Resolve a Dispute

If you believe a real estate agent has acted in an unethical manner, two options are available to file a dispute.

Before you file a dispute, speak to the agent’s broker to see if the issue can be resolved. If that is unsuccessful, you may do one of the following:

1. File a dispute with the New Jersey Real Estate Commission. NJREC oversees all people who hold a real estate license in the state. They will investigate, and if violations against the license law are found, they can impose sanctions. Learn about their resolution process.

2. If the agent you have an Ethics complaint against is a REALTOR® (a member of the NEXUS Association of REALTORS®), you may file a dispute through NEXUS. NEXUS does not determine if license law has been violated. Association sanctions are most often educational but can include fines and suspension from the association.

NEXUS Dispute Process

Processing a Dispute

The Ethics dispute comes to the Professional Standards Administrator for processing.
The Grievance Committee then receives the ethics dispute to determine if, taken as true on their face, a hearing is warranted. The Grievance Committee makes only such preliminary evaluation as is necessary to make these decisions.
If the Grievance Committee determines that a matter requires a hearing, it will forward the dispute the Professional Standards Committee. They will also notify the parties that a mediation procedure is available as a preliminary, voluntary alternative to arbitration.
The Professional Standards Committee will hold an ethics hearing. If no one has requested the Respondent(s) reply to the dispute, he/she/they will be at this time. A hearing will then be scheduled, and all parties will be notified of the hearing's date, time and place. The hearings provide an opportunity for the Complainant and the Respondent to explain his or her side of the story by presenting testimony and witnesses, if any.
Once all the facts have been presented, a Hearing Panel, consisting of members of the Association chosen on the basis of experience, temperament and objectivity, will determine whether the Code of Ethics has been violated.
The Association will inform you about each step of this process as it occurs. The Association will also give you instructions about the hearing procedures prior to the hearing. The entire process will usually take a minimum of 60 days but may take longer.

How to File an Ethics Dispute

Complete and sign the Ethics Complaint Form. This form requests you to name the REALTOR®(s) in question as the Respondent(s).
List the Article(s) of the REALTOR® Code of Ethics that you think the REALTOR® violated. (The Association will also supply you with a copy of the Code of Ethics).
Attach an explanation of the situation surrounding the complaint. Be as specific as possible. State what, when, where, why and how you think the REALTOR®(s) violated each Article.
Attach 15 copies of any and all pertinent documents such as listing agreements, addendums, etc. If you have notarized statements from witnesses, include those also.
Send the entire package, keeping a copy for yourself, to the Association of REALTORS® to the attention of Kim Gwara, Director of Member Services & Professional Standards, at kgwara@nexusaor.com .

Mediation

Mediation is a form of facilitated negotiation in which an impartial third-party attempt to help disputing parties reach a mutually satisfactory solution to their problems. Mediation is voluntary for both parties, either of which can end mediation at any time and choose to follow the formal ethics complaint or arbitration request procedure, and parties are not required to accept any resolution proposed in mediation. Additionally, any proposed resolution in mediation may not be used in the formal process later. NEXUS Association of REALTORS® offers our members and their clients and customers the opportunity to use mediation to resolve conflicts. We ensure the process is fair, flexible, and confidential.

There are numerous benefits to choosing mediation. Since the mediation process is collaborative, not adversarial, it can help resolve issues while preserving positive relationships between all parties. Additionally, mediation often takes far less time and money than a formal litigation and also allows the parties themselves to craft a solution they can live with. This is opposed to a formal arbitration, in which a hearing panel’s decision is binding on the parties.

The goal of a successful mediation is to have both parties come to a mutual agreement in writing upon the mediation’s conclusion. Once the agreement is signed, parties are legally bound to abide by its terms.

If you have questions about mediation services, please email Kim Gwara at kgwara@nexusaor.com

Click here for the National Association of REALTORS® (NAR) Code of Ethics and Professional Standards Resources

Resolve a Dispute

NEXUS Dispute Process

Mediation

Ethics Complaint Process

Nexus Association of REALTORS®