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2007=20 Code of Ethics and Standards of = Practice


The 2007 Code of Ethics and Standards of = Practice of=20 the National Association of REALTORS=AE=20 is provided below.

Dow= nload=20 Adobe Acrobat and Microsoft Word versions of the=20 REALTORS=AE Code of Ethics=20 suitable for printing.

Order=20 professionally printed pamphlets of the Code of Ethics = and=20 Standards of Practice.

Print=20 a stylish color poster of the NAR Code of Ethics = suitable for=20 framing and hanging in your = office.
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Additional years = on-line
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Code of Ethics = and Standards=20 of Practice
of the = NATIONAL=20 ASSOCIATION OF REALTORS =AE

Effective=20 January 1, 2007

Duties to Clients and = Customers
Duties to the = Public
Duties to = REALTORS=AE

Where the word REALTORS=AE is used = in this Code=20 and Preamble, it shall be deemed to include=20 REALTOR-ASSOCIATE=AEs.

While the Code of Ethics establishes = obligations that=20 may be higher than those mandated by law, in any instance = where the=20 Code of Ethics and the law conflict, the obligations of the = law must=20 take precedence.

Preamble
Under all is=20 the land. Upon its wise utilization and widely allocated = ownership=20 depend the survival and growth of free institutions and of = our=20 civilization. REALTORS=AE should = recognize that=20 the interests of the nation and its citizens require the = highest and=20 best use of the land and the widest distribution of land = ownership.=20 They require the creation of adequate housing, the building = of=20 functioning cities, the development of productive industries = and=20 farms, and the preservation of a healthful environment.=20

Such=20 interests impose obligations beyond those of ordinary = commerce. They=20 impose grave social responsibility and a patriotic duty to = which=20 REALTORS=AE should dedicate themselves, and for which = they should=20 be diligent in preparing themselves. = REALTORS=AE, = therefore, are=20 zealous to maintain and improve the standards of their = calling and=20 share with their fellow REALTORS=AE a = common=20 responsibility for its integrity and honor.

In = recognition and=20 appreciation of their obligations to clients, customers, the = public,=20 and each other, REALTORS=AE = continuously strive=20 to become and remain informed on issues affecting real = estate and,=20 as knowledgeable professionals, they willingly share the = fruit of=20 their experience and study with others. They identify and = take=20 steps, through enforcement of this Code of Ethics and by = assisting=20 appropriate regulatory bodies, to eliminate practices which = may=20 damage the public or which might discredit or bring dishonor = to the=20 real estate profession. REALTORS=AE having = direct=20 personal knowledge of conduct that may violate the Code of = Ethics=20 involving misappropriation of client or customer funds or = property,=20 willful discrimination, or fraud resulting in substantial = economic=20 harm, bring such matters to the attention of the appropriate = Board=20 or Association of REALTORS=AE. = (Amended 1/00)=20

Realizing that cooperation with other real = estate=20 professionals promotes the best interests of those who = utilize their=20 services, REALTORS=AE urge exclusive representation of clients; do = not=20 attempt to gain any unfair advantage over their competitors; = and=20 they refrain from making unsolicited comments about other=20 practitioners. In instances where their opinion is sought, = or where=20 REALTORS=AE believe that comment is necessary, their = opinion is=20 offered in an objective, professional manner, uninfluenced = by any=20 personal motivation or potential advantage or gain. =

The term=20 REALTOR=AE has come to connote competency, fairness, = and high=20 integrity resulting from adherence to a lofty ideal of moral = conduct=20 in business relations. No inducement of profit and no = instruction=20 from clients ever can justify departure from this ideal.=20

In the=20 interpretation of this obligation, REALTORS=AE can = take no safer=20 guide than that which has been handed down through the = centuries,=20 embodied in the Golden Rule, =93Whatsoever ye would that = others should=20 do to you, do ye even so to them.=94

Accepting = this standard=20 as their own, REALTORS=AE pledge = to observe its=20 spirit in all of their activities whether conducted = personally,=20 through associates or others, or via technological means, = and to=20 conduct their business in accordance with the tenets set = forth=20 below. (Amended 1/07)


Duties to Clients and = Customers

Article 1=20
When representing a buyer, = seller,=20 landlord, tenant, or other client as an agent,=20 REALTORS=AE pledge themselves to protect and promote the = interests=20 of their client. This obligation to the client is primary, = but it=20 does not relieve REALTORS=AE of = their obligation=20 to treat all parties honestly. When serving a buyer, seller, = landlord, tenant or other party in a non-agency capacity,=20 REALTORS=AE remain obligated to treat all parties = honestly.=20 (Amended 1/01)

  • Standard of Practice 1-1
      REALTORS=AE, when acting as principals in a real = estate=20 transaction, remain obligated by the duties imposed by the = Code of=20 Ethics. (Amended 1/93)

  • Standard of Practice 1-2
      The duties imposed by the Code of Ethics encompass all = real=20 estate-related activities and transactions whether = conducted in=20 person, electronically, or through any other means.=20

      The duties the Code of = Ethics=20 imposes are applicable whether REALTORS=AE are = acting as=20 agents or in legally recognized non-agency capacities = except that=20 any duty imposed exclusively on agents by law or = regulation shall=20 not be imposed by this Code of Ethics on = REALTORS=AE = acting in=20 non-agency capacities.

