{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/55.1-1009.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/55.1-1009.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/55.1-1009.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/55.1-1009.1.html"}],"law_id":72074,"edition_id":1,"section_id":72074,"structure_id":15275,"section_number":"55.1-1009.1","catch_line":"Prohibition against payment or receipt of settlement services kickbacks, rebates, commissions, and other payments","history":"2020, c. 700.","full_text":"A\n\nNo person selling real property, or performing services as a settlement agent, lay real estate settlement agent, real estate agent, attorney, or lender incident to any real estate settlement or sale, shall pay or receive, directly or indirectly, any kickback, rebate, commission, thing of value, or other payment pursuant to any agreement or understanding, oral or otherwise, that business incident to services required to complete a settlement be referred to any person.B\n\nNothing in this section shall be construed to prohibit:1\n\nExpenditures for bona fide advertising and marketing promotions otherwise permissible under the provisions of the federal Real Estate Settlement Procedures Act (12 U.S.C. § 2601 et seq.);2\n\nThe provision of educational materials or classes, if such materials or classes are provided to a group of persons or entities pursuant to a bona fide marketing or educational effort;3\n\nThe payment to any person of a bona fide salary or compensation or other payment for services actually performed for the business of the settlement service provider; or4\n\nAn employer’s payment to its own bona fide employees for referrals of mortgage loan or insurance business. An employer’s payment to its own employees for the referral of insurance business shall be subject to the requirements of subdivision B 8 of § 38.2-1821.1.C\n\nNo person shall be in violation of this section solely by reason of ownership in a settlement service provider, where such person receives returns on investments arising from the ownership interest, provided that such person discloses in writing to the consumer an ownership interest in those settlement services, including its ownership percentage in the settlement service provider pursuant to the requirements of § 55.1-905.","order_by":null,"text":{"0":{"id":259693,"text":"No person selling real property, or performing services as a settlement agent, lay real estate settlement agent, real estate agent, attorney, or lender incident to any real estate settlement or sale, shall pay or receive, directly or indirectly, any kickback, rebate, commission, thing of value, or other payment pursuant to any agreement or understanding, oral or otherwise, that business incident to services required to complete a settlement be referred to any person.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":259694,"text":"Nothing in this section shall be construed to prohibit:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"B1"},"2":{"id":259695,"text":"Expenditures for bona fide advertising and marketing promotions otherwise permissible under the provisions of the federal Real Estate Settlement Procedures Act (12 U.S.C. § 2601 et seq.);","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"3":{"id":259696,"text":"The provision of educational materials or classes, if such materials or classes are provided to a group of persons or entities pursuant to a bona fide marketing or educational effort;","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"4":{"id":259697,"text":"The payment to any person of a bona fide salary or compensation or other payment for services actually performed for the business of the settlement service provider; or","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2","next_prefix":"B4"},"5":{"id":259698,"text":"An employer’s payment to its own bona fide employees for referrals of mortgage loan or insurance business. An employer’s payment to its own employees for the referral of insurance business shall be subject to the requirements of subdivision B 8 of § 38.2-1821.1.","type":"section","prefixes":["B","4"],"prefix":"4","entire_prefix":"B4","prefix_anchor":"B4","level":2,"prior_prefix":"B3","next_prefix":"C"},"6":{"id":259699,"text":"No person shall be in violation of this section solely by reason of ownership in a settlement service provider, where such person receives returns on investments arising from the ownership interest, provided that such person discloses in writing to the consumer an ownership interest in those settlement services, including its ownership percentage in the settlement service provider pursuant to the requirements of § 55.1-905.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B4"}},"ancestry":[{"id":15275,"edition_id":1,"name":"Real Estate Settlement Agents","identifier":"10","label":"chapter","depth":3,"order_by":1,"parent_id":13524,"metadata":{},"date_created":"2026-06-26 03:53:31","date_modified":"2026-06-26 03:53:31","permalink":{"id":245371,"object_type":"structure","relational_id":15275,"identifier":"10","token":"55.1\/II\/10","url":"\/55.1\/II\/10\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13524,"edition_id":1,"name":"Real Estate Settlements and Recordation","identifier":"II","label":"subtitle","depth":2,"order_by":1,"parent_id":12707,"metadata":{},"date_created":"2026-06-26 03:45:07","date_modified":"2026-06-26 03:45:07","permalink":{"id":245369,"object_type":"structure","relational_id":13524,"identifier":"II","token":"55.1\/II","url":"\/55.1\/II\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12707,"edition_id":1,"name":"Property and Conveyances","identifier":"55.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":244769,"object_type":"structure","relational_id":12707,"identifier":"55.1","token":"55.1","url":"\/55.