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REALTOR® Advertising

REALTORS® shall not advertise without disclosing the name of the REALTOR®'s brokerage in a readily apparent fashion.

It has become increasingly common for REALTORS® to advertise in a manner other than their personal name under which they are licensed. While the use of logos and other means of branding are not per se contrary to the standards to which our Members are held – it is important that the Membership is mindful of the specific rules in place by which they are bound.

 

Disclosure of Brokerage

 

Article 13.1 of the CREA Code of Ethics states:

  • REALTORS® shall not advertise or permit any person employed by them or otherwise affiliated with them to advertise real estate services or property without disclosing the name of the REALTOR®’s brokerage in a readily apparent fashion. If disclosing the name of the REALTOR®’s brokerage is impractical because of the nature of the display (e.g. text message, tweet, etc…) then no such disclosure is required, provided there is a link to a display that includes all of the required disclosures.

The PEIREA Rules & Regulations specifically adopt the CREA Code in s. 15.4 and further, s. 3.29 (b) of the Rules and Regulations specifically states that all Listing Content displayed on a National Pool Website or a Member Feed Website must display the brokerage name which must be prominently displayed in text large enough for a consumer to easily read.

 

It is critical that advertisements must include the brokerage name in a readily apparent and prominent way that can easily be read by consumers.

 

Advertising that is Confusing to the Public

 

As stated above the use of a logo by REALTORS® is not problematic as a starting point. However, REALTORS® must be careful so as to not advertise in a manner that is confusing to the public. Specifically – when viewing an advertisement it should be readily apparent to an average consumer as to which party is the salesperson and which is the brokerage with whom the consumer would be contracting. Logos and language which suggest that the salesperson is in fact its own brokerage should not be used if the result is to create the impression that there is a third party involved in addition to the salesperson and their brokerage. Advertising of this nature could in certain instances amount to a misrepresentation to the consumer.

 

Recommendation

Prior to posting any advertisement it is recommended that it be objectively reviewed to ensure that a) the brokerage is disclosed in a readily apparent fashion; and b) the advertisement is presented in a such a manner that the average consumer would clearly understand the salesperson and brokerage with whom they would be contracting. Advertising in this manner will help ensure REALTORS® are advertising in an accurate and compliant manner and not leaving themselves and their brokerages subject to complaints or further legal liability associated with misrepresentations to the public.

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