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Arbitration Info

Filing a request for arbitration

Complainants must submit along with the Request and Agreement to Arbitrate Form #A-1 (or Interboard Request and Agreement in situations where the respondant is a member of a different REALTOR® association), a narrative description of the events that lead to the request. You must also include copies of all relevant real estate documents in your possession such as Listing Agreement, Purchase Agreement, MLS tickets, Agency Agreements or any other documents which support your claim.

The time limitation for filing an Arbitration complaint as written within the National Association of REALTORS® Code of Ethics and Arbitration Manual states:

Arbitration must be filed within one hundred eighty (180) days after the closing of the transaction, if any, or within one hundred eighty (180) days after the facts constituting the arbitrable matter could have been known in the exercise of reasonable diligence, whichever is later.

There is a $250 arbitration-filling fee to be submitted along with the Request for Arbitration payable to GMAR.  Once we receive your completed Form #A-1, narrative, pertinent documents and filing fee, we will forward it to the Grievance Committee for review at their next monthly meeting.

The function of the Grievance Committee is to make only such preliminary review and evaluation of the request for arbitration as is required to determine (1) whether the matter is properly arbitrable; (2) whether arbitration is mandatory or voluntary based upon the requirements of Part Ten, Section 44 of the Manual; and (3) whether the proper parties are named in the request for arbitration. The Grievance Committee does not hold hearings and does not determine entitlement to awards.

Arbitration guidelines

Mediation

Boards are required to offer mediation as a preliminary, voluntary alternative to arbitration. The Metropolitan Consolidated Association of REALTORS® provides mediation services to assist the resolution of disputes.

Although no party to an arbitrable matter can be required to submit to mediation and mediation cannot and is not intended to be a substitute for the arbitration procedures, mediation can be useful tool in resolving the conflicts that arise. Mediation can resolve disputes, promote amicable resolutions and reduce the number of cases requiring the more formal and complex arbitration procedures.

It must be understood by all parties that participation in mediation procedures is entirely voluntary. The parties are offered the opportunity and encouraged to participate in the mediation process in good faith and, further, encouraged to abide by the determination. The parties to mediation should be aware that they may withdraw from the process at any point prior to reaching an agreement. If either of the parties rejects the proposed resolution, the mediation procedure will be deemed concluded and the matter will proceed to arbitration. However, if the parties agree to a settlement of the dispute and the settlement has been reduced to writing and has been signed by all parties, the matter is deemed resolved and cannot be the subject of a subsequent arbitration hearing.

Sunday
Dec192010

The arbitration hearing

Participation in a professional standards hearing - arbitration or ethics - can be an intimidating experience for first time participants, witnesses and even new panel members. Knowing what will likely happen can make it a less stressful experience.

Although the arbitration hearing process is based on the judicial model of a civil trial, there are important differences between a trial and an arbitration hearing. While parties to any professional standards proceeding are entitled to fundamental due process, technical rules of evidence and procedure do not apply in an arbitration hearing. While the burden of proof rests with the parties, arbitration panel members can ask questions (directly or through the chair) to ensure that they have a clear understanding of relevant issues and facts. This is key to rendering a fair decision.

Despite the guidance provided in the Code of Ethics and Arbitration Manual, questions continue to arise as to what constitutes an arbitrable issue, who are the appropriate parties to arbitration requests, etc. To provide guidance to board grievance committees in their review of arbitration requests, the Professional Standards Committee of the National Association provides the following information. Arbitration by boards of REALTORS® is a process authorized by law in virtually every state. Arbitration is an economical, efficient, and expeditious alternative to civil litigation. Jurists, including the former U. S. Supreme Court Chief Justice Warren Burger, have endorsed arbitration as a method of reducing the litigation backlog in the civil courts.