Written Solicitations and the Code of Ethics
QUESTION: An agent in my office sent a mailing to the owners of property in a development advertising her services as a listing agent. She stated at the bottom of the letters, “If your property is listed with another firm, please disregard this letter. It is not my intention to solicit other agents’ clients.”
An agent from a competing firm called my agent up and accused her of unethical behavior because the other agent has a listing on a property in the development and the letter had been received by his seller client.
I thought that it was okay to send a mailing such as this as long as it is sent to everyone. Obviously, we could never do such a mailing if we had to check every MLS possible before sending. Am I correct?
ANSWER: If your agent’s mailing can be characterized as a “general mailing” as defined in Standard of Practice 16-2 of the REALTOR® Code of Ethics, we think you are correct. Here’s what Standard of Practice16-2 says
Article 16 does not preclude REALTORS® from making general announcements to prospects describing their services and the terms of their availability even though some recipients may have entered into agency agreements or other exclusive relationships with another REALTOR®. A general telephone canvass, general mailing or distribution addressed to all prospects in a given geographical area or in a given profession, business, club, or organization, or other classification or group is deemed “general” for purposes of this standard.
It seems to us that if the mailing went to all owners of property in the development, it would qualify as a “general mailing.” Interestingly, the disclaimer language included at the bottom of your agent’s mailing is not required by the Code of Ethics, but we think it is a good idea to include such language.
Note that Standard of Practice 16-2 goes on to state that a REALTOR® may NOT direct a written solicitation to a property owner whose property is exclusively listed with another REALTOR® when the solicitation is not part of a general mailing and the owner is identified through an MLS compilation of current listings, a “for sale” sign or another like source of information.
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