18VAC135-20-300: Misrepresentation or omission

Actions constituting misrepresentation or omission include:

1. Using "bait and switch" tactics by advertising or offering real property for sale or rent with the intent not to sell or rent at the price or terms advertised, unless the advertisement or offer clearly states that the property advertised is limited in specific quantity or for a specified time period and the licensee did in fact have at least that quantity for sale or rent at that price or terms at the time of advertising, including listing status and condition of property;

2. Failing as a licensee representing a seller or landlord as a standard agent to disclose in a timely manner to a prospective purchaser or tenant all material adverse facts pertaining to the physical condition of the property that are actually known by the licensee;

3. Failing as a licensee to tender promptly to the client or unrepresented party every written offer, every written counteroffer, and every written rejection to purchase, option, or lease obtained on the property involved;

4. Failing as a licensee to disclose in a timely manner to the licensee's client all material facts related to the property or concerning the transaction when the failure to so disclose would constitute failure by the licensee to exercise ordinary care;

5. Failing to provide in a timely manner to all principals to the transaction written notice of any material changes to the transaction;

6. Disclosing to one client represented in the dual representation confidential information relating to the transaction obtained during the representation of another client in the same dual representation unless otherwise provided by law when acting as a dual agent or dual representative;

7. Failing to include the complete terms and conditions of the real estate transaction, including any lease, property management agreement, or offer to purchase;

8. Failing to include in any application, lease, or offer to purchase identification of all those holding any deposits;

9. Knowingly making any false statement or report, or willfully misstating the value of any land, property, or security for the purpose of influencing in any way the action of any lender upon:

a. Applications, advance discounts, purchase agreements, repurchase agreements, commitments, or loans;

b. Changes in terms or extensions of time for any of the items listed in subdivision 9 a of this section whether by renewal, deferment of action, or other means without the prior written consent of the principals to the transaction;

c. Acceptance, release, or substitution of security for any of the items listed in subdivision 9 a of this section without the prior written consent of the principals to the transaction;

10. Knowingly making any material misrepresentation; and

11. Making a false promise through agents, salespersons, advertising, or other means.