legal QUIZ A recap of our most popular weekly Q&As. BY: WILL MARTIN, GENERAL COUNSEL To learn more about each Q&A listed here, visit ncrealtors.org/resolve-library and search by the Q&A title or browse by category. Both are referenced in the parenthesis at the end of each question.
Q A
Q A
If a buyer’s agent submits an offer to a listing agent, and that offer is rejected by the seller, are the listing agent and buyer’s agent required to keep a copy of the rejected offer for three years? Yes. North Carolina Real Estate Commission Rule .0108 provides in part that brokers “shall retain records of all sales, rental, and other transactions conducted in such capacity, whether the transaction is pending, completed, or terminated.” Subsection (b) of the same rule specifically says that “offers to purchase” are included within the definition of “records” that should be preserved. (See Do rejected offers need to be retained for three years? 1/10/2019, Real Estate License Law/Rules)
Q A
Is a listing agent required to confirm with a buyer’s agent that the buyer’s offer has been presented? Yes, if the buyer’s agent requests confirmation in writing. Effective January 1, 2019, Standard of Practice 1-7 of the REALTOR® Code of Ethics was revised to provide that a listing agent must, upon the written request of a cooperating agent who submits an offer to the listing agent, provide a written affirmation to the cooperating agent stating that the offer has been submitted to the seller (or landlord). (See Is a listing agent obligated to confirm that an offer has been presented? 1/17/2019, Code of Ethics.)
14 INSIGHT • May 2019
Q A
Is it OK for an NC REALTOR® member to provide a blank copy of the Offer to Purchase and Contract to a friend who is selling her unlisted property to an unrepresented buyer? No. Giving a blank standard form to anybody, whether that person is a client, customer or friend, would be a violation of NC REALTORS®’ Forms Policy. Paragraph 4 of the Forms Policy provides that: “[p]ermitted users may use NC REALTORS®’ standard forms in connection with a transaction in which the permitted user is involved as a broker or a principal. Permitted users may not distribute blank NC REALTORS®’ forms to clients, customers or others, either gratuitously or for a fee, except that they may distribute specimen copies of any NC REALTORS® form to their clients or customers for review purposes.” (See Can I give a blank form to one of my friends? released 1/24/2019, Forms/ Miscellaneous.)
If a developer/builder has all its listings placed with Firm A, may an agent with Firm B solicit the company’s future business? Yes, provided that Firm B’s agent solicits listings on projects that the developer/builder may develop/build in the future, and does not solicit listings on any of the properties that the developer/builder currently has listed with Firm A. (See Soliciting future business of another REALTOR®’s client 2/7/2019, Code of Ethics.)
