POLICY AND PROCEDURE
MANUAL
1.) STATEMENT OF GOALS: Rosa Real Estate
Corp is in the service business and its reputation is built upon the knowledge,
expertise, action and integrity of its brokers, associate brokers, salespeople
and employees. It is a requirement that all of its personnel act in accordance
with the highest professional and ethical standards. We are committed to
delivering real estate services in a manner which meets or exceeds these
standards. Our
2.) EQUAL
OPPORTUNITY
A. The Company insists and requires that all
personnel provide equal opportunity in all real estate business
transactions. They shall keep informed on all matters regarding the
requirements imposed by all equal opportunity and fair housing laws and shall
act in accordance with these laws. Service shall be offered to all clients and
customers regardless of race, color, religion, national origin, sex, ethnic
background, age, marital or familial status, disability or any other
classification protected by law.
B. No personnel shall
print, display or circulate any statement or advertisement with respect to the
sale or rental of a property that indicates any preference, limitation or
discrimination on the basis of any classification of protected individuals.
3.) BROKER
SUPERVISION
A. The Company is committed to fulfillment of
all applicable standards for oversight by supervisory personnel who shall, at a
minimum meet the requirements promulgated by the Michigan Occupational Code.
B. The company's personnel, whether a licensed
real estate agent or not, shall comply with these minimum standards. The
company and all personnel must conduct themselves in a manner which meets these
standards. The company encourages everyone to act in a manner which exceeds
these minimum standards in order to assure better service to clients and
customers and to minimize the risk of potential liability.
C. All brokers and associate brokers having
supervisory responsibility shall maintain open, direct communication with all
personnel. Such communication must be
direct and conducted on a regularly scheduled basis. It may be in person, by
radio, telephone or electronically. Every effort will be made to assure that a
broker or associate broker is available on a continuous basis for the purpose
of such communication. All personnel shall cooperate fully with the broker and
associate brokers to assure that this communication if fully maintained.
D.
Broker/Associate Broker Availability: a broker or associate broker will
be available on a regularly scheduled basis to do all of the following:
1. Review the work of all
supervised individuals;
2. Provide consultation for the supervised
individual;
3. Further educate the supervised individual in
the performance of the individual's functions.
4.) PROFESSIONAL
STANDARDS
A. The company is
committed to the compliance by its personnel with the standards imposed by law
and by the professional organizations to which the company belongs.
B. It is required
that all real estate licensees with the company shall familiarize themselves
with the Occupational Code and the Administrative Rules promulgated in
accordance with the Code, and with the Bylaws, Rules and Regulations of all professional organizations of which the
company is a member.
C. All personnel
are required to keep themselves updated on all changes in the law insofar as
they affect real estate licensees.
D. All associate
brokers and salespeople of the company shall comply with all Codes of Ethics,
Standards of Practice and other rules and regulations imposed upon them by
virtue of membership in any professional organizations.
5.) ANTITRUST COMPLIANCE
A. Commission rates
of the company are established solely by the company and are based upon the
company assessment of its costs and market conditions.
B. Commission rates
are not set by any agreement with or suggestion from, any person or entity,
other than the client with whom a listing or other agreement of sale, purchase
or lease of property is signed.
C. Company
personnel shall not discuss with anyone the setting of commission rates charges
by the company, or, for that matter, by any other real estate company.
D. Company
personnel shall make no reference to a "going" rate for real estate
services. It is expressly understood that all commission rates are strictly
negotiable between the company and its principals.
E. The amount of
compensation to be paid to any subagent or buyer's agent shall be determined
solely by the company. Such compensation is not intended to, nor may be used
to, induce any other real estate firm or agent to raise or lower the commission
which may be charged.
F. If company
personnel are present when other real estate licensees outside of the company
begin a discussion of fees, they must remove themselves from that conversation.
At no time shall any company personnel participate in such conversation.
G. Whenever company
personnel are unsure of how to respond to the concerns of potential client or
customer, or are present during an unauthorized discussion of fees they should
immediately contact the broker.
6.) CONFIDENTIAL INFORMATION
All
information disclosed to company personnel during the course of their
activities shall not be divulged to anyone without consent of the principal.
Unauthorized use or disclosure could result in serious harm to the company
and/or termination of the offending person.
7.) ASSOCIATE BROKERS AND SALESPERSON • INDEPENDENT
CONTRACTOR OR EMPLOYEE STATUS
A. Unless otherwise
specifically provided in the agreement between the company and associate
brokers and salespeople, they are independent contractors and not employees. (This
agreement is in writing).