      As used in=20 this Code of Ethics, =93client=94 means the person(s) or = entity(ies)=20 with whom a REALTOR=AE or a=20 REALTOR=AE=92s firm has an agency or legally = recognized=20 non-agency relationship; =93customer=94 means a party to a = real estate=20 transaction who receives information, services, or = benefits but=20 has no contractual relationship with the = REALTOR=AE or = the=20 REALTOR=AE=92s firm; =93prospect=94 means a = purchaser, seller,=20 tenant, or landlord who is not subject to a representation = relationship with the REALTOR=AE or=20 REALTOR=AE=92s firm; =93agent=94 means a real estate = licensee=20 (including brokers and sales associates) acting in an = agency=20 relationship as defined by state law or regulation; and = =93broker=94=20 means a real estate licensee (including brokers and sales=20 associates) acting as an agent or in a legally recognized=20 non-agency capacity. (Adopted 1/95, Amended 1/07) =

  • Standard of Practice 1-3
      REALTORS=AE, in attempting to secure a listing, shall = not=20 deliberately mislead the owner as to market value.=20

  • Standard of Practice 1-4
      REALTORS=AE, when seeking to become a buyer/tenant=20 representative, shall not mislead buyers or tenants as to = savings=20 or other benefits that might be realized through use of = the=20 REALTOR=AE=92s services. (Amended = 1/93)

  • Standard of Practice 1-5
      REALTORS=AE may represent the seller/landlord and = buyer/tenant=20 in the same transaction only after full disclosure to and = with=20 informed consent of both parties. (Adopted 1/93) =

  • Standard of Practice 1-6
      REALTORS=AE shall submit offers and counter-offers = objectively=20 and as quickly as possible. (Adopted 1/93, Amended 1/95)=20

  • Standard of Practice 1-7
      When acting as listing brokers, = REALTORS=AE shall = continue to=20 submit to the seller/landlord all offers and = counter-offers until=20 closing or execution of a lease unless the seller/landlord = has=20 waived this obligation in writing. = REALTORS=AE shall = not be=20 obligated to continue to market the property after an = offer has=20 been accepted by the seller/landlord. = REALTORS=AE shall = recommend=20 that sellers/landlords obtain the advice of legal counsel = prior to=20 acceptance of a subsequent offer except where the = acceptance is=20 contingent on the termination of the pre-existing purchase = contract or lease. (Amended 1/93)

  • Standard of Practice 1-8
      REALTORS=AE , acting as agents or brokers of = buyers/tenants,=20 shall submit to buyers/tenants all offers and = counter-offers until=20 acceptance but have no obligation to continue to show = properties=20 to their clients after an offer has been accepted unless = otherwise=20 agreed in writing. REALTORS=AE, = acting as agents=20 or brokers of buyers/tenants, shall recommend that = buyers/tenants=20 obtain the advice of legal counsel if there is a question = as to=20 whether a pre-existing contract has been terminated. = (Adopted=20 1/93, Amended 1/99)

  • Standard of Practice 1-9
      The obligation of REALTORS=AE to = preserve=20 confidential information (as defined by state law) = provided by=20 their clients in the course of any agency relationship or=20 non-agency relationship recognized by law continues after=20 termination of agency relationships or any non-agency=20 relationships recognized by law. REALTORS=AE shall = not=20 knowingly, during or following the termination of = professional=20 relationships with their clients:

      1. reveal confidential information of clients; = or

      2. use confidential information of clients to the = disadvantage=20 of clients; or

      3. use confidential information of clients for the=20 REALTOR=AE=92s advantage or the advantage of third = parties=20 unless:

        1. clients consent after full disclosure;=20 or
        2. REALTORS=AE = are required by=20 court order; or
        3. it is the intention of a client to commit = a crime=20 and the information is necessary to prevent the crime; = or=20
        4. it is necessary to defend a=20 REALTOR=AE or the REALTOR=AE=92s employees or=20 associates against an accusation of wrongful conduct.=20

      Information concerning latent material = defects is not=20 considered confidential information under this Code of = Ethics.=20 (Adopted 1/93, Amended 1/01)


      1. Standard of Practice 1-10
          REALTORS=AE shall, consistent with the terms and = conditions of=20 their real estate licensure and their property management=20 agreement, competently manage the property of clients with = due=20 regard for the rights, safety and health of tenants and = others=20 lawfully on the premises. (Adopted 1/95, Amended 1/00)=20

      2. Standard of Practice 1-11
          REALTORS=AE who are employed to maintain or manage a = client=92s=20 property shall exercise due diligence and make reasonable = efforts=20 to protect it against reasonably foreseeable contingencies = and=20 losses. (Adopted 1/95)

