Subsequently, C.A.R. withdrew the compromise clause from the Independent Contractor (ICA) contract. Since then, brokers have been subject to costly group actions that call into question the status of independent contractors of associate licensees. The C.A.R. legal department regularly establishes legal articles for our members. These articles are often question-and-answer and are currently available on more than 150 themes in more than 50 categories. The model themes are advertising, arbitration and mediation, brokerage practice, cold calling, contractual issues, leasing law, the cause of procurement, real estate disclosures and much more. In February 2011, a California appeals court found that arbitration proceedings between a broker and a seller had to be conducted under arbitration rules typical of employment contracts. To be valid, the arbitration agreement must include, among other things, cost caps and pre-established rules.
For example, C.A.R. has redesigned its ICA to include an arbitration agreement to comply with both the requirements of the 2011 case and other class action waiver cases. The new Page Long clause states that if you need legal advice from a lawyer and you are a member of C.A.R., please visit the legal assistance page and complete the form. Although the articles contain very valuable information, they are not updated regularly, and it is therefore imperative that members verify the accuracy of legal information by consulting a lawyer on the C.A.R. legal hotline. For any questions about this site, please contact Legal editor, Neil D. Kalin, Esq. Please include your full name, office and membership number in your email. In recent times, C.A.R.`s membership has increased considerably and thousands of new real estate licensees have joined the ranks of those who turn to the legal helpline for free legal advice. As a result, the legal hotline is flooded with calls, faxes and emails. Unfortunately, this can mean a delay of several days before receiving a call from one of the real estate lawyers to our employees. Our call centre representatives, who answer phones, process your requests and pass them on to lawyers, would greatly appreciate your understanding and patience.
The code of ethics now prohibits HATE speech from REALTORS®: What you need to know If brokers do not want the arbitration clause to apply, just tell the associate licensee not to initiate the clause, and if the broker wants to make sure the case is heard by the court, they can go beyond the entire clause 12 and get the cross-out. Even if the new clause is carefully crafted, this area of the law is in a state of change. Brokers can also pay more than they would if the complaint was brought to court by an individual.