B. The company's
policy is to have a written Independent Contractor Agreement or Employment
Agreement setting forth the terms and conditions of the relationship with the
company before commencing work.
C. Nothing contained in the manual shall impair
or affect the independent contractor status of the company's salespersons or
associate brokers retained by the company pursuant to Independent Contractor
Agreements.
8.) COMPANY EXPECTATIONS
All personnel shall:
A. Comply with all laws and rules governing
real estate licensees.
B. Comply with
directions of supervisory personnel.
C. Support company policies and objectives.
D. Cooperate with all other personnel.
E. Act as a professional at all times.
F.
Pay attention to details.
G.
Make full disclosure of agency status.
H. Properly document all transactions.
9.) USE OF ALCOHOLIC BEVERAGES AND DRUGS
A. No one is to
drink any alcoholic beverage on any day they have real estate business to
transact.
B. Drug use of any
kind, other than properly prescribed and used medicines is strictly prohibited
at all times.
C. Company
personnel may not use the offices and may not transact business if they are
under the influence of alcohol or drugs.
10.) ABILITY TO BIND COMPANY
A. No company
personnel shall have the authority to obligate or bind the company in any way
without the prior, written consent of the company.
B. The only exception
is that salespeople and associate brokers shall have authority to sign listing
agreements on behalf of the company which conform to the established
requirement of the company using approved forms.
C. All actions of
company personnel shall be performed only in accordance with this manual and
only on behalf of the company. No personnel shall be permitted to sell, deal or
act in any way that compromises the authority of the company to supervise or
direct the activities of such personnel in accordance with applicable law.
11.) COMPENSATION
A. Compensation for
each salesperson or associate broker is contained in the Independent Contractor
or Employment Agreement, as applicable.
B. Company
personnel shall not accept or receive compensation of any kind from any other
source for, or in connection with their duties and obligations for and on
behalf of the company.
C. All personnel shall comply with all
applicable provisions of the Occupational Code.
D. There must be
full disclosure to all parties of the acceptance of any referral, placement or
similar fees, to the extent that the company approves, in writing.
12.) TERMINATION OF PERSONNEL
A. Termination of
personnel is governed by the terms of the Independent Contractor or Employment
Agreement
B. Upon
termination, all contracts, equipment, records, files, supplies, reference
material, prospects and keys shall be immediately relinquished by the
terminated individual to the company.
C. All listings,
buyer's broker and other agreements, remain the sole property of the company.
The terminated individual shall take no action which may jeopardize or impair
the company's rights in them.
13.) SALES AND ADMINISTRATIVE MEETINGS
Sales,
administrative and educational meetings are held on a regularly scheduled basis
by the company. Attendance at these meetings is voluntary except to the extent
required by
14.) ADVERTISING
All advertising
must comply with company's policies as well as Rules governing policies and
procedures governing advertising of licensee's own properties.
15.) LISTING POLICY
Company
listing policy shall be in compliance with the Occupational Code and company procedure
regulating obtaining a listing, listing agreements and execution and delivery
to the seller.
16.) HANDLING OFFERS AND COUNTEROFFERS
A. All personnel
shall promptly deliver all written offers and counteroffers in accordance with
B. Licensee shall deliver a signed copy of
the offer to purchase immediately after it has been signed. A licensee shall
promptly tender all written offers to purchase to the seller upon receipt. Upon
obtaining a proper acceptance of the offer to purchase, signed by the seller,
the licensee shall promptly deliver true executed copies of the acceptance to
the purchaser and seller. A licensee shall make certain that all terms and
conditions of the real estate transaction are included in the offer to
purchase.
C. Only sales
agreements, addenda and other forms specifically approved by the company shall
be used by company personnel. Forms currently in use are attached in the
Appendix of this manual.
17.) DEPOSITS
A. All deposits
received by the salesperson shall be immediately turned over to the company for
deposit into its trust account in accordance with applicable law. All company
personnel must familiarize themselves with this rule of law to assure that
deposits are timely made.
B. Company may elect to use a title company to
act as escrow moneys so long as both buyer and seller agree in writing.
18) COOPERATION WITH
OTHER BROKERS Company will cooperate with other brokers at
whatever percentage of commission has been agreed to by the seller.
19.) REFERRAL POLICY
A. All referral,
cooperation, co-participation or compensation agreements between individuals in
the company shall be in writing and approved by the company.
B. Work or
transactions which are not handled by the company or otherwise outside the
expertise of its personnel shall be referred elsewhere upon a compensation
basis approved by the company.
20.) ARBITRATION OF DISPUTES
A. By accepting a
position with this company, all salespersons and associate brokers agree that
disputes between them are to be settled by arbitration within the company in accordance
with the provisions herein and agree to be bound by such arbitrating result.
