Online Display of MLS Listings

prepared by NAR Legal Affairs.

1. Does the MLS have authority from the listing broker to advertise his/her listings on the Internet?

2. Has the MLS copyrighted the database?

3. Does the MLS either own the copyrights in the photos or have a license from the owner to distribute the photos for display on an Internet site?

4. What is the scope of the license being given by the MLS to the Internet vendor?

  •     Does it allow the vendor to do more with the data than simply display it on the Internet?
  •     Does it license the vendor to use the data? If yes, for what uses?
  •     Are these uses in the best interest of the MLS and its Participants?

5. Does the agreement address ownership of the data?

  •     Does the vendor acknowledge the MLS’s copyright in the database?

6. What data fields will be displayed on the Internet site?

  •     Will all confidential information be removed?
  •     Should the “Remarks” section be included?
  •     Should the street address of the properties be included?

7. Will the vendor agree to include a disclaimer on the site such as “Information deemed reliable but not guaranteed”?

8. Will the vendor’s site include “for sale by owner” properties?

9. Are the payment terms clear?

10. What is the method by which the MLS will furnish the data to the vendor?

  •     Will this require any software modifications?
  •     Is there expense to the MLS?

11. How frequently will the MLS be expected to provide updated data to the vendor?

12. Is the contract assignable by the vendor?

  •     Does the MLS want the right to be able to terminate the agreement if it is assigned by the vendor?

13. Is the vendor requesting indemnification from the MLS?

  •     Is the vendor willing to indemnify the MLS in the event of litigation? Under what circumstances?

14. Does the vendor have a privacy policy for the Internet site that governs what the vendor will/will not do with information it gathers about consumers visiting the site?

  •     Will the vendor sell or refer those leads?
  •     If so, to whom?

15. What type of advertising is accepted on the site? Are there any restrictions governing banner ads that run over the real property ads? May a real estate franchise or broker purchase a banner ad that will run over the pages displaying any brokers’ properties for sale? Do the MLS participants care?

16. What rights do the parties have to terminate the agreement? What happens to the data upon termination of the agreement?