Policy I.1. Definition of VOW
Text
For purposes of this Policy, the term Virtual Office Website ("VOW") refers to a Participant's Internet website, or a feature of a Participant's Internet website, through which the Participant is capable of providing real estate brokerage services to consumers with whom the Participant has first established a broker/consumer relationship (as defined by state law) where the consumer has the opportunity to search MLS data, subject to the Participant's oversight, supervision, and accountability.
Summary
Definition of VOW.
Action Items: MLS
None.
Action Items: VOW-operating broker
None.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
None.
Questions
None.
Other notes
None.
MLSTesseract Blog Post
None.
Policy I.1.a. Definition/use of AVP
Text
A Participant may designate an Affiliated VOW Partner ("AVP") to operate a VOW on behalf of the Participant, subject to the Participant's supervision and accountability and the terms of this Policy.
Summary
Defines affiliated VOW provider or AVP.
Action Items: MLS
None.
Action Items: VOW-operating broker
- Recognize that broker participant is responsible for AVP’s conduct.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
None.
Questions
None.
Other notes
None.
MLSTesseract Blog Post
None.
Policy I.1.b. Agent VOWs
Text
A non-principal broker or sales licensee, affiliated with a Participant, may, with the Participant's consent, operate a VOW or have a VOW operated on its behalf by an AVP. Such a VOW is subject to the Participant's supervision and accountability and the terms of this Policy.
Summary
This provision permits non-principal brokers/salespeople (i.e., “real estate agents”) to have their own VOWs.
Action Items: MLS
- Revise standard data feed/access forms/contracts for feeds for salesperson VOWs (if MLS does not already permit them).
- Review fees for data feeds and consider whether there are any greater or lesser costs associated with salesperson feeds than principal broker feeds.
- Determine whether a principal broker feed to an AVP working with the broker can be used by the AVP to build VOWs for individual salespeople in the same firm.
- Determine whether increased enforcement resources will be necessary if number of salesperson VOWs increases significantly.
Action Items: VOW-operating broker
- Determine brokerage firm policies regarding salespeople operating VOWs. Note that permitting this practice imposes on the brokerage firm a duty to oversee, supervise, and be accountable for each salesperson site.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
- Consider business opportunities to offer salesperson sites.
- Recognize that MLS/broker will probably require a separate contract for each salesperson VOW the AVP will operate.
- Make sure AVP has means to compare its active customer list with MLS’s active roster of participants and subscribers. VOWs relating to lapsed participants subscribers should be turned off immediately to prevent violating MLS policies and contracts AVP has signed.
Questions
- Clarification: The policy appears to permit a "participant" to operate multiple VOWs. (See Policy II.7.) Policy Section I.1.c expressly says that "participant" includes salespeople (with a couple exceptions). This suggests that agents are able to have as many VOWs as they like, provided the principal broker consents, oversees, supervises, etc.
Other notes
None.
MLSTesseract Blog Post
None.
Policy I.1.c. “Participant” includes salespeople
Text
Each use of the term "Participant" in this Policy shall also include a Participant's non-principal brokers and sales licensees (with the exception of references in this section to the "Participant's consent" and the "Participant's supervision and accountability," and in section III.10.a, below, to the "Participant acknowledges"). Each reference to "VOW" or "VOWs" herein refers to all VOWs, whether operated by a Participant, by a non-principal broker or sales licensee, or by an AVP.
Summary
This provision clarifies that rights and obligations of “Participants” in the policy apply both to the principal broker participant and to salespeople operating VOWs.
Action Items: MLS
None.
Action Items: VOW-operating broker
None.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
None.
Questions
None.
Other notes
None.
MLSTesseract Blog Post
100,000 VOWs by the end of 2010, November 18, 2008.
Policy I.2. Rights limited to offices that participate in MLS
Text
The right to display listings in response to consumer searches is limited to display of MLS data supplied by the MLS(s) in which the Participant has participatory rights. This does not preclude a firm with offices participating in different MLSs from operating a master website with links to such offices' VOWs.
