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MLS Rules & Regulations Changes – Mar. 1

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CCAR is enhancing our Clear Cooperation enforcement process by shortening the violation warning period from 3 calendar days to 1 calendar day. This change is being made to ensure that listings being marketed to the public or agents outside the listing brokerage are made available for all MLS Participants and Subscribers in a timely manner.
 
The following MLS Rule’s & Regulation’s changes go into effect March 1st, 2022. These are mandated changes requested by NAR and C.A.R. Some of these changes impact the vendors in our marketplace who are currently required to comply by March 1st. However, NAR is considering extending the amount of time for vendors to meet these requirements.
 
If you have any questions please contact CCAR MLS Compliance at [email protected].
 
7.5 Mandatory Submission. Within 1 business day of marketing or advertising a property to the public or within 2 days after all necessary signatures of the seller(s) have been obtained on the listing or at the beginning date of the listing as specified in the contract, whichever is later, on any exclusive right to sell or seller reserved listing agreement for the sale of one to four unit residential property and vacant lots located within the service area of the MLS, Broker Participants must input the listing to the service for cooperation with other Participants. Public marketing or advertising includes, but is not limited to, conveying or displaying any information about the property or its availability for sale through or on any: windows, signs, public facing websites, social media, brokerage or franchise operated websites (including IDX and VOW), digital communications marketing (ex: email, text or phone blasts, social media messaging), multi-brokerage or franchise listing sharing networks, flyers or written material or on any applications available to the public or through conducting an open house. The public would include anyone outside the broker(s) and agent(s) licensed within a single listing brokerage and their clients, as further described in Section 7.6) Only those listings that are within the service area of the MLS must be input. Open listings, rental listings or listings of property located outside the MLS’s service area (see Section 7.7) are not required by the service, but may be input at the Broker Participant’s option.
 
7.15 Estate Sale, Probate, Bankruptcy Listings. Compensation offered through the MLS to buyer brokers on estate sale, probate or bankruptcy listings is for the amount published therein as long as the buyer broker produces the contract which is ultimately successful and confirmed by the court, if court confirmation is required. In the event the contract produced by the buyer broker is overbid in court and the overbid contract is confirmed, the original buyer broker shall receive the amount of compensation specified as “unconfirmed buyer broker’s compensation” or “u.b.b.” in the property data profile sheet and on the MLS. For estate sale or probate listings, the compensation offered through the service under these rules and this section shall be considered an agreement as referred to in California Probate Code Section 10165 10168 and will therefore supersede any commission splits provided by statute when there is no agreement. This section contemplates that estate sale, probate and bankruptcy judges have broad discretion and therefore are not intended as a guarantee of a specific result as to commissions in every probate or bankruptcy sale.
 
11.14 Data Feed Available to Participants. The Service must offer a Participant a single data feed in accordance with a Participant’s licensed authorized uses. At the request of a Participant, the Service must provide the single data feed for that Participant’s licensed uses to that Participant’s designee. The designee may use the single data feed only to facilitate that Participant’s licensed uses on behalf of Participant.
 
11.15. Brokerage Back Office Data Feeds. The Service must provide to Participants the Brokerage Back Office Data for use subject to the terms below:
 
“Brokerage Back Office Data” means all real property listing and roster information in the MLS database, including all listings of all Participants, but excludes (i) MLS only fields (those fields only visible to MLS staff and the listing Participant), and (ii) fields and content to which MLS does not have a sufficient license for use in the Brokerage Back Office Feed.
 
Participant and Subscribers affiliated with the Participant can use the Brokerage Back Office Feed data for the following purposes:
  • Brokerage management systems that only expose Brokerage Back Office Data to the Participant and Subscribers affiliated with the Participant.
  • Customer relationship management (CRM) and transaction management tools that only expose the Brokerage Back Office Data to the Participant, Subscribers affiliated with the Participant, and their bona fide clients as established under state law.
  • Agent and brokerage productivity and ranking tools and reports that only exposes Broker Back Office data to the Participant and Subscribers affiliated with the Participant.
  • Marketplace statistical analysis and reports in conformance with NAR MLS Policy Statement 7.80, which allows for certain public distribution.
 
