NYMLS – Rules and Procedures – Ver.2019L 7-25-19 (002)

NEW YORK MLS



Rules and Procedures

Version 2019L




Section

Table of Contents


  1. Definitions 1

    1. Preliminary Definitions 1

      1. “Board of Managers” or “Managers” 1

      2. “MLS Policies” 1

      3. “MLS Rules” or “Rules” or “MLS Rules & Procedures” 1

      4. “Multiple Listing Service”, “MLS”, or “the Service” 1

    2. General Definitions 1

      1. “Cooperating Broker” 1

      2. "Exclusive Listing" 1

      3. “Listing Agreement” or “Listing” 1

      4. “Listing Participant” or "Listing Agent" 1

      5. “Local Realtor® Boards” 1

      6. “MLS Member” or “our Members” 1

      7. “MLS Compilation” 2

      8. “Office Exclusive Listing” 2

      9. “Office Exclusive Seller Disclosure” 2

      10. “Other Identifying Information” 2

      11. “Other Information” 2

      12. “Participant” 2

      13. “Property” 2

      14. "Selling Agent" 2

      15. “Subscriber” 2

      16. “Verifiable Electronic Communication” 3

    3. Status Definitions 3

      1. “Active” 3

      2. “Canceled” 3

      3. “Expired” 3

      4. “Pending” 3

      5. “Rented” 3

      6. “Sold” 3

      7. “Temporarily Off the Market” or “TOM” 3

      8. “Withdrawn” 3

  2. Participants & Subscribers 4

    1. Purpose of these Rules 4

    2. MLS Service Area 4

    3. Requirements for Participants to Join 4

    4. Requirements for Subscribers to Join 6

    5. Application to Join the MLS 6

      1. Application Form 6

      2. Required Orientation Program 7

      3. Correspondence of Licenses 7

      4. Former Participant/Subscriber 7

    6. Administrative Users 7

    7. Additional Offices 7

    8. Resignation of a Participant 8

    9. Death of a Participant 8

    10. Suspension or Expulsion from the MLS 8

    11. Reinstatement 9

  3. Administration of Listings 11

    1. Permitted Types of Listings 11

    2. Mandatory Entry of Listings 11

    3. Mandatory Submission of Listing Agreements to the MLS 11

      1. MLS Listing Agreements 11

      2. Office Exclusive Listings 11

    4. Listing Separate Properties 11

    5. Property Classes 11

      1. Single Property Class 11

      2. Businesses 12

    6. Accurate Listing Information 12

      1. Substantially Complete and Accurate 12

      2. Participant/Subscriber Contact Information 12

      3. Proper Use of Data Fields 12

      4. Correct Zip Code 13

      5. Exclusive Agency Listings 13

      6. Buyer Exclusions 13

      7. Disclosure of Contingencies 13

      8. Disclosure of the Owner’s True Name 13

      9. Disclosure of Participant/Subscriber’s Ownership Interest 14

    7. Accurate Images and Attachments 14

    8. Manipulation of Listing Data is Prohibited 14

    9. Photograph Required 14

    10. Listing Contract Changes and Modifications 15

      1. Automatic Expiration of Listings 15

      2. Extensions 15

      3. Listing Contract Changes 15

      4. Submission of Contractual Changes 15

      5. Changes that Must Be Signed by the Participant 15

      6. Original Listing Date Retained 15

    11. Reporting of Closings and Status Changes 16

    12. Disclosure of Potential Short Sales 16

    13. Disclosure of Auction Listings 17

    14. Contract Vendee Listings 17

    15. Auction Terms of Sale Listings 18

    16. Office Exclusive Listings 18

    17. Co-Exclusive Agents 19

    18. Improper Solicitation of Listings 19

    19. Refusal of Unacceptable Listings 19

    20. Participant Shall Hold MLS Harmless from Inaccuracies 20

  4. Showings, Offers and Negotiations 21

    1. Delegation of Obligations 21

    2. Fair Dealing with Cooperating Participants 21

    3. Showing Requests and Offers Shall be Made Through the Listing Broker 21

      1. Standard Procedure 21

      2. Exceptions 21

      3. When the Principal Permits Direct Negotiation 21

    4. Access to Listings for Showings 22

      1. Participants Must Cooperate with Showings 22

      2. Property Must Be Available to be Shown within 24 Hours of Listing 22

      3. Temporarily Off the Market 22

      4. Immediate Arrangement of Showings 22

      5. Owner’s Instructions Must Be in Writing 22

      6. Disclosure of Status and Existing Offers 22

    5. Presentation of Offers 23

      1. Submit All Offers Until Closing 23

      2. Submission of Offers – Buyer/Tenant Representation 23

      3. Immediate Notification to Seller/Lessor when an Offer is Received 23

      4. Cooperating Broker’s Right to Present Offers 23

      5. Listing Broker’s Right to Present Counteroffers 23

      6. When a Participant/Subscriber is the Purchaser 24

    6. Cooperating Broker/Subscriber’s Right to Confirm the Presentation of Offers

      Offer Acknowledgment Form 24

    7. Listing Participant Not Available to Present an Offer to the Owner 25

    8. Listing Participant Seems Slow in Presenting Offer to Owner 26

    9. Reporting of Canceled Acceptable Offers and Contracts 26

  5. Compensation 27

    1. MLS Does Not Control Compensation 27

    2. Listing Broker Determines the Amount of Compensation Offered 27

    3. Listing Broker Determines How Compensation may be Shared 27

    4. Permissible Forms of Offered Compensation 27

    5. Blanket Unilateral Offer of Compensation 27

    6. No Publication of Listing Broker’s Commission Share 28

    7. Collection and Dispersal of Commissions 28

  6. Advertising and Use of MLS Information 29

    1. For Sale & Sold Signs 29

    2. Ownership of MLS Compilations and Copyrights 29

    3. Participant’s Warranty 31

    4. Confidential Nature of MLS Listing Information 31

    5. Reproductions of MLS Compilations 31

    6. Distribution of Listings to Non-Participants 32

    7. Display of MLS Compilations 32

    8. Limitations on the Use of MLS Information in Advertising 32

    9. Prohibition Against Participant Releasing Statistical Data to the Media 33

    10. Participants Responsible For Misuse of Compilations 33

    11. Complaints for Unauthorized Use of Listing Content 34

    12. Prohibition Against the Unauthorized Use of Other Participant’s Data 34

      1. Incorporation of Article 12 of the NAR Code of Ethics 34

      2. Prohibition Against Use of Another Participant’s Photographs 35

    13. Changing Another Participant’s Data is Prohibited 35

  7. Internet Data Exchange (IDX) 36

  8. Virtual Office Websites (VOW) 41

  9. Rules Enforcement 48

    901 Automatic Fines for Certain Violations 48

    902 Violations of the MLS Rules 48

    903 Probation 49

    904 Arbitration of Monetary Disputes 49

    905 Complaints of Unethical Conduct 50

  10. Miscellaneous Provisions 51

    1001 Amendments to these MLS Rules & Procedures 51

    1002 Headings 51

    1003 Days 51

  11. Automatic Fines 52

1101 Base Fines 52

1102 Referral to the MLS Rules Enforcement Committee for a Hearing 52

1102.1 Five or More Automatic Fines 52

1102.2 Failure to Make Timely Corrections 52

1103 Schedule of Automatic Fines 53


  1. Preliminary Definitions

    Section 1

    Definitions

    1. “Board of Managers” or “Managers” means the MLS Board of Managers.


    2. “MLS Policies” means the Policies of the MLS as determined and construed from time to time by the Board of Managers.


    3. “MLS Rules” or “Rules” or “MLS Rules & Procedures” means the Rules and Procedures of the MLS as set forth herein and as construed from time to time by the Board of Managers.


    4. “Multiple Listing Service”, “MLS”, or “the Service” means the New York MLS, LLC.


  2. General Definitions

    1. “Cooperating Broker” means any MLS Member seeking to cooperate with a Listing Broker.


    2. "Exclusive Listing" means an Exclusive Right To Sell, or an Exclusive Right To Lease, or an Exclusive Agency Listing (as those terms are defined by the New York State Department of State, Divisionof Licensing Service) entered into between a Participant and a Property owner, as the term “Property” is defined herein.


    3. “Listing Agreement” or “Listing” means all Listing Agreements, except for Office Exclusive Listing Agreements.


    4. “Listing Participant” or "Listing Agent" means the MLS Participant or Subscriber to the MLS who has a written exclusive agreement with a property owner appointing the MLS Participant or Subscriber as the exclusive agent of the owner to sell or rent property.


    5. “Local Realtor® Boards” are the following boards whose members are associated with this MLS:

      Hudson Gateway Association of Realtors®, Inc. (or HGAR); and Long Island Board of Realtors® (or LIBOR).


    6. “MLS Member” or “our Members” refers to any or all of our Participants or Subscribers.

    7. “MLS Compilation” shall be construed to include any format in which property listing data is collected and disseminated to the Participants, and Subscribers, including but not limited to bound book, loose-leaf binder, computer database, card file, or any other format whatsoever.


    8. “Office Exclusive Listing” means an Exclusive Listing that is not entered into the MLS database per the informed consent and instructions of the seller.


    9. “Office Exclusive Seller Disclosure” means the MLS disclosure form that must be signed by all of the sellers of a Property in order for a Participant to accept an Office Exclusive Listing.


    10. “Other Identifying Information” includes information of any kind or nature, without limitation as to its form or medium, which identifies a Participant, Subscriber, Listing Agent, or any other person or entity (except where specifically provided otherwise herein), or which is a link to any webpage, socialmedia page, social media post, video, or any other source external to the MLSthat conveyssuch Other Identifying Information. Thisshallinclude, but not be limited, to names, initials, phone numbers, email addresses, website addresses, webpages, social media tags, logos, caricatures, and “Other Information” (as defined below).


    11. “Other Information” means any kind of informationordata, in any form, and presented in any type of media, which may be displayed, attached, referenced, linked to, or otherwise conveyed, including, but not limited, to documents, text, pieces of text, photographs, images, videos, graphics, memes, icons, animated icons, drawings, 3-D renderings, virtual tours or demonstrations, and digital audio or video files.


    12. “Participant” is defined in Rule 202 hereof.


    13. “Property” means any and all real property or any interest therein for sale, lease, rent or exchange, including, but not limited to residential, commercial, industrial, land, and multi-family dwellings, and real or personal property or any interest therein that comprises cooperative and condominium properties, and businesses. (NAR MANDATORY 1)


    14. "Selling Agent" is an MLS Member who brings about (or seeks to bring about) a "meeting of the minds" between a property owner and a purchaser while acting as a seller’s agent, broker's agent or buyer's agent.


    15. “Subscriber” means all licensed non-Participant users of the MLS.

    16. “Verifiable Electronic Communication” means an email message, text message, facsimile (fax) transmission, or any other form of electronic communicationthatoriginatesinwrittenformandautomaticallyproduces a written record as to when, from whom, and to whom it was transmitted.


  3. Status Definitions

    1. “Active” listings are those whichare available forshowingsandforpurchase or rental.


    2. “Canceled” means that a Listing has been canceled with no future Obligation Date. This is the same as an unconditional release. This is not an Active Status.


    3. “Expired” means that the Listing Agreement Expiration Date has passed, or if the Listing had been Withdrawn, it means that the Obligation Date has passed. This is not an Active Status.


    4. “Pending” means that a purchase or lease agreement, with or without contingencies, has been fully-executed for that Listing. This also applies to short sales. This is not an Active Status.


    5. “Rented” meansaleasehasbeenfully-executedwithnocontingencies. This is not an Active Status.


    6. “Sold” means title has actually passed. This is not an Active Status.


    7. “Temporarily Offthe Market” or “TOM” means that a Listing cannotbeshown for three (3) or more days. This is not an Active Status.


    8. “Withdrawn” means that a Listing has been withdrawn (or is no longer Active) but it has a future Obligation Date. The Obligation Date must be on or before the Listing Expiration Date. The Expiration Date may first be Extended in order to enter an Obligation Date that is later than the original Expiration Date. Once a Listing is Withdrawn, the Listing status automatically shall be changed by the MLS to “Expired” once the Obligation Date passes. This is not an Active Status.

Section 2

Participants & Subscribers

  1. Purpose of these Rules

    This MLS is a service by which its Participants share their Listing data and establish legalrelationshipswithother Participants bymakingblanket unilateralcontractual offers of compensation and cooperation.


