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Val Evans

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Rainmaker
1,090,375
Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

The Sherman Antitrust Act. We can advertise OUR rates. We can not gather with other brokers and agree to set prices

Nov 11, 2015 12:32 PM
Rainmaker
1,745,502
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

It appears your question has been fully answered and addressed, particularly by Thomas J. Nelson, Realtor 

Nov 11, 2015 10:17 PM
Rainmaker
3,073,909
Tony and Suzanne Marriott, Associate Brokers
Serving the Greater Phoenix and Scottsdale Metropolitan Area - Scottsdale, AZ
Coldwell Banker Realty

One can ALWAYS discuss or advertise your commission rate or fee to the general public.  The risky thing to do is to even discuss them with agents from other brokerages.  Thanks to Pamela Seley for posting the link to the video I was looking for earlier and could not find!

Nov 12, 2015 12:38 AM
Rainmaker
1,600,181
Thomas J. Nelson, REALTOR ® CRS,ABR,PSA,RCS-D, ePRO
Big Block Realty 858.232.8722 - La Jolla, CA
Serving Coastal San Diego, Veteran's & Seniors

Candice A. Donofrio got it and I'll piggyback with the legislation that piggybacks the Sherman Antitrust Act, which is the Clayton Antitrust Act that further details out what the Sherman Act leaves as potential loop holes. Also the Robinson Patman Act that amends the Clayton Act. (So it seems there are those that always will seek the proverbial loop hole.

Zillow and other companies have recently been filtered through these two pieces of legislation:

  • price discrimination between different purchasers, if such discrimination tends to create a monopoly
  • exclusive dealing agreements
  • tying arrangements
  • mergers and acquisitions that substantially reduce market competition.
Nov 11, 2015 09:40 PM
Rainmaker
316,098
Robert Smith
Preview Properties, PC - http://www.RealEstateMich.com - Brighton, MI
SRES, Search for Homes Brighton-Howell-SE Michigan

I'm with Candice A. Donofrio and Pamela Seley.

Commissions are negotiable with the consumer.  It is viewed as 'price fixing' if you talk with other agents about commission structure, however. 

Nov 11, 2015 07:24 PM
Rainmaker
5,773,924
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Val,

We constantly get mail solicitiations with lower commissions promised, and I see it in various print media.  And Candice A. Donofrio gave the answer.  A

Nov 11, 2015 11:46 PM
Ambassador
1,472,185
Susan Emo
Kingston, ON
Kingston and the 1000 Islands Area

 Val Evans , The Competition Act (‘the Act’) is the oldest antitrust statute in the western world, enacted in 1889 (one year before the Sherman Act in
the United States). The Act comprehensively sets out the competition
law of Canada, from hard-core cartels to merger review. With few exceptions, it applies to all businesses in Canada.

Nov 11, 2015 11:07 PM
Ambassador
3,762,439
Patricia Kennedy
RLAH@properties - Washington, DC
Home in the Capital

The Sherman Antitrust Act prohibits us from discussing them with anyone from competing brokerages, but we can discuss them with members of the public.

Nov 11, 2015 11:01 PM
Rainmaker
3,416,322
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

You can discuss your rates with the public, you can publish your rate. However teh Sherman Anti trust act forbids discussing what any other company charges or discussing rates with agents from any other companies. You can not state an average rate, going rate or most common rate for an area. 

Nov 11, 2015 09:32 PM
Ambassador
3,207,900
Tammy Lankford,
Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA
Broker GA Lake Sinclair/Eatonton/Milledgeville

One does not exist.  I can discuss the rates I charge with the general public anytime I like.  I just can't discuss them with professionals outside of my employ

Nov 11, 2015 02:15 PM
Ambassador
6,617,246
Bob Crane
Woodland Management Service / Woodland Real Estate, KW Diversified - Stevens Point, WI
Forestland Experts! 715-204-9671

I know that it is one of the anti trust laws that prevents us from discussing fees at professional gatherings.

