The nation's real estate regulators and the relocation industry have
effectively signed a peace treaty ending disputes over the demand and payment
of after-the-fact referral fees, announcing that mechanisms are now in place
that not only will diminish the number of conflicts, but will provide for
resolution problems when they do occur.
The Employee Relocation Council, meeting in New Orleans last week, announced
the creation of a complaint hotline in the form of a Web site,
http://coalition.erc.org, where consumers, brokers, third party companies or
others could send disputes with assurance that those complaints would be
looked into by senior officials at the companies involved.
The Association of Real Estate License Law Officials, meeting in Savannah,
Ga., heralded the Web site as a great step forward in consumer protection, as
well as providing industry interests a platform for resolving differences
short of going to court or through regulatory procedures.
Mississippi Real Estate Commissioner Brian Pray and other members of the
ARELLO task force specifically praised Cendant Mobility -- which had been at
loggerheads with ARELLO over the issue -- as being one of the leading forces
to diminish friction over after-the-fact fees.
"Cendant, being the biggest, was the one that got most of our attention,"
Pray said. "But they have cooperated with us and really done an excellent job
of informing their network. They have laid out their policy in black and
white so that everyone understand how they do business. No surprises.
"They are a model for the rest of the industry."
The complaint Web site was established by the Relocation Coalition for
Cooperative Business Practices, whose objective is to implement industry
standards for management of the relocation referral fee process.
Backers who have signed their support to resolve disputes include Kevin
Kelleher of Cendant Mobility, Elliot Rose of Prudential Relocation, Don
Watson of the Associates Relocation, several Fortune 500 companies and real
estate brokerages.
At the heart of the Web site is the coalition's "Interchange," whose
objective is "to ensure swift and equitable problem resolution by bringing
the issue to the attention of the appropriate executive from relocation
service firms."
"This is good news for real estate professionals and transferees, who now
have a central point to which they can direct their issues, receive a reply
and, in turn, beneficially impact the process," says the site.
Once on the site, individuals may click on the "Interchange" button and bring
up a page where they can explain who the parties involved are and what went
wrong.
The coalition promises, "You will receive an e-mail confirmation upon receipt
of your message. Your issue will be swiftly brought to the attention of the
appropriate coalition contact. The contact will conduct the necessary
investigation, evaluation, and recommendation regarding your issue."
Published: October 25, 1999
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