1. General considerations.
i). This Code of Practice regulates the activities of Member agents in the service that they provide as Estate Agents, that is any commercial service offered to a client in respect of the sale, rental, purchase or transmission of any residential or commercial property, land or business located within the borders of main land Spain, its islands or territories. Member Agents agree to comply with this Code of Practice and any relevant Spanish laws in respect of the sale, rental, purchase or transmission, of residential or commercial property, land or business.
ii). Member Agents shall not act towards clients, the general public or other agents that is in any way unprofessional, deceitful, unfair, illegal or dishonest.
iii). Member Agents will to the best of their ability reply fully and promptly to all enquiries and queries, whether they be from a seller, buyer or member of the general public.
iv). Member Agents will in all instances offer equal levels of service and conduct to any clients regardless of their race, creed, sex, colour, nationality, background or religion.
v). Member Agents agree to offer their clients sound independent advice. In any case where there is a clear conflict of interest the client must be notified immediately in writing. However this does not preclude Member Agents from acting fairly and reasonably on behalf of both buyers and sellers.
vi). Where there is a conflict of interest relating to the selling or purchase of any listed property which would include:
a). The said property is owned fully or partly by the Member Agent, his/her family, relations or one of his employees.
b). The Member Agent, a member of his/her family, one of his/her or one of his/her employees is the intended buyer.
These are obvious circumstances but Members should be aware that other circumstances may arise from time to time.
vii). All agreements whether between the Member Agent and the seller or buyer will be in writing, and will clearly show the responsibilities of all parties involved.
viii). Member Agents may collaborate with other Members, and in so doing will behave professionally and the collaboration will reflect the needs of their client at all times.
ix). Member Agents agree that all personal or confidential information collected about any client or member of the public will remain completely confidential unless that Member Agent has specific written permission from the client or member of the public to use or release the said information. Any release of the said information will be governed by the relevant Spanish data protection legislation.
x). As Members, Principals and Partners agree to keep all their employees fully trained and aware of the requirements of this Code of Practice and will be responsible for their employees actions.
xi). Whilst it is not a requirement it is highly recommended that Member Agents carry public liability insurance and indemnity insurance against injury, negligence or mal-practice.
2. Financial considerations.
i). Where a Member Agent holds clients monies for whatever purposes, these monies will be held in a recognised financial institution, in a separate clients account, completely removed from their own funds. Further the Member Agent will ensure that the said funds can only be used for the purposes for which they were deposited with the Agent.
ii) Member Agents that temporarily hold clients money in cash will be fully responsible for the total loss (theft or fire) of any monies held.
iii). Where no contractual document has been signed by the buyer, the Member Agents must refund deposits held in full should he be required to do so by the buyer.
iv). Member Agents will maintain up to date accounts and must be able to account immediately for all clients monies held in cash or in clients accounts.
3. Taking instructions from Sellers
i).Member Agents may not advertise for sale any property without the prior permission of the owner or his appointed agent. Before offering for sale any property the Member Agent will do everything in his power is to ascertain that the seller is authorised to offer the said property for sale.
ii) When taking instructions from a seller to list their property for sale, Member Agents will be required to have a document signed by the seller showing the name of the owner, address of the property, the net sale price, commission and any other relevant information relating to the listing or the Member Agents charges. The Federation can supply suitable documentation but Member Agents are at liberty to use their own provided it meets the requirements.
iii). The listing agent will provide the seller in writing within 5 working days of taking the listing, a copy of the sales material relating to that property and confirmation of his charges.
iv). Member Agents agree to describe accurately, either verbally, in writing or point of sale material all properties they list for sale. They agree not to exaggerate, mislead, misrepresent or conceal any facts that relate to the listing or sale of any listed property.
v). Purchasers should in all circumstances be advised of the Member Agents costs prior to taking any instructions. Any fees or commissions will only become due after a buyer has entered into a contractual agreement with the seller, through the auspices of the Member Agent. Sellers should be advised that all charges or commissions fall due immediately on completion.
vi). Should the Seller enter into a “Sole Agency Agreement” with a Member Agent, he must be made aware that should he sell the listed property through another agent or privately, he will be liable to pay the Member Agents full commission as listed in the agreement.
vii). Member Agents agree not to instruct other agents to sell a listed property without prior permission from the seller.
viii). When Member Agents are asked to give advice relating to the current market value of any property a client intends to sell, the advice given must be given in good faith and reflect the current market value. Member Agents should never offer poor advice to a client in order to gain a listing.
4. Obligations to Sellers
i). Should a Member Agent receive an offer on the property of a seller he must communicate the contents of the offer to the seller without delay regardless of the contents of the offer.
ii) Member Agents will not advertise a listed property at a different price to that agreed with seller without his prior permission, preferably given in writing.
iii). Should the Member Agent hold keys to a property, then all viewings of that property must be accompanied whether it be with a member of the public or another Member Agent. Under no circumstances should keys be given to third parties.
iv). Member Agents must not under any circumstances give the keys to the purchaser until after completion unless given express consent from the seller in writing.
5. Obligations to Buyers
i). Member Agents agree to advise buyers to seek independent advice, whether it be legal or financial. The Member Agent may affect an introduction to solicitors or financial institutions that he feels confident are capable of acting competently on behalf of the client.
ii). The sellers response to offers received must be communicated to the buyer as soon as possible whether favourable or not.
iii). Should a purchaser enter into a contractual agreement to purchase a property through the services of a Member Agent, that agent will ensure that all legalities relating to the property are correct and that the purchaser is fully aware of any debts or charges before the due date of completion.
iv). The Member Agent will provide a complete after care service for the purchaser, to include:
a). Arrangement for the payment of any related taxes or charges.
b). Change of name with the local authority.
c). Change of service connections i.e. water, electricity, telephone etc.
These services may or may not be charged for as the Member Agent sees fit.
6. Obligations to other Member Agents
i). Member Agents will maintain a professional stance towards other Member Agents and under no circumstances call into question their competence or conduct, unless a formal complaint is to be made.
ii). Member Agents will never seek to interfere with another Member Agents instruction or transaction in order to gain the instruction or transaction for himself.
iii) Member Agents may share properties, but all approaches regarding any property must be made through the listing agent and never directly to the seller.
iv). If a property is viewed by one Member Agent through another, then the viewing Agent is forbidden to list that property directly with the seller.
7. Complaints and disputes
i).The complaints and disputes board will be appointed as necessary by the Directors of the Federation. They will oversee and adjudicate any formal complaints (received in writing), whether these complaints are made by members of the public against conduct of a Federation Member or indeed by one Federation Member against another.
ii). After due consideration, the board are empowered to:
a). Dismiss the complaint and take no action.
b). Issue a written warning.
c). Impose a financial penalty.
d). Impose a reduction in membership.
e). Issue a suspension notice.
f). Issue an expulsion notice.
iii). All parties involved in any complaint will be informed in writing of the findings of the board within 7 days of their decision.
Sanctioned Members may within 7 days of the notification appeal directly to Directors of the Federation.
iv). Should the appeal be upheld by the Directors, the matter is considered closed. If the Directors agree with the findings of the complaints board then the sanctioned member has 7 days to comply with board's recommendations or face expulsion.
v). The decision of the Directors in any complaints procedure is final, however any decision issued by the Directors may not affect the legal rights of the Member Agent concerned.
vi). Principles or partners should be aware that as Members of the Federation they are considered to be responsible for the actions of their employees.
Note – For the purpose of definition, where appropriate the words he/him/himself also indicate she/her/herself.