    The MLSaccumulatesour Members’ Listingdata, andprovidesvariousdata-sharing systems for our Members to use for analysis, marketing, cooperation, and other business purposes. Clients and the general public receive limited forms of access to this data to facilitate consumer Property searches and research.


    Our goals are to facilitate cooperation among our Members, and to provide a convenient real estate data-sharing system, with complete, accurate and up-to- date data.


    These Rules help ensure the integrity of our listing data, and providea levelplaying field for our Participants and the consumers with whom they do business.


  2. MLS Service Area. The Board of Managers shall, from time to time, designate the MLS Service Area under these Rules. As of the date of these Rules and Procedures, the MLS Service Area consists of the following:

    Counties in New York State: Kings (Brooklyn), Nassau, New York (Manhattan), Orange, Putnam, Queens, Rockland, Suffolk, Sullivan, and Westchester.


  3. Requirements for Participants to Join

    1. To beeligible to participate in the MLSas a “Participant,” an individualmust meet all of the following requirements:

      1. The individual must be:

        1. a principal, or

        2. a partner or limited liability company member, or

        3. a corporate officer or branch office manager acting on behalf of a principal; and

      2. The individual, or the business entity for whom the individual acts has signed a written agreement to abide by the Rules and Procedures of the MLS in force at that time and as it may be amended from time to time, and pays all applicable MLS fees; and

      3. The individual, or the business entity for whom the individual acts:

        1. is a REALTOR of any Board and holds a valid state-issued Real Estate Broker's license, and agrees to offer or accept

          compensation to and from other Participants in the capacity of a Real Estate Broker (hereinafter a “Broker Participant”); OR

        2. is certified by an appropriate state regulatory agency to engageintheappraisalofrealproperty(hereinafteran“Appraiser Participant”). (NAR MANDATORY 1.12)


    2. The requirement that an individual or firm “offers or accepts cooperation and compensation” means that the Participant actively endeavors during the operation of its real estate business to list real property of the type listed on the MLS and/ortoacceptoffersofcooperationandcompensation made by listing brokers or agents in the MLS. “Actively” means on a continual and on-going basis during the operation of the Participant's real estatebusiness. The“actively” requirementisnotintendedtopreclude MLS participation by a Participant or potential Participant that operates a real estate business on a part time, seasonal, or similarly time-limited basis or that hasitsbusinessinterruptedbyperiodsofrelativeinactivityoccasioned by market conditions. Similarly, the requirement is not intended to deny MLS participation to a Participant or potential Participant who has not achievedaminimumnumberoftransactionsdespitegoodfaithefforts. Nor is it intended to permit an MLS to deny participation based on the level of service provided by the Participant or potential Participant as long as the level of service satisfies state law. (NAR MANDATORY 1.12)


      The key is that the Participant or potential Participant actively endeavors to make or accept offers of cooperation and compensation with respect to properties of the type that are listed on the MLS in which participation is sought. This requirement does not permit an MLS to deny participation to a Participant or potential Participant that operates a Virtual Office Website (“VOW”) (including a VOW that the Participant uses to refer customers to other Participants) if the Participant or potential Participant actively endeavors to make or accept offers of cooperation and compensation. An MLS may evaluate whether a Participant or potential Participant “actively endeavors during the operation of its real estate business” to “offer or accept cooperation and compensation” only if the MLS has a reasonable basis to believe that the Participant or potential Participant is in fact not doing so. The membership requirement shall be applied on a nondiscriminatory manner to all Participants and potential Participants. (NAR MANDATORY 1.12)


    3. Use of information developed by or published by a Board Multiple Listing Service is strictly limited to the activities authorized under a Participant’s licensure(s) or certification and unauthorized uses are prohibited. Further,

      none of the foregoing is intended to convey “participation” or “membership” or any right of access to information developed by or published by a Board Multiple Listing Service where access to such information is prohibited by law. (NAR MANDATORY 1.12)


    4. No MLS Participant, Subscriber or licensee affiliated with any participant shall, through the name of their firm, their URLs, their e-mail addresses, their website addresses, or in any other way represent, suggest, or imply that the individual or firm is an MLS, or that they operate an MLS. Participants, subscribers and licensees affiliated with participants shall not represent, suggest, or imply that consumers or others have direct access to MLS databases, or that consumers or others are able to search MLS databases available only to participants and subscribers. This does not prohibit participants and subscribers from representing that any information they are authorized under MLS Rules to provide to clients or customers is available on their websites or otherwise.


  4. Requirements for Subscribers to Join. A “Subscriber” is an individual who meets and continues to meet all of the following requirements:

    1. The individual must be employed by or affiliated as an independent contractor with a Participant; and

    2. The individual has signed a written agreement (or acknowledged their agreement) to abide by the Rules and Procedures of the MLS in force at that time and as it may be amended from time to time, and pays all applicable MLS fees; and

    3. The individual:

      1. holds a valid state-issued Real Estate Broker's license, Associate Real Estate Broker's license, or a Real Estate Salesperson’s license, associated with a Broker Participant (hereinafter a “Real Estate Subscriber”); OR

      2. is certified by an appropriate state regulatory agency to engage in the appraisal of real property and is associated with an Appraiser Participant (hereinafter an “Appraiser Subscriber”).


  5. Application to Join the MLS

    1. Application Form. Each applicant to become a Participant in the MLS shall file an application on forms prescribed by the Board of Managers and to be accompanied by such initial service fees as may be set by the Board of Managers.

    2. Required Orientation Program. All Participants must complete a required orientation program concerning the MLS Rules within ninety (90) days after access has been provided. The orientation programshall consist of no more than eight (8) hours. Failure to complete the required orientation program shall result in termination of all MLS privileges unless extensions have been granted by the MLS. (NAR MANDATORY 17)


    3. Correspondenceof Licenses. A Participant with both a real estate broker and appraisers licence must join as a Broker Participant in order to be a Listing Broker, Cooperating Broker, or Selling Broker, as provided herein. Subscribers must apply as a Real Estate Subscriber, unless their employing or affiliated Participant is an Appraiser Participant (in which case the Subscriber must apply as an Appraiser Subscriber).


    4. Former Participant/Subscriber. If the potential Participant is a former MLS Participant or Subscriber, all outstanding financial obligations to the MLS shall be paid in full.


  6. Administrative Users. “Administrative Users” are unlicensed individuals who are underthedirectsupervisionofan MLSParticipant, andperformonlyadministrative and clerical tasks. Each Participant shall provide the MLS with a list of all Administrative Usersemployedbyoraffiliatedasindependentcontractorswiththe Participant, and shall immediately notify the MLS of any changes, additions, or deletions from the list.


  7. Additional Offices

    1. In the event an Applicant or Participant has, or acquires, an interest as owner, partner, or stockholder, directly, or indirectly, in any other real estate brokerage, or in a real estate office, or in an office that meets the definition of a “Branch Office” per 19 NYCRR 175.20, within the MLS Service Area, operating under the same or any other name, the Applicant or Participantshallpay a separate initial feeforeachoffice, andberesponsible for the adherence by said real estate office to the Rules of MLS. All such real estate brokerage offices must participate in the Service in order for the Participant to remain a Participant. The Board of Managers may waive the requirements of this section if the nature of the office or geographic location would render the requirement inequitable.


    2. In the event a Participant has an additional office, which is not located within the MLS Service Area, and which takes an exclusive listing of property that is located within the MLS Service Area, said listing shall be submitted to the MLS (subject to the Rules concerning Office Exclusives).

  8. Resignation of a Participant

    1. A Participant may resign from the MLS, provided the Participant:

      1. is not at that time under suspension; and

      2. has paid in full any assessments or other monies due or accrued to the MLS up to the effective date of such resignation; and

      3. agrees to abide by these MLS Rules and Procedures pertaining to listings in the Participant's possession at the time of such resignation; and

      4. agreestodiscontinuetheuseordisplayingofanymaterialscontaining the logoorservicemark of MLS, including, butnotlimitedto, signs, posters, stationary, postcards, agreements, and other similar material, such as a website.


    2. When a Participant resigns from the MLS, the MLS is no longer obligated to provideservices, includingcontinuedinclusionoftheresigned Participant’s listings in the MLS compilation of current listing information. Prior to any removal of a resigned Participant’s listings from the MLS, the resigned Participant shall receive written notice from the MLS of the intended removal. Upon receipt of said notice, the resigned Participant shall advise such Participant's clients of such removal.


  9. Death of a Participant. Participation in the MLS may be transferred upon the death of a Participant. In the event of the death of a Participant, the Board of Managers shall set reasonable conditions enabling a replacement to become a Participant in the Service. Such conditions should be designed to allow the deceased Participant’s office to continue to receive listings during the time period necessary for the members of the family or partner of such deceased Participant to otherwise qualify for active participation in the MLS.


  10. Suspension or Expulsion from the MLS

    1. A Participant may be suspended or expelled from the MLS for violation of these Rules and Procedures only after a hearing conducted by the Board of Managers or the Rules Enforcement Committee, impaneled by the Board of Managers for that purpose. (NAR MANDATORY 1.14)


    2. A Participant may be suspended or expelled from the MLS by action of the Board of Managers upon failure to pay dues, fees, penalties, and/or assessments due the MLS. (NAR MANDATORY 1.14)


    3. Suspension of a Participant from MLS shall suspend Participant’s right to accessthe MLSsystem andtosubmitlistingsduringthesuspensionperiod, but the Participant shall otherwise be fully bound to perform all duties pursuant to the MLS Rules, and MLS Policies. (NAR MANDATORY 1.13)

    4. When a Participant of the service is suspended from the MLS for failing to abide by a membership duty (i.e., violation of the Code of Ethics, their applicable Realtor® Association Bylaws, MLS Policies, MLS Rules and Procedures, orany othermembershipobligation exceptforthefailuretopay appropriatedues, fees, orcharges), all listings currently filed with the MLS by the suspended participant shall, at the Participant’s option, be retained in the service until sold, withdrawn or expired, and shall not be renewed or extendedbythe MLSbeyondtheterminationdateofthelistingagreement in effect when the suspension became effective. If a Participant has been suspended from the association (except where MLS participation without association membership is permitted by law) or MLS (or both) for failure to pay appropriate dues, fees, or charges, an association MLS is not obligated to provide MLS services, including continued inclusion of the suspended Participant’s listings in the MLS compilation of current listing information. Prior to any removal of a suspended Participant’s listings from the MLS, the suspended Participant shallbe advised, in writing, of the intended removal so that the suspended Participant may advise his clients. (NAR MANDATORY 1.13)


    5. When a Participant is expelled from the MLS for failing to abide by a membership duty (i.e., violation of the Code of Ethics, association bylaws, MLS Policies, MLS Rules and Procedures, or other membership obligations except failure to pay appropriate dues, fees, or charges), all Listings currently filed with the MLS by the expelled Participant shall, at the Participant’s option, be retained in the service until sold, withdrawn, or expired, and shall not be renewed or extended by the MLS beyond the termination date of the Listing Agreement in effect when the expulsion became effective. If a Participant has been expelled from the association (except where MLS participation without association membership is permitted by law) or MLS (or both) for failure to pay appropriate dues, fees, or charges, an association MLS is not obligated to provide MLS services, including continued inclusion of the expelled Participant’s listings in the MLS Compilation of current listing information. Prior to any removal of an expelled Participant’s Listings from the MLS, the expelled Participant should be advised, in writing, of the intended removal so that the expelled Participant may advise his clients. (NAR MANDATORY 1.14)


  11. Reinstatement. A former Participant who was expelled for non-payment of fiscal obligations may be reinstated, subject to the requirements and provisions of Rule 202, and provided the Participant satisfies all outstanding financial obligations owed to the MLS. Upon reinstatement, the Participant will be entitled to all of the

    benefits of being a Participant of the MLS. The Fee for reinstatement is set forth in Section 11, hereof.


  12. Annual Participation Fee & Waivers

    1. The annual participation fee of each Participant shall be an amount equal to the amount set by the Board of Managers times each salesperson and licensed or certified appraiser who has access to and use of the service, whether licensed as a broker, sales licensee, or licensed or certified appraiser who is employed by or affiliated as an independent contractor with such participant. Payment of such fees shall be made on or before the first day of the fiscal year of the MLS. Fees shall be prorated on a monthly basis.


