It's the Rule - April 2006

by: President & CEO Terese (Terry) Penza, CAE, RCE, e-Pro

Do not at any time use any of the words and phrases which IAR’s Program for Compliance designates ad Dangerous. Since such statements are so dangerous, they need to be emphasized here along with some other similar words and phrases:

• We would like to charge a lower commission, but the board has a rule...
• This is the rate that all REALTORS® charge.
• The MLS will not accept a listing for less than 120 days.
• Before you list with XYZ Realty, you should know that nobody is going to work on their listings.
• if John Doe is really professional (or ethical) he would have joined the board.
• The board requires that all REALTORS® force their sales people to join.
• The best way to deal with John Doe is to boycott him,
• We don’t worry about John Doe; we just don’t show his listings.
• If you valued your services as a professional, you wouldn’t cut your commissions.
• If X is going to cut his commissions, we’ll just pay him less on splits.
• No board member will accept a listing for less than 90 days.
• Let him stay in his own part of town, this is our territory.
• If he was really a professional, he wouldn’t use part-timers.
• X is the going rate in this area.
• We have to charge that commission since our rates are set by the Illinois Real Estate Commission.
• The standard commission in this area is X.
• When I see that guy’s signs, I just drive the prospect down another street.
• We’ve agreed that any commission below X is unfair.
• Something has got to be done about that company; nobody can charge such a low commission and make a living.
• That price-cutter has no business being a member of the board.
• You will not get a lower commission from a REALTOR®.

Read more about Antitrust, and learn how to stay out of hot water at www.nsbar.org/library/antitrust.asp.