Any arbitration award may be enforced by the prevailing party in a court of
competent jurisdiction.
B. If salespeople
and associate brokers have a dispute which they are unable to settle, either
party may submit their grievance in writing to the principal broker for the
company.
C. The broker shall
then select two salespeople or associate brokers who are not involved in the
dispute as arbitrators to act with them in resolving the dispute.
D. The three
arbitrators will sit as an arbitration panel to hear and decide the dispute in
accordance with arbitration rules established by the American Arbitration
Association.
E. The results of
arbitration shall be binding upon the parties and may be enforced in any court
of competent jurisdiction.
21.) DISPUTES WITH OUTSIDE PARTIES
A. The decision to
initiate, settle, or compromise any dispute, arbitration or litigation with an
outside party lies solely with the company.
B. If it becomes
necessary for the company to sue for a commission, all expenses, including
attorney's fees, shall be borne by the company and salesperson or associate
broker in the same percentage as their respective portion of earned
commissions, whether or not such a commission is recovered.
C. If the company
is sued as a result of activities or conduct of the salesperson or associate
broker, the cost of defense, including attorney's fees, shall be borne by the
company and salesperson/associate broker in the same percentage as their
respective portion of the commission earned on the transaction; provided, if
the company is found liable as a result of activities or conduct of the
salesperson/associate broker, salesperson/ associate broker shall reimburse the
company for its cost, including attorney's fees.
22.) RESPONSIBILITY FOR REPORTING CASH PAYMENTS OVER
$10,000.
The company is
required to report all cash payments over Ten Thousand Dollars to the IRS on
Form 8300 in accordance with applicable IRS Regulations. All company personnel
must familiarize themselves with the current IRS regulation and report to the
company any cash payments over Ten Thousand Dollars in any transaction in which
they participate.
23.) AUTOMOBILE INSURANCE
Company
personnel who operated an automobile during the performance of company business
must maintain automobile liability insurance coverage for personal injury and
property damage in the minimum amount of $500,000. A current, valid certificate of insurance
must be provided to the company.
24.) FEES AND DUES
Fees and Dues
which are the sole responsibility of the Company personnel include, but are not
necessarily limited to, the following:
Association of Realtor dues, Multiple Listing Fees, computer access
charges, Chamber of Commerce Dues.
25.) RECOMMENDATION TO PURCHASER FOR TITLE EVIDENCE
Personnel
shall recommend to the purchaser that a fee title policy in the amount of the
purchase price be furnished to the purchaser by the seller, issued or certified
to the approximate date of closing of the transaction.
26.) RECOMMENDATIONS TO PARTIES FOR OTHER PROFESSIONAL
ADVICE AND OTHER OUTSIDE SERVICES
All personnel
understand and agree that the Company is not an inspection firm, attorney, structural
engineer, accountant, tax consultant, financial planner, and shall when such
need arises suggest use of outside services.
Personnel shall recommend that inspection firms and other professional
service providers be utilized. If
personnel are receiving compensation in connection with such referral it may
not be in violation of applicable federal, state and local law. Such compensation may only be accepted with
written permission of the client of specific compensation. If the additional compensation is from a
mortgage company, personnel shall obtain permission from both buyer and seller.
27.) AGENCY RESPONSIBILITIES
It is this company’s
policy to practice a tradition style of agency.
When an agent signs a service provision agreement all affiliated
licensees shall be deemed to be acting in the same capacity as the agent
signing the agreement. If a buyer under
contract with one of the agents becomes interested in a piece of property that
is listed in our company, it is our policy to get written permission from both
buyer and seller to act as dual agent in that transaction before
proceeding. In no instance will
undisclosed dual agency be tolerated.
28.) HANDLING OF CLIENT AND CUSTOMER COMPLAINTS
All complaints
shall be reported to the supervising broker or associate broker. If the salesperson is able to handle the
complaint without assistance, this shall be documented and placed in the file
pertaining to the transaction with a copy of the report delivered to the
supervising broker or associate broker.
29.) ACQUIRING INTERESTS IN LISTED PROPERTIES
It is the
policy of this company, in compliance with the occupational code to disclose
the license status of the buyer before the offer to purchase is presented to
the seller. Written evidence of this
disclosure shall be signed by the seller and maintained in the file with the
transaction. No licensed personnel in
this company shall receive any portion of the commission without written
permission by the seller of specific compensation being paid to the licensee.
