Martin Goldsmith , I'm not sure.  I think it could be a RESPA violation, but you would need to check with someone in your local state Realtor organization.

Martin,

I am certain  that is not legal and most definitely not grounds for termination. I would recommend that you read over your independent contract that you signed with the brokerage. A broker can recommend and ask that you use their in house preferred lender or escrow, but they can't make it a mandatory,. It might fall under the RESPA violations.

Call CAR legal hotline at 213-739-8282. CAR's attorney can better guide you and help you decide if you want to proceed with legal actions.

Glad to see you participate here in AR....  

Legal or not, move on to a more welcoming atmosphere.

I echo what Gabe says, and reach out to your state real estate commission for a thoughtful answer.

I would hope that this is not legal, because what about those agents who have worked with another company and are already satisfied with another escrow agent.

What I used to tell my former manager when I came to him with a reduced commission proposition for me is, "Would you rather have 2% of the commission check , or 0% of the check?"

No.

I do not think so.

I do not know for sure, but that sure sounds like a RESPA violation to me.  

No.

An independent contractor ...at least here...serves "at the will of the broker"....an attorney here told an agent that they can dismiss an agent for no cause based upon that premise.

Were you an independent contractor or employee?  You should read whatever contract you signed to see what was stated regarding using affliated partners.

     I think the answer would depend upon what was in your written Indepedent Contractor agreement, or Employment contract.   Of course, see an Attorney for legal advice.

Plenty of brokers out there, move onto the next one.

Parked and reading

It depends what your contract says. I would not work for a broker where I cannot make those kind of decisions and have the other thrust upon me.

What did your employment contract say?  I would never ever sign one that required me to use preferred services.

I'm going to buck the trend here and not be so fast to jump on the RESPA violation bandwagon. We've all seen these brokerages that give agents 90-100% commission. Some don't even charge desk fees. In return they want you to feed their escrow businesses which is how they keep the lights on. With Affilliated Business Disclosures and a contract expecing a certain production and referral level, they might be within their rights to terminate you for lack of production. In any event, don't look back; find yourself a broker who respects your business relationships.

It all smells a little fishy to me Martin Goldsmith the above advice is recommended.

I agree with all those who said it may be a RESPA violation.  The company had better be careful that they aren't receiving any kickbacks from one another.  I recently attended a class and something like this was mentioned.  The legal issues that could arise are huge!  I would contact your local boards legal department.

I agree with Roy Kelley. It is probably a RESPA violation but do you really want to work there?