Brokerage Back Office Data use may only be made by the Participant and any Subscriber affiliated with the Participant, except that at the request of a Participant, the MLS must provide Brokerage Back Office Data to that Participant’s designee. The designee may use the Brokerage Back Office Data only to facilitate the Brokerage Back Office Data use on behalf of that Participant and its affiliated Subscribers.
 
There is no option for Participants to opt out their listings from the Brokerage Back Office Data use as defined.
 
The Service may impose reasonable licensing provisions and fees related to a Participant’s license to use the Brokerage Back Office Data. The Service may require the Participant’s designee to sign the same or a separate and different license agreement from what is signed by the Participant.
 
11.16 Listing Broker’s Offer of Compensation. The Service is required to include the listing broker’s offer of compensation for each active listing displayed on its consumer-facing website(s) and in MLS data feeds provided to Participants and Subscribers. Additionally, the Service shall permit MLS Participants or Subscribers to share the listing broker’s offer of compensation for each active listing through IDX and VOW displays and through any other form or format provided to clients and consumers. The information about the offer of compensation will be accompanied by a disclaimer stating that the offer is made only to Participants of the MLS where the listing is filed.
 
12.10 False or Misleading Advertising and Representations; True Picture Standard of Conduct. Participants and subscribers may not engage in false or misleading advertising, including, but not limited to, advertisements or representations regarding the participant’s or subscriber’s relationship to the service, about the service itself, or about any property listed with the service. Participants and Subscribers may not represent that their brokerage services to a client or customer are free or available at no cost to their clients, unless the Participant or Subscriber will receive no financial compensation from any source for those services. MLS participants and subscribers shall present a true picture in their advertising and representations to the public, including Internet content, images and the URLs and domain names they use, and participants and subscribers may not:
a. engage in deceptive or unauthorized framing of real estate brokerage websites;
b. manipulate (e.g., presenting content developed by others) listing and other content in any way that produces a deceptive or misleading result;
c. deceptively use metatags, keywords or other devices/methods to direct, drive, or divert Internet traffic,
d. present content developed by others without either attribution or without permission; or
e. otherwise mislead consumers, including use of misleading images
 
12.14 Display. Subject to Sections 12.15, 12.16, and 12.19, broker participants and R.E. subscribers shall be permitted to display the MLS compilation in either electronic or printed format to specifically identified and bona fide prospective purchasers only in conjunction with their ordinary business activities of attempting to locate ready, willing and able buyers for the properties described in said MLS compilation. Broker participants and R.E. subscribers shall be permitted to display the MLS compilation in either electronic or printed format to specifically identified and bona fide sellers or prospective sellers only in conjunction with their ordinary business activities in listing properties. Broker Participants and R.E. Subscribers may not filter out or restrict MLS listings that are searchable by and displayed to consumers based on the level of compensation offered to the cooperating broker or the name of a brokerage or agent. Appraiser participants and appraiser subscribers shall be permitted to display the MLS compilation to the person requesting the appraisal only in conjunction with their ordinary business activities of producing a written appraisal. Such displays under this section shall be only in the immediate presence of the MLS participant or subscriber.
 
12.16(e) Listing Attribution. All IDX listing displays shall display the name of the listing firm, the listing Participant’s identified email or phone number, and the name of the listing agent in a manner designed to easily identify such listing firm or agent. Such identification shall be in a reasonably prominent location and provide clear, conspicuous written or verbal identification of the name of the listing firm, the listing Participant’s identified email or phone number, and the name of the listing agent. Displays of minimum information (e.g. a one-line or thumbnail search result, 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. Audio delivery of listing content is exempt from this disclosure requirement only when all required disclosures are subsequently delivered electronically to the registered consumer performing the property search or linked to through the device’s application.
 
Section 12.19.21: (C.A.R. Section 12.19.18:) 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. to identify the name of the listing firm and the listing broker or agent, and the listing Participant’s identified email or phone number, in a readily visible color, in a reasonable prominent location, and in typeface not smaller than the median typeface used in the display of listing data.

MLS Rules & Regulations Changes – Nov. 29

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Effective November 29th, 2021 the following MLS Rules & Regulations changes go into effect. These changes are being made to provide further clarification for how “Coming Soon” listings function within the MLS.
 
Additions, deletions, and changes are in red font.
 
