Rules & Regs 4 Participation and Authorized Access

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4.1        Participant

A participant is any individual who applies and is accepted by the MLS, meets and continues to meet all of the following requirements of either a broker participant or an appraiser participant as defined below in sections 4.1.1 and 4.1.2.

4.1.1    Broker Participant

A broker participant is a participant who meets all of the following requirements:

a. The individual or corporation for which the individual acts as a broker/officer holds a valid California real estate broker’s license;

b. The individual is a principal, partner, corporate officer, or branch office manager acting on behalf of a principal;

c. The individual or corporation for which the individual acts as a real estate broker/officer offers and/or accepts compensation in the capacity of a real estate broker cooperates with other brokers,;*

d. The individual has signed a written agreement to abide by the rules and regulations of the Service in force at that time and as from time to time amended;

e. The individual pays all applicable MLS fees; and

f. The individual has completed any required orientation program of no more than eight (8) classroom hours within sixty (60) days after access has been provided, said individual to be given the opportunity to complete any mandated orientation program remotely.

*Note: Mere possession of a broker's license is not sufficient to qualify for MLS participation. Rather, the requirement that an individual or firm, offers and/or accepts offers if compensation cooperates means that the Participant actively endeavors during the operation of its real estate business to list real property of the type listed on the MLS, shares information on listed property, and makes property available to other brokers for showing to prospective purchasers and tenants when it is in the best interests of their client(s) and/or to accept offers of cooperation and compensation made by listing brokers or agents in the MLS. “Actively” means on a continual and on-going basis during the operation of the, Participant's real estate business. The “actively” requirement is not intended to preclude MLS participation by a Participant or potential Participant that operates a real estate business on a part time, seasonal, or similarly time-limited basis or that has its business interrupted by periods of relative inactivity occasioned by market conditions. Similarly, the requirement is not intended to deny MLS participation to a Participant or potential Participant who has not achieved a minimum number of transactions despite good faith efforts. Nor is it intended to permit an MLS to deny participation based on the level of service provided by the Participant or potential Participant as long as the level of service satisfies state law.

The key is that the Participant or potential Participant actively endeavors to make or accept offers of cooperation and compensation to cooperate with respect to properties of the type that are listed on the MLS in which participation is sought. Cooperation is the obligation to share information on listed property and to make property available to other brokers for showing to prospective purchasers and tenants when it is in the best interests of their client(s). This requirement does not permit an MLS to deny participation to a Participant or potential Participant that operates a Virtual Office Website (“VOW”) [See Rule No. 12.19] (including a VOW that the Participant uses to refer customers to other Participants) if the Participant or potential Participant actively endeavors to cooperate to make or accept offers of cooperation and compensation. An MLS may evaluate whether a Participant or potential Participant “actively endeavors during the operation of its real estate business” to cooperate to “offer and/or accept compensation” only if the MLS has a reasonable basis to believe that the Participant or potential Participant is in fact not doing so.

These membership requirements shall be applied on a nondiscriminatory manner to all Participants and potential Participants.

For violation of this section, see Appendix A, Citable Infractions, 5.5, Non-Completion of Any Required Orientation Program within 60 Days.

4.1.2    Appraiser Participant

An appraiser participant is a participant who meets all the following requirements:

a. The individual holds a valid California appraiser’s certification or license issued by the Bureau of Real Estate Appraisers (“BREA”) (also referred to as “Office” of Real Estate Appraisers or OREA);

b. The individual is a principal, partner, corporate officer, or branch office manager acting on behalf of a principal;

c. The individual has signed a written agreement to abide by the rules and regulations of the Service in force at that time and as from time to time amended;

d. The individual pays all applicable MLS fees; and

e. The individual has completed any required orientation program of no more than eight (8) classroom hours within sixty (60) days after access has been provided, said individual to be given the opportunity to complete any mandated orientation program remotely.

For violation of this section, see Appendix A, Citable Infractions, 5.5, Non-Completion of Any Required Orientation Program within 60 Days.

4 4.2    Subscriber

A subscriber is an individual who applies and is accepted by the MLS, meets and continues to meet all of the following requirements of either a real estate subscriber or appraiser subscriber as defined below in sections 4.2.1 and 4.2.2:

4.2.1    Real Estate Subscriber

A real estate subscriber is a subscriber who meets all of the following requirements:

a. The individual holds a valid California real estate salesperson’s or broker’s license,

b. The individual is employed by or affiliated as an independent contractor with a broker participant;

c. The individual has signed a written agreement to abide by the rules and regulations of the Service in force at that time and as from time to time amended;

d. The individual pays all applicable MLS fees; and

e. The individual has completed any required orientation program of no more than eight (8) classroom hours within sixty (60) days after access has been provided, said individual to be given the opportunity to complete any mandated orientation program remotely.