    2. Participants have the option, however, to receive a no-cost waiver of MLS fees, dues, and charges for any licensee or licensed or certified appraiser who can demonstrate they have a subscription to a different MLS or CIE where their principal broker Participates. The MLS shall require that Participant to sign a certification of Non-Use of its MLS services by such applicable licensees (called an “Application Form for Waiver of MLS Subscriber Fees”), which includes penalties and a waiver termination if the certification is violated. (NAR MANDATED 6)

Section 3

Administration of Listings

  1. Permitted Types of Listings. Only Exclusive Listings for Property shall be taken by Participants for dissemination through the Multiple Listing Service. Such Property may be located within or outside of the MLS Service Area. No provision of these Rules shall be construed to require any Participant to take only Exclusive Listings, and the type of listing agreement shall be freely negotiable between the Listing Participant and such person's principal. The terms “Exclusive Listings” and “Property” are defined in Section 1, hereof. (NAR MANDATORY 1)


  2. Mandatory Entry of Listings. Participants shall enter into the MLS database all Exclusive Listings of Property located within the MLS Service Area before midnight of the day after their Listing Date, or before midnight of such later date as set forth in the Listing Agreement. Participants shall have the option of inputting Exclusive Listings of Property located outside of the MLS Service Area, which were taken by the Participant’s main or branch offices. (NAR MANDATORY 1.12)


  3. Mandatory Submission of Listing Agreements to the MLS.

    1. MLS Listing Agreements. Listing Agreements that have been entered into the MLS database (per Rule 302) shall be submitted to the MLS before midnight of the day after they were entered.


    2. Office Exclusive Listings. Office Exclusive Listings shall be submitted to the MLS before midnight of the day after their Listing Date, along with a copy ofaduly-signed“Office Exclusive Seller Disclosure”(as definedherein)(NAR MANDATORY 1.12).


  4. Listing Separate Properties. All Properties which are sold separately must be listed separately. When part of a listed Property has been sold, the remainder of the Property shall be re-listed, and notice of such partial sale shall be given to the MLS.


  5. Property Classes

    1. Single Property Class. Properties may be listed using only a single property class, with only the following 2 exceptions:

      1. Residential Properties that are for sale as well as for rent; in which case:

        1. at the time that a contract for the sale or lease of the Property is executed, the Participant:

          1. must change the status of the operative Listing to “Pending” (in the case of a sale), or to “Rented” (in the case of a rental), and

          2. must change the status of the non-operative Listing

            to “Canceled”, and

        2. in the case of a closed sale, only the operative Listing may have a status of “Sold”, the non-operative Listing must remain “Canceled”;

          OR

      2. Residential Properties that are for sale and may also be sold as vacant land, or for potential subdivision, or as “to be built”; in which case:

        1. at the time that a contract for the sale of the Property is executed, the Participant:

          1. must change the status of the operative Listing to “Pending”, and

          2. must change the status of the non-operative Listing

            to “Canceled”, and

        2. in the case of a closed sale, only the operative Listing may have a status of “Sold”, the non-operative Listing must remain “Canceled”.


    2. Businesses. For the “business” property class, the following shall apply: the Listingmustdiscloseifthereisincluded, oroptionallyincluded, anyinterest in real estate; and if the Listing does not include an interest in real estate, then there shall be no address public record link.


  6. Accurate Listing Information

    1. Substantially Complete and Accurate. All Listings shall be substantially complete and accurate at the time the Listing is submitted to the person authorized to list the property for signature, and at the time it is entered and submitted to the MLS. It must include the full gross listing price, a definite expiration date, and all information required by the MLS. (NAR MANDATORY 1.6, 1.7, 1.11)


    2. Participant/Subscriber Contact Information. All Listings shall include the name, active phone number, and active email address of the Participant(s) and Subscriber(s) responsible for the Listing, and that contact information shall be reflected solely in those fields specifically designated by the MLS for such purpose.


    3. Proper Use of Data Fields. Data fields may only contain information which pertains to that particular data field. For example: “Floor Plans” may only contain rooms or appliances on each floor, the “Section/Area” is for the neighborhood where the Property is located, the “Handicap Description”

      shall only describe features which make the property handicap accessible, etc.

      1. Participants and Subscribers shall not insert any contact or “Other Identifying Information” (as defined herein) in any field not specifically designated by the MLS for such information.

      2. The “Public Remarks” field is for describing the physical characteristics of the listed Property, its location, and any lawful seller’s instructions concerning a proposed transaction. It may not contain contact or Other Identifying Information of any person or entity related to any proposed transaction, status information, showing instructions, offer procedures, property addresses, open houses, referencesto broker compensation, or any other notation intended for agents. Any improper informationinthe Public Remarksfieldwill result in the entire field being deleted, and the imposition of a fine as set forth in Section 11.


    4. Correct Zip Code. A Property must be listed in the correct zip code of the legal address and may only be listed one time per class of property.


    5. Exclusive Agency Listings. Exclusive Agency Listings shall be indicated by a notation in the appropriate data field.


    6. Buyer Exclusions. Listings which have buyer exclusions shall be indicated in the appropriate data field.


    7. Disclosure of Contingencies. In order to put all Participants on notice, any contingency or conditions of any term applicable to a listing shall be disclosed in the applicable field when the listing is entered in the MLS database, or immediately upon it becoming reasonably apparent.


    8. Disclosure of the Owner’s True Name. No listing may be submitted to the MLS for publication without revealing the true name of the Owner of the property offered.

      1. In the event the Owner directs the listing agent to withhold his or her name, the Listing Agent may insert the words “Name Withheld” in the listing data form in lieu of the Owner’s true name.

      2. The listing shall be published by the MLS only if:

        1. the Listing Agreement specifically instructs the Listing Agent to insert “Name Withheld”, or

        2. a separate written communication is submitted to the MLS, together with the Listing Agreement, directing the Listing Agent to use “Name Withheld” in lieu of the Owner’s name.

      3. In allcasesthe Listing Agreement, Office Exclusive Listing Agreement, Office Exclusive Seller Disclosure, or the supplemental writing submitted to the MLS, shall include the Owner’s actual signature.


    9. Disclosure of Participant/Subscriber’s Ownership Interest

      If a Participant or Subscriber, or any licensee (or licensed or certified appraiser) affiliated with a Participant, has any ownership interest in a Property, the listing of which is to be disseminated through the MLS, such ownership shall be disclosed by a notation in the appropriate field in the MLS system. (NAR MANDATORY 5.1)


  7. Accurate Images and Attachments

    1. Allimages, documentsand Other Informationthatareattachedtoa Listing, including by link or reference, or which are otherwise submitted for publication in the MLS Compilation, or in any other media, electronic or otherwise, must accurately reflect only information or descriptions of the listed Property, and must not include any contact or Other Identifying Information.


    2. Photographs and images shall not be manipulated in any way so as to obscure in whole or in part the MLS logo, any MLS copyright notice or symbol, or any other MLS identifying information of any kind.


  8. Manipulation of Listing Data is Prohibited

    1. Participants shall not manipulate Listing data or enter or alter Listing data in such a manner so as to prevent a proper history from attaching to the Listing.


    2. In orderto maintain consistency in the appearanceof all Listings in the MLS Compilation, no Participant may use computer programming or other techniques, including HTML programming, scripting, special fonts, bold or colored text, or other special graphic elements, to be displayed or to affect the display of any information in the MLS Compilation, or to be otherwise reflected in the MLS database.


  9. Photograph Required

    1. All listings, except for businesses for sale or rent, must include at least one front, exterior photograph of the Property, which must be attached to the listing within 24 hours of the listing being entered into the MLS System.


    2. Principals who do not want any photographs published on their listing mustindicatethat instructioninwriting, andthelistingagentor Participant

      must submit that written instruction to the MLS within 24 hours of the listing being entered into the System.


    3. One front, exteriorphotograph of the Property is requiredregardless of the listing status (Active, Temporarily Off the Market, Sold, Canceled, Withdrawn, Expired, etc).


    4. Upon closing, the primary (first) photograph must be the exterior front of the Property.


  10. Listing Contract Changes and Modifications

    1. Automatic Expiration of Listings. Listings filed with the MLS will be automaticallyremovedfromthe MLSCompilationofcurrentlistingsonthe expiration date specified in the agreement, unless prior to that date the MLS receives notice that the listing has been extended or renewed. The Expiration Date (and Extended Expiration Dates) of all Listings shall be published in the MLS database.


    2. Extensions. If noticeof Extension(orrenewal) isreceivedafterthelistinghas been removed from the MLS Compilation of current listings, the Extension (or renewal) will be published in the same manner as a new listing.


    3. Listing Contract Changes.

      All price changes, extensions, renewals, compensation changes, withdrawals, or cancellations of any listing contract must:

      1. be in writing and signed by the Listing Participant’s principal,

      2. identify the Property, and

      3. be entered into the MLS database within 24 hours after its effective date. (NAR MANDATORY 1.4, 1.5, 1.10, 2.5)


    4. Submission of Contractual Changes. A copy of the agreement setting forth any extension, withdrawal, or cancellation, must be submitted to the MLS before midnight of the day after all necessary signatures have been obtained.


    5. Changes that Must Be Signed by the Participant. Any withdrawal, cancellation, or reduction in the term of a Listing, must be in writing and signed by the Participant or an authorized designee.


    6. Original Listing Date Retained. If listing information is changed or if the Propertyisre-listedbythesamelistingbrokerbeforetheoriginalexpiration

      or extended expiration date of the original listing, and the Property Class remains the same, then the listing shall retain its original listing date.


  11. Reporting of Closings and Status Changes

    1. The Listing Participant is responsible for the timely and accurate filing of salesandclosinginformationwiththe MLS.(NAR MANDATORY 2.5, NOTE2)


    2. A status change to “Pending” must be entered into the MLS database within 24 hours of the contract being signed by all parties.


    3. A status change to “Closed” must be entered into the MLS database within 24 hours of the closing.


    4. The Listing Participant shall include the purchaser’s name in the closing data, unless the Cooperating Participant has provided the Listing Participant with written and signed instructions from the purchaser to the contrary.


    5. Cancellations of contracts shall be reported by the Cooperating Participant to the Listing Participant immediately. The Listing Participant shall enter the cancellation into the data base within 24 hours. (NAR MANDATORY 2.7)


  12. Disclosure of Potential Short Sales

    1. Participants must disclose potential short sales (defined as a transaction where title transfers, where the sale price is insufficient to pay the total of all liens and costs of sale and where the seller does not bring sufficient liquid assets to the closingto cure all deficiencies) when reasonably known to the Listing Participants. (NAR MANDATORY 5.0.1, OPTION 2)


    2. When disclosed, Participants may, at their discretion, advise other Participants whether and how any reduction in the gross commission established in the listing contract, required by the lender as a condition of approving the sale, will be apportioned between Listing and Cooperating Participants. (NAR MANDATORY 5.0.1 OPTION 2)


    3. Where Participants communicate to other Participants how any reduction in the gross commission established in the listing contract required by the lender as a condition of approving the sale will be apportioned between the Listing and Cooperating Participants, Listing Participants shall disclose to Cooperating Participants in writing the total reduction in the gross commission and the amount by which the compensation payable to the

      Cooperating Broker will be reduced within 24 hours of receipt of notification from the lender. (NAR MANDATORY 5.0.1 OPTION 2)


  13. Disclosure of Auction Listings

    1. Only auction listings which comply with these Rules, including, but not limitedtothedefinitionsand Rulesconcerning Withdrawals, Cancellations, and the Disclosure of Contingencies, may be submitted to the MLS.


    2. Auction listings entered into the MLS database shall have Listing Agreements as required under these Rules, and be clearly labeled as auction listings, and provide all the terms and conditions of the auction.


    3. Auction listings shall further specify the following, none of which shall appear in a listing’s Public Remarks:

      1. The list price, which shall be seller’s minimum acceptable bid price;

      2. Whether the auction is being conducted with or without the seller’s right of reservation;

      3. The date, time and place of the auction;

      4. All required procedures for Participants/Subscribers to register their representation of a potential bidder;

      5. The amount of the buyer’s premium, if any;

      6. The time or manner in which potential bidders may inspect the listed property;

      7. Whether or not the seller will accept a purchase offer prior to the scheduled auction; and

      8. Any other material rules or procedures for the auction.


  14. Contract Vendee Listings

    1. The MLS will accept Contract Vendee Listings (i.e., Listings of Properties in which the “Contract Vendee” does not in fact own the Property, but rather, is in contract to purchase the Property) provided that the underlying purchase contract is unconditional, or has conditions which are disclosed in the Listing.


