August 14th, 2017 at 11:18 am

Question: I know that, when entering into the newly-revised C.A.R. listing agreement, we should now ask sellers to also sign the separate, one-page Arbitration Agreement (C.A.R. Form ARB). However, the standard-form ARB only has signature lines for Seller, Buyer, and Broker. Who is supposed to sign as Broker?

Answer: You can. As a salesperson or broker-associate for the company, you can sign the listing agreement and the ARB on the broker’s behalf. After all, you used to initial the arbitration clause on the broker’s behalf when it was part of the listing agreement itself. If you want to clarify that you are the agent, not the broker, you can do so. You can, for example, insert the words “BHHSCP By” before your signature on the ARB. Alternatively, you can insert “(Agent)” after your signature.

I have submitted a request to C.A.R. to revise the ARB signature line to say “Broker/Agent” instead of just “Broker.”

-Thank you to DiAnne Krumm (Sherman Oaks Office) for suggesting this week’s legal tip.

Copyright© 2017 Berkshire Hathaway HomeServices California Properties (BHHSCP). All rights reserved. Any unauthorized reproduction or use of this material is strictly prohibited. This information is believed to be accurate as of August 14, 2017. It is not intended as a substitute for legal advice in individual situations, and is not intended to nor does it create a standard of care for real estate professionals.

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