Arbitration | Chicago Association of REALTORS®


Required: Mediation Before Arbitration

According to Section 44 of the National Association of REALTORS® Code of Ethics and Arbitration Manual, an arbitrable matter exists when there is a monetary dispute between two managing brokers of two separate offices as it relates to co-op commissions. By becoming and remaining a member of the Chicago Association of REALTORS®, every member agrees to submit to arbitration by the Board’s facilities as defined in Article 17 of the Code of Ethics. Keep in mind that C.A.R. requires mandatory mediation prior to arbitration. Therefore, once our Grievance Committee has determined that an arbitrable matter exists, a mediation conference will then be scheduled. If the conference is not successful, an arbitration hearing will then be scheduled. As we have realized a 90% success rate for mediations, we hope that we can avoid arbitration!

What do I need to include to file for Arbitration?

  • So that our Grievance Committee can properly review your complaint, please ensure the following:
  • A timeline of events leading up to the closing are included
  • Dates of events are included so that Grievance can determine if the request is filed on time
  • All appropriate parties are named
  • The Managing Broker is filing and signing the complaint

What will happen to my case next?

Your case will go to the Grievance Committee who acts as a grand jury and reviews each case to determine if it should go to a hearing. You will need to supply enough information for the Grievance Committee to determine if a co-op (between two brokerages) dispute exists and or to determine if there was unethical conduct on the part of the REALTOR® you are complaining about.

Mandatory Mediation Information

The C.A.R. Board of Directors has now adopted the National Association of REALTORS® mandatory mediation requirement which requires that all parties who file for mandatory arbitration attempt to resolve their dispute through mediation prior to going to arbitration. As we have seen an over 90% success rate in resolving commission disputes through mediation, we are extremely excited for this new change.

Mediation allows for an informal conversation and an opportunity for each side to understand the other parties’ position. Often an agreement is reached which is acceptable to both sides. If an agreement cannot be reached, an arbitration hearing will be scheduled. Learn more .

File for Arbitration

General instructions for filing a complaint
File your Arbitration Request Online Here