Settlement Scoop • Forms Change Update

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The California Association of REALTORS® regularly releases forms updates in June and December every year. This release includes brand-new forms that are relevant for use, and updates to existing forms to comply with industry and legal changes. With the NAR Settlement going into effect soon, these form changes are more necessary than ever. We will be updating you on the release of the new and existing forms, as well as any information that comes with these changes, including delays and other important items to keep you in the know.

BREAKING: New forms are all being added to zipForm on Wednesday, July 24th.

C.A.R. BUYER REPRESENTATION AND RESIDENTIAL LISTING AGREEMENT BUNDLE - ONLINE ANYTIME

C.A.R. is offering a FREE Buyer Representation and Residential Listing Agreement online bundle class. You will need to use a promo code at check-out to obtain the free course (there is a cost without the promo code). For the full breakdown of this class, see C.A.R.’s information from the class page below.


C.A.R. Members – this BUYER REP & RLA CLASS is FREE for Members (see below for details)!

CLICK HERE TO REGISTER FOR THIS CLASS

This is a 2-course package that you take at your own pace. The course is available 24/7 and will be available in users’ Assigned Courses for 1 year.

Here’s how to access this 2-course package for FREE

1. Log in to this site at the top right of the screen by entering your username and password OR by visiting car.org and clicking the shopping cart at the top of the screen. Your C.A.R. Member Account must be set up for this promotion to be applied.
2. Add this course package to your shopping cart and use code FORMS49 at checkout.
3. Follow the instructions in your email to log in and start your classes at www.onlineed.com.

Only one promo code can be used during a transaction.

This package includes two classes:

C.A.R. Buyer Representation Agreement and Related Forms
C.A.R. Residential Listing Agreement and Related Forms

In each 1-hour online course, students will be provided with a tour of the relevant forms, some background on how and why these were drafted, and how they are going to be valuable tools to California real estate professionals. Learn about the buyer representation forms released by C.A.R. as well as the latest Residential Listing Agreement (RLA) form and find out how to incorporate both important documents into your business. Understand practice changes, overcome objections that you may encounter, and strengthen your relationship with your clients by signing up today.

How you will benefit from taking this class:

  • Familiarize yourself with the BRBC agreement
  • Review the latest RLA, learn what changes have been made and why
  • Find out how other relevant agreements work together by examining relevant forms in each class

CLICK HERE TO REGISTER FOR THIS CLASS


TO ACCESS YOUR PURCHASED COURSE

After your purchase is complete, you will access your online course by visiting www.onlineed.com. You will have up to ONE (1) year from the date of purchase to access and complete the course.

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Certifications and Designations: There are no certifications or designations offered with this course. All participants in NAR courses will be contacted with next steps within two weeks after the course ends. Please visit the NAR resource page for applications and other relevant details for NAR Certifications and Designations. All participants in C.A.R. Education courses will automatically receive certificates 24 hours after all required courses and exams have been completed and passed. Please visit the C.A.R. Certifications page for relevant details on desired certifications.

Refund and Exchange Policy:

For information about our refund and exchange policy, please go here >

Please note: Purchase of this bundle is for use by a single person and may not be broadcast, recorded or shared by more than one individual. If you are interested in showing this course in your office, please contact C.A.R. Education at education@car.org for Broker Pricing Information.

Purchasing for other people
All purchases must be made by the person attending the course and no substitutions will be allowed. Certificates and any kind of class credit can only be issued in the name of the person who purchased the course. Only C.A.R. Members are eligible to purchase and take courses at Member pricing.

If you purchased this class for someone else in error, please email us at education@car.org with the order number, and include a phone number where we can reach you.

Please call 213-739-8227 for additional information.

CLICK HERE TO REGISTER

NEW FORMS ADDED TO ZIPFORM ON WEDNESDAY, JULY 24

On June 25, C.A.R. released 48 new and revised forms as part of its semi-annual update to its standard forms. We informed you then that C.A.R. would be postponing the release date of other forms to ensure that they met our high standards for use by members and consumers in light of the practice changes associated with the NAR settlement.

