Evening star., 1934-02-17
REALTORS TO ACT
ON BROKERS' CODE
At MEETING HERE
H. C. Bangs and Wavery
Taylor Members of Group
to Meet March |.
BUILDING PROPOSAL
TO BE CONSIDERED
Tentative Draft Covers All ActiV.
tiles of Real Estate
Business.

With the real estate industry still
without an N. r. A. code, directors
of the National Association of Real
Estate Boards will meet in Washing
ton March l to act upon a proposed
code for the real estate brokerage
business, it was announced today.
This code, negotiations on which
have been under way between the
National Recovery Administration and
the realtors body for the past several
months, has been completed in ten
tative form for submission to real
estate boards throughout the country,
and has been recommended for
adoption by the Code Committee.
Preceding the directors meeting
March l, the Executive Committee
of the association will meet on Feb
rusry %, at which time the Code
Committee will submit a report on
the detailed negotiations of the pro-
posed brokerage code, and also on a
proposed code for land, development
and home building, filed by the asso-
citation through the committee.
Two Local Members.
H. Clifford Bangs and Waverly
Taylor are local members of the Code
Committee. other members are j. w.
Cree, jr., Of Pittsburgh, chairman;
Hugh Potter, Houston, Tex; J. Soule
Waterield, Chicago; j. C. Nichols,
Kansas City; Harry E. Gilbert, Balti-
more, and Frank NJ. Ledwith of
Brooklyn, N. Y.
The proposed code for real estate
brokerage covers all the activities in
which the average real estate broker
age office is engaged, and would be-
come to a large degree general code
for the real estate business. 1t ap-
plies to every one in the industry as
covered by the definition, and would
require their registration with the code
authority.
The code defines the real estate
brokerage industry as follows: THE
representation of others, for compen-
sation, fee or valuable consideration,
in one or more transactions, as a
whole or partial vocation, in any Of
the following activities: Selling or
Offering for sale, buying or Offering to
buy, exchanging or Offering to ex-
change, or negotiating for the sale,
purchase or exchange of real prop
erty; or leasing or offering to lease,
renting or offering to rent, or negoti-
ating for the lease or rental of real
property and the collection of rent;
or appraising or Offering to appraise
the value Of real property, the brok-
erage Of insurance or the negotiating
and procuring Of loans on real prop
erty as an adjunct to the business"
Fair Trade Practices.
Important to the general public Is
the section on fair trade practices,
which, If the code is adopted and
signed, would have the force of Fed
eral law.
Provisions Of this section would
have a tremendous effect toward
eliminating unethical practice IN the
real estate field.
II Is provided that the proposed code
Ehall not supersede or modify the
standards, requirements, or regula-
tions established by the real estate
licensing laws of any State for the
real estate brokerage business, where
they are more stringent than the pro-
visions of the code
Administration of the proposed
code as negotiated would be through
8 code authority Of II members Of
the industry, representative of its
various interests, eight of whom would
be elected by the National ASSocia-
tion Of Real Estate Boards, and
three other members of the industry
selected by a fair method approved
by the administrator.
The code would give the code au-
thority the right to appoint local,
State or regional committees or des-
ignate local real estate boards or
State associations as such committees,
with the approval of the administrator
and which he shall find to be truly
representative Of the industry In such
localities, States or regions. Such
committees would have the right to
prescribe rules for fair trade prac-
tices for their respective locality,
State or region under the direction Of
the code authority, and with the ap-
proval of the administrator.
A provision of great potential public
importance is that which empowers
the code authority to obtain informa-
ton and reports from members of the
industry as required for the admins
tration Of the code and a further
provision which empowers the code
authority after local investigations
and hearings. and upon local initia-
tive as it affects any region. to recon-
mend to the administrator measures
for Industrial planning and for the
general welfare Of the industry.