Q: Do I have to make a disclosure to a consumer who is already working with a licensee?
A: If you are dealing with a consumer who is accompanied by a licensee, you will not be required to make the disclosure required under section 5-10 of the Rules.
If you are dealing with a consumer who is not accompanied by a licensee, you must make the disclosure required under section 5-10 — even if that consumer is currently in a client relationship with a licensee. For example, imagine you are hosting an open house. While there, you are approached by a potential buyer who begins asking you questions that could lead to them telling you confidential information, and they are represented by a licensee but are not currently accompanied by that licensee. In that case, you must make the disclosure required under section 5-10 of the Rules.
When Disclosure Should be Made
Q: How is the disclosure of expected remuneration to be made where a number of offers and counteroffers are going back and forth between the parties?
A: A licensee acting for a seller must make a disclosure of expected remuneration in respect of each “offer to acquire real estate” that is prepared on behalf of a buyer and presented to the seller by the seller’s licensee.
While not strictly required by section 5-11.1, Council recommends that, for the sake of consistency and transparency, a seller’s licensee also make the disclosure of expected remuneration to the seller in respect of any counter-offer being made by the seller or the buyer.