    2. In order for a Contract Vendee Listing to be disseminated by the MLS, the following requirements shall be complied with by the Listing Participant:

      1. The “Contract Vendee” for the Property must have an unconditional contract signed by the current owner authorizing the marketing of the Property for resale by the Contract Vendee.

      2. The “Owner’s Name” shall be entered in the MLS database and shall be designated as being a “Contract Vendee”.

    3. In the event a Property has been entered into the MLS database on behalf of the owner and it is the subject of an unconditional contract, and the purchaser identified in said contract (or any person or entity acting under the authority of said purchaser) wishes to list the Property as a Contract Vendee with a Listing Participant, then the status of the original owner’s Listing must be changed to “Pending”. This will ensure that the same Property is not offered on behalf of the owner and the Contract Vendee through the MLS at the same time.


  15. Auction Terms of Sale Listings

    1. The MLS will accept “Auction Terms of Sale” listings (i.e., Listings of Properties in which the winning bidder at a foreclosure auction has received the Terms of Sale issued by the court, which gives that bidder the right and obligation to buy that Property at the bid price). This means the winning bidder does not in fact own the Property, but rather, has a legal right to purchase the Property pursuant to law and the court-issued Terms of Sale from the auction.


    2. In order for an Auction Terms of Sale Listing to be disseminated by the MLS, the following requirements shall be complied with by the Listing Participant:

      1. The winning bidder for the Property must have received court- issued Terms of Sale for the Property.

      2. The “Owner’s Name” shall be entered in the MLS database and shall be designated as an owner pursuant to “Auction Terms of Sale”.


    3. In the event a Property has been entered into the MLS database on behalf of the owner and it is the subject of a sale at a court-ordered auction, but title has not yet been transferred to the winning bidder who wishes to list the Property as an “Auction Terms of Sale” Listing with a Listing Participant, then the status of the original owner’s Listing must be changed to “Canceled”. This will ensure that the same Property is not offered on behalf of the original owner and the winning bidder through the MLS at the same time.


  16. Office Exclusive Listings

    1. A Participant may accept a listing which provides for an Exclusive Right to Sell or Exclusive Agency with the Participant’s office, provided the Participant or a salesperson in the Participant’s office has informed the homeowner about the benefits of the MLS, and the homeowner acknowledges same in writing. The Participant will then submit a copy of the “Office Exclusive” to the Service pursuant to Rule 303.2 with a copy of

      the owner’s acknowledgment as prescribed by the Board of Managers (the “Office Exclusive Seller Disclosure” asdefinedherein). Officeexclusivesshall remain on file with the Service as confidential material and the details shall not be disclosed to any third party. (NAR MANDATORY 1.3)


    2. Any exclusive listing taken by a Participant which is not submitted to the MLS for distribution to other Participants must still be recorded with the Service in accordance with Rule 303. (NAR MANDATORY 1.3)


    3. Office Exclusives may be converted to MLS Listings only when they are Active (i.e., they are available to be shown and purchased). They cannot be converted from an Inactive Status (for example, Pending or Closed).


  17. Co-Exclusive Agents. In the event that two (2) Participants of the MLS are appointed as Co-Exclusive Agents by an Owner of Property, and unless the Owner specifically directs the manner of the handling of the data to be submitted to the MLS Office, the two Participants shall be required to submit the Co-Exclusive Listing Agreementrequiredby these Rules, oranaddendum developed by the Participant and approved by the MLS staff counsel, setting forth:

    1. whichof the Co-Exclusive Agents has been designatedasthe "Listing Input Agent" for the purpose of maintaining the listing while it is in the MLS database; and

    2. that the Co-Exclusive Agents have agreed that there will be mutual consultation and agreement before the "Listing Input Agent" makes any changes or modifications to the listing data submitted to the MLS; and

    3. that both Co-Exclusive Agents acknowledge that the MLS will be bound by the instructions of the Listing Input Agent until any dispute or disagreement is resolved through any appropriate forum, including by hearingofan Arbitrationor Ethics Panelof the appropriate Local REALTOR® Board, or the Rules Committee of the MLS.


  18. Improper Solicitation of Listings

    No multiple listing shall be solicited by any Participant other than the Listing Participant until after the expiration of the original listing, or as otherwise permitted by Article 16 of the NAR Code of Ethics, its Standard of Practice and its Case Interpretations. (NAR MANDATORY 4.3)


  19. Refusal of Unacceptable Listings

    1. The MLS reserves the right to refuse to accept any listing contract which fails to adequately protect the interests of the Public or the Participants. (NAR MANDATORY 1, NOTE 1)

    2. The MLS reserves the right to require a minimum standard amount of information to be submitted in order for any listing to appear in the MLS system and to amend or modify this requirement from time to time as directed by the Board of Managers. (NAR MANDATORY 1, NOTE 1)


    3. No listing agreementto be submitted to the Serviceshall containlanguage which directly or indirectly establishes, attempts to establish or indicates that a contractual relationship exists, or is intended to exist, between the MLS and the owner or owners of the property. (NAR MANDATORY 1, NOTE1)


    4. All listings to be submitted to the Service must contain a written authorization by the owner(s) of the property to appoint MLS Participants as Cooperating Brokers.


    5. Net listings are not legal in the State of New York and therefore are not acceptable.


    6. The property data form or section of all listings to be submitted to the Service, forinput by the Service, mustbeintheapprovedformat. All listings not in approved form will not be accepted by the MLS and will be returned to the Participant for correction and/or completion. Nonetheless, the MLS staff in its sole discretion may include such a technically incomplete or incorrect listing in the MLS database. (NAR MANDATORY 1, NOTE 1)


  20. Participant Shall Hold MLS Harmless from Inaccuracies. The information published and disseminated by the MLS is communicated verbatim, without change by the MLS, as filed with the MLS by the Participant and Subscribers. The MLS does not verify the information provided and disclaims any responsibility for its accuracy. Each Participant who submits listing content to the MLS agreestodefend and hold the MLSandeveryother Participantharmlessfromandagainstanyliabilityorclaim arising from any inaccuracy of the submitted listing content or any inadequacy of ownership, license, or title to the submitted listing content. Each Participant shall verify the information published by the MLS as provided by the Participant and its Subscribers, and shall promptly enter any required corrections into the MLS database. Responsibility for the accuracy of such information shall always remain solely with the Participant.

Section 4

Showings, Offers and Negotiations

  1. Delegationof Obligations. AParticipantmayelect to act either through his or herself orthroughanagent, employee, or independent contractor. Thus, unlessotherwise prohibited by law, a Participant may delegate their responsibilities under these Rules to any such agent, employee, or independent contractor. Any such delegation, however, shall in no way lessen the primary responsibility of the Participant to at all times act in accordance with these Rules.


  2. Fair Dealing with Cooperating Participants. It is the obligation of the Listing Participant to protect the rights and interest of the Participant’s client, but this obligation does not relieve the Listing Participant from the obligation to deal fairly with the Cooperating Participants and Subscribers.


  3. Showing Requests and Offers Shall be Made Through the Listing Broker

    1. Standard Procedure. Showing requests and the presentation of offers shall be made through the Listing Broker, in accordance with the Showing and Offer Presentation instructions set forth in the Listing.


    2. Exceptions. Arrangementswiththesellerfortheshowingof Listed Property, or for the presentation of offers, or for negotiations concerning a Listed Property, shall be conducted through the Listing Broker, except:

      1. when the Listing Broker gives the Cooperating Broker specific authority to negotiate directly (in which case Rule 403.3 shall further apply) (NAR MANDATORY 2), or

      2. when the Cooperating Broker after reasonable effort cannot contact the Listing Broker or his representative (per Rule 407) or is responding in a dilatory manner (per Rule 408), in which case a Rules Enforcement Facilitator may do so.


    3. When the Principal Permits Direct Negotiation. In the event the listing agreement authorizes the other Broker Participants and Real Estate Subscribers to negotiate directly with the Principal (seller/lessor), the following must be adhered to:

      1. The MLS database field “Negotiate Direct” must have been set to “YES”; and

      2. The Listing Broker is still obligated to be aware of and to disclose the existence ofanyacceptableofferstoother Cooperating Participants.

  4. Access to Listings for Showings

    1. Participants Must Cooperate with Showings. Participants are required to provide reasonable access to all Listings and to assist other Participants with the showing of their Listings.


    2. Property Must Be Available to be Shown within 24 Hours of Listing. Every listing taken by a Participant shall be available to be shown and purchased (or rented) within a twenty-four (24) hour period from the effective date of the Listing, unlessthe Participanthasreceivedwrittencontraryinstructions from the Owner. The MLS shall upon notice to the Participant cause any Listing that is in violation of this provision to be reflected as being “Temporarily Off Market” until it becomes available to be shown by the Listing Participant and all Cooperating Brokers.


    3. Temporarily Off the Market. If a Listing cannot be shown for three (3) or more days, its status must be changed to “Temporarily Off the Market” (otherwise known as “TOM”), which is not an “Active” status.


    4. Immediate Arrangement of Showings. The Listing Broker, or whomever responds to a showing request pursuant to the Showing Instructions set forth in the Listing, whether licensed or unlicensed, must be capable of immediately attempting to schedule a showing. Unless verifiable circumstances beyond the control of the Listing Broker are presented, “immediately” in this context shall mean within three (3) hours of receiving said request.


    5. Owner’s Instructions Must Be in Writing. Any instructions by an owner to the Listing Broker restricting showings or access to a Property must be in writing and signed by the owner, or be a Verifiable Electronic Communication. Such instructions must be on file with the Listing Broker and be accessible to anyone responding to showing requests for that Listing. The Listing Broker shall provide a copy of such instructions immediately upon the request of any Cooperating Broker.


    6. Disclosure of Status and Existing Offers. When contacted by a Cooperating Broker for the status of a property, the listing broker must provide accurate information regarding whether the property is availableforshowingornot. The Listing Brokershouldobtainwrittenpermissionfromthe owner before providing any information concerning the existence of any other offers, such as whether there is an acceptable offer, multiple offers, a half-signed contract, etc.

  5. Presentation of Offers

    1. Submit All Offers Until Closing. Unless agreed otherwise in writing between the Listing Broker and his principal, the Listing Broker shall submit all offers to his principal until closing. The Listing Broker shall recommend that the seller obtain advice of legal counsel prior to acceptance of any subsequent offer. (NAR MANDATORY 2.2)


    2. Submissionof Offers- Buyer/Tenant Representation. Participants representing buyers or tenants shall submit to the buyer or tenant all offers and counter-offers until acceptance, and shall recommend that buyers and tenants obtain legal advice where there is a question about whether a pre-existing contract has been terminated. (NAR MANDATORY 2.2)


    3. Immediate Notification to Seller/Lessor when an Offer is Received. Listing Broker, or anyone licensed in the Listing Broker’s office, must immediately advise the seller/lessor that an offer has been made and shall make timely arrangements for the offer(s) to be presented. (NAR MANDATORY 2.1) Unlessverifiablecircumstancesbeyondthecontrolofthe Listing Brokerare presented, “immediately” in this context shall mean within three (3) hours of receiving said request.