For violation of this section, see Appendix A, Citable Infractions, 5.6, Non-Completion of Any Required Orientation Program within 60 Days.

4.2.2    Appraiser Subscriber

An appraiser subscriber is a subscriber who meets all of the following requirements:

a. The individual holds a valid California real estate appraisers certification or license issued by the BREA;

b. The individual is employed by or affiliated as an independent contractor with an Appraiser Participant;

c. The individual has signed a written agreement to abide by the rules and regulations of the Service in force at that time and as from time to time amended;

d. The individual pays all applicable MLS fees; and

e. The individual has completed any required orientation program of no more than eight (8) classroom hours within sixty (60) days after access has been provided, said individual to be given the opportunity to complete any mandated orientation program remotely.

For violation of this section, see Appendix A, Citable Infractions, 5.5, Non-Completion of Any Required Orientation Program within 60 Days.

5 4.3    Clerical Users

Clerical users are individuals (whether licensed or unlicensed) under the direct supervision of an MLS participant or subscriber who perform only administrative and clerical tasks that do not require a real estate license or an appraiser’s certificate or license. Each participant and subscriber shall notify the MLS of all clerical users employed by or affiliated as independent contractors with the participant or subscriber and shall immediately notify the MLS of any changes, additions to or deletions from the list. Clerical Users shall also be subject to the following requirements:

(a) Each Clerical User is given a unique passcode;

(b) Participant or Subscriber linked to the Clerical User may be fined, disciplined or terminated for Clerical User’s misconduct;

(c) Clerical Users may be required to complete any required orientation program of no more than eight (8) classroom hours within sixty (60) days after access has been provided, said individual to be given the opportunity to complete any mandated orientation program remotely.

For violation of this section, see Appendix A, Citable Infractions, 1.1, Use of MLS System by Unauthorized Party.

4.4        Notification of Licensees

Each participant shall provide the MLS with a list of all real estate licensees or certified or licensed appraisers employed by or affiliated as independent contractors with such participant or with such participant’s firm and shall immediately notify the MLS of any changes, additions or deletions from the list. This list shall include any licensees under any broker associate affiliated with the participant.

For violation of this section, see Appendix A, Citable Infractions, 1.1, Use of MLS System by Unauthorized Party.

4.5        Participation Not Transferable

Participation in the MLS is on an individual basis and may not be transferred or sold to any corporation, firm or other individual. Any reimbursement of MLS fees is a matter of negotiation between those transferring the business or determined by internal contract arrangement within the firm. However, providing the first participant consents, the MLS shall allow a firm to designate a different person as a participant within the firm without additional initial participation fees. The MLS may charge an administrative fee for this service of reassigning participants within a firm.

4.6        Listing Broker Defined

For purposes of these MLS rules, a listing broker is a Broker Participant who is also a listing seller’s agent in accordance with Civil Business and Professions Code Section 108610000 et. seq. who has obtained a written listing agreement by which the broker has been authorized to act as an agent to sell or lease the property or to find or obtain a buyer or lessee. Whenever these rules refer to the listing broker, the term shall include the real estate subscriber or a licensee retained by the listing broker but shall not relieve the listing broker of responsibility for the act or rule specified.

4.7        Buyer Broker or Selling Broker Defined

For purposes of these MLS rules, a buyer broker is a Broker Participant who is also a buyer’s agent as defined in Civil Business and Professions Code Section §1086 10000 who acts in cooperation with a listing broker to accept the offer of compensation and/or subagency to find or obtain a buyer or lessee. The buyer broker or selling broker may be the agent of the buyer or, if subagency is offered and accepted, may be the agent of the seller. Whenever these rules refer to the buyer broker or selling broker, the term shall include the real estate subscriber or licensee acting for the buyer or selling broker but shall not relieve that broker participant of responsibility for the act or rule specified.

4.8        Appraiser Defined

For purposes of these MLS rules, an appraiser is an appraiser participant, appraiser subscriber, or a licensed or certified appraiser acting for the appraiser participant or appraiser subscriber. Whenever these rules refer to the appraiser, the term shall also include the appraiser subscriber or a licensed or certified appraiser employed by or affiliated as an independent contractor with the firm that employs the appraiser but shall not relieve that appraiser participant of responsibility for the act or rule specified.

4.9        Denied Application

In the event an application for participation in the MLS is rejected by the MLS, the applicant, and his or her broker, if applicable, will be promptly notified in writing of the reason for the rejection. The broker shall have the right to respond in writing, and to request a hearing in accordance with the California Code of Ethics and Arbitration Manual.

4.10 Subject to MLS Rules

By becoming and remaining a Participant, Subscriber or Clerical User, each Participant, Subscriber and Clerical User agrees to be subject to these MLS rules and regulations, the enforcement of which are at the sole discretion of the applicable Committee/Board of Directors.