Given the significant practice-related changes facing members at this time, C.A.R. will be providing numerous training opportunities to members on the use of these forms. The forms are being released in zipForm and other forms platforms on July 24. In order to be in full compliance by August 17, when the mandates of the NAR settlement go into effect, it is imperative that C.A.R. members are ready to use the new forms and prepared to discuss the changes with their clients.

For a full breakdown of these forms, as well as updates, click the link here to visit C.A.R.’s Forms Release Update page.

MESSAGE FROM PRESIDENT MELANIE BARKER - JULY 12, 2024

As I informed you we would do in an email last week, a couple of days ago, C.A.R. released several new and revised forms as part of its semi-annual standard forms update. We have spent the last several months evaluating and working on these revisions in order to provide the best possible forms for our members and their clients, especially in light of the practice changes associated with the NAR settlement.

While numerous changes have been made to these forms, I want to draw your attention to one change in particular. As part of our analysis of what is needed at this moment and, more significantly, what we anticipate will become important in the near future, we have made the decision to remove the listing broker’s offer of compensation from these forms. While we recognize that the offer of compensation remains legal and valid, we nonetheless believe this change is in the best interests of our members and consumers. Our goal, with this change, is to be proactive, looking ahead to where industry practice needs to be.

We know change is hard, but we also know that C.A.R. needs to lead the way within the industry, as we have always done. As your business partner, C.A.R. will be providing numerous training opportunities on these forms. C.A.R.’s Legal team has developed an FAQ that answers some of the most commonly asked questions members may have about the new forms. Access the FAQ here.

We’ve already held three townhalls this week with C.A.R. leadership and legal team, and we have three more scheduled for next week. We’ll add additional townhalls as needed, and some of these sessions will be recorded and made available here. Download or view the schedule and register.

Additionally, C.A.R. Education will offer two new classes on settlement-related forms: a Buyer Representation Form class and a Residential Listing Form class. Members can access the classes for FREE by logging in here and entering “FORMS49” at checkout.

The forms will be released in zipForm® and other forms platforms on July 24. As a reminder, in order to be in full compliance by August 17, when the mandates of the NAR settlement go into effect, it is imperative that C.A.R. members are ready to use the new forms and prepared to discuss the changes with their clients.

We understand there is uncertainty, confusion and competing opinions about where the industry is heading and how to move ahead given ongoing litigation. We also know that we will all get through this moment together, do what we need to do to adapt, and emerge even stronger as an industry of professionals who work tirelessly every day to support the dream of homeownership for others.

Thank you, and I’ll see you next time.

 

Thank you,

Melanie Barker

2024 C.A.R. President

BREAKING: C.A.R. RELEASING DELAYED FORMS ON JULY 10

On Wednesday, July 3rd, C.A.R. sent out the following e-mail from Melanie Barker, 2024 President, regarding the delayed forms now being released on July 10th. Please read the full statement below:

On June 25, C.A.R. released 48 new and revised forms as part of its semi-annual update to its standard forms. We informed you then that C.A.R. would be postponing the release date of other forms to ensure that they met our high standards for use by members and consumers in light of the practice changes associated with the NAR settlement.

On July 10, the remaining forms will be posted on www.car.org. Beginning with the release of these forms and given the significant practice-related changes facing members at this time, C.A.R. will be providing numerous training opportunities to members on the use of these forms. Our leadership and legal staff will be hosting townhall meetings beginning July 10, with additional training through August as part of an aggressive training schedule. Many of these sessions will be recorded, as well. Additionally, our online class on the new buyer representation form will be made available free of charge to members. The forms will be released in zipForm® and other forms platforms on July 24. In order to be in full compliance by August 17, when the mandates of the NAR settlement go into effect, it is imperative that C.A.R. members are ready to use the new forms and prepared to discuss the changes with their clients.

While we understand change is difficult, we are also in an environment that continues to shift. As your partner, C.A.R. is fully committed to adapting however necessary and communicating with you, our members, as often as needed.

We have taken great care to create new and revised forms that are easy to understand. Standard forms are evolving documents, and we believe that these revisions not only meet the needs of the current moment but also equip our members with the best possible tools to ensure their ongoing success.

