The 8-13-13 Newsletter of the Tennessee Association of REALTORS
Editor: Pug Scoville


1. Upcoming COURSES & EVENTS
2. HOT LINE: Which Terms Carry Over?
3. HOT LINE: Referral Fee to Out-of-State Broker?
4. HOT LINE: Nixing Showings by a Particular Agent?
5. HOT LINE ADVISORY: Calculation of Days
6. Blume Appointed to TREC
7. TAR Officer Nominees Announced
8. Making Those First 60 Seconds Work For You!
9. Hotel Room DEADLINE!
10. USEFUL LINKS


1. Upcoming COURSES & EVENTS

Aug. 13: TWO Offerings of TransactionDesk Basic (3 hrs. CE) – TAR Office, Nashville. Morning Offering: https://www.123signup.com/event?id=bkfhf OR Afternoon Offering: https://www.123signup.com/event?id=bkfhq

Aug. 22 – Sept. 11: GRI 402, Staying in Business & Out of Court (8 hrs. CE) – an E-Class distance-learning course. For more info or to register: https://www.123signup.com/event?id=bzmcz

Aug. 30: DEADLINE for TAR Committee Requests! 2014 could be YOUR year to serve and make a difference in the future of your state association! To complete an easy online application for a 2014 committee appointment, log into the Members Only area of tnrealtors.com, and go to: http://tnrealtors.com/members-only/committee-request-application/

Save money on CE in August! Online CE Course Promotion for August: Enroll in any online CE Shop courses during the month of August and save 20%! Enter AUG20 at checkout to receive your discount. Enroll at: http://tarnet.theceshop.com/

GRI Courses start up again in August and September! To see the full year’s schedule, go to: http://tnrealtors.com/education/gri/


2. HOT LINE: Which Terms Carry Over?

QUESTION: I am working a counter offer with another agent, and I represent the buyer. We made the original offer. The seller countered with Counter Offer #1. It had 6 items on it. The buyer is only requesting 3 of the 6 items that are on Counter #1. We wrote up Counter Offer #2 from the Buyer to Seller and it stated those 3 items. The agent for the seller says it is incorrect and it should state all 6 items, and if not we need to throw away Counter Offer #1. Which terms carry over to subsequent counters?

ANSWER: Unless it is specifically mentioned in the counter offer, all terms of the original purchase and sale agreement will remain the same. HOWEVER, if there are multiple counter offers, the terms from an original counter offer will have to be restated in each counter offer if it is to be part of the final agreement.

See the explanation in the inForm Tool (online) for this form for more information:

“Unless specifically addressed in the counter offer, all other terms and conditions of the Original Purchase and Sale Agreement will remain the same. However, the terms and conditions of all other previous counter offers are NOT included in this counter offer unless they are RESTATED in this counter offer.

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


3. HOT LINE: Referral Fee to Out-of-State Broker?

QUESTION: Is it legal to pay a referral fee to an out of state broker? How do we pay them? Are there any forms I need to complete?

ANSWER: A firm can only pay a licensed real estate agent. Pursuant to Tenn. Code Ann. 62-13-302(a): “It is unlawful for any licensed broker to employ or compensate any person who is not a licensed broker or a licensed affiliate broker for performing any of the acts regulated by this chapter. A licensed broker may pay a commission to a licensed broker of another state if such nonresident broker does not conduct in this state any of the negotiations for which a commission is paid.”

Therefore, if this person is not a licensed agent, then you cannot pay him. If he is a licensee in another state, he can ONLY be paid if he did not conduct any of the negotiations in Tennessee. If he did, then you cannot pay him. This same rule applies to referral fees.

You can use form F28, the Referral Agreement form to document the agreement between your firms. We would recommend that you pay the referral fee to the firm directly rather than the agent. You can have either the closing company pay the referral or you can pay them following closings from your commissions.

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


4. HOT LINE: Nixing Showings by a Particular Agent?

QUESTION: I have a seller that has requested that a certain agent not show their property (due to a previous transaction wherein this agent represent a buyer and the deal fell through). Is this legal?

ANSWER: An agent has a duty to follow the lawful instructions of their clients. If the client does not wish to permit an agent for showing, selling, or participating in the purchase of a property, then this is likely permitted as long as it is not based upon a discriminatory reason. HOWEVER, you will need to get this in writing from your seller.