      3. Standard of Practice 1-12
          When entering into listing contracts,=20 REALTORS=AE must advise sellers/landlords = of:

          1. the REALTOR=AE=92s = company=20 policies regarding cooperation and the amount(s) of any=20 compensation that will be offered to subagents, = buyer/tenant=20 agents, and/or brokers acting in legally recognized = non-agency=20 capacities;

          2. the fact that buyer/tenant agents or brokers, even = if=20 compensated by listing brokers, or by sellers/landlords = may=20 represent the interests of buyers/tenants; and =

          3. any potential for listing brokers to act as = disclosed dual=20 agents, e.g. buyer/tenant agents. (Adopted 1/93, = Renumbered=20 1/98, Amended 1/03)

      4. Standard of Practice 1-13
          When entering into buyer/tenant agreements,=20 REALTORS=AE must advise potential clients = of:
          1. the REALTOR=AE=92s = company=20 policies regarding cooperation;

          2. the amount of compensation to be paid by the=20 client;

          3. the potential for additional or offsetting = compensation from=20 other brokers, from the seller or landlord, or from = other=20 parties;

          4. any potential for the buyer/tenant representative to = act as=20 a disclosed dual agent, e.g. listing broker, subagent,=20 landlord=92s agent, etc., and

          5. the possibility that sellers or sellers' = representatives may=20 not treat the existence, terms, or conditions of offers = as=20 confidential unless confidentiality is required by law,=20 regulation, or by any confidentiality agreement between = the=20 parties. (Adopted 1/93, Renumbered 1/98, Amended=20 1/06)

      5. Standard of Practice 1-14
          Fees for preparing appraisals or other valuations shall = not be=20 contingent upon the amount of the appraisal or valuation. = (Adopted=20 1/02)

      6. Standard of Practice 1-15
          REALTORS=AE, in response to inquiries from buyers or = cooperating=20 brokers shall, with the sellers=92 approval, disclose the = existence=20 of offers on the property. Where disclosure is authorized, = REALTORS=AE shall also disclose whether offers were = obtained by the=20 listing licensee, another licensee in the listing firm, or = by a=20 cooperating broker. (Adopted 1/03, Amended 1/06)) =

        Article 2
        REALTORS=AE shall = avoid=20 exaggeration, misrepresentation, or concealment of pertinent = facts=20 relating to the property or the transaction.=20 REALTORS=AE shall not, however, be obligated to discover = latent=20 defects in the property, to advise on matters outside the = scope of=20 their real estate license, or to disclose facts which are=20 confidential under the scope of agency or non-agency = relationships=20 as defined by state law. (Amended 1/00)

      7. Standard of Practice 2-1
          REALTORS=AE shall only be obligated to discover and = disclose=20 adverse factors reasonably apparent to someone with = expertise in=20 those areas required by their real estate licensing = authority.=20 Article 2 does not impose upon the = REALTOR=AE the = obligation of=20 expertise in other professional or technical disciplines. = (Amended=20 1/96)

      8. Standard of Practice 2-2
          (Renumbered as Standard of Practice 1-12 = 1/98)

      9. Standard of Practice 2-3
          (Renumbered as Standard of Practice 1-13 = 1/98)

      10. Standard of Practice 2-4
          REALTORS=AE shall not be parties to the naming of a = false=20 consideration in any document, unless it be the naming of = an=20 obviously nominal consideration.

      11. Standard of Practice 2-5
          Factors defined as =93non-material=94 by law or = regulation or=20 which are expressly referenced in law or regulation as not = being=20 subject to disclosure are considered not =93pertinent=94 = for purposes=20 of Article 2. (Adopted 1/93)

        Article = 3
        REALTORS=AE shall = cooperate with=20 other brokers except when cooperation is not in the = client=92s best=20 interest. The obligation to cooperate does not include the=20 obligation to share commissions, fees, or to otherwise = compensate=20 another broker. (Amended 1/95)

      12. Standard of Practice 3-1
          REALTORS=AE, acting as exclusive agents or brokers of = sellers/=20 landlords, establish the terms and conditions of offers to = cooperate. Unless expressly indicated in offers to = cooperate,=20 cooperating brokers may not assume that the offer of = cooperation=20 includes an offer of compensation. Terms of compensation, = if any,=20 shall be ascertained by cooperating brokers before = beginning=20 efforts to accept the offer of cooperation. (Amended 1/99) =

      13. Standard of Practice 3-2
          REALTORS=AE shall, with respect to offers of = compensation to=20 another REALTOR=AE, timely communicate any change of = compensation for=20 cooperative services to the other REALTOR=AE prior = to the time=20 such REALTOR=AE produces an offer to purchase/lease the = property.=20 (Amended 1/94)

      14. Standard of Practice 3-3
          Standard of Practice 3-2 does not preclude the listing = broker=20 and cooperating broker from entering into an agreement to = change=20 cooperative compensation. (Adopted 1/94)