Nov 11, 2015 11:58 AM
Rainmaker
1,677,896
John McCormack, CRS
Albuquerque Homes Realty - Albuquerque, NM
Honesty, Integrity, Results, Experienced. HIRE Me!

Looks like I'm too late and you have your answer on this one.

Nov 11, 2015 10:20 PM
Rainmaker
1,466,257
Michael Setunsky
Woodbridge, VA
Your Commercial Real Estate Link to Northern VA

Val Evans Already answered - the Sherman Antitrust Act.

Nov 11, 2015 10:16 PM
Rainmaker
2,418,997
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

Sherman Antitrust Act - 

Nov 11, 2015 09:53 PM
Rainmaker
921,504
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

 Barn Burner Realty, your discount broker 1.9% or lower.

In the Clouds Realty, your trusted community real estate marketer, 'Never pay more than the standard rate of 5%.

Zillow - real estate agents are over paid. Offer them $2,500 max.

Who is in violation?

Nov 11, 2015 09:40 PM
Rainmaker
5,060,546
Richard Weeks
Dallas, TX
REALTOR®, Broker

As others have mentioned (Sherman Antitrust Act).  I don't think there is a problem publishing your rates, you just can't get with other brokers and establish those rates.

Nov 11, 2015 09:11 PM
Rainmaker
5,584,078
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

guilty....I don't know verbatum, but I know that commission rate should not be advertised ..... commissions are negotiable and there is no fixed commission rate....

Nov 11, 2015 08:23 PM
Rainmaker
8,077,115
Roy Kelley
Retired - Gaithersburg, MD

It appears that you have received answers for this question. 

Real estate professionals should be careful when discussing commissions in a forum.

Nov 11, 2015 07:45 PM
Rainmaker
2,759,862
TeamCHI - Complete Home Inspections, Inc.
Complete Home Inspections, Inc. - Brentwood, TN
Home Inspectons - Nashville, TN area - 615.661.029

 Good Thursday morning Val. Interesting question and I had to read through some of the answers. There are some agents in this area could tout that they will sell your home for free. Of course, there is a catch.

Nov 11, 2015 05:07 PM
Rainmaker
2,488,909
Captain Wayne - Rowlett Real Estate School
Rowlett Real Estate School - Panama City, FL
Rowlett Real Estate School / Owner and Instructor

Looks like you have some good answers!  I Hope you had a safe and happy Veterans Day and have an even better day tomorrow.  

Nov 11, 2015 03:40 PM
Rainmaker
2,071,135
Evelina Tsigelnitskaya
SIB Realty - Sunny Isles Beach, FL

We don't disclose it to public.

Nov 09, 2019 06:03 PM
Rainmaker
1,525,616
Sybil Campbell
Fernandina Beach, FL
Referral Agent Amelia Island Florida

You have your answers it is the Sherman Antitrust Act, but it is not that we cannot advertise our commission but we cannot agree with other agents or agencies to keep commissions at a certain level.

Nov 12, 2015 01:00 PM
Rainer
5,344
Dave Rosenfeld
Schulenburg Realty - Huntley, IL
Real Estate Broker serving the NW Suburbs--Chicago

While the Real Estate industry is certainly a regulated industry, that regulation is through each individual state and not through the Federal government.

Thus, to answer your question, there is not a federal statute per se that governs this type of advertising. There is, however, clear guidelines from the Sherman Act that prohibit collusion amongst agents. And certainly there are ethical guidelines that should govern all of our advertising, with the focus always being on what is best for the client.

Hope that helps!

Nov 12, 2015 09:35 AM
Rainmaker
50,881
Lana Mosley
Keller Williams Realty Services - Hammond, LA
Building my empire one listing at a time.

It's the Sherman Anti-Trust Act.

https://www.law.cornell.edu/wex/antitrust

Nov 12, 2015 05:06 AM