7.5.1 Mandatory Submission.
(a) Clear Cooperation. Within one (1) business day of marketing a property to the public, the listing broker must submit the listing to the MLS for cooperation with other MLS participants. Public marketing includes, but is not limited to, flyers displayed in windows, yard signs, digital marketing on public-facing websites, brokerage website displays (including IDX and VOW), digital communications marketing (email blasts), multi-brokerage listing sharing networks, and applications available to the general public. The public would include anyone outside the broker(s) and agent(s) licensed within a single listing brokerage and their clients.
 
9.1.1 Showing Access. Properties entered into the system must be available to show within 3 days subject to any tenant’s rights, hazardous conditions or unless seller indicates otherwise in writing. Listings within the Coming Soon Status must clearly state in the Confidential Remarks seller’s instruction as to whether showings will be permitted or not. If showings are not permitted, showings are not allowed for any Subscriber nor by the listing agent. If showings are permitted, the listing agent may show and must allow showings by any Subscriber. Agent must indicate any change to the seller’s instruction in the MLS accordingly.
 
10.1 Statuses
Coming Soon (CS) – A valid listing contract exists and a SELM has been filed with the MLS. Remains in status for 30 days after which it becomes Cancelled – Coming Soon. Days on MLS will not start counting until published as an “Active” listing. “Coming Soon” is defined as a temporary, optional starting status that can be selected by listing agent. This applies if publicly marketed.
 
10.1.1 Coming Soon Listings. It shall be the responsibility of the Broker Participant (Section 4.1.1) and Real Estate Subscriber (Section 4.2.1) to follow said rules when placing a property in the Coming Soon section of the multiple listings service (MLS). Broker Participant and Real Estate Subscriber shall only place a property in the Coming Soon section of the MLS if the Participant/Subscriber has met necessary criteria for MLS input as described Sections 7.5, 7.6 and 8.1. 
 
Participant/Subscriber is required to enter a proposed list date to proceed in placing a listing in the Coming Soon section of the MLS. Once the listing moves from Coming Soon to any Active status it cannot revert back to Coming Soon with that same broker.
 
  1. It is optional to place your listing into the a Coming Soon Status. 
  2. Listing agent must have a signed written listing agreement in place to enter a “Coming Soon” listing which explains the limitations of the “Coming Soon” status.
  3. The MLS requirement of unilateral offer of compensation still applies while in “Coming Soon” status. 
  4. The Coming Soon listing will automatically be placed in a “Withdrawn Coming Soon” after 30 days of entry. 
  5. Coming Soon listings will be viewable to all MLS Participants.
  6. Coming Soon listings will not be syndicated out to other websites. 
  7. Coming Soon listings will not be included in the IDX and RETS feeds. 
  8. Coming Soon listings are only searchable within the Paragon MLS. 
  9. Once a listing has been moved from Coming Soon to Active status by the agent, it cannot revert to Coming Soon with that same broker.
  10. Days on Market (DOM) re-sets when status is changed to Active. Cumulative Day on Market (CDOM) continues counting from the time entered into the MLS. Only when a property has been off the market (Canceled or Expired) for more than thirty (30) days will the days (DOM and CDOM) on the listing start at zero (0).  
If you have any questions please contact CCAR MLS Compliance at [email protected] or 925.295.1270

MLS Rule Update – 13.2.2 Lockbox Requirements

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MLS Rule Update – 13.2.2 Lockboxes Requirements
 
The CCAR MLS Rules & Regulations are being updated with the below changes which will go into effect on April 26th, 2021. These changes have been adopted to clarify the lockbox requirements when working in the expanded MLS marketplace in conjunction with the NorCal MLS Alliance.
 
13.2.2 Lockbox Requirements. If any lockbox or other device giving access to On Market listed property for real estate professionals and/or service providers is authorized by the seller and/or occupant and is placed on or present on property listed through the Service, such lockbox or device must be one that is approved by the MLS where the listing has been submitted. The authorized lockboxes are those that are sold by, leased by or otherwise offered through the local Association or MLS where the listing is submitted and have been approved by the MLS (Kim User Group approved Supra BT LE lockbox) To find the approved lockbox for a specific geographical area, a map and list of the neighboring Associations/MLSs, Click here.
 