      15. Standard of Practice 3-4
          REALTORS=AE, acting as listing brokers, have an = affirmative=20 obligation to disclose the existence of dual or variable = rate=20 commission arrangements (i.e., listings where one amount = of=20 commission is payable if the listing broker=92s firm is = the=20 procuring cause of sale/lease and a different amount of = commission=20 is payable if the sale/lease results through the efforts = of the=20 seller/ landlord or a cooperating broker). The listing = broker=20 shall, as soon as practical, disclose the existence of = such=20 arrangements to potential cooperating brokers and shall, = in=20 response to inquiries from cooperating brokers, disclose = the=20 differential that would result in a cooperative = transaction or in=20 a sale/lease that results through the efforts of the=20 seller/landlord. If the cooperating broker is a = buyer/tenant=20 representative, the buyer/tenant representative must = disclose such=20 information to their client before the client makes an = offer to=20 purchase or lease. (Amended 1/02)

      16. Standard of Practice 3-5
          It is the obligation of subagents to promptly disclose = all=20 pertinent facts to the principal=92s agent prior to as = well as after=20 a purchase or lease agreement is executed. (Amended 1/93)=20

      17. Standard of Practice 3-6
          REALTORS=AE shall disclose the existence of accepted = offers,=20 including offers with unresolved contingencies, to any = broker=20 seeking cooperation. (Adopted 5/86, Amended 1/04) =

      18. Standard of Practice 3-7
          When seeking information from another = REALTOR=AE = concerning property=20 under a management or listing agreement, = REALTORS=AE shall = disclose=20 their REALTOR=AE status and whether their interest is = personal or on=20 behalf of a client and, if on behalf of a client, their=20 representational status. (Amended 1/95)

      19. Standard of Practice 3-8
          REALTORS=AE shall not misrepresent the availability of = access to=20 show or inspect a listed property. (Amended 11/87)=20

        Article=20 4
        REALTORS=AE shall = not acquire an=20 interest in or buy or present offers from themselves, any = member of=20 their immediate families, their firms or any member thereof, = or any=20 entities in which they have any ownership interest, any real = property without making their true position known to the = owner or=20 the owner=92s agent or broker. In selling property they own, = or in=20 which they have any interest, REALTORS=AE shall = reveal their=20 ownership or interest in writing to the purchaser or the = purchaser=92s=20 representative. (Amended 1/00)

      20. Standard of Practice 4-1
          For the protection of all parties, the disclosures = required by=20 Article 4 shall be in writing and provided by=20 REALTORS=AE prior to the signing of any contract. = (Adopted=20 2/86)

        Article 5
        REALTORS=AE shall = not undertake=20 to provide professional services concerning a property or = its value=20 where they have a present or contemplated interest unless = such=20 interest is specifically disclosed to all affected parties.=20

        Article 6
        REALTORS=AE shall = not accept any=20 commission, rebate, or profit on expenditures made for their = client,=20 without the client=92s knowledge and consent. =

        When = recommending real=20 estate products or services (e.g., homeowner=92s insurance, = warranty=20 programs, mortgage financing, title insurance, etc.),=20 REALTORS=AE shall disclose to the client or customer to = whom the=20 recommendation is made any financial benefits or fees, other = than=20 real estate referral fees, the REALTOR=AE or=20 REALTOR=AE=92s firm may receive as a direct result of = such=20 recommendation. (Amended 1/99)

      21. Standard of Practice 6-1
          REALTORS=AE shall not recommend or suggest to a client = or a=20 customer the use of services of another organization or = business=20 entity in which they have a direct interest without = disclosing=20 such interest at the time of the recommendation or = suggestion.=20 (Amended 5/88)

        Article = 7
        In a transaction,=20 REALTORS=AE shall not accept compensation from more than = one=20 party, even if permitted by law, without disclosure to all = parties=20 and the informed consent of the REALTOR=AE=92s = client or clients.=20 (Amended 1/93)

        Article 8
        REALTORS=AE shall = keep in a=20 special account in an appropriate financial institution, = separated=20 from their own funds, monies coming into their possession in = trust=20 for other persons, such as escrows, trust funds, clients=92 = monies,=20 and other like items.


        Article 9
        REALTORS=AE, for = the protection=20 of all parties, shall assure whenever possible that all = agreements=20 related to real estate transactions including, but not = limited to,=20 listing and representation agreements, purchase contracts, = and=20 leases are in writing in clear and understandable language=20 expressing the specific terms, conditions, obligations and=20 commitments of the parties. A copy of each agreement shall = be=20 furnished to each party to such agreements upon their = signing or=20 initialing. (Amended 1/04)

      22. Standard of Practice 9-1
          For the protection of all parties, = REALTORS=AE shall = use=20 reasonable care to ensure that documents pertaining to the = purchase, sale, or lease of real estate are kept current = through=20 the use of written extensions or amendments. (Amended = 1/93)=20

      23. Standard of Practice 9-2
          When assisting or enabling a client or customer in=20 establishing a contractual relationship (e.g., listing and = representation agreements, purchase agreements, leases, = etc.)=20 electronically, REALTORS=AE=20 shall make reasonable = efforts to=20 explain the nature and disclose the specific terms of the=20 contractual relationship being established prior to it = being=20 agreed to by a contracting party. (Adopted=20 1/07)



