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New Advertising Rules Proposed

DanProfile35 Dan Naylor

SocialimagesThe Real Estate Commission has a new rule proposal for real estate agents in Utah regarding advertising rules, and specifically they are addressing modern advertising venues, such as internet and social media advertising.

It has been long known that the old rules were not very clear when it came to advertising on social media, and that changes were needed to preserve the intent of the law in these new mediums.  The Real Estate Commission put together a team of experts to review the rules and determine the best way to accomplish the purpose of identifying brokerages in advertising, and protecting the public.  We believe that they have done good work, and we commend the changes that they have proposed.

Some highlights include the new words "clear and conspicuous" replacing old language requiring "half size" lettering of the brokerage name.  Also included is a requirement of a "direct link" from any advertisement to the brokerage name.

UPDATE:

Here are the new advertising rules, made effective January 2017:

R162-2f-401h. Requirements and Restrictions in Advertising.

(1) Except as provided for in subsections (2) and (3), a licensee shall not advertise or permit any person employed by or affiliated with the licensee to advertise real estate services or property in any medium without clearly and conspicuously identifying in the advertisement the name of the brokerage with which the licensee is affiliated.

(2) When it is not reasonable for a licensee to identify the name of the brokerage in an electronic advertisement, the licensee shall ensure the electronic advertisement directly links to a display that clearly and conspicuously identifies the name of the brokerage.

(3) A licensee is not required to identify the name of the brokerage with which the licensee is affiliated if:

(a) the licensee advertises a property not currently listed with the brokerage with which the licensee is affiliated;

(b) the licensee has an ownership interest in the property; and

(c) the advertisement identifies the name of the individual licensee as "owner-agent" or "owner-broker."

(4) The name of the brokerage identified by a licensee in an advertisement shall be the name of the brokerage as shown on division records.

(5) A team, group, or other marketing entity which includes one or more licensees shall be subject to the same requirements and restrictions with regard to advertising as is an individual licensee.

(6)(a) If a licensee advertises a guaranteed sales plan, the advertisement shall include, in a clear and conspicuous manner:

(i) a statement that costs and conditions may apply; and

(ii) information about how to contact the licensee offering the guarantee so as to obtain the disclosures required under Subsection R162-2f-401a(23).

(b) Any radio or television advertisement of a guaranteed sales plan shall include a conspicuous statement advising if any conditions and limitations apply.

 

 

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