Unless expressly indicated otherwise by the MLS, for any other lockbox or device to be considered “approved,” use of it must provide reasonable, timely access to listed property such that
 
(1) it allows all participants and subscribers timely access to listed property by reliance solely on data submitted to and residing on the MLS;
(2) complete, accurate and stand-alone instructions are provided for accessing the listed property in the appropriate agent section on the Service; and
(3) it ensures that the lockbox or device will provide reasonable access to listed property with any information, code or key needed to access the contents of the lockbox or device to be made available or access to the property otherwise scheduled within four [4] hours of initial contact in the event the lockbox or device requires the participating member to obtain additional information to enable access (ex: “call listing agent for entry code”) with said 4 hour response obligation in effect every day from 8am to 6pm. The MLS reserves the right to require that the device be submitted in advance for approval. The MLS also may revoke the approval and/or subject the participant to discipline if the device is used in a manner that fails to continue to satisfy this requirement. Failure to provide reasonable and timely access as required by this section will subject the listing agent to discipline and potential fines. More than one lockbox or access device may be used on a property as long as one of them is approved (Kim User Group approved Supra BT LE lockbox) where the listing is submitted.
 
If you have any questions please contact CCAR MLS Compliance at [email protected] or 925.295.1270

MLS Rule Changes 12.5.1, 14.3, and ‘Appendix B – Citation Policy’

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At NAR’s November 2020 meetings, the NAR MLS Policy Committee adopted many new MLS standards and policy mandates. The following mandated MLS Rule changes will go into effect March 1st, 2021.

12.5.1 Public Remarks Restrictions and Requirements
  1. Information in the public remarks shall only relate to the marketing, description and condition of the property.
  2. No contact information is permitted, including names, phone or fax numbers, email addresses or website branded addresses (including branded virtual tours and branded transaction tracking URLs).
  3. No showing instructions are permitted, including references to lockbox, alarm, gate or other security codes, or the vacancy of the property. However, a statement that the property shall be delivered vacant is not a violation.
  4. No information directed toward real estate agents or brokers, including compensation or bonuses offered to cooperating brokers may be shown in public remarks.
  5. No other information may be provided that goes beyond a description of the property.
  6. Listing Content and Fair Housing Laws. All listing information, including all remarks, submitted to the MLS must be in compliance with fair housing laws. The MLS monitors listing content and employs a process for identifying potential violations of fair housing laws. Should potential fair housing law violations be identified, Participants and Subscribers will be advised to  immediately remove or correct such potential violations. Failure to remove or correct may subject Participants and Subscribers to discipline and/or subject the listing to immediate removal from display.

14.3 Citations.
The MLS Committee, subject to approval of the Board of Directors, may implement a schedule of fines for certain MLS rules violations and direct staff to issue citations for the specified MLS rules violations and implement a procedure whereby the Participant and Subscriber receiving the citation may either (1) pay the amount specified on the citation, or (2) request citation reconsideration (paper review) in accordance with the procedures set forth in the California Code of Ethics and Arbitration Manual (if such reconsideration procedure has been adopted by the MLS) or (3) request a full hearing in accordance with the procedures set forth in the California Code of Ethics and Arbitration Manual.

Appendix B – Citation Policy

D. Notices of any violation will be sent to both Subscribers and their responsible Participant. A violation must be corrected within two (2) calendar days of notice of violation sent to the Violator and/or Responsible Participant. Receipt of notice is presumed to be the sooner of three (3) calendar days after mailing or one (1) calendar day after email or facsimile transmission. Failure to correct a noted violation within the two (2) day time period allotted will result in a new violation for the uncorrected violation with the associated fine for that level of violation. Failure to correct a violation within the two (2) day correction period may also subject a non-conforming listing to removal by the MLS from active display. New violations may be issued for any remaining uncorrected violations until the violations are corrected or the maximum fine is reached as set forth below.

G. If a Violator recipient of a citation believes that a violation notice and fine was issued in error, the Violator recipient may request a hearing in accordance to the procedures set out by their MLS/AOR. Prior to requesting a hearing, the violation must be corrected.

I. The MLS Committee and/or the Board of Directors reserves the right, at its discretion, to charge a Participant or Subscriber with rules violations by virtue of the hearing process, including the possibility of additional fees or fines, suspension or expulsion, rather than utilizing the citation process. Thus, the below fines may not be all inclusive. Any Participant or Subscriber who accumulates in excess of 5 (five) 3 (three) violations in one calendar year, unless otherwise specified, may shall be required to attend a hearing for their actions and potential violations of MLS rules. Additionally the responsible Participant is required to attend any such hearing of a Subscriber. be referred to the MLS Committee and/or the Board of Directors for a review to determine whether or not further discipline and possible suspension of MLS service is warranted.