        Duties to=20 the Public

        Article 10 =
        REALTORS=AE shall = not deny equal=20 professional services to any person for reasons of race, = color,=20 religion, sex, handicap, familial status, or national = origin.=20 REALTORS=AE shall not be parties to any plan or = agreement to=20 discriminate against a person or persons on the basis of = race,=20 color, religion, sex, handicap, familial status, or national = origin.=20 (Amended 1/90)

        REALTORS=AE, in = their real estate=20 employment practices, shall not discriminate against any = person or=20 persons on the basis of race, color, religion, sex, = handicap,=20 familial status, or national origin. (Amended 1/00)=20

      24. Standard of Practice 10-1
          When involved in the sale or lease of a residence,=20 REALTORS=AE shall not volunteer information regarding = the=20 racial, religious or ethnic composition of any = neighborhood nor=20 shall they engage in any activity which may result in = panic=20 selling, however, REALTORS=AE may = provide other=20 demographic information. (Adopted 1/94, Amended 1/06)=20

      25. Standard of Practice 10-2
          When not involved in the sale or lease of a residence,=20 REALTORS=AE may provide demographic information = related to a=20 property, transaction or professional assignment to a = party if=20 such demographic information is (a) deemed by the=20 REALTOR=AE to be needed to assist with or complete, = in a manner=20 consistent with Article 10, a real estate transaction or=20 professional assignment and (b) is obtained or derived = from a=20 recognized, reliable, independent, and impartial source. = The=20 source of such information and any additions, deletions,=20 modifications, interpretations, or other changes shall be=20 disclosed in reasonable detail. (Adopted 1/05, Renumbered = 1/06)=20

      26. Standard of Practice 10-3
          REALTORS=AE shall not print, display or circulate any = statement=20 or advertisement with respect to selling or renting of a = property=20 that indicates any preference, limitations or = discrimination based=20 on race, color, religion, sex, handicap, familial status, = or=20 national origin. (Adopted 1/94, Renumbered 1/05 and 1/06)=20

      27. Standard of Practice 10-4
          As used in Article 10 =93real estate employment = practices=94=20 relates to employees and independent contractors providing = real=20 estate-related services and the administrative and = clerical staff=20 directly supporting those individuals. (Adopted 1/00, = Renumbered=20 1/05)

        Article = 11=20
        The services which=20 REALTORS=AE provide to their clients and customers shall = conform=20 to the standards of practice and competence which are = reasonably=20 expected in the specific real estate disciplines in which = they=20 engage; specifically, residential real estate brokerage, = real=20 property management, commercial and industrial real estate=20 brokerage, real estate appraisal, real estate counseling, = real=20 estate syndication, real estate auction, and international = real=20 estate.

        REALTORS=AE shall = not undertake=20 to provide specialized professional services concerning a = type of=20 property or service that is outside their field of = competence unless=20 they engage the assistance of one who is competent on such = types of=20 property or service, or unless the facts are fully disclosed = to the=20 client. Any persons engaged to provide such assistance shall = be so=20 identified to the client and their contribution to the = assignment=20 should be set forth. (Amended 1/95)

      28. Standard of Practice 11-1
          When REALTORS=AE = prepare opinions of=20 real property value or price, other than in pursuit of a = listing=20 or to assist a potential purchaser in formulating a = purchase=20 offer, such opinions shall include the following:=20

          1. identification of the subject=20 property
          2. date prepared
          3. defined value or price
          4. limiting conditions, including statements of = purpose(s) and=20 intended user(s)
          5. any present or contemplated interest, including the=20 possibility of representing the seller/landlord or=20 buyers/tenants
          6. basis for the opinion, including applicable market=20 data
          7. if the opinion is not an appraisal, a statement to = that=20 effect (Amended 1/01)

      29. Standard of Practice 11-2
          The obligations of the Code of Ethics in respect of real = estate disciplines other than appraisal shall be = interpreted and=20 applied in accordance with the standards of competence and = practice which clients and the public reasonably require = to=20 protect their rights and interests considering the = complexity of=20 the transaction, the availability of expert assistance, = and, where=20 the REALTOR=AE is an agent or subagent, the obligations = of a=20 fiduciary. (Adopted 1/95)

      30. Standard of Practice 11-3
          When REALTORS=AE = provide consultive=20 services to clients which involve advice or counsel for a = fee (not=20 a commission), such advice shall be rendered in an = objective=20 manner and the fee shall not be contingent on the = substance of the=20 advice or counsel given. If brokerage or transaction = services are=20 to be provided in addition to consultive services, a = separate=20 compensation may be paid with prior agreement between the = client=20 and REALTOR=AE. (Adopted 1/96)

      31. Standard of Practice 11-4
          The competency required by Article 11 relates to = services=20 contracted for between REALTORS=AE and = their clients=20 or customers; the duties expressly imposed by the Code of = Ethics;=20 and the duties imposed by law or regulation. (Adopted = 1/02)=20

