Online Newsletter for the Week Ending January 14, 2011

QUOTE:   "A king does not abide within his tent while his men bleed and die upon the field. A king does not dine while his men go hungry, nor sleep when they stand at watch upon the wall. A king does not command his men's loyalty through fear nor purchase it with gold; he earns their love by the sweat of his own back and the pains he endures for their sake. That which comprises the harshest burden, a king lifts first and sets down last. A king does not require service of those he leads but provides it to them. He serves them, not they him... A king does not expend his substance to enslave men, but by his conduct and example makes them free." Steven Pressfield, Gates of Fire via Joe Tye’s newsletter


NEW NUGGET FOR THE NOGGIN: $8.30 TO FAX A DOCUMENT; OUTRAGEOUS by yours truly. www.NuggetsForTheNoggin.com

NEW KW EDGE PROGRAM: Here a link to where you can learn about the soon to be available Keller Williams Edge Platform that will be available to all KW agents: http://www.kw.com/kw/pressrelease.html?pressReleaseId=142

THE ONE RESOLUTION THAT YOU NEED TO MAKE, great article by Jon Gordon. http://www.jongordon.com/newsletter-011011-one-resolution.html

5 BAD EMAIL MARKETING HABITS YOU MUST KICK, by Jason Jacobson
http://www.raintoday.com/pages/6628_5_bad_email_marketing_habits_you_must_kick.cfm

IF YOU EVER HAD A SELLER TURN DOWN A GOOD OFFER THEN READ THIS by Christy Crouch, http://www.brokeragentsocial.com/article/1049/if-you-039-ve-ever-had-a-seller-turn-down-a-good-offer-then-read-this

HOSTING A CONSUMER SEMINAR? 11 TIPS FOR GETTING YOUR PRESENTATION RIGHT THE FIRST TIME. Applies just as easily to a listing presentation. Provided by Lowe’s. http://rismedia.com/lowes/8355/11967

EXCELLEN T READ: 5 PITFALLS OF DISTRESSED REAL ESTATE LISTINGS. This should be a must read for every. Great article by Bernice Ross: http://www.inman.com/buyers-sellers/columnists/berniceross/5-pitfalls-distressed-real-estate-listings

2011 PREDICTIONS FOR SALES PEOPLE, the gems keep coming from Jeffrey Gitomer: http://www.gitomer.com/articles/ViewPublicArticle.html?key=ajcdMibak3O3bzabMIbCgQ%3D%3D

3 SIMPLE TIPS TO TAKE THE FEAR OUT OF COLD CALLING, provided by Lowe’s: http://rismedia.com/lowes/8355/12073

BROKER BITS

PAPERLESS NOTE

Please upload your documents as you complete them. When you wait until a sale has been closed there is no way to review the documents and get corrections that need to be made after-the-fact. This is for your protection to have an extra set of eyes looking at your paperwork. But once closed it would be impossible to track down buyers and sellers to get initials, signatures, missing forms, etc.

VERY IMPORTANT INFORMATION REGARDING E&O INSURANCE COVERAGE

PROPERTY MANAGEMENT AND E&O COVERAGE: The following is an explanation of E&O coverage for both Louisiana and Mississippi when an agent is engaged in property management activities:

FOR LOUISIANA

The Commission refers to "real estate activities" and that includes property management BUT ONLY THOSE ACTIVITIES THAT WOULD OTHERWISE REQUIRE A REAL ESTATE LICENSE TO PERFORM. Therefore in Louisiana you are covered by E&O for property management but if you are being sued for activities that otherwise would NOT require a license to do, your coverage will NOT cover you. If you use your Louisiana license to acquire a Mississippi license you are covered by your Louisiana coverage and do not need a property management endorsement on your policy.

FOR MISSISSIPPI

Mississippi does not have the same language as Louisiana and therefore if you are going to engage in property management you need a property management endorsement on your E&O Policy for Mississippi. Failure to obtain the endorsement means you are naked in regards to coverage.

ERRORS & OMISSIONS INSURANCE COVERAGE: It is critical that you understand what your E&O Insurance DOES NOT COVER. It is also important to understand that you CAN obtain increased coverage by selecting one or more of the options provided by the insurance company to further protect you and your real estate business. The following is extracted from the RISC Insurance Coverage indicating what is NOT covered:

VI. EXCLUSIONS

This insurance does not apply to any Claim alleging, arising from or related to:

A. fraudulent, dishonest, criminal or malicious acts committed by the Insured, at the Insured’s direction or with the Insured’s knowledge, or by anyone for whose acts the Insured is legally responsible;

B. the insolvency of the Insured;

C. the failure to pay, collect or return insurance premiums, escrow monies, earnest money deposits, security deposits, tax money or commissions;

D. the wrongful termination of employment, breach of an employment contract, or other employment disputes;

E. bodily injury, sickness, disease, mental anguish, pain or suffering, emotional distress or death of any person;

F. physical injury to, destruction or loss of use of tangible property;

G. unfair competition, piracy, advertising injury or theft or wrongful taking of concepts or other intellectual property;

H. libel, slander, defamation of character, disparagement, detention, humiliation, sexual harassment, false arrest or imprisonment, wrongful entry or eviction, violation of the right to privacy or malicious prosecution, personal injury or other invasion of rights to private occupancy;

