Overview

This article explains the full process for handling rule violations and associated fines generated through the Listing Data Checker (LDC). The process includes:

• Violation finalization

• Invoice generation

• Dispute requests

• Administrative review

• Rules Violation hearings

• Appeals

• Enforcement and suspension rules

The process ensures that customers have multiple opportunities to provide information or dispute and appeal a violation before it becomes final. 

Quick summary:

Violation → Invoice → Dispute → Administrative Review → Rules Violation Hearing → Appeal → Final Enforcement

Step 1: Listing Reaches Final State

Once a listing is submitted to Matrix, it is automatically reviewed to compare listing data against public records and other validation checks. If the Listing Data Checker (LDC) identifies any discrepancies, the listing will be flagged and a violation will be generated.

A violation enters the dispute process once it reaches a final status, such as:

• Completed (the invoice is final, unless a dispute is requested)

• Corrected (in some instances, an agent or broker may not dispute a violation until the violation is corrected)

• Immediate violation (some violations such as compensation related violations, are immediate violations and require an immediate fine)

Once the violation reaches this state:

• Keystone automatically generates an invoice

• The invoice is issued and must be paid within 30 days

At this stage the agent or broker may dispute the violation.

Step 2: Dispute Window (30 Days)

The broker or agent has 30 days from the violation coming to completion to submit a dispute request. After 30 days, a dispute can no longer be filed.

If No Dispute Is Filed

• The violation becomes final

• The invoice remains due within 30 days

• No further review occurs

If a Dispute Is Filed

Staff will:

1. Void the existing invoice

2. Review the dispute request

3. Organize submitted documentation

4. Request additional information if needed

If additional information is needed, staff will contact the customer via email.

Once documentation is complete, the request moves to Administrative Review.

Step 3: Administrative Review

The Rules & Procedures Committee performs the Administrative Review.

Possible Outcomes

Violation Waived

• Fine is waived and the change is reflected in Keystone. 

Administrative Review is Denied 

• The dispute is denied

• The customer is notified by email

• The broker may request a Rules Violation Hearing 

  If Administrative Review denies to waive the violation the broker has 20 days to request a hearing.

Step 4: Requesting a Rules Violation Hearing 

If No Hearing Is Requested or the broker withdraws the request for a Rules Violation Hearing:

• Violation becomes final

• A new invoice is issued

• Payment must be made within 30 days

If Hearing Is Requested

If the fine is upheld or reduced, the broker may choose to file an appeal to the Board of Managers.

The Rules & Procedures Committee schedules a Rules Violation Hearing where the agent, broker, or both may be present.

Step 5: Rules Violation Hearing Outcomes

Three outcomes are possible:

Violation Waived

• Fine is waived

Violation Reduced

• Fine amount reduced

• New invoice issued

• Invoice is due within 30 days

Violation Upheld

• Violation remains

• New invoice issued for the original fine amount

• Invoice is due within 30 days

If upheld, the broker may choose to file an appeal.

Step 6: Appeal to the Board of Managers 

The broker has 10 days to submit an appeal.

If No Appeal Is Filed

• Violation becomes final

• Invoice is due within 30 days

If Appeal Is Filed

The Broker of Record has 10 days from the hearing decision to submit the appeal and pay the administrative fee. 

• The Broker of Record must submit a written appeal of at least 200 characters.
• Arguments are limited to the grounds raised in the original dispute.
• A $500 administrative fee is required. The administrative fee is in addition to the fine amount and is paid through a secure payment page. The appeal is submitted only when payment succeeds.
• If the Broker of Record writes the appeal but does not pay, the status changes to Board Appeal Fee Required. The 10-day deadline still applies.
• Attendance is required at the appeal, and an appeal cannot be withdrawn once submitted.

Step 7: Appeal Outcomes

The Board of Managers may:

Waive the Violation

• Fine is waived. The $500 administrative fee is credited back to the original payment method.

Reduce the Violation

• Reduced fine issued is due within 30 days. If the Rules & Procedures Committee has already reduced the fine, the Board can uphold that amount, reduce it further, or rescind the fine entirely. The $500 fee is not refunded.

Deny the Appeal

• Original fine remains

• New invoice issued and is due within 30 days

• Violation becomes final

• The $500 administrative fee is not refunded

Operational Enforcement: Past Due Invoices

If an invoice becomes 30 days past due and the violation is final:

The subscriber will be suspended.

Account Suspension

• An agent’s access to Matrix may be suspended if an invoice is not paid within 30 days of issuance.

Timeline Summary