Don’t Forget the Requirement of Clear Cooperation Policy and Code of Ethics

Numerous complaints have been made to MLS staff that members are not following the current MLS rules and regulations regarding cooperation under the Clear Cooperation Policy mandated by NAR.  Here is an explanation of some of the rules:

  • The Clear Cooperation policy requires that listings be placed in the MLS offering cooperation and compensation to other members within 24 hours of publicly marketing the listing.  Public marketing includes signs, brochures, placement on websites, social media posts, eblasts, flyers, etc.

  • Each listing inserted into the MLS must be available for showing by other members.

  • Compensation is offered to buyer agents or transaction brokers or both.  The amount of the compensation offered must be in the form of a flat dollar amount or percentage of sales price.

  • Compensation amount and form is determined by the listing broker after discussion with the owner and documentation in the listing agreement.

  • If the property is not ready for showing, it should not be entered into the MLS.  The listing agreement must state the owner’s desire to withhold the property from MLS and all other public marketing until a date certain.

  • During the “off market” time between listing and the beginning of showing, the listing agent cannot publicly market the property in any way and cannot “selectively” allow some members to show and others be disallowed at the same time.

Some have discouraged showings by delaying appointments through showing services.  If a cooperating agent is told the property is “not available for showing” until a certain date, the listing agent should be able to provide proof, if challenged, that all showing appointments were already filled at that time.

Remember as well that delayed showings can result in the appearance of a fair housing violation if all prospects, whether inside or outside the listing agency, are not treated equally.

Don’t take a chance of an MLS complaint or fair housing complaint by ignoring or circumventing the rules involved in Clear Cooperation.  To do so would greatly increase risk to the member and the company.