Compensation Specified on Each Listing: The listing broker shall specify, on each listing filed with the Broker Listing Cooperative® listing service, the compensation offered to other Broker Listing Cooperative® listing service Participants for their services in the sale of such listing. Such offers are unconditional except that entitlement to compensation is determined by the cooperating broker's performance as the procuring cause of the sale (or lease) or as otherwise provided for in this rule. The listing broker's obligation to compensate any cooperating broker as the procuring cause of the sale (or lease) may be excused if it is determined through arbitration that, through no fault of the listing broker and in the exercise of good faith and reasonable care, it was impossible or financially unfeasible for the listing broker to collect a commission pursuant to the listing agreement.
In such instances, entitlement to cooperative compensation offered through Broker Listing Cooperative® listing service would be a question to be determined by an arbitration hearing panel based on all relevant facts and circumstances including, but not limited to, why it was impossible or financially unfeasible for the listing broker to collect some or all of the commission established in the listing agreement; at what point in the transaction did the listing broker know (or should have known) that some or all of the commission established in the listing agreement might not be paid; and how promptly had the listing broker communicated to cooperating brokers that the commission established in the listing agreement might not be paid.
Note 1: In filing a property with the Broker Listing Cooperative® listing service of a Realtor® Association, the Participant of the Service is making blanket unilateral offers of compensation to the other Broker Listing Cooperative® listing service Participants, and shall therefore specify on each listing filed with the Service, the compensation being offered to the other Broker Listing Cooperative® listing service Participants. Specifying the compensation on each listing is necessary, because the cooperating broker has the right to know what the compensation shall be prior to endeavoring to sell.*
The listing broker retains the right to determine the amount of compensation offered to other Participants (acting as buyer agents, or in other agency or non-agency capacities defined by law) which may be the same or different.
This shall not preclude the listing broker from offering any Broker Listing Cooperative® listing service Participant compensation other than the compensation indicated on any listing published by the Broker Listing Cooperative® listing service, provided the listing broker informs the other broker, in writing, in advance of submitting an offer to purchase, and provided that the modification in the specified compensation is not the result of any agreement among all or any other Participants in the Service. Any superseding offer of compensation must be expressed as either a percentage of the gross sales price or as a flat dollar amount. (Amended 02/11)
*The compensation specified on listings filed with the Broker Listing Cooperative® listing service shall appear in one of two forms. The essential and appropriate requirement by an association Broker Listing Cooperative® listing service is that the information to be published shall clearly inform the Participants as to the compensation they will receive in cooperative transactions, unless advised otherwise by the listing broker, in writing, in advance of submitting an offer to purchase.
The compensation specified on listings published by the Broker Listing Cooperative® listing service shall be shown in one of the following forms:
1. by showing a percentage of the gross selling price
2. by showing a definite dollar amount (Amended 02/11)
Note 2: The listing broker may, from time to time, adjust the compensation offered to other Broker Listing Cooperative® listing service Participants for their services with respect to any listing by advance published notice to the Service so that all Participants will be advised.
Note 3: The Broker Listing Cooperative® listing service shall not have a rule requiring the listing broker to disclose the amount of total negotiated commission in his listing contract, and the association listing service shall not publish the total negotiated commission on a listing which has been submitted to the Broker Listing Cooperative® listing service by a Participant. The Broker Listing Cooperative® listing service shall not disclose in any way the total commission negotiated between the seller and the listing broker.