I. discrimination on the basis of race, color, creed, national origin, sex, religion, age, sexual preference, marital status, any mental or physical handicap or disease or any other unlawful discrimination category;

J. Professional Services relating to property:

1. developed or constructed by, or

2. more than 25% owned by, or

3. purchased or attempted to be purchased by an Insured or by the spouse of an Insured or by any entity, corporation, partnership or trust in which the Insured or spouse of an Insured owns or controls more than 25% financial interest; however, this exclusion does not apply to:

(a) any Claim arising from the sale of property acquired by the Insured pursuant to a guaranteed sale listing contract. The guaranteed sale listing contract must be a written agreement between the Insured and the seller of a property in which the Insured agrees to purchase the property if it is not sold under the listing agreement in a specified time. For coverage to apply, the Insured must hold title to the property for less than one (1) year and must continually offer it for sale; or

(b) transactions in which:

(i) the property is listed by an Insured who is not the property owner, builder or developer, and

(ii) the property is advertised, marketed, and promoted by an Insured who is not the property owner, builder or developer, and

(iii) all Professional Services related to the transaction, including the sale or closing on the property, are conducted by an Insured who is not the property owner, builder or developer, and

(iv) the transaction would otherwise be covered by this policy.

K. violation of the Employee Retirement Income Security Act of 1974, the Securities Act of 1933, the Securities Exchange Act of 1934 or any state Blue Sky or securities laws, or amendments thereto;

L. failure by an Insured to provide or maintain insurance;

M. the Insured’s activities as a lawyer, title agent, mortgage banker, mortgage broker or correspondent, escrow agent, construction manager, property developer or insurance agent;

N. activities involving property syndication, limited partnership or real estate investment trusts in which any Insured has, or had, a direct or indirect interest in the profits or losses;

O. liability assumed by any Insured under any contract, indemnity agreement, purchase agreement, hold harmless clause or other similar agreement unless such liability would have attached to the Insured in the absence of such contract; G-144146-A17 (Ed. 11/07) 4

P. based on or arising out of:

1. pollutants whether suddenly or over a long period of time: the actual, alleged or threatened emission, discharge, dispersal, seepage, release or escape of pollutants into or upon the land, atmosphere, watercourse, or any body of water; or any injury, damage, payments, costs or expense incurred as a result of any testing for, monitoring, removal, containment, treatment, detoxification, neutralization or cleanup of pollutants.

2. any nuclear reaction, nuclear radiation or radioactive contamination, or any act, condition or pollution incidental to the foregoing. As used in this Exclusion, pollution includes the actual, alleged or threatened discharge, dispersal, seepage, migration, release or escape of pollutants. Pollutants means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals and waste. Waste includes materials to be recycled, reconditioned or reclaimed.

Q. This policy does not apply to any claim based on or arising out of lead, whether or not the lead was at any time airborne as a particle; contained in or formed a part of a product, structure or other real or personal property; ingested or inhaled or transmitted in any fashion; or found in any form whatsoever.

R. This policy does not apply to any claim based on or arising out of asbestos, whether or not the asbestos was at any time airborne as a fiber, particle or dust; contained in or formed a part of a product, structure or other real or personal property; carried on clothing; ingested or inhaled or transmitted in any fashion; or found in any form whatsoever.

S. whether suddenly or over a long period of time:

1. the actual, alleged or threatened inhalation of, ingestion of, contact with, exposure to, existence of, growth or presence of; or

2. the actual or alleged failure to detect, report, test for, monitor, clean-up, remove, contain, dispose of, treat, detoxify or neutralize, or in any way respond to, assess the effects of or advise of the existence of; any Fungi, or of any spores, mycotoxins, odors, or any other substances, products or byproducts produced by, released by, or arising out of the current or past presence of Fungi. This exclusion applies regardless of any other cause or event that contributes concurrently or in any sequence to the Damages claimed.

T. whether suddenly or over a long period of time:

1. the actual, alleged or threatened inhalation of, ingestion of, contact with, exposure to, existence of, growth or presence of; or

2. the actual or alleged failure to detect, report, test for, monitor, clean-up, remove, contain, dispose of, treat, detoxify or neutralize, or in any way respond to, assess the effects of or advise of the existence of; any Microbes, or of any spores, mycotoxins, odors, or any other substances, products or byproducts produced by, released by, or arising out of the current or past presence of Microbes. This exclusion applies regardless of any other cause or event that contributes concurrently or in any sequence to the Damages claimed.

U. injury or damage expected or intended by the Insured;

V. disputes over commissions between real estate brokers and/or salespersons or disputes over commissions involving lawsuits initiated by the Insured. This exclusion does not apply to disputes over commissions involving counterclaims filed with the approval of the Company.

W. negligent acts, errors or omissions committed or alleged to have been committed either (1) prior to the date the Insured received an active real estate license or (2) subsequent to the effective date of suspension, revocation or inactive status of the Insured’s real estate license;

X. any fines, penalties, assessments, punitive damages, exemplary damages or multiplied damages, or matters deemed uninsurable under applicable law; or

Y. conversion, misappropriation or commingling of funds or other property; or

Z. the Insured’s activities as an appraiser, if the appraisal activity performed requires licensing or certification, other than a real estate license.