Citation System for Homebuyers and Sellers

 
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NVAR's Professional Standards and Grievance Committees are charged with upholding the highest principles of the Association and ensuring that members adhere to the REALTOR® Code of Ethics and the Regional Lockbox Rules. Over the years, members have sought ways to avoid time-consuming ethics complaints and hearings. In response, NVAR introduced a new Citation System.
How the Citation System Works

A REALTOR® or member of the public would file a complaint in the customary manner.

If the Grievance Committee decides that the Articles or Lockbox Rules cited in the complaint make the case eligible for the Citation System, the respondent will be notified and given ten (10) days to elect to participate in the Citation System or request an ethics hearing.

If the respondent agrees to the Citation System, he/she would pay the standard, preset fine associated with that Article. If the Respondent does not respond within ten (10) days, the case is automatically forwarded to the Professional Standards Committee for a full hearing.

The Citation System is limited to the following allegations:

Article 1

SOP 1-5 ($500)

Failure to disclose dual representation and obtain written informed consent from both parties

SOP 1-16 ($500)

Accessing or using, or permitting or enabling other to access or use, listed or managed property on terms or conditions other than those authorized by the owner or seller

Article 3

SOP 3-2 ($500)

As a listing broker, attempting to unilaterally modify the offered compensation with respect to a cooperative transaction after a Realtor® has submitted an offer to purchase or lease that property

SOP 3-4 ($400)

Failure to disclose existence of a dual or variable rate commission

SOP 3-6 ($250)

Failure to disclose existence of other contracts to cooperating brokers

SOP 3-8 ($300)

Misrepresenting the availability of access to show or inspect a listed property

SOP 3-9 ($500)

Providing access to listed property on terms other than those established by the owner or the listing broker

Article 4

($300)

Failure to disclose Realtor’s® interest in a property being bought or sold

Article 5

($300)

Providing professional services without disclosing interest in the property

Article 6

($400)

Accepting any commission, rebate or profit on expenditures without client’s knowledge or consent

SOP 6-1 ($400)

Failure to disclose Realtor’s® direct interest in an organization or business entity when recommending to a client or customer that they use the services of that organization or business entity

Article 9

($200)

Failure to fill out all necessary forms fully and completely

($400)

Failure to obtain necessary signatures on forms

Article 12

($250)

Failure to present a true picture in real estate communications and advertising

($150)

Failure to disclose professional status in advertising or other real estate communications*

SOP 12-1 ($150)

Failure to provide all terms governing the availability of a “free” product or service in an advertisement or other representation

SOP 12-4 ($500)

Advertisement offering to sell/lease property without the authority of the owner or the listing broker*

SOP 12-5 ($150)

Failure to disclose name of firm in advertisement for listed property or for real estate services*

SOP 12-6 ($250)

Failing to disclose status as both owner/landlord and Realtor® or licensee when advertising property in which Realtor® has ownership interest*

SOP 12-7 ($250)

Claiming to have “sold” a property when not the listing broker or cooperating broker

SOP 12-9 ($150)

Failure to disclose firm name and state of licensure on Realtor® firm website*

SOP 12-13 ($150)

Representing that the Realtor® has a designation, certification, or other credential they are not entitled to use*

Article 14

($500)

Failure to cooperate in any professional standards proceeding

Article 16

SOP 16-16 ($400)

Use terms of an offer to modify listing broker’s offer of compensation or conditioning submission of an offer on additional compensation from the listing broker

SOP 16-19 ($200)

Placement of for sale/lease sign on property without permission of landlord/seller

Regional Rules & Regulations for Lockbox Systems

Policy 3

A. ($500)

a. Use of lockbox to gain unauthorized access to a property

Policy 5

B. ($450)

Attaching PIN to card

C. ($450)

Sharing PIN with another person

D./E. ($500)

Lending card or property key to another person

F. ($500)

Using another Holder's SentriCardTM for purposes other than administrative in nature

G. ($500)

Duplicating card or property key

O. ($950)

Sharing SentriSmartTM Mobile App generated access code with another person

Policy 10

($500)

Using lockbox to enter a property while not holding a current license

Policy 17

($450)

Publication or distribution of Call Before Showing codes

($250)

Failure to remove lockbox within 48 hours of settlement

Please note that the Citation System is limited to these violations only. Other Code of Ethics violations and arbitration/mediation services follow the regular complaint process. Click here to handle a dispute.
Why should a respondent elect to use this system?

For Respondents, electing the Citation System avoids an uncomfortable and often time-consuming hearing process while still respecting their due process rights since they may elect NOT to use the Citation System and proceed with a full hearing. The Citation System is as confidential as the hearing process.

For Complainants, there may be less time involved, yet justice will still be served, thereby protecting the industry from unethical behavior. However, if the Respondent elects to have a hearing, the Complainant would need to be prepared to attend.

You can download a copy of the Citation Brochure by clicking here.

If you have any questions, please contact the Professional Services Department at 703-207-3212 or email us at prostandards@nvar.com.
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Benefits of the System:

For Respondents, electing the Citation System avoids an uncomfortable and often time-consuming hearing process. Due process rights are still protected since Respondents may elect NOT to use the Citation System and proceed with a full hearing. Citation System is confidential, just like the hearing process.


For Complainants, there may be less time involved, yet justice will still be served, thereby protecting the industry from unethical behavior. However, if the Respondent elects to have a hearing, the Complainant would need to be prepared to attend.

Anonymous Complaints:

In response to feedback from our members, NVAR now accepts anonymous complaints to be filed in limited instances. Complaints will still be filed through the online filing system where a complainant can indicate his desire to file the complaint anonymously.

The allegations eligible for anonymous filing are indicated by an asterisk (*).