J. Reporting of violations will remain confidential. When requested by a complainant, the MLS shall provide a process for processing reports of violations without revealing the complainant’s identity. If the matter is forwarded to hearing, then the MLS Committee, Grievance Committee, MLS staff or other representative must serve as the complainant when the original complainant does not consent to participating in the process or the disclosure of his or her name.

If you have any questions please contact CCAR MLS Compliance at [email protected] or 925.295.1270

MLS Rule Changes – Dec 28th

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The following changes to the MLS Rules and Regulations will go into effect December 28th. These changes will allow an “Active – Coming Soon” listing to meet the requirements of Mandatory Submission and provide clarity for agents when explaining Clear Cooperation to sellers.
 
 
7.5 Mandatory Submission. Within 21 business days after of marketing or advertising a property to the public all necessary signatures of the seller(s) have been obtained on the listing or at the beginning date of the listing as specified in the contract, whichever is later, on any exclusive right to sell or seller reserved listing on agreement for the sale of one to four unit residential property and vacant lots located within the service area of the MLS, Broker Participants shall must(1)input the listing to the service for cooperation with other Participants., or (2) submit a seller-signed exclusion in accordance with Section 7.6 (Exempted Listings) to the service. Public marketing or advertising includes, but is not limited to, conveying or displaying any information about the property or its availability for sale through or on any: windows, signs, public facing websites, social media, brokerage or franchise operated websites (including IDX and VOW), digital communications marketing (ex: email, text or phone blasts, social media messaging), multi-brokerage or franchise listing sharing networks, flyers or written material or on any applications available to the public or through conducting an open house. The public would include anyone outside the broker(s) and agent(s) licensed within a single listing brokerage and their clients, as further described in Section 7.6)All necessary signatures are those needed to create an enforceable listing, which generally means all named signatories to the listing agreement. In the event there are known additional property owners not made a signatory to the listing, listing broker shall disclose said fact on the service and state whether the listed seller will make the sale contingent on the consent of the additional property owners. In the event listing agent is prevented from complying with the 2 day time period due to seller’s delay in returning the signed listing agreement, listing broker must submit the listing to the service within 2 days of receipt back from seller. The MLS may require listing broker to present documentation to the service evidencing seller’s delayed transmission. Only those listings that are within the service area of the MLS must be input. Open listings, rental listings or listings of property located outside the MLS’s service area (see Section 7.7) are not required by the service, but may be input at the Broker Participant’s option.
 
7.6 Exempted Listings. If the seller refuses to permit the listing to be disseminated by the service on any exclusive right to sell or seller reserved listing agreement for the sale of one to four unit residential property and vacant lots located within the service area of the MLS, the listing broker shall submit to the service within 1 3 days after all necessary signatures of the seller(s) have been obtained on the listing agreement or at the beginning date of the listing as specified in the contract, whichever is later, a certification signed by the seller stating that the seller instructs listing broker to do no public marketing or advertising (as public marketing or advertising is defined in Section 7.5), that the only scope of permissible promotion of the property will occur internally within the brokerage and consist of direct one-on-one communication between the listing broker and licensees affiliated with the listing brokerage and their respective clients (i.e. “office exclusive”) and that seller refuses to does not authorize the listing to be disseminated by the service. C.A.R. Standard Form SELM and/or RLA may be used for this certification, but in any event, said exclusion certification shall include the aforementioned required statements as well as an advisory to seller that, in keeping the listing off the MLS, (1) real estate agents and brokers from other real estate offices, and their buyer clients, who have access to the MLS may not be aware seller’s property is for sale, (2) seller’s property will not be included in the MLS’s download to various real estate Internet sites that are used by the public to search for property listings, (3) real estate agents, brokers and members of the public may be unaware of the terms and conditions under which seller is marketing the property, and (4) any reduction in the exposure of the property may lower the number of offers made and negatively impact the sales price. In the event listing broker commences any public marketing or advertising on an exempted listing, submission to the MLS for dissemination is required within (1) one business day thereafter in accordance with Section 7.5.
 
 
If you have any questions please contact CCAR MLS Compliance at [email protected] or 925.295.1270