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Ethics in Action: Arbitration

September 29, 2023 in KCRAR

Image description: Close up of a woman hand writing a form with a laptop beside at home or office.

As REALTORS®, strict adherence to the Code of Ethics is enforced via a number of dispute resolution options, including the use of arbitration. Arbitration is an alternative dispute resolution program, separate from ethics hearings, which provides a forum for resolving commission disputes between broker members in lieu of litigation.

The arbitration process begins with a request from a broker to pursue a monetary claim arising out of a contractual dispute (or Standard of Practice 17-4) with another REALTOR® principal. broker must complete the arbitration request form, state the amount sought, the date the dispute arose and the date the contract was closed.

Once the KCRAR Grievance Committee receives the arbitration request, they will decide if there are sufficient grounds for a hearing by the Professional Standards Committee, or it could be resolved via mediation.

Arbitration requests are completely confidential under article 14 of the Code of Ethics. That means that if any party involved violates that confidentiality, that person would be in violation of the Code of Ethics, and disciplinary action could be taken. For more information, on arbitration or other dispute resolution options, visit

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