        Article 12
        REALTORS=AE shall = be careful at=20 all times to present a true picture in their advertising and = representations to the public. REALTORS=AE shall = also ensure=20 that their professional status (e.g., broker, appraiser, = property=20 manager, etc.) or status as REALTORS=AE is = clearly=20 identifiable in any such advertising. (Amended = 1/93)

      32. Standard of Practice 12-1
          REALTORS=AE may use the term =93free=94 and similar = terms in their=20 advertising and in other representations provided that all = terms=20 governing availability of the offered product or service = are=20 clearly disclosed at the same time. (Amended 1/97)=20

      33. Standard of Practice 12-2
          REALTORS=AE may represent their services as =93free=94 = or without=20 cost even if they expect to receive compensation from a = source=20 other than their client provided that the potential for = the=20 REALTOR=AE to obtain a benefit from a third party is = clearly=20 disclosed at the same time. (Amended 1/97) =

      34. Standard of Practice 12-3
          The offering of premiums, prizes, merchandise discounts = or=20 other inducements to list, sell, purchase, or lease is = not, in=20 itself, unethical even if receipt of the benefit is = contingent on=20 listing, selling, purchasing, or leasing through the=20 REALTOR=AE making the offer. However, = REALTORS=AE must = exercise care=20 and candor in any such advertising or other public or = private=20 representations so that any party interested in receiving = or=20 otherwise benefiting from the REALTOR=AE=92s = offer will have=20 clear, thorough, advance understanding of all the terms = and=20 conditions of the offer. The offering of any inducements = to do=20 business is subject to the limitations and restrictions of = state=20 law and the ethical obligations established by any = applicable=20 Standard of Practice. (Amended 1/95)

      35. Standard of Practice 12-4
          REALTORS=AE shall not offer for sale/lease or = advertise property=20 without authority. When acting as listing brokers or as = subagents,=20 REALTORS=AE shall not quote a price different from = that agreed=20 upon with the seller/landlord. (Amended 1/93) =

      36. Standard of Practice 12-5
          REALTORS=AE shall not advertise nor permit any person = employed=20 by or affiliated with them to advertise listed property in = any=20 medium (e.g., electronically, print, radio, television, = etc.)=20 without disclosing the name of that = REALTOR=AE's = firm in a=20 reasonable and readily apparent manner. (Adopted 11/86, = Amended=20 1/07)

      37. Standard of Practice 12-6
          REALTORS=AE, when advertising unlisted real property = for=20 sale/lease in which they have an ownership interest, shall = disclose their status as both owners/landlords and as=20 REALTORS=AE or real estate licensees. (Amended=20 1/93)

      38. Standard of Practice 12-7
          Only REALTORS=AE who = participated in=20 the transaction as the listing broker or cooperating = broker=20 (selling broker) may claim to have =93sold=94 the = property. Prior to=20 closing, a cooperating broker may post a =93sold=94 sign = only with the=20 consent of the listing broker. (Amended 1/96) =

      39. Standard of Practice 12-8
          The obligation to present a true picture in = representations to=20 the public includes information presented, provided, or = displayed=20 on REALTORS=AE=92 = websites. REALTORS=AE shall = use=20 reasonable efforts to ensure that information on their = websites is=20 current. When it becomes apparent that information on a=20 REALTOR=AE=92s website is no longer current or = accurate,=20 REALTORS=AE = shall promptly take corrective action. = (Adopted=20 1/07)

      40. Standard of Practice 12-9
          REALTOR=AE firm websites shall disclose the firm=92s = name and=20 state(s) of licensure in a reasonable and readily apparent = manner.

          Websites of REALTORS=AE and = non-member=20 licensees affiliated with a REALTOR=AE firm = shall disclose=20 the firm=92s name and that REALTOR=AE=92s = or non-member=20 licensee=92s state(s) of licensure in a reasonable and = readily=20 apparent manner. (Adopted 1/07)

      41. Standard of Practice 12-10
          REALTORS=AE=92 obligation to present a true picture in = their=20 advertising and representations to the public includes the = URLs=20 and domain names they use, and prohibits = REALTORS=AE from:

          1. engaging in deceptive or unauthorized = framing of real=20 estate brokerage websites;
          2. manipulating (e.g., presenting content = developed by=20 others) listing content in any way that produces a = deceptive or=20 misleading result; or
          3. deceptively using metatags, keywords or = other=20 devices/methods to direct, drive, or divert Internet = traffic, or=20 to otherwise mislead consumers. (Adopted=20 1/07)

      42. Standard of Practice 12-11
          REALTORS=AE = intending to share or sell consumer = information=20 gathered via the Internet shall disclose that possibility = in a=20 reasonable and readily apparent manner. (Adopted=20 1/07)

        Article 13
        REALTORS=AE shall = not engage in=20 activities that constitute the unauthorized practice of law = and=20 shall recommend that legal counsel be obtained when the = interest of=20 any party to the transaction requires it.