    4. Cooperating Broker’s Right to Present Offers. The Cooperating Broker or his/herrepresentativehastherighttoparticipateinthepresentationtothe seller or lessor of any offer he secures to purchase or lease, unless instructed otherwise by the seller in writing. However, the Cooperating Brokerdoes not have the righttobepresentatanydiscussionorevaluation of that offer by the seller or lessor and the Listing Broker. If the seller or lessor gives written instructions to the Listing Broker that the Cooperating Broker not be present when an offer the Cooperating Broker secured is presented, the Cooperating Broker has the right to a copy of the seller’s or lessor’s written instructions within 2 hours of request by Cooperating Brokerduringnormalbusinesshours. Noneoftheforegoingdiminishesthe listing broker’srightto controlthe establishment of appointments for such presentations. (NAR MANDATORY 2.3)


    5. Listing Broker’s Right to Present Counteroffers. The Listing Broker or his representative has the right to participate in the presentation of any counter-offer made by the seller or lessor. He does not have the right to be present at any discussion or evaluation of a counter-offer by the purchaser or lessee (exceptwhenthe Cooperating Brokeris a broker’sagent orseller’s agent). However, if the purchaser or lessee gives written instructions to the cooperating broker that the listing broker not be present when a counter-

      offer is presented to the purchaser, the listing broker has the rightto a copy of the purchaser’s or lessee’s written instructions. (NAR MANDATORY 2.4)


    6. Whena Participant/Subscriber isthe Purchaser. If a Participant or Subscriber, or any licensee (including licensed and certified appraisers) affiliated with a Participant, wishes to acquire an interest in Property listed with another Participant, suchcontemplatedinterestshallbedisclosed, inwriting, to the Listing Broker not later than the time an offer to purchase is submitted to the Listing Broker. (NAR MANDATED 5.2)


  6. Cooperating Broker/Subscriber’s Right to Confirm the Presentation of Offers

    Offer Acknowledgment Form

    1. Whenever a Cooperating Broker desires assurance that an offer procured by them has in fact been presented to the owner, said Cooperating Broker may complete an Offer Acknowledgment Form to be submitted to the homeowner and acknowledged by the homeowner by his signature, indicating that the offer has in fact been presented to and reviewed by the homeowner. Said “signature” may take the form of a Verifiable Electronic Communication.


    2. Said form (or Verifiable Electronic Communication) shall essentially set forth the terms and conditions of the offer, including but not limited to, price, financing, closing contingencies and any other terms which the Cooperating Broker deems essential.


    3. The Cooperating Broker shall submit said form (or Verifiable Electronic Communication) to the Listing Brokerwho shall deliver it to the owner. The Listing Broker shall ask the owner to sign it, and the Listing Broker shall return the signed form (or Verifiable Electronic Communication) to the Cooperating Broker.


    4. If the owner refuses or is unable to sign the Offer Acknowledgment Form (or to provide some other form of Verifiable Electronic Communication) the Listing Broker must provide to the Cooperating Broker a Sworn Declaration Statement stating the offer was presented to the owner. This Declaration Statement is a sworn statement signed by the Listing Broker or any licensee in that office. The Declaration Statement would then be returned tothe Cooperating Broker along with the Offer Acknowledgment Form.


    5. Either the signed Offer Acknowledgment Form or the Declaration Statementmustbereturnedto the Cooperating Brokerwithin 2 hoursafter

      the offer was presented to the seller. If the Offer Acknowledgment Form is submitted to the Listing Broker after the offer has been presented, the Listing Broker must return either the signed Offer Acknowledgment Form or the Declaration Statement to the Cooperating Broker within 24 hours.


    6. If said forms are not returned to the Cooperating Broker within the specifiedtime, the Cooperating Brokermaycontactany Rules Enforcement Facilitator for assistance.


    7. When requested, the listing office must provide the owner’s contact number to the Rules Enforcement Facilitator for verification purposes. If written seller instructions to the contrary exist, those instructions must be sent to the Rules Enforcement Facilitator within 1 hour of such request.


    8. Failure to providerequestedformstothe Rules Enforcement Facilitator will prompt an automatic fine by MLS as set forth in Section 11, hereof.


    9. The rules pertaining to Offer Acknowledgment Forms and the applicable Automatic Fines apply to all listings including short sales and REO properties.


  7. Listing Participant Not Available to Present an Offer to the Owner

    1. In the event a Cooperating Participant, after due diligence, cannot contact the Listing Participant or a licensed associate of the Listing Participant, and the Cooperating Participant has an offer to be presented, and the Listing Broker has not given permission for Broker Participants and Real Estate Subscribers to negotiate directly with the homeowner (see Rule 403.2), then the Cooperating Participant may contact any Rules Enforcement Facilitator for assistance.


    2. The Rules Enforcement Facilitator shall verify the unavailability of the Listing Participant or his licensed associate and then contact the seller to ascertain whether any other offers have been submitted and accepted. If there are none, the Rules Enforcement Facilitator must ascertain whether the homeowner is willing to have an offer submitted directly by the Cooperating Participant. If the owner agrees, the Rules Enforcement Facilitator shall inform the owner of the name and telephone number of the Cooperating Agent and Broker.

    3. The Listing Participant’s office must provide the owner’s contact number to any Rules Enforcement Facilitator upon request in order to determine property status and the owner’s willingness to have an offer presented by a Cooperating Broker.


  8. Listing Participant Seems Slow in Presenting Offer to Owner

    1. When the Cooperating Brokerbelieves that the Listing Broker is notmaking arrangementstopresentanofferasquicklyaspossible, and the Listing Broker hasnotgivenpermissionfor Broker Participants and Real Estate Subscribers tonegotiatedirectlywiththehomeowner(see Rule 403.2), the Cooperating Broker may contact any Rules Enforcement Facilitator and ask him or her to contact the Listing Broker to determine whether the Listing Broker is making arrangements to present the offer expeditiously.


    2. If, in the judgment of the Rules Enforcement Facilitator, the Listing Broker is not acting as expeditiously as possible, the Rules Enforcement Facilitator shall advise the Listing Broker that the Rules Enforcement Facilitator will contact the homeowner directly and advise the homeowner that there is an offer pending on his or her home.


    3. The Rules Enforcement Facilitator shall ascertain from the homeowner whether any other offers have been submitted and shall also determine if the homeowner would like the offer to be presented expeditiously. If the homeowner wants the offer presented, the Rules Enforcement Facilitator:

      1. shall inform the homeowner of the name and telephone number of the Cooperating Agent and Broker to enable the homeowner to make an appointment for the presentation;

      2. shall advise the owner to contact their Listing Broker; and

      3. shall advise the Listing Broker of what has transpired.


  9. Reportingof Canceled Acceptable Offersand Contracts. The Cooperating Participant shall report immediately to the Listing Participant when any acceptable offer or contract is canceled or terminated, even if the Listing agreement has expired. The affected property may not be re-listed or shown for resale by the Cooperating Participant until the Listing Participant has been so notified.

Section 5

Compensation

  1. MLS Does Not Control Compensation. The MLS shall not fix, control, recommend, suggest, or maintain commission rates or fees for services to be rendered by Participants. Further, the MLS shall not fix, control, recommend, suggest, or maintain the division of commissions or fees between cooperating Participants or between Participants and Non-Participants.

    (NAR MANDATORY 1.9)


  2. Listing Broker Determines the Amount of Compensation Offered. The Listing Broker retains the right to determine the amount of compensation offered to other Participants (who may be acting as subagents, buyer agents, or in other agency or non-agency capacities defined by law) which may be the same or different. (NAR MANDATORY 5)


  3. Listing Broker Determines How Compensation may be Shared. The Listing Broker establishes the division of compensation between themselves and Cooperating Participants. Such divisionshall be clearly stated on the Listing Contract at the time it is executed by the homeowner. All Listings published in the MLS database must includeanofferofcompensationandsuchcompensationmustbepublishedinthe MLS system. (NAR MANDATORY 5)


  4. Permissible Formsof Offered Compensation. The compensation specified on listings published by the MLS shall be shown in one of the following forms:

    1. By showing a percentage of the gross selling/rental price, or

    2. By showing a definite dollar amount. (NAR MANDATORY 5)


  5. Blanket Unilateral Offerof Compensation. In filing apropertywiththemultiple listing service of an association of REALTORS®, the participant of the service is making blanket unilateral offers of compensation to the other MLS Participants, and shall therefore specify on each listing filed with the service, the compensation being offered to the other MLS Participants. Specifying the compensation on each listing is necessary, because the cooperating broker has the right to know what his compensation shall be prior to his endeavor to sell.


    This shall not preclude the listing broker from offering any MLS Participant compensation other than the compensation indicated on any listing published by the MLS, providedthelistingbrokerinformstheotherbroker, inwriting, inadvance of his producing an offer to purchase, and provided that the modification in the specified compensation is not the result of any agreement among all or any other

    participants in the service. Any superseding offer of compensation must be expressed as either a percentage of the gross sales price or as a flat dollar amount. (NAR MANDATORY 5)


    Such offers are unconditional except that entitlement to compensation is determinedbythe Cooperating Broker’sperformanceastheprocuringcauseofthe sale (or lease). The Listing Broker’s obligation to compensate any Cooperating Broker as the procuring cause of the sale (or lease) may be excused if it is determined through arbitration that, through no fault of the Listing Broker and in the exercise of good faith and reasonable care, it was impossible or financially unfeasible for the Listing Broker to collect a commission pursuant to the listing agreement. (NAR MANDATORY 5)


    In such instances, entitlement to cooperative compensation offered through MLS would be a question to be determined by an arbitration hearing panel based on all relevant facts and circumstances including, but not limited to, why it was impossible or financially unfeasible for the Listing Broker to collect some or all of the commission established in the listing agreement: at what point in the transaction did the Listing Broker know (or should have known) that some or all of the commission established in the listing agreement might not be paid; and how promptly had the Listing Broker communicated to Cooperating Brokers that the commission established in the listing agreement might not be paid. (NAR MANDATORY 5)


  6. No Publication of Listing Broker’s Commission Share. The MLS shall not publish or distribute the Listing Broker’s share of the commission except on rental listings where compensation is to be paid by the tenant. (NAR MANDATORY 5, NOTE 1)


  7. Collection and Dispersal of Commissions. The collection and dispersal of commissions shall be determined by agreement between the Listing Broker and Cooperating Broker. Absent such an agreement, the Broker actually receiving the commission shall be responsible for its collection and proper dispersal.

Section 6

Advertising and Use of MLS Information

  1. For Sale & Sold Signs

    1. Only ‘For Sale’ signs of the Listing Broker may be placed on a property. (NAR MANDATORY 4.1)


    2. Only the ‘Sold’ sign of the Listing Broker may be placed on a property. Prior to closing only the ‘sold’ sign of the Listing Broker may be placed on a property, unless the Listing Broker authorizes the Cooperating Broker to post such a sign. (NAR MANDATORY 4.2)


    3. Alleged violations of Rule 601 will be referred to the Grievance Committee of the Participant’s Realtor Board.


  2. Ownership of MLS Compilations and Copyrights

    1. By the act of submitting any Property listing content to the MLS, the Participant represents and warrants that he or she is fully authorized to license the Property listing content as contemplated by and in compliance with these Rules, and also thereby does grant to the MLS license to include the Property listing content in its copyrighted “MLS Compilation” (as defined herein) and also in any statistical report on comparables. Listing content includes, but is not limited to, photographs, images, graphics, audio and video recordings, virtual tours, drawings, descriptions, remarks, narratives, pricing information, and other details or information related to the listed Property. (NAR MANDATORY 11)


    2. All right, title, and interest in each copy of every MLS Compilation created and copyrighted by the MLS and in the copyrights therein, shall at all times remain vested in the MLS. (NAR MANDATORY 11.1)


    3. Each Participant shall be entitled to lease from the MLS a number of copies of each MLS Compilation sufficient to provide the Participant and each person affiliated as a licensee (including licensed or certified appraisers) with such Participant with one copy of such compilation. The Participant shall pay for each such copy the rental fee set by the association. (NAR MANDATORY 11.2)


      This section should not be construed to require the Participant to lease a copy of the MLS Compilation for any licensee (or licensed or certified appraiser) affiliated with the Participant who is engaged exclusively in a specialty of the real estate business other than listing, selling, or appraising

      the types of properties whichare required to be filed with the MLS and who does not, at any time, have access to or use of the MLS information or MLS facility of the association. (NAR MANDATORY 11.2)


    4. Participants shall acquire by such lease only the right to use the MLS Compilation in accordance with these Rules. (NAR MANDATORY 11.2)


    5. The Digital Millennium Copyright Act(DMCA) is afederalcopyrightlawthat enhances the penalties for copyright infringement occurring on the Internet. The law provides exemptions or “safe harbors” from copyright infringement liability for online service providers (OSP) that satisfy certain criteria. Courts construe the definition of “online service provider” broadly, which would likely include MLSs as well as participants and subscribers hosting an IDX display.


      One safe harbor limits the liability of an OSP that hosts a system, network or website on which Internet users may post user-generated content. If an OSP complies with the provisions of this DMCA safe harbor, it cannot be liable for copyright infringement if a user posts infringing material on its website. This protects an OSP from incurring significant sums in copyright infringement damages, as statutory damages are as high as $150,000 per work. For this reason, it is highly recommended that MLSs, Participants and Subscribers comply with the DMCA safe harbor provisions discussed herein. (NAR MANDATORY 11)


      To qualify for this safe harbor, the OSP must:

      1. Designate on its website and registerwith the Copyright Office an agent to receive takedown requests. The agent could be the MLS, participant, subscriber, or other individual or entity.

