BrokerageIndustry News

Virginia, Tennessee pass real estate service laws

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Virginia and Tennessee have passed legislation establishing service requirements for full-service real estate licensees while allowing exemptions for licensees that offer fewer services in a real estate transaction. A number of other states have already passed or are considering legislation relating to agent service requirements, though the restrictions and exemptions vary from state to state. In a handful of cases these laws -- sometimes referred to as minimum-service measures -- have drawn fire from the U.S. Department of Justice and the Federal Trade Commission. The federal agencies have stated that such laws can be anti-consumer and anti-competitive. But that was not the case in Virginia. The Virginia Association of Realtors, which backed the bill in that state, invited the Justice Department to review the legislation. In January, John R. Read, an antitrust official for the Justice Department, stated in a letter to the state Realtor association that the Virginia law "does not req...