YBAA Code of Ethics & Courtesy Showing Protocol

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PREFACE:

YBAA member brokerage firms, and their brokers, agree to fully comply with the following YBAA Code of Ethics & Business Practice, as a condition of membership and in furtherance of their commitment to maintaining the highest industry professional standards.

YBAA strongly recommends that all members utilize YBAA’s copyrighted, standardized contractual Forms, which are provided as a free member benefit, designed to simplify the transaction process and to enhance customer satisfaction. Forms include: Central Listing Agreement; Open Listing Agreement; Purchase & Sale Agreement; and Acceptance of Vessel; and Amendment to the Purchase & Sales Agreement and are available in U.S. and Canadian versions. Use of the forms is strictly limited to current members, without alteration or edits. Members will use the current dated version of each Form. Forms are updated annually.

Member firms and brokers are encouraged to use the YBAA member logo in their advertising and promotions and on company websites, letterhead, and business cards.

YBAA also strongly encourages eligible member brokers to earn their Certified Professional Yacht Broker (CPYB) designation. CPYB brokers exemplify industry professionalism, having met the established criteria for experience, knowledge, and commitment and having successfully passed a three-hour written certification exam. The CPYB program is a cooperative venture among the nation’s leading yacht broker associations. Full details are available at www.cpyb.net.

 

SECTION 1. RELATIONS WITH THE PUBLIC

Certification Advisory Council. A record of all such actions will be maintained by the YBAA office.

 

SECTION 2.   RELATIONS WITH THE CLIENT

 

SECTION 3.   RELATIONS WITH HIS FELLOW BROKER

 

SECTION 4. RELATIONS WITH YACHT YARDS, MARINAS, YACHT CLUBS, AND OTHER SUCH FACILITIES

Broker’s willingness to pay for the service and payment will be made promptly for such service, whether the yacht is sold or not.

In summary, the Broker should do his job, not ask the yard to do it. Necessary services should be paid for promptly.

 


YBAA RECOMMENDED COURTESY SHOWING PROTOCOL

Definition, Courtesy Showing:

A Courtesy Showing is defined as a Selling Broker’s request to a Listing Broker to entertain and accommodate an unaccompanied potential Buyer of the Selling Broker to view a vessel­­­­­ listed by the Listing Broker.

1. Principals and managers should instruct their Brokers that the best course of action is for the Selling Broker to accompany the Buyer, when practical. Brokers should be considerate of other Brokers’ time when asking for courtesy showings. It is important that as much notice as possible be given in advance of a requested courtesy showing.

2. Selling Broker should contact the Listing Broker or Listing Brokerage to register a potential Buyer, preferably inwriting, regarding the vessel(s) of interest and to schedule a date/time for the showing. Failure of the Selling Broker to register the potential Buyer may result in the loss of commission and judgment against the Selling Broker if a request for dispute resolution is filed with the YBAA Professional Standards & Ethics Committee, the Certification Advisory Council, or any yacht broker association dispute resolution authority.

3. Criteria for the showing should be established - i.e., Selling Broker should inform Listing Broker of any specific items/areas that Buyer needs to see in order to make his decision to purchase. If Listing Broker is aware of any deficiencies or other information that could adversely affect the Buyer’s decision to purchase the vessel, it should be disclosed prior to scheduling the showing.

4. If no prior Co-Brokerage Agreement exists between the Listing and Selling Brokerages or Brokers, one should be established at this time of first contact to include commission agreement and responsibilities outside of a courtesy showing, if necessary. This commission agreement will pertain to any other boat that the Listing Broker introduces to the registered client at the time of the Courtesy Showing. Although one can’t be sure that a registered client is, in fact, a Buyer at the time a commission agreement is established, it is prudent that both Selling and Listing Broker establish responsibilities and compensation guidelines in advance of the Courtesy Showing.

5. Selling Broker is responsible for making sure that the Buyer understands the entire transaction process and will be responsible for all communications before and after the Courtesy Showing.

6. Selling Broker should instruct the Buyer to never contact the Listing Broker directly to schedule the Courtesy Showing on his/her own. Once the showing has been set up by the Selling Broker, the Buyer and Listing Broker may exchange contact information to allow for convenience and any last minute schedule changes.

7. Listing Broker should report back to Selling Broker immediately after the showing with any feedback that might indicate the Selling Broker’s client’s disposition, with regard to the vessel or vessels shown.  The Listing Broker should disclose to the Selling Broker any additional vessels, new or used, shown to the Selling Broker’s client.

8. Selling Broker should give the Listing Broker both positive and negative feedback from the showing as soon as possible, so that the Listing Broker can communicate such to their Seller.

9. Selling Broker should to instruct Buyer on limitations of the Listing Broker’s time and stress the importance of respecting the Listing Broker’s time.

10. Timely and good communication between the involved Brokers is the key to avoiding problems and will result in the best experience for the Buyer, the Seller and the Brokers.