIONS OF RULES AND REGULATIONS
14.1 Grounds for Disciplinary Action and Sanctions
14.2 Sanctions
14.3 Citations
15. PROCEDURES FOR MLS RULES HEARINGS
16. ARBITRATION
16.1 Mandatory Arbitration
16.2 Other Arbitration Agreements
16.3 Arbitration Between Association Members
16.4 Arbitration Involving Non-association Members
16.5 Same Firm
16.6 Timing
17. NONPAYMENT OF MLS FEES
17.1 Nonpayment of MLS Fees
17.2 Disputed Amounts
17.3 Reinstatement
18. CHANGES IN RULES AND REGULATIONS
Attachments
CALIFORNIA MODEL MULTIPLE LISTING SERVICE RULES
1. AUTHORITY
The Association of REALTORS (A.O.R.) may maintain for the use of licensed real estate brokers and salespersons, and licensed or certified appraisers, a Multiple Listing Service (hereinafter referred to as "MLS" or "service"), which shall be subject to the bylaws of the A.O.R. and such rules and regulations as may be hereinafter adopted by the Board of Directors of the A.O.R. (hereinafter Board of Directors).
2. PURPOSE
A Multiple Listing Service is a means by which authorized MLS broker participants establish legal relationships with other participants by making a blanket unilateral contractual offer of compensation and cooperation to other broker participants; by which information is accumulated and disseminated to enable authorized participants to prepare appraisals, analyses and other valuations of real property for bonafide clients and customers; by which participants engaging in real estate appraisal contribute to common databases; and is a facility for the orderly correlation and dissemination of listing information among the participants so that they may better serve their clients, customers and the public. Entitlement to compensation is determined by the cooperating broker’s performance as a procuring cause of the sale or lease.
3. MULTIPLE LISTING SERVICE COMMITTEE
The MLS shall be governed by the Multiple Listing Service Committee (hereinafter "MLS Committee") in accordance with the bylaws of the A.O.R., and such rules and regulations as adopted by the Board of Directors. All actions of the MLS Committee shall be subject to the approval of the Board of Directors.
4. PARTICIPATION AND AUTHORIZED ACCESS
4.1 Participant A participant is any individual who applies and is accepted by the MLS, meets and continues to meet all of the following requirements of either a broker participant or an appraiser participant as defined below in sections 4.1.1 and 4.1.2.
4.1.1 Broker Participant A broker participant is a participant who meets all of the following requirements:
a. The individual or corporation, for which the individual acts as a broker/officer, holds a valid California real estate broker's license;
b. The individual is a principal, partner, corporate officer, or branch office manager acting on behalf of a principal;
c. The individual or corporation for which the individual acts as a broker/officer is capable of offering and accepting compensation in the capacity of a real estate broker;
d. The individual has signed a written agreement to abide by the rules and regulations of the service in force at that time and as from time to time amended;
e. The individual pays all applicable MLS fees; and
f. The individual has completed any required orientation program of no more than eight (8) classroom hours within thirty (30) days after access has been provided.
4.1.2 Appraiser Participant. An appraiser participant is a participant who meets all of the following requirements:
a. The individual holds a valid California appraisers certification or license;
b. The individual is a principal, partner, corporate officer, or branch office manager acting on behalf of a principal;
c. The individual has signed a written agreement to abide by the rules and regulations of the service in force at that time and as from time to time amended;
d. The individual pays all applicable MLS fees; and
e. The individual has completed any required orientation program of no more than eight (8) classroom hours within thirty (30) days after access has been provided.
4.2 Subscriber A subscriber is an individual who applies and is accepted by the MLS, meets and continues to meet all of the following requirements of either a r.e. subscriber or appraiser subscriber as defined below in sections 4.2.1 and 4.2.2
4.2.1 R.E. Subscriber A r.e. subscriber is a subscriber who meets all of the following requirements:
a. The individual holds a valid California real estate salesperson's or broker's license;
b. The individual is employed by or affiliated as an independent contractor with a broker participant;
c. The individual has signed a written agreement to abide by the rules and regulations of the service in force at that time and as from time to time amended;
d. The individual pays all applicable MLS fees; and
e. The individual has completed any required orientation program of no more than eight (8) classroom hours within thirty (30) days after access has been provided.
