Update - Education & Outreach Program on Agency - Continued

June 15, 2006

Over 1,200 REALTORS® statewide attended a NAR approved course, Duties and Conflict: The In-House Transaction, taught by Lynn Madison from May 25 through June 2. Lynn Madison, a professional instructor, provided a statewide course from Oahu, Kauai, Big Island (Hilo and Kona), Maui and Molokai.  We were able to reach out to General Membership Meetings, caravan, board meetings, PB meetings, etc. to promote and get the word out on this worthwhile course on agency.

Education & Outreach Program on Agency

February 15, 2006

On January 9, 2006, the Board of Directors approved a motion to designate the Agency Brokerage Relationship Task Force to be a presidential task force that reports directly to the Executive Committee.  Approval was granted for up to $50,000 for the purpose of education and outreach to our members and other real estate licensees on agency brokerage relationship. This group will continue to convene meetings in 2006 and will decide whether to proceed with additional legislation in 2007 on the subject of agency.

New Agency Task Force members were formed to be chaired by Tracy Stice. Other members include Mary Begier, Michael Bernstein, Dana Chandler, Vernon Chock, Gary Davis, Tom Gill, Joyce Nakamura, Norman Noguchi, and Richie Richardson.  First meeting will convene on January 21, 2006 to engage discussion on the education and outreach aspects of agency, as approved by the Board of Directors.

Lynn Madison, a professional instructor, will be teaching a NAR-approved course on Duties and Conflict: The In-House Transaction beginning the last week of May to early June.  The course will hit all islands from Oahu, Kauai, Big Island (Hilo and Kona), Maui and Molokai.  We will be reaching out to General Membership Meetings, caravan, board meetings, PB meetings, etc. to promote and get the word out on this worthwhile course on agency.

History and Background - Statutory Agency & Non-Agency Brokerage Relationships

February 15, 2006

In recent years, the U.S. real estate brokerage industry has experienced dynamic changes in the area of agency law and practice and there has been a growing interest at the National Association of REALTORS® and other State Associations, leading to the formation of a NAR Presidential Advisory Group (PAG) in 1993 to explore the possibility of a non-agency relationship.

A decade after the PAG report was published by NAR, the HAR Board of Directors directed a Task Force of volunteer REALTOR® Members to be formed to draft legislation in response to concerns raised by consumers and licensees regarding brokerage relationships and perceived deficiencies in existing practice and law.  This Agency Task Force consisted of REALTOR® representation from different size firms and different islands, Legislative Committee, RPAC, Education Committee, and two HAR members who also sit on the Real Estate Commission.   This task force reviewed materials on various forms of brokerage relationships from NAR, other US jurisdictions, and Canada. After careful consideration, the task force issued recommendations to the HAR Board of Directors and the HAR Executive Committee.

A draft legislation was created that seeks to enhance consumer protection, clarify real estate brokerage relationships, limit consumer liability, and mandate uniform standards.  The draft legislation applies to real estate licensees in all contexts, whether providing services for the buyer, seller, tenant or landlord. 

In 2005, HAR introduced a bill regarding Statutory Agency and Non-Agency Brokerage Relationships to help clarify the duties and obligations of the parties in an agency relationship and to provide alternative non-agency relationships.

In 2006, one of HAR's primary legislative goal is to present a comprehensive awareness campaign to REALTORS® on grasping a better understanding of Hawaii's agency law.