Emerging Trends Legal Update MATTHEW RATHBUN TheAgentTrainer.com @MattRathbun
Hi! I m Matthew! #BROKER #GEEK #TROUBLEMAKER #STORYTELLER #BRANDFANATIC TheAgentTrainer.com @MattRathbun
I M NOT REALLY AN ATTORNEY, I JUST PLAY ONE IN THE CLASSROOM
MOST IRRELEVANT CONVERSATION IN BUSINESS IS ABOUT HOW THINGS USED TO BE
WHAT RISKS ARE YOU FACING TODAY?
At his best, man is the noblest of all animals; separated from law and justice he is the worst. Aristotle
Casus Belli [cause for war]
Willful Disregard
Knowing the Difference Contract Custom Regulation
TEAMS AND BROKERS
Business Instigator Geek Paper-Jockey Firefighter
HORIZONTAL TEAMS VERTICAL TEAMS
HIRING BY THE TEAM Licensed vs. Unlicensed Assistants
HIRING BY THE TEAM Assistants are paid Salary or Hourly (yeah, most likely licensed assistants too)
HIRING BY THE TEAM SUBJECT TO BROKER OVERSIGHT
COMPENSATION BY THE TEAM 1099 vs W2
LETS CHAT ABOUT COMPANY POLICIES Remember, I m not your attorney or one at all, really
TEAMS SHOULD: Meet with Broker Have agreement in writing Address compensation in agreement Have Business Entity License Start with the divorce in mind Have written business plan
POLICY THOUGHTS Define what a team is: Agent with Assistant Horizontal or Vertical Team Spouse/Partners or Family members Define how awards will be given Define teams as Dual Agents Lead Assignments
POLICY THOUGHTS Use of Assistants Required Experience for Team Leaders Internal Recruiting Broker does not resolve team drama No non-compete Do not empower Team to require agent to leave firm
POLICY THOUGHTS Which agent is listed as primary in MLS How team will terminate Broker to approve any licensed or unlicensed team member prior to affiliation Background checks for licensed and unlicensed members
POLICY THOUGHTS Independent Contractor with Broker Does team leader have signature authority? Hold Harmless for the Broker for team or assistant legal disputes.
TEAM RETENTION Provide policy template Make agent sign acknowledgement that template is a draft and should be reviewed by attorney. Provide job description templates Provide toolkit specific to team use Offer coaching for team leader
EMERGING TRENDS
Negligent Referrals
Recommended Language The following list of vendors provides various services to buyers and sellers in Fredericksburg, VA. I ve developed this list to assist clients while in a real estate transaction. Neither I nor [Brokerage Name] warranty these providers or their work. Consumers are encouraged to research their choices by whatever means they deem necessary. Clients are free to use any vendor that they prefer. This list is simply a starting point and clients are free to search online or other trusted resources to obtain referrals. If you are looking for repair providers and your home is built in the year of 1978 or before, please check the EPA website to find vendors, as special training is needed for certain work to be performed on your home. The providers listed below are not guaranteed to meet the criteria of the EPA
Coming Soon and Pre- MLS Defined Who Benefits Documentation Advertising Ability Insurance Agency Coverage Compensation
IRS Forces Exodus of Independent Contractors Employment law vs. Real Estate law
Criteria Used by US Supreme Court The degree of control exercised by the alleged employer; The extent of the relative investments of the (alleged) employee and employer; The degree to which the employee s opportunity for profit and loss is determined by the employer; The skill and initiative required in performing the job; The permanency of the relationship.
Technology is constantly evolving and agents aren t. The difference is noticeable and it s getting larger. NAR Danger Report
FSBO Develops Into DIY
What E & O Doesn t Cover Injury or Property Damage Fair Housing Fraudulent Acts Employment Issues Assistants Staff False Advertising Patents and Trade Secrets Owner Agent Listings Gross Negligence
SmartHomes and IOT
What is a SmartHome A home that is equipped with products or tools that aid in controlling functions such as temperature, lighting, security, safety and entertainment either remotely via phone, tablet, computer or with a separate automatic system within the home itself. -CNET
CNET s Definition Of A SmartHome Home must have reliable internet and 3 of the following: Lighting Smart light bulbs, lighting systems Safety Smart fire/carbon monoxide detectors, nightlight Entertainment Smart TVs, TV Streaming service Appliances Smart refrigerators, smart washers/dryers Heating/Cooling Smart HVAC system, smart fans or vents Outdoors Smart Plant, sensors, smart watering systems *Security Smart locks, networked security cameras *Temperature Smart thermostats *Must have one of these plus 2 others to qualify
Surveillance Concerns Audio Video Disclosure Consent
Notices and Consent
To Convey Or Not To Convey
Method of Annexation Personal Property -vs- Real Removed without Damage Adaptability of the Item Item s Use Real or Personal Relationship of the Parties Buyer over Sellers Intention of the Parties Property Temporary Attachment Agreement of the Parties Contractual
Directions For Seller Upon Closing Remove Devices That Do Not Convey Patch And Paint Any Damage From Removal Reset To Factory Default any remaining devices Delete Accounts of remaining devices
Steps For Buyer Take Photos of Device(s) Before Ratification Be Specific In Contract Personal Property Agreement May Not Be Able To Test At Walk-Thru Research Devices for Compatibility Ask For Documentation From Sellers
Big Data
Agent Ratings
THANKS FOR YOUR TIME! MATTHEW@THEAGENTTRAINER.COM THEAGENTTRAINER.COM TWITTER: @MATTRATHBUN FACEBOOK:/MATTRATHBUN That s Jett