4.2.2 Appraiser Subscriber. An appraiser subscriber is a subscriber who meets all of the following requirements:
a. The individual holds a valid California real estate appraisers certification or license;
b. The individual is employed by or affiliated as an independent contractor with an Appraiser Participant;
c. The individual has signed a written agreement to abide by the rules and regulations of the service in force at that time and as from time to time amended;
d. The individual pays all applicable MLS fees; and
e. The individual has completed any required orientation program of no more than eight (8) classroom hours within thirty (30) days after access has been provided.
4.3 Clerical Users Clerical users are individuals (whether licensed or unlicensed) under the direct supervision of an MLS participant or subscriber that perform only administrative and clerical tasks that do not require a real estate license or an appraiser's certificate or license. Each participant and subscriber shall provide the MLS with a list of all clerical users employed by or affiliated as independent contractors with the participant or subscriber and shall immediately notify the MLS of any changes, additions or deletions from the list.
4.4 Notification of Licensees. Each participant shall provide the MLS with a list of all real estate licensees or certified or licensed appraisers employed by or affiliated as independent contractors with such participant or with such participant's firm and shall immediately notify the MLS of any changes, additions or deletions from the list. This list shall include any licensees under any broker associate affiliated with the participant.
4.5 Participation Not Transferable Participation in the MLS is on an individual basis and may not be transferred or sold to any corporation, firm or other individual. Any reimbursement of MLS fees is a matter of negotiation between those transferring the business or determined by internal contract arrangement within the firm. However, providing the first participant consents, the A.O.R. shall allow a firm to designate a different person as a participant within the firm without additional initial participation fees. The A.O.R. may charge an administrative fee for this service of reassigning participants within a firm.
4.6 Listing Broker Defined. For purposes of these MLS rules, a listing broker is a broker participant who is also a listing agent as defined in Civil Code §1086 who has obtained a written listing agreement by which the broker has been authorized to act as an agent to sell or lease the property or to find or obtain a buyer or lessee. Whenever these rules refer to the listing broker, the term shall include the R.E. subscriber or a licensee acting for the listing broker but shall not relieve the listing broker of responsibility for the act or rule specified.
4.7 Cooperating Broker or Selling Broker Defined. For purposes of these MLS rules, a cooperating broker or selling broker is a broker participant who is also a selling agent as defined in Civil Code Section §1086 who acts in cooperation with a listing broker to accept the offer of compensation and/or subagency to find or obtain a buyer or lessee. The cooperating broker or selling broker may be the agent of the buyer or, if subagency is offered and accepted, may be the agent of the seller. Whenever these rules refer to the cooperating broker or selling broker,
The term shall include the r.e. subscriber or licensee acting for the cooperating or selling broker but shall not relieve that broker participant of responsibility for the act or rule specified.
4.8 Appraiser Defined. For purposes of these MLS rules, an appraiser is an appraiser participant, appraiser subscriber, or a licensed or certified appraiser acting for the appraiser participant or appraiser subscriber. Whenever these rules refer to the appraiser, the term shall also include the appraiser subscriber or a licensed or certified appraiser employed by or affiliated as an independent contractor with the firm that employs the appraiser but shall not relieve that appraiser participant of responsibility for the act or rule specified.
5. MLS FEES AND CHARGES
5.1 Service Fees and Charges The MLS Committee, subject to approval of the Board of Directors, shall establish a schedule of MLS fees applicable to the MLS, which may include the following service fees and charges:
5.1.1 Initial Participation and/or Application Fee: Applicants for MLS services may be assessed initial participation and/or application fee.
5.1.2 Recurring Participation Fee: The recurring participation fee of each broker participant shall be an amount times the total number of (1) the broker participant plus (2) the number of salespersons who have access to and use of the MLS, whether licensed as brokers or salespersons, who are employed by or affiliated as independent contractors with such participant or the participant's firm. If more than one principal broker in the same firm elects to be a participant, the number of salespersons in the firm will only be used once in calculating the recurring participation fees. A broker participant is not obligated to pay recurring participation fees or other MLS fees and charges for real estate licensees affiliated with the participant or the participant's firm if such licensees work out of a branch office of the participant or the participant's firm that does not participate in or otherwise use the MLS.
