How well do you know the NAR Code of Ethics? Let’s have some fun testing knowledge. Answers to the questions will come in future posts.
- Agent Jim has been showing properties to his friend Jerry. Jerry does not know if he wants to buy a home or not. Since Jerry is a friend, Agent Jim does not ask him to sign a Buyer Agency Agreement. Jerry calls Agent Jim one day, all excited because he has just purchased a home. Jim is shocked and asks what agent wrote the offer and why Jerry chose her. Agent Jane sold me the property. She is my neighbor and we began to talk one day. She asked if I wanted her help and asked me to sign a buyer agency agreement. I liked her and decided to use her services. Agent Jim is furious at Agent Jane and files an ethic complaint against Agent Jane. Is Agent Jane guilty of an ethics violation?
- Agent Jim and Agent Jane are both interviewed by Seller Sally. Seller Sally is selling her home at 123 Anywhere Street. She chooses Agent Jim to list her home. Agent Jane is frustrated she lost the listing and decides to call Seller Sally to ask her if she can represent her in the purchase of her next home. She explains her services and Seller Sally decides to use the services of Agent Jane in the purchase of her next home. When Agent Jim asks Seller Sally about seeing some homes she might like to purchase, Sally tells him she will be using the services of Agent Jane. Is Agent Jane guilty of an ethics violation?
- Agent Mark and agent Millie do not like each other. They have often competed for the same business. Agent Millie has a listing which has languished and remains unsold. Agent Mark runs into Millie at the coffee shop and asks about the property. He then proceeds to ask for details regarding the contract she has with the seller. Millie tells Mark to mind his own business and she will not tell him the terms of the contract. Mark returns to his office and calls the seller to ask about the contract this seller has with Millie. She explains the listing will expire in another month. Mark discusses his services and Millie agrees to list her property with him when the current listing contract expires. Has Agent Mark committed an ethics violation?
- When Agent Millie discovers what Agent Mark has done, she is convinced he has violated the NAR Code of Ethics. She is also furious. A prolific blogger, Millie proceeds to write a lengthy post about the sad state of affairs in the real estate industry. She posts about Mark’s behavior and says she will report him to her local board. Fellow real estate agents from around the country chime in about all the “bad apples” in the real estate industry. They all agree Agent Mark is a an unethical slob. Has Agent Millie violated the Code of Ethics?
- Agent Mark has done business with Investor Ian for years. In fact Ian has accounted for 20% of Mark’s business over the past 5 years. Through church and social settings, Millie learns to know Ian. Because of their mutual interest in real estate, they often talk about real estate. Ian decides to use Millie in his next real estate transaction. When Mark discovers that Millie has sold Ian an investment property he is upset. He believes that Ian is his client. Has Millie violated the Code of Ethics?
I look forward to discussing each of these situations in greater length in future posts.
Stop Poaching My Buyers - A Series on the NAR Code of Ethics (Part One)
Stop Poaching my Buyers - A Series on the NAR Code of Ethics (Part Two)
Stop Poaching My Buyers - A Series on the NAR Code of Ethics (Part Three)
Stop Poaching My Buyers - A Series on the NAR Code of Ethics (Part Four)
Stop Poaching my Buyers - A Series on the NAR Code of Ethics (Part Five)
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