KNOXVILLE AREA ASSOCIATION OF REALTORS®

PROFESSIONAL STANDARDS PROCEDURES

FILING AN ARBITRATION REQUEST

Who can file an Arbitration Request ?

· A Designated REALTOR® ( Principal Broker ) against another Designated REALTOR®

( Principal Broker )

- If there is a Successful Real Estate Transaction

- If there is a Contractual Dispute

- If there is a "non-contractual" dispute, Standard of Practice 17-4 applies

· A Client ( Seller or Buyer ) against a Designated REALTOR® and a REALTOR® Sales Associate

· A Customer against a Designated REALTOR® and a REALTOR® Sales Associate

[ This is a Voluntary Arbitration Condition, the REALTOR® Broker does not have to Arbitrate ]

A REALTOR® Sales Associate against the Designated REALTOR® of the Firm ( “In-House” )

[ This is a Voluntary Arbitration Condition, the Designated REALTOR® does not have to Arbitrate ]

Preparing an Arbitration Request

· Arbitration Requests must be filed on an Official Request Form, complete with all required information

· The Claimant must be a Designated REALTOR®

· The Respondent must be a Designated REALTOR®

· The matter must relate to a real estate transaction

· A specific dollar amount must be requested

· The correct facts must be stated ( leave out “emotion” )

· Attach a detailed explanation of the request in date order sequence

· Collect and arrange evidence to support the request

· Attach all the exhibits to be viewed by the Respondent

· Additional exhibits may be presented to the Panel at the Arbitration

· Arrange everything in logical order

Preparing a Response to an Arbitration Request

· A Response to an Arbitration Request must be filed on an Official Response Form,

complete with all required information

· Keep the response to the facts alleged in the Request for Arbitration ( leave out “emotion” )

· Follow the Claimant’s lead

· Attach a detailed explanation of the response to the Claimant’s request in date order sequence

· Collect and arrange evidence to support the response

· Attach all the exhibits to be viewed by the Claimant

· Additional exhibits and evidence may be presented to Panel at the Arbitration

· Arrange everything in logical order

Review of the Arbitration Request by the Association

· The Professional Standards Secretary will review the Arbitration Request to determine if

- the Request is complete

- the correct parties are named

- both the Claimant and Respondent are Designated REALTORS®

- the time limit has expired ( 180 Day Rule )

- the format is proper

- there was a successful closed transaction"

- a specific amount has been requested

- the request should be forwarded to the Respondent for a reply

- litigation or TREC action is pending related to the same transaction ( no arbitration will be

provided while litigation is pending )

· The Professional Standards Secretary will forward the Arbitration Request to the Grievance Committee upon receipt of the Respondent’s Reply and forward a copy of the Respondent’s Reply

to the Claimant

Review of the Arbitration Request by the Grievance Committee

· The Grievance Chairman will review the Request to determine

- which Committee Members should not participate because of Conflicts of Interests;

- if a Committee Member should be designated to contact the Claimant if procedural assistance

is needed;

- if all the necessary and correct parties are named

· The Grievance Committee will review the Request to determine if the facts stated

- relate to the a real estate transaction

- indicate an agency relationship

- indicate a legitimate dispute

- indicate an arbitrable issue

- indicate a basis on which the award of the requested amount could be based

- indicate the matter is too legally complex for the Association to arbitrate

- indicate the amount request is too little or too much

- warrant an Arbitration Hearing

- warrant dismissal

- indicate the matter is too legally complex for the Association to arbitrate

· The Professional Standards Secretary will forward the actions of the Grievance Committee to the parties involved