The recurring participation fee of each appraiser participant shall be an amount times the total number of (1) the appraiser participant plus (2) the number of appraisers who have access to and use of the MLS, who are employed by or affiliated as independent contractors with such participant or the participant's firm. If more than one principal appraiser in the same firm elects to be a participant, the number of appraisers in the firm will only be used once in calculating the recurring participation fees. An appraiser participant is not obligated to pay recurring participation fees or other MLS fees and charges for licensed or certified appraisers affiliated with the participant or the participant's firm if such appraisers work out of a branch office of the participant or the participant's firm that does not participate in or otherwise use the MLS.
5.1.3 Listing Fee: A broker participant shall pay a listing fee for each listing submitted to the MLS staff for input.
5.1.4 Book Fees: San Luis Obispo no longer uses books.
5.1.5 Computer Access Fees: The recurring computer access fee for each participant shall be an amount times the total number of subscribers and salespersons licensed or certified as appraisers, brokers or salespersons, who are employed by or affiliated as independent contractors with such participant.
5.1.6 Certification of Nonuse Participants may be relieved from payment under section 5.1.2 and 5.1.5 hereunder by certifying in writing to the MLS that a licensed or certified person in the office is engaged solely in activities that do not require a real estate license or certification (clerical, etc.), or that the real estate licensee or licensed or certified appraiser will not use the MLS or MLS compilation in any way. In the event a real estate licensee or appraiser is found in violation of the nonuse certification, the participant shall be subject to all MLS fees dating back to the date of the certification. The participant and subscriber may also be subject to any other sanction imposed for violation of MLS rules including, but not limited to, a citation and suspension or termination of participation rights and access to the service.
5.1.7 Clerical Users Clerical users may be assessed application fees, computer access fees and other fees. The participant for the clerical user shall be responsible for all such fees.
5.1.8 Other Fees Other fees that are reasonably related to the operation of the MLS may be adopted.
5.2 Responsibility for Fees In the event the MLS allows for direct billing or payment by a subscriber for MLS fees, such fees shall be the exclusive obligation of that subscriber regardless of whether such subscriber becomes affiliated with a different participant. If the MLS does not allow for direct billing or payment by a subscriber for MLS fees, such fees shall be the responsibility of the participant with whom the subscriber was affiliated with at the time the MLS fees were incurred. This section does not preclude in any way the ability of participants to pursue reimbursement of MLS fees from current or past subscribers or to establish agreements with subscribers regarding payment or reimbursement of MLS fees.
6. REGIONAL AND RECIPROCAL AGREEMENTS
The MLS Committee may recommend, subject to the Board of Directors' approval, that the MLS enter into reciprocal or regional agreements with other Associations of REALTORS® or MLS Corporations owned solely by Associations of REALTORS® to allow the other MLS participants and subscribers access to the service in exchange for comparable benefits to the participants and subscribers of this service. In the event of such agreements, the participants and subscribers agree to abide by the respective rules of the other MLSs receiving and publishing a listing pursuant to such agreements and to abide by such rules when accessing the other MLSs'databases.
7. LISTING PROCEDURES
7.1 Listings Subject to Rules and Regulations of the Service Any listing filed with the service is subject to the rules and regulations of the service.
7.2 Types of Listings Responsibility for Classification. The service shall accept exclusive right to sell, exclusive agency, open, and probate listings as defined in California Civil Code Section §1086 et. seq. that satisfy the requirements of these MLS rules. Exclusive right to sell listings that contain any exceptions whereby the owner need not pay a commission if the property is sold to particular individuals shall be classified for purposes of these rules as an exclusive right to sell listing but the listing broker shall notify all participants of the exceptions. It shall be the responsibility of the broker participant and r.e. subscriber to properly classify the type of listing, and if necessary, obtain a legal opinion to determine the correct classification. By classifying the type of the listing, the listing broker certifies that the listing falls under the legal classification designated. The MLS shall have no affirmative responsibility to verify the listing type of any listing filed with the service. However, the MLS shall have the right to have legal counsel make a determination as to the classification of the listing type and if the listing broker does not reclassify it accordingly, the A.O.R. shall have the right to reject or remove any such listing that it determines falsely represents the classification of listing type. Only single entry listings are allowed in the MLS.
7.2.1 Scope of Service; Limited Service Listings. Limited Service are listings whereby the listing broker, pursuant to the listing agreement, will not provide one, or more, of the following services:
a. provide cooperating brokers with any additional information regarding the property not already displayed in the MLS but instead gives cooperating brokers authority to contact the seller(s)directly for further i