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recent report by University of Buffalo law professor Tanya Monestier criticizes The Real Estate Board of New York's (REBNY) guidelines on buyer representation agreements, arguing they fall short of clear and comprehensive language required under new industry standards. REBNY's six-page checklist is intended to help brokerages draft contracts for their agents but uses inconsistent terms and relies heavily on complex legal jargon.

    Monestier warns that New York City buyers deserve better than a poorly drafted template issued by REBNY, citing specific provisions in the document as problematic. For instance, she notes that the checklist implies a buyer consents to dual agency simply by viewing a property with the listing agent, which contradicts another section requiring written consent.

    Monestier also points out that the checklist lacks essential clauses, such as how and when a buyer can cancel the contract or what happens to extra commission dollars if a seller offers more than the agreed-upon percentage. REBNY released the checklist at the start of the year, alongside new rules targeting offers of compensation, an issue central to antitrust lawsuits filed across the country.

    The California Association of Realtors faced similar scrutiny after releasing new buyer agreements in July, with Monestier arguing that included provisions were anti-consumer and confusing. The Department of Justice subsequently launched a formal inquiry into CAR's forms, prompting the association to delay and later revise its agreement. REBNY has welcomed comments on its checklist but maintains it is not recommending brokerages use the language as-is.