        Article 14 =
        If charged with = unethical practice=20 or asked to present evidence or to cooperate in any other = way, in=20 any professional standards proceeding or investigation,=20 REALTORS=AE shall place all pertinent facts before the = proper=20 tribunals of the Member Board or affiliated institute, = society, or=20 council in which membership is held and shall take no action = to=20 disrupt or obstruct such processes. (Amended 1/99) =

        • Standard of Practice 14-1
            REALTORS=AE shall not be subject to disciplinary = proceedings in=20 more than one Board of REALTORS=AE or = affiliated=20 institute, society or council in which they hold = membership with=20 respect to alleged violations of the Code of Ethics = relating to=20 the same transaction or event. (Amended 1/95) =

        • Standard of Practice 14-2
            REALTORS=AE shall not make any unauthorized disclosure = or=20 dissemination of the allegations, findings, or decision = developed=20 in connection with an ethics hearing or appeal or in = connection=20 with an arbitration hearing or procedural review. (Amended = 1/92)=20

        • Standard of Practice 14-3
            REALTORS=AE shall not obstruct the Board=92s = investigative or=20 professional standards proceedings by instituting or = threatening=20 to institute actions for libel, slander or defamation = against any=20 party to a professional standards proceeding or their = witnesses=20 based on the filing of an arbitration request, an ethics=20 complaint, or testimony given before any tribunal. = (Adopted 11/87,=20 Amended 1/99)

        • Standard of Practice 14-4
            REALTORS=AE shall not intentionally impede the = Board=92s=20 investigative or disciplinary proceedings by filing = multiple=20 ethics complaints based on the same event or transaction. = (Adopted=20 11/88)

          Duties=20 to REALTORS=AE

          Article 15
          REALTORS=AE shall = not knowingly=20 or recklessly make false or misleading statements about = competitors,=20 their businesses, or their business practices. (Amended = 1/92)=20

        • Standard of Practice 15-1
            REALTORS=AE shall not knowingly or recklessly file = false or=20 unfounded ethics complaints. (Adopted 1/00) =
        • Standard of Practice 15-2
            The obligation to refrain from making false or = misleading=20 statements about competitors=92 businesses and = competitors=92 business=20 practices includes the duty to not knowingly or recklessly = repeat,=20 retransmit, or republish false or misleading statements = made by=20 others. This duty applies whether false or misleading = statements=20 are repeated in person, in writing, by technological means = (e.g.,=20 the Internet), or by any other means. (Adopted = 1/07)

          Article 16=20
          REALTORS=AE shall = not engage in=20 any practice or take any action inconsistent with exclusive=20 representation or exclusive brokerage relationship = agreements that=20 other REALTORS=AE have with clients. (Amended = 1/04)

        • Standard of Practice 16-1
            Article 16 is not intended to prohibit aggressive or=20 innovative business practices which are otherwise ethical = and does=20 not prohibit disagreements with other = REALTORS=AE = involving=20 commission, fees, compensation or other forms of payment = or=20 expenses. (Adopted 1/93, Amended 1/95)

        • Standard of Practice 16-2
            Article 16 does not preclude REALTORS=AE from = making general=20 announcements to prospects describing their services and = the terms=20 of their availability even though some recipients may have = entered=20 into agency agreements or other exclusive relationships = with=20 another REALTOR=AE. A general telephone canvass, general = mailing or=20 distribution addressed to all prospects in a given = geographical=20 area or in a given profession, business, club, or = organization, or=20 other classification or group is deemed =93general=94 for = purposes of=20 this standard. (Amended 1/04)
            Article 16 is intended to recognize as = unethical two=20 basic types of solicitations:

            First, = telephone or=20 personal solicitations of property owners who have been = identified=20 by a real estate sign, multiple listing compilation, or = other=20 information service as having exclusively listed their = property=20 with another REALTOR=AE;=20 and

            Second, mail or other forms of written = solicitations=20 of prospects whose properties are exclusively listed with = another=20 REALTOR=AE when such solicitations are not part of a = general=20 mailing but are directed specifically to property owners=20 identified through compilations of current listings, = =93for sale=94 or=20 =93for rent=94 signs, or other sources of information = required by=20 Article 3 and Multiple Listing Service rules to be made = available=20 to other REALTORS=AE under = offers of=20 subagency or cooperation. (Amended 1/04)

        • Standard of Practice 16-3
            Article 16 does not preclude REALTORS=AE from = contacting the=20 client of another broker for the purpose of offering to = provide,=20 or entering into a contract to provide, a different type = of real=20 estate service unrelated to the type of service currently = being=20 provided (e.g., property management as opposed to = brokerage) or=20 from offering the same type of service for property not = subject to=20 other brokers=92 exclusive agreements. However, = information received=20 through a Multiple Listing Service or any other offer of=20 cooperation may not be used to target clients of other=20 REALTORS=AE to whom such offers to provide services = may be made.=20 (Amended 1/04)

