You are currently viewing Trending Topics for Compliance: April 2022

Trending Topics for Compliance: April 2022

Curious to know what our Compliance Department is hearing? Read our top trending items for the month.

1. Reminder of Rules for the Reporting of Sales

We have seen an increase in reports of agents and brokers failing to update listing statuses in a timely manner after clients accept offers. Some reports suggest that Listing Broker’s may be delaying the responsibility of updating their listings’ statuses to “Pending” or “Active Under Contract” until their sellers receive an Earnest Money Deposit (EMD). As a reminder, CRMLS’s rules do not allow exceptions to a broker’s status update requirements on this basis. Once a seller accepts an offer, the listing’s MLS status must indicate that the listing is either Pending or Active Under Contract as the CRMLS Rules define those terms.

Per CRMLS Rule 10.2:

Listings with accepted offers shall be reported to the MLS or input into the MLS database as “pending” or “active under contract” within 2 days of acceptance by the Listing Broker unless the negotiations were carried on under Section 9.1 (a) or (b), in which case, the Buyer Broker shall notify the Listing Broker of the “pending” or “active under contract” status within 2 business days after acceptance, whereby the Listing Broker shall then report or input the status change to the MLS within 2 days of receiving notice from the Buyer Broker.

Please be sure that all agents are aware that once a seller accepts an offer, the Listing Agent or Broker must update the listing’s status within two (2) days to comply with Rule 10.2.

2. Avoiding Broker Citations

Listing Agents, Listing Brokers, and Office Managers are all responsible for maintaining accurate information in the MLS and cooperating with CRMLS Compliance. Our Compliance team copies the Broker of Record (or their Office Manager, if they appoint one), plus the Association, on all notices we send to the Listing Agent. If a Listing Agent does not correct a violation, the Office Manager or Broker of Record may receive a citation and fine for the uncorrected issue.

To avoid receiving a citation, please follow up directly with Listing Agents about communications from CRMLS Compliance, particularly warnings, citations, and any violations that the Agents still need to correct.

3. Register your office for CRMLS Compliance General Session webinars

We are hosting this quarter’s Compliance webinars for all CRMLS users at the end of April 2022. We encourage anyone interested to attend. Follow the links below to register for the webinar that covers your office’s MLS system.

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