Summary
This provision appears to prevent a brokerage firm with offices in several MLSs operating a single, aggregated VOW containing data from all the MLSs, unless all the firm’s offices participate in all the MLSs. It does not prevent the firm operating a master site with a “drill-down” to a participating office depending on the visiting consumer’s geographical preference.
Action Items: MLS
Understand brokers’ “drill-down” options and anticipate that single-office firms may express concern or displeasure regarding “drill-down” sites of multi-office firms.
Action Items: VOW-operating broker
Understand limitations on “drill-down” sites and implement appropriate technology to meet local MLS requirements.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
See Action Items: VOW-operating broker.
Questions
- This provision raises questions for MLS collaborations. There are many possible scenarios. Consider the following four: (a) Two MLSs have a reciprocal agreement, under which a broker participating in one can log in using SSO technology to the other, the offers of compensation in each MLS extend to brokers in both, and any broker participating in either can get an IDX feed from each MLS (though the feeds are separate; but the MLSs do not maintain any “common database utility” or “CDU.” (b) Same as (a), except the two MLSs have retained (or formed) a third party entity to aggregate listings from both MLSs into a single “common database utility”; but the CDU is available only for web-based searching by participants, and there are no data feeds out of the CDU. (c) Same as (b), except that there are “back-office” data feeds available to brokers out of the CDU. (d) Two MLSs collaborate to create a common IDX database, accessible and usable by brokers participating in either, and the common IDX database is available from a single CDU created for that purpose; but there is no offer of compensation extending across the MLSs. Under each of these scenarios, does a broker directly participating in only one of the two MLSs have “participatory rights” in the other? Under each, to what kind of data feed(s) is the broker entitled?
Other notes
None.
MLSTesseract Blog Post
None.
Policy I.3. VOWs may provide other tools
Text
Participants' Internet websites, including those operated for Participants by AVPs, may also provide other features, information, or services in addition to VOWs (including the Internet Data Exchange ("IDX") function).
Summary
A VOW does not have to be segregated from other functions, including IDX. A broker can operate an IDX site that merges seamlessly into its VOW. I.e., the broker can provide the enhanced capabilities available in the VOW to a consumer visiting the IDX site, subject to the consumer’s willingness to enter a broker consumer relationship and to register.
Action Items: MLS
None.
Action Items: VOW-operating broker
None.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
None.
Questions
None.
Other notes
None.
MLSTesseract Blog Post
100,000 VOWs by the end of 2010, November 18, 2008
Policy I.4. Listing broker consent not required
Text
The display of listing information on a VOW does not require separate permission from the Participant whose listings will be available on the VOW.
Summary
This was a central issue in the lawsuit. Listing brokers are not permitted to “opt out” of VOW display of their listings by other brokers.
Action Items: MLS
- Communicate to listing brokers the content and implications of this provision.
Action Items: VOW-operating broker
None.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
None.
Questions
None.
Other notes
None.
MLSTesseract Blog Post
Questions about implications of VOW settlement, November 24, 2008.
Policy I.5 No other restrictions on VOWs by MLSs
Text
Except as permitted in Sections III and IV [of the policy], MLSs may not adopt rules or regulations that conflict with this Policy or that otherwise restrict the operation of VOWs by Participants.
Summary
This provision ensures that the restrictions the policy permits on VOWs are the only restrictions that MLSs may impose on VOWs. Note, however, that Section III.9. appears to permit MLSs to restrict the format or appearance of VOWs to the extent they regulate all displays via all media.
Action Items: MLS
None.
Action Items: VOW-operating broker
None.
Action Items: Affiliated VOW provider (broker technology/marketing partner)
None.
Questions
None.
Other notes
None.
MLSTesseract Blog Post
Can real estate agents keep secrets?, December 9, 2008
Questions about implications of VOW settlement, November 24, 2008