        • Standard of Practice 16-4
            REALTORS=AE shall not solicit a listing which is = currently=20 listed exclusively with another broker. However, if the = listing=20 broker, when asked by the REALTOR=AE, = refuses to=20 disclose the expiration date and nature of such listing; = i.e., an=20 exclusive right to sell, an exclusive agency, open = listing, or=20 other form of contractual agreement between the listing = broker and=20 the client, the REALTOR=AE may = contact the=20 owner to secure such information and may discuss the terms = upon=20 which the REALTOR=AE might = take a future=20 listing or, alternatively, may take a listing to become = effective=20 upon expiration of any existing exclusive listing. = (Amended 1/94)=20

        • Standard of Practice 16-5
            REALTORS=AE shall not solicit buyer/tenant agreements = from=20 buyers/ tenants who are subject to exclusive buyer/tenant=20 agreements. However, if asked by a = REALTOR=AE, the = broker refuses=20 to disclose the expiration date of the exclusive = buyer/tenant=20 agreement, the REALTOR=AE may = contact the=20 buyer/tenant to secure such information and may discuss = the terms=20 upon which the REALTOR=AE might = enter into a=20 future buyer/tenant agreement or, alternatively, may enter = into a=20 buyer/tenant agreement to become effective upon the = expiration of=20 any existing exclusive buyer/tenant agreement. (Adopted = 1/94,=20 Amended 1/98)

        • Standard of Practice 16-6
            When REALTORS=AE are = contacted by=20 the client of another REALTOR=AE = regarding the=20 creation of an exclusive relationship to provide the same = type of=20 service, and REALTORS=AE have = not directly=20 or indirectly initiated such discussions, they may discuss = the=20 terms upon which they might enter into a future agreement = or,=20 alternatively, may enter into an agreement which becomes = effective=20 upon expiration of any existing exclusive agreement. = (Amended=20 1/98)

        • Standard of Practice 16-7
            The fact that a prospect has retained a REALTOR=AE as an = exclusive representative or exclusive broker in one or = more past=20 transactions does not preclude other REALTORS=AE from = seeking such=20 prospect=92s future business. (Amended = 1/04)

        • Standard of Practice 16-8
            The fact that an exclusive agreement has been entered = into=20 with a REALTOR=AE shall not preclude or inhibit any other = REALTOR=AE=20 from entering into a similar agreement after the = expiration of the=20 prior agreement. (Amended 1/98)

        • Standard of Practice 16-9
            REALTORS=AE, prior to entering into a representation = agreement,=20 have an affirmative obligation to make reasonable efforts = to=20 determine whether the prospect is subject to a current, = valid=20 exclusive agreement to provide the same type of real = estate=20 service. (Amended 1/04)

        • Standard of Practice 16-10
            REALTORS=AE, acting as buyer or tenant representatives = or=20 brokers, shall disclose that relationship to the = seller/landlord=92s=20 representative or broker at first contact and shall = provide=20 written confirmation of that disclosure to the = seller/landlord=92s=20 representative or broker not later than execution of a = purchase=20 agreement or lease. (Amended 1/04)

        • Standard of Practice 16-11
            On unlisted property, REALTORS=AE acting as buyer/tenant = representatives or brokers shall disclose that = relationship to the=20 seller/landlord at first contact for that buyer/tenant and = shall=20 provide written confirmation of such disclosure to the=20 seller/landlord not later than execution of any purchase = or lease=20 agreement. (Amended 1/04)

            REALTORS=AE shall make any request for = anticipated=20 compensation from the seller/ landlord at first contact. = (Amended=20 1/98)

        • Standard of Practice 16-12
            REALTORS=AE, acting as representatives or brokers of=20 sellers/landlords or as subagents of listing brokers, = shall=20 disclose that relationship to buyers/tenants as soon as=20 practicable and shall provide written confirmation of such = disclosure to buyers/tenants not later than execution of = any=20 purchase or lease agreement. (Amended = 1/04)

        • Standard of Practice 16-13
            All dealings concerning property exclusively listed, or = with=20 buyer/tenants who are subject to an exclusive agreement = shall be=20 carried on with the client=92s representative or broker, = and not=20 with the client, except with the consent of the client=92s = representative or broker or except where such dealings are = initiated by the client.

            Before=20 providing substantive services (such as writing a purchase = offer=20 or presenting a CMA) to prospects, REALTORS=AE shall ask = prospects=20 whether they are a party to any exclusive representation=20 agreement. REALTORS=AE shall not knowingly provide = substantive=20 services concerning a prospective transaction to prospects = who are=20 parties to exclusive representation agreements, except = with the=20 consent of the prospects=92 exclusive representatives or = at the=20 direction of prospects. (Adopted 1/93, Amended=20 1/04)

        • Standard of Practice 16-14
            REALTORS=AE are free to enter into contractual = relationships or=20 to negotiate with sellers/ landlords, buyers/tenants or = others who=20 are not subject to an exclusive agreement but shall not = knowingly=20 obligate them to pay more than one commission except with = their=20 informed consent. (Amended 1/98)