Thank you,

Melanie Barker

2024 C.A.R. President

WHAT FORMS CHANGES HAPPENED IN JUNE 2024

In June 2024, 67 new and revised forms were slated for release on June 25th. However, prior to the release of these forms, 21 of the 67 forms were postponed from release as they related to the changes in business practices required by the NAR settlement. The delayed forms were pulled back because of a formal inquiry about these forms from the DOJ. Because of this, C.A.R. required additional time to consider the DOJ’s concerns. The forms are slated for release prior to the August 17th Settlement deadline, along with additional education and information.

WHAT FORMS WERE DELAYED?

The following forms were delayed from the original June 25th release:

Seller side forms

  • RLA – Residential Listing Agreement (Exclusive Authorization and Right to Sell)
  • RLAN – Residential Listing Agreement – “Open” (Non-Exclusive Authorization …)
  • RLASR – Residential Listing Agreement Seller Reserve (Authorization and Right to Sell)
  • CLA – Commercial and Residential Income Listing Agreement
  • VLL – Vacant Land Listing Agreement (Exclusive Authorization and Right to Sell)
  • LL – Lease Listing Agreement (Exclusive Authorization to Lease or Rent)
  • DM-LA – Disclosure and Modification to Listing Agreement
  • MT-LA – Modification of Terms – Listing Agreement
  • OHNA-SI – Open House Visitor Non-Agency Disclosure and Sign-In

Buyer side forms:

  • BRBC – Buyer Representation and Broker Compensation Agreement (Non-Exclusive Unless Exclusive is checked and initialed)
  • BIPP – Buyer Identification of Preferences and Priorities, No. ______
  • BFPI – Buyer Financial and Personal Information
  • ABCD – Anticipated Broker Compensation Disclosure
  • COBR – Cancellation of Buyer Representation
  • NBIP – Notice of Broker Involved Properties
  • DM-BR – Disclosure and Modification to Buyer Representation Agreement
  • MT-BR – Modification of Terms – Buyer Representation Agreement

Both seller and buyer side forms:

  • BCA – Broker Compensation Advisory
  • LPRBC – Limited Property Representation And Broker Compensation Agreement
  • CBC – Cooperating Broker Compensation Agreement and Escrow Instructions
  • SPBB – Seller Payment to Buyer’s Broker

There is no definitive release date for the above forms, save for C.A.R.’s statement that they will be released prior to the August 17th deadline, along with relevant forms education to coincide with the release. Once we have more information about the release date, we will update this section accordingly.

WHAT ABOUT THE REMAINING FORMS THAT WERE RELEASED IN JUNE 2024?

C.A.R. has a website that details the June 2024 forms release, as well as a summary guide and draft versions of the forms for review. We are providing the relevant links below. Please note that you will need to log into your C.A.R. account to access this information.

WHERE CAN I LEARN MORE ABOUT THE FORMS FROM C.A.R.?

There are numerous resources that can be found on C.A.R.’s website, including upcoming classes, recorded webinars, and more to educate you on the new and existing forms that you use in your business. (Please remember that you will need to be logged in to your C.A.R. account to access these resources, as well as to sign up for many of the classes.) These resources include:

  • The Buyer Representation and Broker Compensation Agreement (BRBC): though this form was delayed, C.A.R. has provided numerous resources around this very important form that will be a staple of the real estate industry. The overview includes:
  • The New BCA – 4 Things to Know: this one sheet discusses four items of note for the new Broker Compensation Advisory form
  • Buyer Representation Agreements and How They Work for You:this two-page document discusses the use of Buyer Representation Agreements (note: this document has not been revised yet due to the Settlement and points listed within may change post-Settlement)
  • Career Enhancement Forms Classes: the LearnMyWay® courses provided by C.A.R. are great educational resources with webinars about forms, probate, property management and other professional development options to strengthen your business and your brand
  • C.A.R. Business Products Store: with even more educational opportunities, this site will give you more detailed forms overview that are often online anytime, allowing you to go at your pace and learn as you need, when you need to

As more resources, documents, classes and other educational items become available, we will update this section accordingly.