§ 543b-60a

543B.60A Prohibited practices — business referral disclosures. 1. A licensee shall not request a referral fee after a bona fide offer to purchase is accepted.2. A licensee shall not request a referral fee after a bona fide listing agreement has been signed. 3. A licensee shall not offer, promote, perform, provide, or otherwise participate in any marketing plan that requires a consumer to receive brokerage services, including referralservices, from two or more licensees in a single real estate transaction, as a required conditionfor the consumer to receive either of the following: a. Brokerage services from one or more of such licensees.b. A rebate, prize, or other inducement from one or more such licensees.4. For purposes of this section, 'consumer' shall include parties or prospective parties to a real estate transaction, clients or prospective clients of a licensee, or customers or prospectivecustomers of a licensee. 5. This section does not address relationships between a broker and the broker associates or salespersons licensed under, employed by, or otherwise associated with the broker in a realestate brokerage agency. 6.

ion does not address relationships between a broker and the broker associates or salespersons licensed under, employed by, or otherwise associated with the broker in a realestate brokerage agency. 6. A violation of this section is deemed a violation of section 543B.29, subsection 1, paragraph 'd'. 7. The purpose of this section is to prohibit licensee practices that interfere with contractual arrangements, place improper restrictions on consumer choice, compromise alicensee’s fiduciary obligations, and create conflicts of interest. 8. An Iowa licensee is prohibited from participating in any marketing plan or arrangement prohibited by this section with a person who is licensed or otherwise authorized to engagein the real estate business in another state or foreign country. This subsection shall notbe interpreted to impact or alter a referral fee structure which otherwise complies with therequirements of this section. 9. A licensee or person licensed in another state or foreign country who conducts business in this state or refers business to a licensee in this state shall disclose in writingto the consumer and to the licensee to whom they are referring business, the name ofthe

try who conducts business in this state or refers business to a licensee in this state shall disclose in writingto the consumer and to the licensee to whom they are referring business, the name ofthe consumer being referred, the name of the referring company, and the amount ofcompensation they are receiving for the referral. This subsection shall not affect or restrictbusiness practices relating to payment methods between listing and selling brokerages,and shall be applicable strictly to properties containing at least one but not more than fourdwelling units. 99 Acts, ch 22, §2; 2005 Acts, ch 179, §73; 2007 Acts, ch 153, §1, 2; 2008 Acts, ch 1099, §5 Sat Dec 23 01:45:52 2023 Iowa Code 2024, Section 543B.60A (19, 1)