      2. Develop and post a DMCA-compliant website policy that addresses repeat offenders.

      3. Complywiththe DMCAtakedownprocedure. If acopyrightowner submits a takedown notice to the OSP, which alleges infringement of its copyright at a certain location, then the OSP must promptly remove allegedly infringing material. The alleged infringer may submit a counter-notice that the OSP must share with the copyright owner. If the copyright owner fails to initiate a copyright lawsuit within ten (10) days, then the OSP may restore the removed material.

      4. Have no actual knowledge of any complained-of infringing activity.

      5. Not be aware of facts orcircumstances from which complained-of infringing activity is apparent.

      6. Not receive a financial benefit attributable to complained-of infringing activity when the OSP is capable of controlling such activity.


        Full compliance with these DMCA safe harbor criteria will mitigate an OSP’scopyrightinfringementliability. Formoreinformationsee 17 U.S.C.

        §512. (6/2017) (NAR MANDATORY 11)


  3. Participant’s Warranty. Each Participant warrants that (a) the Participant Contribution does not infringe upon the copyright or other intellectual property rights of any third party; and (b) the Participant has the written consent of any party necessary to provide the Participant Contribution to the MLS.


  4. Confidential Nature of MLS Listing Information. Any information provided by the Multiple Listing Service to Participants shall be considered official information of the Service. Such information shall be considered confidential and exclusively for the use of Participants and those Participants who are licensed or certified by an appropriatestate regulatoryagencytoengageintheappraisalof realpropertyand licensedorcertifiedappraisersaffiliatedwithsuch Participants.(NARMANDATORY 10)


  5. Reproductions of MLS Compilations

    1. Participants or their affiliated licensees shall not reproduce any MLS compilation or any portion thereof, except in the following limited circumstances:


      Participants, or their affiliated Subscribers, may reproduce from the MLS Compilation and distribute to prospective purchasers or tenants, a reasonable number of single copies of property Listing data contained in the MLS Compilation which relate to any properties in which the prospective purchasers or tenants are or may, in the judgment of the Participant, or such Participant’s affiliated Subscribers, be interested.


    2. Nothing contained herein shall be construed to preclude any participant from utilizing, displaying, distributing, or reproducing property listing sheets or other compilations of data pertaining exclusively to properties currently listed for sale with the participant.


    3. Any MLS information, whether provided in written or printed form, providedelectronically, orprovidedinanyotherformorformat, isprovided for the exclusive use of the Participant and those licensees affiliated with the Participant who are authorized to have access to such information.

      Suchinformationmaynotbetransmitted, retransmitted, orprovidedinany manner to any unauthorized individual, office, or firm.


    4. None of the foregoing shall be construed to prevent any individual legitimately in possession of current listing information, sold information, comparables, or statistical information from utilizing such information to support valuations on particular properties for clients and customers. Any MLScontentindatafeedsavailableto Participants forrealestatebrokerage purposes must also be available to Participants for valuation purposes, including automated valuations. MLSs must either permit use of existing data feeds, or create a separate data feed, to satisfy this requirement. MLSs may require execution of a third-party license agreement where deemed appropriate by the MLS. MLSs may require Participants who will use such data feeds to pay the reasonably estimated costs incurred by the MLS in adding or enhancing its downloading capacity for this purpose. Information deemed confidential may not be used as supporting documentation. Any other use of such information is unauthorized and prohibited by these Rules. (NAR MANDATORY 12.2)


  6. Distribution of Listings to Non-Participants. Any listing filed with the Service shall not be made available to any non-Participant without the consent of the Listing Participant. (NAR MANDATORY 4)


  7. Display of MLS Compilations. Participants and their affiliated Subscribers, shall be permitted to display the MLS compilation to prospective purchasers only in conjunction with their ordinary business activities of listing properties for sale or rent and/or attempting to locate ready, willing and able buyers for the properties described in said MLS Compilation. Any web site that displays listing data must be under the control of the Participant or Subscriber. (NAR MANDATORY 12.1)


  8. Limitations on the Use of MLS Information in Advertising

    Use of information from MLS Compilation of current listing information, from the association’s statistical report, or from any sold or comparable report of the association or MLS for public mass-media advertising by an MLS participant or in other public representations, may not be prohibited.


    However, any print or non-print forms of advertising or other forms of public representations based in whole or in part on information supplied by the associationorits MLS must clearly demonstrate the periodof time over whichsuch claims are based and must include the following, or substantially similar, notice: “Based on information from New York MLS, for the period (date) through

    (date).” (NAR MANDATORY 13)

  9. Prohibition Against Participant Releasing Statistical Data to the Media

    1. No Participantshallbepermittedtoadvertiseorrelease MLSstatisticaldata to the media, except that nothing herein contained shall prohibit comparative or market share advertising by any Participant that is otherwise in accordance with these Rules.


    2. In order to insure the accuracy and consistency of data published in the media based upon the MLS database, the MLS reserves the sole right to release to the media data which reflects all or part of the entire MLS Service Area or which relates to aggregated data about sales activity in property types, price ranges or statuses such as “active inventory”.


    3. Nothinghereinshallpreventany Participantfromutilizingdatareleasedby the MLS by quoting same and making reference to its source after its release by the MLS.


  10. Participants Responsible For Misuse of Compilations.

    1. Participants shall, at all times, maintain control over and responsibility for each copy of any MLS Compilation leased to them by the association of REALTORS®, and shall not distribute any such copies to persons other than Subscribers who are affiliated with such participant as licensees, those individuals who are licensed or certified by an appropriate state regulatory agency to engage in the appraisal of real property, and any other Subscribers as authorized pursuant to the governing documents of the MLS.


    2. Use of information developed by or published by the MLS is strictly limited totheactivitiesauthorizedundera Participant’s licensure(s) orcertification, and unauthorized uses are prohibited.


    3. Participants and their affiliated Subscribers shall be permitted to display, reproduce, providecopiesofandutilizeanyportionofthe MLScompilation in their real estate sales, rental and appraisal activities in the manner and format authorized by these MLS Rules.


    4. None of the foregoing is intended to convey participation or membership or any right of access to information developed or published by an association multiple listing service where access to such information is prohibited by law.

  11. Complaints for Unauthorized Use of Listing Content

    1. The Complaint Procedure set forth in this Rule 611 is in lieu of the standard Administrative Review procedures established in the MLS Policies and Administrative Procedures, and in Section 9 hereof.


    2. Any Participant who believes another Participant has engaged in the unauthorized use or display of listing content, including photographs, images, audio or video recordings, and virtual tours, shall send notice of such alleged unauthorized use to the MLS. Such notice shall be in writing, specifically identify the allegedly unauthorized content, and be delivered to the MLS not more than sixty (60) days after the alleged misuse was first identified. No Participantmaypursueactionovertheallegedunauthorized use and display of listing content in a court of law without first completing the notice and response procedures provided in this Rule 611.


    3. Upon receiving such a notice, the MLS Rules Enforcement Committee (hereinafter the “Committee” in this Rule 611) will send that notice to the Participant who is accused of such unauthorized use. Within ten (10) days from receipt, the Participant must either: 1) remove the allegedly unauthorized content, or 2) provide proof to the MLS that the use is authorized. Anyproofsubmittedwillbeconsideredbythe Committee, and a decision of whether it establishes authority to use the listing content will be made within thirty (30) days.


    4. If the Committeedeterminesthat the use of thecontentwasunauthorized, the Committee may issue a sanction pursuant to Section 9 of these MLS rules, including a request to remove and/or stop the use of the unauthorized content within ten (10) days after transmittal of the decision. If the unauthorized use stems from a violation of the MLS Rules, that too will be considered at the time of establishing an appropriate sanction.


    5. If after ten (10) days following transmittal of the Committee’s determinationtheallegedviolationremainsuncured(i.e. thecontentisnot removed or the rules violation remains uncured), then the complaining party may seek action through a court of law.


  12. Prohibition Against the Unauthorized Use of Other Participant’s Data.

    1. Incorporationof Article 12 of the NARCodeof Ethics. Article 12 of the Code of Ethics of the National Association of Realtors, and the Standards of Practices and case interpretations relating thereto, as the same now exists or are hereafter altered, modified or amended, insofar as the same are relevant to Participants copying and/or publishing other Realtor’s Listing

      information without their express consent, are incorporated into these Rules in their entirety.


    2. Prohibition Against Useof Another Participant’s Photographs. Participants are prohibited from using the photographs of another Participant for marketing, listing, or promotional purposes (not including Comparative Market Analyses), without the prior written consent of the original Listing Participant.


  13. Changing Another Participant’s Datais Prohibited. No Participant or Subscriber shall make any change, extension, withdrawal or other modification to any Listing without authority from the Listing Participant to make such entry.

Section 7

Internet Data Exchange (IDX)

  1. IDX affords MLS participants the ability to authorize limited electronic display and deliveryoftheirlistingsbyotherparticipants viathefollowingauthorizedmediums under the participant’s control: websites, mobile apps, and audio devices. As used throughout these rules, “display” includes “delivery” of such listing. (NAR MANDATORY 18)


  2. Participants’ consent for display of their listings by other participants pursuant to these rules and regulations is presumed unless a participant affirmatively notifies the MLS that the participant refuses to permit display (either on a blanket or on a listing-by-listing basis). If a participant refuses on a blanket basis to permit the display of that participant’s listings, that participant may not download, frame or display the aggregated MLS data of other participants. Even where participants have given blanket authority for other participants to display their listings on IDX sites, such consent may be withdrawn on a listing-by-listing basis where the seller has prohibited all Internet display orother electronic formsof display or distribution. (NAR MANDATORY 18.1)


  3. Participation in IDX is available to all MLS participants engaged in real estate brokerage who consent to display of their listings by other participants. (NAR MANDATORY 18.2)


  4. Participants must notify the MLS of their intention to display IDX information and must give the MLS direct access for purposes of monitoring/ensuring compliance with applicable rules and policies. (NAR MANDATORY 18.2.1)


  5. MLS participants may not use IDX-provided listings for any purpose other than display as provided for in these rules. This does not require participants to prevent indexing of IDX listings by recognized search engines. (NAR MANDATORY 18.2.2)


  6. Listings, including property addresses, can be included in IDX displays except where a seller has directed their listing brokers to withhold their listing or the listing’s propertyaddressfromalldisplayonthe Internet (including, butnotlimited to, publicly-accessible websites or VOWs) or other electronic forms of display or distribution. (NAR MANDATORY 18.2.3)


  7. Participants may select the listings they choose to display through IDX based only on objective criteria including, but not limited to, factors such as geography or location (“uptown,” “downtown,” etc.), list price, type of property (e.g., condominiums, cooperatives, single-family detached, multi-family), cooperative

    compensation offered by listing brokers, type of listing (e.g., exclusive right-to-sell, or exclusive agency), or the level of service being provided by the listing firm. Selection of listings displayed through IDX must be independently made by each participant. (NAR MANDATORY 18.2.4)


  8. Participants must refresh all MLS downloads and displays automatically fed by those downloads not less frequently than every 12 hours. (3/2016) (NAR MANDATORY 18.2.5)


  9. Except as provided in the IDX policy and these rules, an IDX site or a participant or user operating an IDX site or displaying IDX information as otherwise permitted may not distribute, provide, or make any portion of the MLS database available to any person or entity. (NAR MANDATORY 18.2.6)


  10. Any IDX display controlled by a participant must clearly identify the name of the brokeragefirmunderwhichtheyoperateinareadilyvisiblecolorandtypeface. For purposes of the IDX policy and these rules, “control” means the ability to add, delete, modifyandupdate informationas requiredbythe IDX policyand MLSrules. (NAR MANDATORY 18.2.7)


  11. Either or both of the following features shall be disabled or discontinued for the seller’s listings at the request of the seller, where any IDX display controlled by a participant or subscriber:

    a. allowsthird-partiestowritecommentsorreviewsaboutparticularlistings or displays a hyperlink to such comments or reviews in immediate conjunction with particular listings, or

    b. displays an automated estimate of the market value of the listing (or hyperlink to such estimate) in immediate conjunction with the listing.


