Looking for a more detailed explanation of the new ER and EA forms? We’ve compiled a list of the most frequently asked questions:
- Why were the agreements updated?
The agreements were updated to compliment the new AAR Purchase Agreement and as part of our ongoing review to ensure our forms are up-to-date.
- When will the other types of listing agreements be updated?
The next listing agreements to be updated are commercial for sale and commercial for lease. We are in the early stages of creating a task force for this project. If you work commercial and are interested in being a part of the process, email: Contracts@ARMLS.com.
- Can I still use the old forms?
Please check with your broker but there isn’t a requirement from ARMLS to use the new forms. The old forms are no longer hosted on ARMLS.com and will soon no longer appear in zipForm.
- Why are the line numbers on the ER and EA on ARMLS.com different from the zipForm® lines?
Zipform uses proprietary form building software to recreate our form in their system. Line numbers will vary because zipForm uses a different font and display system. The item/section numbers do not differ, so section 17 is section 17 everywhere.
- Where can I find the forms?
Access the forms at ARMLS.com/Forms or inside zipForm.
- What were the major changes?
- Section 3 (b & c) (Fixtures and Personal Property) was changed to match the new AAR Purchase Agreement. Additionally, a spot was created in 3 (c) to input any leased items (e.g. leased solar) that are included in the sale.
- Section 4 (Access and Lockbox) had a paragraph added to address the liability that could be incurred by subscribers that put lockboxes on rental properties. It is not recommended to put a lockbox on rental properties unless a CBS code is used to restrict access. This was due to requirements in the Arizona Residential Landlord and Tenant Act.
- Section 6 (a – e) (Compensation to Broker and Cooperating Brokers) was re-titled and the section was laid out differently to be more easily understood and efficient.
- Section 7 (Listing Broker Obligations and Authority) had two sentences added that help mitigate liability with concern to photos of valuable items.
- The opt out sections for VOW, internet display and address only listings were deleted. These were deleted as they were the most questioned and confusing parts of the former version of the agreements. The opt outs, in addition to being on the syndication screen in the MLS, are located both at the bottom of the Input Listing Forms (Profile Sheet) and in the current IDX Package.
- Section 11 (Owner Obligations) had several changes:
- 11 (e) was reworded for clarity and added information regarding the Arizona Residential Landlord and Tenant Act.
- 11 (f) is a new section which is a catchall for all known adverse conditions on the property. It strengthens the Broker’s case if their client has not disclosed something.
- 11 (g) the rest of Section 11’s sub points were re-numbered due to the inclusion of the new 11 (f). In addition, more information regarding the Foreign Investment in Real Property Tax Act (FIRPTA) was included.
- 11 (i) was edited to reflect the current language in the law regarding the Affidavit of Disclosure.
- 11 (j) is a new section that helps the Broker with liability by requiring any insurance claims on the house within the past five years to be reported.
- 11 (k) is a new catchall section in case supplementary requirements are added to the purchase process.
- Section 27 (e) (Additional Terms) had several lines added, fixing a common complaint about the amount of space afforded to Additional Terms.
- Every Owners’ Initials box was split to allow for two owners to initial.
- What if I need to amend the agreement to add more information and terms?
ARMLS created a brand new form for this purpose, the Listing Addendum, that can be used with any of the types of listing agreements. It is also located both on zipForm and on ARMLS.com.
- What if I have other questions about the ER/EA that was not answered in this FAQ?
Please send such questions to our Risk Management team at Contracts@ARMLS.com and someone will get back to you as quickly as possible.