SEAA signs MOUs to facilitate dispute resolution with the rise of scams; marks collaboration with Singapore Police Force

ceremonySEAA signed two memorandums of understanding (MOUs) at its Singapore Key Executive Officers and Leaders conference on Nov 14, with the Singapore Estate Agents Association (SEAA) also holding a separate ceremony to mark its collaboration with the Singapore Police Force (SPF), the National Crime Prevention Council (NCPC) and Council for Estate Agencies. With the guest of honour, Associate Professor Muhammad Faishal Ibrahim, Minister of State for the Ministry of Home Affairs & Ministry of National Development, Adam Wang, president of SEAA, spoke of the rising scam cases and the need to stay alert during real estate transactions.

The first MOU was signed between SEAA and the Law Society of Singapore and is aimed at promoting the use of the Law Society’s alternative dispute resolution schemes, including their mediation and arbitration schemes. It is ideal for disputes arising from co-broking arrangements between property agencies and property agents.

The second MOU was signed with 16 property agencies, including PropNex Realty, ERA Realty, Huttons Asia, OrangeTee & Tie, and SRI, representing 88% of the total number of property agents in Singapore according to SEAA. This agreement offers complimentary associate membership for all the agencies’ salespersons, and seeks to promote and further the use of the mediation and arbitration schemes offered by SEAA and the Law Society of Singapore.

Adam Wang, president of SEAA noted the need for such a MOU, “When a commission dispute arises between property agents, especially from different agencies, it is sometimes difficult for both the agencies to handle on the agent’s behalf as a large part of the commission goes to the agents and their stakes are higher… This is where SEAA and Law Society can step in to resolve such disputes.”

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The third part of the MOU is for property agencies and all their property agents to adopt the best practice guide on co-broking commissions with effect from July 1, 2024.

The MOUs come amid the recent $2.8 billion anti-money laundering crackdown in Singapore, which involved multiple numbers of high-value real estate transactions. SEAA’s Adam Wang noted that this “further amplifies the need for our property agents to exercise extra caution and stay highly alert with every property transaction when dealing with potential clients.”

Ultimately, SEAA aims to ensure that all parties in the real estate sector are able to uphold the highest ethical standards and prompt dispute resolution. The two MOUs signed are testament to this, and are beneficial for all stakeholders involved.