NEW ETHICS CITATION SYSTEM
New Ethics Citation System for Code of Ethics and Lockbox Violations
To uphold professionalism in our industry, the Chicago Association of REALTORS® Board of Directors adopted a new Ethics Citation System to improve the process, and help protect buyers and sellers. Chicago REALTORS® facing ethics citations now will have the opportunity to save time and money by opting into the new system. The new system took effect on Jan. 1, 2015 and was revised as of June 1, 2017.
How the Ethics Citation System Works
- A REALTOR® or member of the public can file a complaint against a Chicago REALTOR®. The complaint can be anonymous.
- A C.A.R. Citation panel will meet to review the complaint.
- If the panel determines there is enough evidence, it will fine the REALTOR® based on the Citation Violation Schedule.
- The REALTOR® has 10 days to appeal.
- After an appeal, the complaint will proceed to the Code of Ethics hearing process.
In lieu of an appeal, payment is due.
- If payment isn’t submitted within the time-frame allotted for the specific violation, C.A.R. membership privileges will be revoked – including MLS access.
Why Use the Ethics Citation System?
For Complainants: The Ethics Citation System enables C.A.R. to more quickly discipline unethical conduct. Under the new program, a complaint can be filed anonymously. The program is limited to certain Code of Ethics Articles (See schedule below).
To file a complaint, the complainant must support the alleged unethical conduct with written or other documented evidence. If the respondent chooses a hearing, C.A.R. would encourage the complainant to attend.
For Respondents: Chicago REALTORS® who participate in the Ethics Citation System by paying the fine can avoid a time-consuming hearing process. This a confidential process that can save the embarrassment of a hearing process yet still provide due process rights to all parties.
REALTORS® who want to appeal will proceed to an ethics hearing. The hearing panel will then consider all evidence and make a determination whether a violation occurred.
Code of Ethics – Citation Violation Schedule
Download a printable Ethics Citation Schedule:
|Article 1||$500||SOP 1-5: Failure to disclose dual representation and obtain written informed consent from both parties.|
|$2,500||SOP 1-16: Accessing or using or allowing others to access or use a property managed or listed on terms other than those authorized by the owner or seller.|
|Article 3||$400||SOP 3-4: Failure to disclose existence of a dual or variable rate commission.|
|$250||SOP 3-6: Failure to disclose existence of other contracts to cooperating brokers.|
|$2,500||SOP 3-9: Providing access to listed property on terms other than those established by the owner or the listing broker.|
|Article 4||$300||Failure to disclose REALTORS® interest in a property being bought or sold.|
|Article 5||$300||Providing professional services without disclosing interest in the property.|
|Article 6||$400||Accepting any commission, rebate or profit on expenditures without client’s knowledge or consent.|
|Article 9||$200||Failure to fill out all necessary forms fully and completely.|
|$400||Failure to obtain necessary signatures on forms.|
|Article 12||$250||Failure to present a true picture in real estate communications and advertising.|
|$150||Failure to disclose professional status in advertising or other real estate communications.|
|$500||SOP 12-4: Advertisement offering to sell/lease property without the authority of the owner or the listing broker.|
|$150||SOP 12-5: Failure to disclose name of firm in advertisement for listed property.|
|$250||SOP 12-7: Claiming to have “sold” a property when not the listing broker or cooperating broker.|
|Article 14||$500||Failure to cooperate in any professional standards proceeding.|
|Article 16||$400||SOP 16-16: Use terms of an offer to modify listing broker’s offer of compensation.|
|$200||SOP 16-19: Placement of “for sale” or “for lease” sign on property without permission of the seller/landlord.|
|C.A.R. Bylaw 8.14||$2,500||No Member responsible for a real estate listing shall provide any third-party access to the listed real estate without the seller’s consent and pursuant to the terms and conditions that the seller may reasonably request.|