    Thelistingbrokeroragent shall communicatetothe MLSthatthesellerhaselected to have one or both of these features disabled or discontinued on all displays controlled by participants. Except for the foregoingand subject to Rule 711 herein (NARMANDATEDSection 18.2.9), aparticipant’s IDXdisplaymaycommunicatethe participant’s professional judgment concerning any listing. Nothing shall prevent an IDX display from notifying its customers that a particular feature has been disabled at the request of the seller. (NAR MANDATORY 18.2.8)


  12. Participants shall maintain a means (e.g., e-mail address, telephone number) to receive comments about the accuracy of any data or information that is added by or on behalf of the participant beyond that supplied by the MLS and that relates to a specific property. Participants shall correct or remove any false data or information relating to a specific property upon receipt of a communication from

    the listing broker or listing agent for the property explaining why the data or information is false. However, participants shall not be obligated to remove or correct any data or information that simply reflects good faith opinion, advice, or professional judgment. (NAR MANDATORY 18.2.9)


  13. Listings displayed pursuant to IDX shall contain only those fields of data designated by the MLS. Display of all other fields (as determined by the MLS) is prohibited. Confidential fields intended only for other MLS participants and users (e.g., cooperative compensation offers, showing instructions, property security information, etc.) may not be displayed on IDX sites.


    Prohibited Fields: All fields of the IDX Database may be published except:

    1. Last Status Change (but ACTIVE, PENDING and CLOSED may be published)

    2. Cooperating Broker compensation whether to a subagent or buyer's agent

    3. Negotiate through (Negotiate through Listing Agent or Cooperating Broker)

    4. Listing date

    5. Expiration date

    6. Listing type (i.e., Exclusive Right To Sell or Exclusive Agency)

    7. Photo requested

    8. Photo instructions

    9. Additional area

    10. Modifications (list modifications to the Listing Agreement)

    11. Tax Identification Number

    12. Owner's name

    13. Internet Y/N


      The type of listing agreement (e.g., exclusive right to sell, exclusive agency, etc.) may not be displayed.


  14. Participants shall not modify or manipulate information relating to other participants listings. MLS Participants may augment their IDX display of MLS data with applicable property information from other sources to appear on the same webpage or display, clearly separated by the data supplied by the MLS. The source(s) of the information must be clearly identified in the immediate proximity to such data. This requirement does not restrict the format of MLS data display or display of fewer than all of the available listings or fewer authorized fields. A Participant who so modifies, augments or references the Listing Participant’s data shall be solely responsible for the accuracy of any additions or modified data and shall indemnify and hold harmless the MLS, the Listing Participant, and the

    property owner from any liability arising from such modifications or additions. (NAR MANDATORY 18.2.11)


  15. All listings displayed pursuant to IDX shall identify the listing firm in a reasonably prominent location and in a readily visible color and typeface not smaller than the median used in the display of listing data. Displays of minimal information (e.g. “thumbnails”, text messages, “tweets”, etc., of two hundred (200) characters or less are exempt from this requirement but only when linked directly to a display that includes all required disclosures. For audio delivery of listing content, all required disclosures must be subsequently delivered electronically to the registered consumer performing the property search or linked to through the devices application. (NAR MANDATORY 18.12)


  16. Non-principal brokers and sales licensees affiliated with IDX participants may display information available through IDX on their own Web sites subject to their participant’s consent and control and the requirements of state law and/or regulation.


  17. All listings displayed pursuant to IDX shall show the MLS as the source of the information. Displays of minimal information (e.g. “thumbnails”, text messages, “tweets”, etc., of two hundred (200) characters or less are exempt from this requirement but only when linked directly to a display that includes all required disclosures.


  18. Participants (and their affiliated licensees, if applicable) shall indicate on their websitesthat IDX informationisprovidedexclusivelyforconsumers’ personal, non- commercial use, that it may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing, and that the data is deemed reliable but is not guaranteed accurate by the MLS. The MLS may, at its discretion, require use of other disclaimers as necessary to protect participants and/or the MLS from liability. Displays of minimal information (e.g. “thumbnails”, text messages, “tweets”, etc., of two hundred (200) characters or less are exempt from this requirement but only when linked directly to a display that includes all required disclosures.


  19. The right to display other participants’ listings pursuant to IDX shall be limited to a participant’s office(s) holding participatory rights in this MLS.


  20. Display of seller’s(s’) and/or occupant’s(s’) name(s), phone number(s), and email address(es) is prohibited.

  21. Deceptive or misleading advertising (including co-branding) on pages displaying IDX-providedlistings isprohibited. Forpurposes of these rules, co-brandingwill be presumed not to be deceptive or misleading if the participant’s logo and contact information is larger than that of any third party.


  22. An MLS Participant (or where permitted locally, an MLS Subscriber) may co-mingle the listings of other brokers received in an IDX feed with listings available from other MLS IDX feeds, provided all such displays are consistent with the IDX rules, and the MLS Participant (or MLS Subscriber) holds participatory rights in those MLSs. As used in this policy, “co-mingling” means that consumers are able to execute a single property search of multiple IDX data feeds resulting in the display of IDX information from each of the MLSs on a single search results page; and that Participants may display listings from each IDX feed on a single webpage or display. (NAR MANDATORY 18.2.10)


  1. Definitions

    Section 8

    Virtual Office Websites (VOW)

    1. A Virtual Office Website (“VOW”) is a Participant’s Internet website, or a feature of a Participant’s website, through which the Participant is capable of providing real estate brokerage services to consumers with whom the Participant hasfirstestablishedabroker-consumerrelationship(asdefinedbystatelaw) where theconsumerhastheopportunitytosearch MLSListing Information, subjecttothe Participant’s oversight, supervision, and accountability. A non-principal broker or sales licenseeaffiliated with a Participant may, with his orher Participant’s consent, operate a VOW. Any VOW of a non-principal broker or sales licensee is subject to the Participant’s oversight, supervision, and accountability.


    2. As used in Section 8 of these Rules, the term “Participant” includes a Participant’s affiliated non-principal brokers and sales licensees – except when the term is used in the phrases “Participant’s consent” and “Participant’s oversight, supervision, and accountability”. References to “VOW” and “VOWs” include all VOWs, whether operated by a Participant, by a non-principal broker or sales licensee, or by an Affiliated VOW Partner (“AVP”) on behalf of a Participant.


    3. “Affiliated VOW Partner” (“AVP”) refers to an entity or person designated by a Participant to operate a VOW on behalf of the Participant, subject to the Participant’s supervision, accountability and compliance with the VOW Policy. No AVP has independent participation rights in the MLS by virtue of its right to receive information on behalf of a Participant. No AVP has the right to use MLS Listing Information except in connection with operation of a VOW on behalf of one or more Participants. Access by an AVP to MLS Listing Information is derivative of the rights of the Participant on whose behalf the AVP operates a VOW.


    4. As used in Section 8 of these Rules, the term “MLS Listing Information” refers to active listing information and sold data provided by Participants to the MLS and aggregated and distributed by the MLS to Participants. (NAR MANDATORY 919.1)


  2. The rightof a Participant’s VOWto display MLS Listing Informationis limited to that supplied by the MLS(s) in which the Participant has participatory rights. However, a Participant with offices participating in different MLSs may operate a master website with links to the VOWs of the other offices. Subject to the provisions of the VOW Policy and these Rules, a Participant’s VOW, including any VOW operated on behalf of a Participant by an AVP, may provide other features, information, or functions, e.g. Internet Data Exchange (“IDX”). (NAR MANDATORY 919.2)

  3. Except as otherwise provided in the VOW Policy or in these Rules, a Participant need not obtain separate permission from other MLS Participants whose listings will be displayed on the Participant’s VOW. (NAR MANDATORY 919.2)


  4. Registration

    1. Before permitting any consumer to search for or retrieve any MLS Listing Information on his or her VOW, the Participant must take each of the following steps:

      1. The Participant must first establish with that consumer a lawful broker- consumer relationship (as defined by state law), including completion of all actionsrequiredbystatelawinconnectionwithprovidingrealestatebrokerage services to clients and customers (hereinafter “Registrants”). Such actions shall include, butarenotlimitedto, satisfyingallapplicableagency, non-agency, and other disclosure obligations, and execution of any required agreements.

      2. The Participant must obtain the name of, and a valid email address for, each Registrant. The Participant must send an email to the address provided by the Registrant confirming that the Registrant has agreed to the Terms of Use (described in subsection (d) below). The Participant must verify that the email address provided by the Registrant is valid and that the Registrant has agreed to the Terms of Use.

      3. The Participant must require each Registrant to have a user name and a password, the combination of which is different from those of all other Registrants on the VOW. The Participant may, at his or her option, supply the user name and password or may allow the Registrant to establish its user name and password. The Participant must also assure that any email address is associated with only one user name and password.


    2. The Participantmustassurethat each Registrant’spasswordexpiresonadate certain but may provide for renewal of the password. The Participant must at all times maintain a record of the name, email address, user name, and current password of each Registrant. The Participant must keep such records for not less than 180 days after the expiration of the validity of the Registrant’s password.


    3. If the MLS has reason to believe that a Participant’s VOW has caused or permitted a breach in the security of MLS Listing Information or a violation of MLS rules, the Participant shall, upon request of the MLS, provide the name, email address, user name, and current password, of any Registrant suspected of involvement in the breach or violation. The Participant shall also, if requested by the MLS, provide an audit trail of activity by any such Registrant.

    4. The Participant shall require each Registrant to review, and affirmatively to expressagreement(bymouseclickorotherwise) to, a“Termsof Use” provisionthat provides at least the following:


      1. That the Registrant acknowledges entering into a lawful consumer- broker relationship with the Participant;

      2. That all information obtained by the Registrant from the VOW is intended only for the Registrant’s personal, non-commercial use;

      3. That the Registrant has a bona fideinterestinthe purchase, sale, or lease of real estate of the type being offered through the VOW;

      4. That the Registrant will not copy, redistribute, or retransmit any of the information provided except in connection with the Registrant’s consideration of the purchase or sale of an individual property;

      5. That the Registrant acknowledges the MLS’s ownership of, and the validity of the MLS’s copyright in, the MLS database.


    5. The Terms of Use Agreement may not impose a financial obligation on the Registrantorcreateanyrepresentationagreementbetweenthe Registrantandthe Participant. Any agreement entered into at any time between the Participant and Registrant imposing a financial obligation on the Registrant or creating representation of the Registrant by the Participant must be established separately from the Terms of Use, must be prominently labeled as such, and may not be accepted solely by mouse click.


    6. The Terms of Use Agreementshallalsoexpresslyauthorizethe MLS, and other MLSParticipants ortheirdulyauthorizedrepresentatives, toaccessthe VOWforthe purposes of verifying compliance with MLS rules and monitoring display of Participants’ listings by the VOW. The Agreement may also include such other provisions as may be agreed to between the Participant and the Registrant. (NAR MANDATORY 919.3)


  5. A Participant’s VOW must prominently display an e-mail address, telephone number, or specific identification of another mode of communication (e.g., live chat) by which a consumer can contact the Participant to ask questions, or get more information, about any property displayed on the VOW. The Participant, or a non-principal broker or sales licensee licensed with the Participant, must be willing and able to respond knowledgeably to inquiries from Registrants about properties within the market area served by that Participant and displayed on the VOW. (NAR MANDATORY 919.4)

  6. A Participant’s VOW must employ reasonable efforts to monitor for, and prevent, misappropriation, “scraping”, and other unauthorized use of MLS Listing Information. A Participant’s VOW shall utilize appropriate security protection such as firewalls as long as this requirement does not impose security obligations greater than those employed concurrently by the MLS. (NAR MANDATORY 919.5)


  7. Seller Opt-Out Provisions

    1. A Participant’s VOW shall not display listings or property addresses of any seller who has affirmatively directed the listing broker to withhold the seller’s listing or property address from display on the Internet. The listing broker shall communicate to the MLS that the seller has elected not to permit display of the listing or property address on the Internet. Notwithstanding the foregoing, a Participant who operates a VOW may provide to consumers via other delivery mechanisms, such as email, fax, or otherwise, the listings of sellers who have determined not to have the listing for their property displayed on the Internet.


