Ethics Citations

Ethics Citation for Code of Ethics and Lockbox Violations

To uphold professionalism in our industry, the Chicago Association of REALTORS® Board of Directors adopted an 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 this expedited system. The new system took effect on Jan. 1, 2015.

How the Ethics Citation System Works

• A REALTOR® or member of the public can file a citation against a Chicago REALTOR®. The citation must allege a violation in accordance with our Citation Violation Schedule. An Ethics Citation complaint can be filed anonymously.
• The complaint must be filed within 180 days of the alleged event.
• The Chicago Association of REALTORS®’ Citation Panel will meet to review the complaint.
• If the Citation Panel determines that based on the information provided, there is enough to support a violation of the Code of Ethics, it will fine the REALTOR® based on the Citation Violation Schedule.
• The REALTOR® has 30 days to pay the fine or request a hearing. If a hearing is requested, the complaint will proceed to the Code of Ethics hearing process.
• If payment isn’t submitted within the time-frame allotted for the specific violation, CAR membership privileges will be revoked – including MLS access.

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Why Use the Ethics Citation System?

You can contact PS@chicagorealtor.com or (312) 803-4900 for additional information.

Code of Ethics – Citation Violation Schedule

Code of Ethics	Fine	Standards of Practice
Article 1	$1,500	SOP 1-5: Failure to fully disclose and obtain consent from both parties when representing both the seller/landlord and buyer/tenant in the same transaction
	$500	SOP 1-6: Failure to submit offers and counter-offers objectively and as quickly as possible
	$250	SOP 1-7: Failure on the part of a listing broker to provide, as soon as practical, written affirmation that an offer was presented to the seller/landlord or written notification that the seller/landlord has waived the obligation to have the offer presented, upon written request of a cooperating broker submitting an offer.
	$250	SOP 1-8: Failure on the part of a buyer’s/tenant’s broker to provide, as soon as practical, a written affirmation to the listing broker stating that the counter-offer has been submitted to the buyers/tenants, or a written notification that the buyers/tenants have waived the obligation to have the counter-offer presented.
	$1,000	SOP 1-12: Failure to advise sellers/landlords of information specified in Standard of Practice 1-12 prior to entering into a listing contract
	$1,000	SOP 1-13: Failure to advise buyers/tenants of information specified in Standard of Practice 1-13 prior to entering into a buyer/tenant agreement
	$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	$500	SOP 3-2: Failure to communicate a change in compensation for cooperative services prior to the time that REALTOR® submits an offer to purchase/lease the property
	$500	SOP 3-2: As a listing broker, attempting to unilaterally modify the offered compensation with respect to a cooperative transaction after a REALTOR® has submitted an offer to purchase or lease that property
	$500	SOP 3-4: Failure to disclose existence of a dual or variable rate commission.
	$500	SOP 3-4: Failure to disclose to cooperating brokers differential that would result in dual or variable rate commission arrangement if sale/lease results through efforts of seller/landlord
	$250	SOP 3-6: Failing to disclose existence of accepted offers, including offers with unresolved contingencies, to cooperating brokers
	$250	SOP 3-8: Misrepresenting the availability of access to show or inspect a listed property
	$2,500	SOP 3-9: Providing access to listed property on terms other than those established by the owner or the seller.
Article 4	$500	Failing to disclose REALTOR®’s present or contemplated interest in writing to all parties to the transaction.
Article 5	$500	Providing professional services without disclosing REALTOR®’s present interest in property (limited to present interest, not contemplated)
Article 6	$500	(First paragraph) Accepting any commission, rebate or profit on expenditures without client’s knowledge or consent.
	$500	(Second paragraph) Failure to disclose to a client or customer REALTOR®’s financial benefits or fees received as a direct result of recommending real estate products or services
	$500	SOP 6-1: Failure to disclose REALTOR®’s direct interest in an organization or business entity when recommending to a client or customer that they use the services of that organization or business entity
Article 12	$250	Failure to present a true picture in real estate communications and advertising.
	$250	Failure to disclose professional status as a real estate professional in advertising or other real estate communications.
	$250	SOP 12-1: Representing brokerage services to a client or customer as free or available at no cost when the REALTOR® receives compensation from any source for those services
	$250	SOP 12-3: Failure to exercise care and candor when communicating the terms and conditions of premiums, prizes, merchandise discounts or other inducements to list, sell, purchase, or lease
	$500	SOP 12-4: Advertising property for sale/lease without authority of owner or listing broker
	$250	SOP 12-5: Failure to disclose name of firm in advertisement for listed property.
	$500	SOP 12-6: Failing to disclose status as both owner/landlord and REALTOR® or licensee when advertising property in which REALTOR® has ownership interest.
	$250	SOP 12-7: Falsely claiming to have “sold” a property when not the listing broker or cooperating broker.
	$250	SOP 12-8: Failure to take corrective action when it becomes apparent that information on a REALTOR®’s website is no longer current or accurate
	$250	SOP 12-9: Failure to disclose firm name and state of licensure on REALTOR® firm website.
	$250	SOP 12-10: Misleading consumers through deceptive framing, manipulating content, deceptively diverting internet traffic, presenting other’s content without attribution or permission, or using misleading images.
	$500	SOP 12-12: Registering or using of deceptive URL or domain name.
	$500	SOP 12-13: Representing that the REALTOR® has a designation, certification, or other credential they are not entitled to use.
Article 14	$500	Failing to cooperate in a professional standards proceeding or investigation in circumstances when cooperation has been demanded by the association and association has advised REALTOR® failure to cooperate could result in an allegation of a violation of Article 14
Article 16	$500	SOP 16-16: Conditioning submission of a buyer’s offer on additional compensation from a listing broker.
	$250	SOP 16-19: Placement of “for sale” or “for lease” sign on property without permission of the seller/landlord.

Lockbox Rules

Chicago REALTORS® Policy	Fine	(continued)
C.A.R. Policy 611: Security of Property Policy	$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. No Member shall provide lockbox codes or similar access devices or information to unauthorized third-parties in a manner that violates the terms of any Sentrilock or other lockbox agreement or policies. No Member who holds, possesses, or is responsible for an electronic keycard or mobile application shall allow that electronic keycard or mobile application to be used by any person other than a person authorized to use the keycard or mobile application. No Member shall give an electronic code or combo code to any person not authorized to use or possess the code.