30.) DISCLOSURE OF
MATERIAL FACTS
If one of the
licensed personnel of this company is selling personally owned property, the
license status of the owner shall be disclosed before the offer to purchase is
signed. Satisfactory written proof of
this disclosure shall be retained in the file for the transaction. Personnel shall recommend to clients that all
material facts concerning the transaction be disclosed. Personnel shall not assist the client in
concealing any material fact which could effect the transaction.
31.) USE OF SELLER'S DISCLOSURE
STATEMENTS
Personnel
shall provide seller’s disclosure statements to all sellers of one to four
family residential properties and advise the seller of their requirement to
fill out and sign the form. Personnel
shall not assist the seller in the preparation of such statement, but should
however advise the seller not to guess, but only to affirm those items of which
they have personal knowledge. If the seller has no knowledge as to the
condition of a particular feature, seller should be advised that there is a
column for checking unknown. While there
is no requirement by law that seller’s disclosure statements are required in
vacant land or commercial property, personnel shall provide sellers with such
forms if sellers wish to utilize them.
32.) CLOSING PROCEDURES
A. All personnel
shall follow the closing procedures established from time to time by the
company.
B. All closing must
be conducted under the direct supervision of a broker or associate broker and
shall be in conformity with applicable law, including delivery of closing
statement to the parties signed by the broker or associate broker.
C. No closing statement shall be signed or
altered by a salesperson.
33.) EARNEST MONEY
DEPOSIT
All earnest
money deposits shall be presented to the broker immediately upon notification
that the offer to purchase has been accepted.
If both seller and buyer agree to use a title company to escrow moneys,
personnel shall obtain buyer and seller’s written permission and shall deliver
the earnest money deposit to the title company within two business days of
notification of acceptance of the offer to purchase.
34.) DISBURSEMENT OF DEPOSITS
Disbursement
of an earnest money deposit shall be made at consummation or termination of the
agreement in accordance with the agreement signed by the parties. However, any deposit in the trust account of
the broker for which the buyer and seller have made claim shall remain in the
broker’s trust account until a civil action has determined to whom the deposit
must be paid, or until the buyer and seller have agreed, in writing, to the
disposition of the deposit. The broker
may also commence a civil action to interplead the deposit with the proper
court.
35.) ERRORS AND OMISSIONS INSURANCE
A. The company carries error and omission
insurance with ________
B. The basic terms of the insurance
are_________________
C. The company will
pay the base rate of the total premium. The remaining will be prorated and
charged to each salesperson or associate broker.
D. In the event of a claim, the
"deductible" amount under the policy shall be paid at the same
percentage as the compensation agreement with the salesperson or associate
broker.
36.) FLOOR TIME
Floor Time is opportunity time. A sign up sheet shall be maintained. Any personnel desiring to work floor time
shall sign up on that sheet. If someone
is unable to work the floor time for which they have volunteered, that person
shall be responsible for making sure that someone else is covering that
time. Personnel may work floor time by
way of call forwarding. In no instance
shall personnel sign up for floor time and not cover such time.
37.) CORRESPONDENCE
A copy of all
correspondence on the company letterhead shall be provided to the company.
38.) DRESS CODE
Proper attire,
so as to present the correct professional image, shall be worn at all times
when conducting business or when at the office.
Attire appropriate to the location or occasion shall be considered
appropriate.
39.) OFFICE HOURS, HOLIDAYS AND VACATIONS
The company,
from time to time, shall post the regular office hours. We shall be officially closed on Christmas
and Easter. If personnel are using the
office on those days, they shall not light the open sign.
40.) OFFICE EQUIPMENT AND SUPPLIES
The office
equipment, such as computers, copy machine, fax machine, scanner and so forth
are provided for the use of the personnel.
If they are not working correctly, this must be reported immediately to
the broker or associate broker.
Reasonable use of supplies is permitted.
If personnel are to be requiring, for example, a major quantity of some
supply, this should be discussed with the broker or associate broker. For example, more that 500 copies of an item
may be able to be produced less expensively by an outside source.
41.) BUILDING USE
The building
shall be available to the personnel during regular business hours. The portion of the building that is available
for personnel to work floor time or store personal files shall be available off
hours by key.
42.) OTHER LICENSES OF COMPANY OR ITS PERSONNEL
If personnel
carry licenses other than broker, associate broker or salesperson, these shall
not be utilized in connection with the transaction without written permission
of broker or associate broker. See rule
number 26.
The
undersigned acknowledges that he/she has received a copy of the Policy and
Procedures Manual for the company and agrees to abide by its terms and all
amendments which may be adopted by the company from time to time.
| Senior Living | Real Estate | Construction | Policy & Procedures | Contact Us | ©2003
Rosa Corp | 