Please be advised that NAR did come out with a new Standard of Practice earlier this year which may apply to this situation. Standard of Practice 3-10 which was adopted in January of this year states: “The duty to cooperate established in Article 3 relates to the obligation to share information on listed property, and to make property available to other brokers for showing to prospective purchasers/tenants when it is in the best interests of sellers/landlords.”

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


5. HOT LINE ADVISORY: Calculation of Days

The TAR Legal & Ethics Hot Line continues to receive many questions about how days are calculated. If you are utilizing a TAR Purchase and Sale Agreement, the forms provide a definition of days.

The contract provides definitions for the calculation of time. In Section 14, E, it states that all days will be calendar days which end at 11:59 PM unless otherwise stated in the contract. However, if the deadline is on a Saturday, Sunday or legal holiday, it will roll over to the next business day. If the last day is a weekend, it would roll to the next business day (not necessarily Monday if Monday is a legal holiday).

There are several exceptions to the “roll over”. If the deadline is a closing date, date of possession, or offer expiration date, it will NOT roll over to the next business day. Therefore, the closing date is written in stone. If you have it on a legal holiday, that is the closing date.

[SOURCE: TAR’s Legal & Ethics Hot Line Attorneys]


6. Blume Appointed to TREC

Governor Bill Haslam has appointed Memphis Realtor Gary Blume to a five-year term on the Tennessee Real Estate Commission (TREC)!

Gary Blume is well-known throughout the state as a popular GRI Instructor for well over twenty years, and as a facilitator for the Leadership TAR program! Among many other areas of service and awards, Gary is a past president of the Memphis Area Association of Realtors, and served twice as president of the Tennessee Real Estate Educational Foundation (TREEF).

Our congratulations to Gary Blume!


7. TAR Officer Nominees Announced

The TAR Nominating Committee has announced its slate of nominees for 2014 TAR Officers:

2014 President-elect: Pat Beech, Memphis
2014 Secretary-Treasurer: Randy Durham, Chattanooga
2014-2015 Division 1 VP: Alex Bynum, Dresden
2014-2015 Division 2 VP: Chris Garrett, Murfreesboro
2014-2015 Division 3 VP: Sharon Duncan, Kingsport

If elected in September (by the TAR Board of Directors), new officers will take office in the latter part of November, 2013, joining 2014 TAR President Neal Clayton from Nashville! Continuing members of next year’s TAR Executive Committee will be: Randy Thomas (Kingsport) as Immediate Past President, Division 1 VP Leon Dickson (Memphis), Division 2 VP Margaret Dixon (Mt. Juliet), and Division 3 VP Amanda Stone (Maryville).

Congratulations to all of the nominees!


8. Making Those First 60 Seconds Work For You!

A terrifically useful article by Sam Horn (How to Make Better First Impressions in 60 Seconds) appeared last week on LIFEHACK.ORG.

The author makes a compelling point: “If we don’t connect in the first couple minutes, we’re probably not going to connect at all. The good news is, it doesn’t have to be that way. There’s a better way to introduce yourself starting today.” He then gives some good tips on how to make those first seconds count.

To read more: http://www.lifehack.org/articles/communication/how-make-better-first-impressions-60-seconds.html


9. Hotel Room DEADLINE!

For anyone attending the 2013 TAR Annual Convention in Destin (Sept. 18-20), our Room Block expires this Thursday. We cannot guarantee that a hotel room will be available for attendees – or available at our discounted rate – after THIS THURSDAY, AUGUST 15!

It is the responsibility of each registrant to make overnight lodging accommodation requests directly with the hotel. For a link to reserve your room online, go to http://tnrealtors.com/meetings-and-events/convention/ …and scroll down to the hotel information.


10. USEFUL LINKS

To access current and past TAR DIGESTS: http://www.tardigest.com

Follow TAR on Twitter at: http://twitter.com/tnaor

TAR’s LinkedIn page: http://www.linkedin.com/groups?gid=852077&trk=hb_side_g

TAR’s page on Facebook: http://www.facebook.com/pages/Nashville-TN/Tennessee-Association-of-RealtorsR/15041383689

To ask a TAR Legal and Ethics Hot Line question: http://tnrealtors.com/services-support/legal-ethics-hotline/

For CE classroom courses around the state, go to: http://tnrealtors.com/education/realtor-courses/

For online CE courses, go to: http://tnrealtors.com/education/online-courses/

Tennessee Real Estate Commission: http://tn.gov/regboards/trec/

To check your CE credits on file with TREC, go to: http://verify.tn.gov