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":80642,"structure_id":15275,"section_number":"55.1-1000","catch_line":"Definitions","url":"\/55.1-1000\/","token":"55.1\/II\/10\/55.1-1000","metadata":false},{"id":83132,"structure_id":15275,"section_number":"55.1-1001","catch_line":"Limitation on applicability of chapter","url":"\/55.1-1001\/","token":"55.1\/II\/10\/55.1-1001","metadata":false},{"id":79138,"structure_id":15275,"section_number":"55.1-1002","catch_line":"Scope of chapter; 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This law was first created in 2020. The record of its establishment is cataloged in chapter 700<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":[{"id":69153,"section_number":"55.1-1015.1","catch_line":"Civil penalties; attorney fees","order_by":null,"url":"\/55.1-1015.1\/"}],"refers_to":[{"id":74930,"section_number":"55.1-905","catch_line":"Disclosure of affiliated business by settlement service providers","order_by":null,"url":"\/55.1-905\/"}],"permalink":{"id":245413,"object_type":"law","relational_id":72074,"identifier":"55.1-1009.1","token":"55.1\/II\/10\/55.1-1009.1","url":"\/55.1-1009.1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/55.1-1009.1\/","token":"55.1\/II\/10\/55.1-1009.1","dublin_core":{"Title":"Prohibition against payment or receipt of settlement services kickbacks, rebates, commissions, and other payments","Type":"Text","Format":"text\/html","Identifier":"\u00a7 55.1-1009.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> No person selling real property, or performing services as a settlement agent, lay real estate settlement agent<\/span>, real estate agent, attorney, or lender incident to any real estate settlement or sale, shall pay or receive, directly or indirectly, any kickback, rebate, commission<\/span>, thing of value, or other payment pursuant to any agreement or understanding, oral or otherwise, that business incident to services required to complete a settlement be referred to any person. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Nothing in this section shall be construed to prohibit: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Expenditures for bona fide advertising and marketing promotions otherwise permissible under the provisions of the federal Real Estate Settlement Procedures Act (12 U.S.C. § 2601 et seq.); <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The provision of educational materials<\/span> or classes, if such materials<\/span> or classes are provided to a group of persons or entities pursuant to a bona fide marketing or educational effort; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The payment to any person of a bona fide salary or compensation or other payment for services actually performed for the business of the settlement service provider; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> An employer’s payment to its own bona fide employees for referrals of mortgage loan or insurance business. An employer’s payment to its own employees for the referral of insurance business shall be subject to the requirements of subdivision B 8 of § 38.2-1821.1<\/a>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> No person shall be in violation of this section solely by reason of ownership in a settlement service provider, where such person receives returns on investments arising from the ownership interest, provided that such person discloses in writing to the consumer an ownership interest in those settlement services, including its ownership percentage in the settlement service provider pursuant to the requirements of § 55.1-905<\/a>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nPROHIBITION AGAINST PAYMENT OR RECEIPT OF SETTLEMENT SERVICES KICKBACKS,\nREBATES, COMMISSIONS, AND OTHER PAYMENTS (\u00a7 55.1-1009.1)\n\nA. No person selling real property, or performing services as a settlement\nagent, lay real estate settlement agent, real estate agent, attorney, or lender\nincident to any real estate settlement or sale, shall pay or receive, directly\nor indirectly, any kickback, rebate, commission, thing of value, or other\npayment pursuant to any agreement or understanding, oral or otherwise, that\nbusiness incident to services required to complete a settlement be referred to\nany person.\n\nB. Nothing in this section shall be construed to prohibit:\n\n 1. Expenditures for bona fide advertising and marketing promotions otherwise\n permissible under the provisions of the federal Real Estate Settlement\n Procedures Act (12 U.S.C. § 2601 et seq.);\n\n 2. The provision of educational materials or classes, if such materials or\n classes are provided to a group of persons or entities pursuant to a bona fide\n marketing or educational effort;\n\n 3. The payment to any person of a bona fide salary or compensation or other\n payment for services actually performed for the business of the settlement\n service provider; or\n\n 4. An employer’s payment to its own bona fide employees for referrals of\n mortgage loan or insurance business. An employer’s payment to its own\n employees for the referral of insurance business shall be subject to the\n requirements of subdivision B 8 of § 38.2-1821.1.\n\nC. No person shall be in violation of this section solely by reason of ownership\nin a settlement service provider, where such person receives returns on\ninvestments arising from the ownership interest, provided that such person\ndiscloses in writing to the consumer an ownership interest in those settlement\nservices, including its ownership percentage in the settlement service provider\npursuant to the requirements of § 55.1-905.\n\nHISTORY: 2020, c. 700.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}