    2. A Participant who lists a property for a seller who has elected not to have the property listing or the property address displayed on the Internet shall cause the seller to execute a document that includes the following (or a substantially similar) provision:


      Seller Opt-Out Form

      1. Please check either Option a or Option b:

        a.[ ] I have advised my broker or sales agent that I do not want the listed property to be displayed on the Internet.

        OR

        b.[ ] I have advised my broker or sales agent that I do not want the address of the listed property to be displayed on the Internet.


      2. I understand and acknowledge that, if I have selected option a, consumers who conduct searches for listings on the Internet will not see information about the listed property in response to their search.


      image

      initials of seller


    3. The Participant shall retain such forms for at least one year from the date they are signed, or one year from the date the listing goes off the market, whichever is greater. (NAR MANDATORY 919.6)

  8. Permitting Third-Partiesto Comment, Reviewor Display Automated Market Values

    1. Subject to subsection (b), a Participant’s VOW may allow third-parties (1) to write comments or reviews about particular listings or display a hyperlink to such comments or reviews in immediate conjunction with particular listings, or (2) display an automated estimate of the market value of the listing (or hyperlink to such estimate) in immediate conjunction with the listing.


    2. Notwithstanding the foregoing, at the request of a seller the Participant shall disable or discontinue either or both of those features described in subsection (a) as to any listing of the seller. The listing broker or agent shall communicate to the MLS that the seller has elected to have one or both of these features disabled or discontinued on all Participants’ websites. Subject to the foregoing and to Rule 808, a Participant’s VOWmaycommunicatethe Participant’sprofessionaljudgment concerning any listing. A Participant’s VOW may notify its customers that a particular feature has been disabled "at the request of the seller." (NAR MANDATORY 919.7)


  9. A Participant’s VOW shall maintain a means (e.g., e-mail address, telephone number) to receive comments from the listing broker about the accuracy of any information that is added by or on behalf of the Participant beyond that supplied by the MLS and that relates to a specific property displayed on the VOW. The Participant shall correct or remove any false information relating to a specific property within 48 hours following receipt of a communication from the listing broker explaining why the data or information is false. The Participant shall not, however, be obligated to correct or remove any data or information that simply reflects good faith opinion, advice, or professional judgment. (NAR MANDATORY 919.8)


  10. A Participant shall cause the MLS Listing Information available on its VOW to be refreshed at least once every three (3) days. (NAR MANDATORY 919.9)


  11. Except as providedin these rules, the National Associationof Realtors® VOWPolicy, or any other applicable MLS rules or policies, no Participant shall distribute, provide, or make accessible any portion of the MLS Listing Information to any person or entity. (NAR MANDATORY 919.10)


  12. A Participant’s VOW must display the Participant’s privacy policy informing Registrants of all of the ways in which information that they provide may be used. (NAR MANDATORY 919.11)

  13. A Participant’s VOW may exclude listings from display based only on objective criteria, including, but not limited to, factors such as geography, list price, type of property, cooperative compensation offered by listing broker, and whether the listing broker is a REALTOR®. (NAR MANDATORY 919.12)


  14. A Participant who intends to operate a VOW to display MLS Listing Information must notify the MLS of its intention to establish a VOW and must make the VOW readily accessible to the MLS and to all MLS Participants for purposes of verifying compliance with these Rules, the VOW Policy, and any other applicable MLS rules or policies. (NAR MANDATORY 919.13)


  15. A Participant may operate more than one VOW himself or herself or through an AVP. A Participant who operates his or her own VOW may contract with an AVP to have the AVP operate other VOWs on his or her behalf. However, any VOW operated on behalf of a Participant by an AVP is subject to the supervision and accountability of the Participant. (NAR MANDATORY 919.14)


  16. A Participant shall cause to be placed on his or her VOW a notice indicating that the MLS Listing Information displayed on a VOW is deemed reliable but is not guaranteed accurate by the MLS. A Participant’s VOW may include other appropriate disclaimers necessary to protect the Participant and/or the MLS from liability.


  17. A Participant may display advertising and the identification of other entities (“co- branding”) on any VOW the Participant operates or that is operated on his or her behalf. However, a Participant may not display on any such VOW deceptive or misleading advertising or co-branding. For purposes of this Section, co-branding will be presumed not to be deceptive or misleading if the Participant’s logo and contact information (or that of at least one Participant, in the case of a VOW established and operated on behalf of more than one Participant) is displayed in immediate conjunction with that of every other party, and the logo and contact information of all Participants displayed on the VOW is as large as the logo of the AVP and larger than that of any third party.


  18. A Participant shall cause any listing displayed on his or her VOW that is obtained from other sources, including from another MLS or from a broker not participating in the MLS, to identify the source of the listing.


  19. Participants andthe AVPsoperating VOWsontheirbehalfmustexecutethelicense agreement required by the MLS.

  20. Where a seller affirmatively directs a Listing Participant to withhold either the seller’s listing or the address of the seller’s listing from display on the Internet, a copy of the seller’s affirmative direction shall be provided to the MLS within 48 hours.

Section 9

Rules Enforcement

901 Automatic Fines for Certain Violations

  1. Participants who violate the MLS Rules set forth in the Schedule of Automatic Fines in Section 11, shall be required to pay the specified Automatic Fines.


  2. MLS Staff may impose Automatic Fines without an administrative review hearing if a Staff member determines that a violation has occurred.


  3. The amount of the Automatic Fine is not subject to appeal, but a Participant may contest whether the applicable MLS Rule had been violated and the Automatic Fine was rightfully imposed.


902 Violations of the MLS Rules

  1. Unless specified as an Automatic Fine (see Rule 901), the MLS may, through its Administrative Review procedures established in its MLS Policies and Administrative Procedures, impose sanctions for violations of these MLS Rules and Procedures, and other MLS governance provisions. A separate Administrative Review procedure is set forth in Rule 611 for Complaints of Unauthorized Use of Listing Content.


  2. Sanctions that may be imposed may consist of one or more of the following:

    1. Letter of Warning.

    2. Letter of Reprimand.

    3. Attendance at MLS orientation or other courses or seminars.

    4. Fine not to exceed $15,000.

    5. Suspension of MLS rights, privileges, and services for not less than 30 days, and not more than 1 year.

    6. Termination of MLS rights, privileges, and services with no right to reapply for a specified period not to exceed 3 years.


  3. The Board of Managers shall give consideration to all written complaints having to do with violations of these MLS Rules and Procedures. By becoming and remaining a Participant, each Participant agrees to be subject to these MLS Rules and Procedures, which shall be enforced at the sole discretion of the MLS Rules Enforcement Committee. (NAR MANDATORY 9)

  4. If the alleged offense is a violation of these MLS Rules and does not involve a charge of alleged unethical conduct or request for arbitration, it may be administrativelyconsideredanddeterminedbythe MLSRules Enforcement Committee, and if a violation is determined, the committee may direct the impositionofsanction, providedtherecipientofsuchsanctionmayrequest a hearing before the professional standards committee of the association in accordance with the bylaws and rules and regulations of the association of Realtors® within twenty (20) days following receipt of the Committee’s decision.


  5. If, rather than conducting an administrative review, the MLS Rules Enforcement Committee has a procedure established toconducthearings, the decision of the MLS Rules Enforcement Committee may be appealed to the board of directors of the association of Realtors® within twenty (20) days of the tribunal’s decisionbeingrendered. Alleged violations involving unethical conduct shall be referred to the association’s grievance committee for processing in accordance with the professional standards procedures of the association. If the charge alleges a refusal to arbitrate, such charge shall be referred directly to the board of directors of the association of Realtors®.

    (NAR MANDATORY 9.1)


  6. Participants may not take legal action against another Participant for alleged rules violation(s) unless the complaining Participant has first exhausted the remedies provided in these Rules.


903 Probation. A Participant (or user/Subscriber, where appropriate) can be placed on probation. Probation is not a form of discipline. When a Participant (or user/Subscriber, where appropriate) is placed on probation the discipline is held in abeyance for a stipulated period of time not longer than one (1) year. Any subsequent finding of a violation of the MLS Rules during the probationary period may, at the discretion of the Board of Directors, result in the imposition of the suspended discipline. Absent any subsequent findings of a violation during the probationary period, both the probationary status and the suspended discipline are considered fulfilled, and the individual’s record will reflect the fulfillment. The fact that one or more forms of discipline are held in abeyance during the probationary period does not bar imposition of other forms of discipline which will not be held in abeyance. (NAR MANDATORY 7)


904 Arbitration of Monetary Disputes

  1. Each Participant shall agree to submit to arbitration in accordancewith the arbitrationrulesassetforthinthe By-Lawsoftheirapplicable Local Realtor®

    Board, or any addition or amendment hereafter adopted in connection with same, any and all disputes with other Participants, except for violations of these Rules, arising out of the use of the Service or his/her Participation therein.


  2. Any dispute which arises during a Participant's term as a Participant or which concerns the listing information which such Participant received during said term and which involves claims for money shall, to the extent applicable, besubjecttoarbitrationinaccordancewiththearbitrationrules as set forth in the Bylaws of their applicable local Board of Realtors®. (NAR MANDATORY 1.13, 15)


905 Complaintsof Unethical Conduct. All other complaints of unethicalconduct shall be referred by the committee to the secretary of the association of Realtors® for appropriate action in accordance with the professional standards procedures established in the association’s bylaws. (NAR MANDATORY 9.2)

Section 10

Miscellaneous Provisions

1001 Amendmentstothese MLSRules& Procedures. Amendments to these MLS Rules and Procedures shall be by consideration and approval of the MLS Board of Managers. (NAR MANDATORY 14)


1002 Headings. Headings of Rules are for convenience only, and shall not be used to interpret or construe the meaning of any Rules or Procedures herein.


1003 Days. Whenever “days” are referred to in these Rules, it shall mean “calendar days”.

Section 11

Automatic Fines

1101 Base Fines. There are three (3) Classes of Automatic Fines, with the following Base Fines:

Class 1 – $50.00 Class 2 – $100.00 Class 3 – $250.00


1102 Referral to the MLS Rules Enforcement Committee for a Hearing

1102.1 Fiveor More Automatic Fines. Any time that a Participant, including all of the Subscribers in that Participant’s office, has violated a specific Rule with an Automatic Fine, five (5) ormoretimeswithintheprior 12-monthperiod, the MLS staff may, in lieu of assessing the scheduled Automatic Fine, refer the current violation to the MLS Rules Enforcement Committee for a hearing.


1102.2 Failureto Make Timely Corrections. Any time that a Participant fails to timely correct the violation of any Rule specified in the Schedule of Automatic Fines as “Time Sensitive”, for five (5) or more days, the MLS staff may, in lieu of assessing the scheduled Automatic Fine, refer that violation to the MLS Rules Enforcement Committee for a hearing.

1103 Schedule of Automatic Fines


RULE

DESCRIPTION

CLASS

NOTES

302

Late Entry of Listings

3


303

Late Submission of Listings

1


303.2

Late Submission of Office Exclusive Disclosure

1


306.3

Improper Use of Data Fields

1

1

306.4

Incorrect Zip Code

1

1

306.8

Incorrect Owner’s Name

1


306.10

Incorrectly Published Open House

1


307

Inaccurate Image or Attachment

2

1

308

Manipulated Listing Data

2

1, 2

309

Required Listing Photograph Missing

1

3

310.3

Improper Listing Contract Changes

3


310.4

Late Submission of Listing Contract Change

1


310.6

Improper Re-List Date

1


311

Late Reporting of Status Change or Closing

2

3

404.2

Property Not Available to Show within 24 Hrs

3


404.3

Improper Temporarily Off the Market Status

3

2

404.5

Required Owner’s Instructions Not in Writing

3

2

409

Offer Acknowledgment Form Violations

3

2


Notes: (1) MLS Staff may delete or correct the inappropriate data or attachment.

  1. This violation is time-sensitive. If this violation has not been resolved by the Participant within the following amounts of time, then the Base Fine shall be increased as follows:

    If Not Resolved Within: Total Fine is: 1 Day Base Fine x 2

    1. Days Base Fine x 4

      5+ Days Base Fine x 6, or Hearing Referral per Rule 1102.2

  2. This violation is time-sensitive. If this violation has not been resolved by the Participant within the following amounts of time, then the Base Fine shall be increased as follows:

If Not Resolved Within: Total Fine is: 2 Days Base Fine x 2

  1. Days Base Fine x 3

5+ Days Base Fine x 5, or Hearing Referral per Rule 1102.2