Article 16 of the Code of Ethics states that “Realtors® shall not engage in any practice or take any action inconsistent with exclusive representation or exclusive brokerage relationship agreements that other Realtors® have with clients.” Prior to engaging any new client, Standard of Practice 16-9 requires “Realtors® … to make reasonable efforts to determine whether the prospect is subject to a current, valid exclusive agreement ….”

Standard of Practice 16-6 adds that “when Realtors® are contacted by the client of another Realtor® regarding the creation of an exclusive relationship to provide the same type of service, and Realtors® have not directly or indirectly initiated such discussions, they may discuss the terms upon which they might enter into a future agreement or, alternatively, may enter into an agreement which becomes effective upon expiration of any existing exclusive agreement.”

Broker B should not counsel Sellers on how to terminate an exclusive agency agreement.

The mandate of Article 16 is broad – “Realtors® shall not engage in any practice or take any action inconsistent with exclusive representation or exclusive brokerage relationship agreements that other Realtors® have with clients.” By counseling Sellers on termination methods, Broker B is clearly taking an action “inconsistent” with Broker A’s exclusive representation, and arguably engaging in the unauthorized practice of law in violation of Article 13 of the Code of Ethics and Virginia law. When permitted by the Code of Ethics, Broker B’s inquiries should be limited to what’s reasonably necessary to ascertain “whether the prospect is subject to a current, valid exclusive agreement” (Standard of Practice 16-9) and “the expiration date and nature of such listing” (Standard of Practice 16-4).