The following opinion is presented on-line for informational use only and does not replace the official version. (Mich Dept of Attorney General Web Site - www.ag.state.mi.us) STATE OF MICHIGAN FRANK J. KELLEY, ATTORNEY GENERAL Opinion No. 5350 August 2, 1978 CIVIL RIGHTS: Listing agreement between a licensed real estate broker and property owner. REAL ESTATE BROKERS AND SALESMEN: Listing agreement between a licensed real estate broker and property owner. CONTRACT: Listing agreement between a licensed real estate broker and property owner. A listing agreement entered into between a licensed real estate broker and a property owner is void if it fails to include a nondiscrimination clause pursuant to a rule promulgated by the Department of Licensing and Regulation. Honorable Anthony A. Derezinski State Senator The Capitol Lansing, Michigan 48909 You have asked for my opinion as to whether a listing agreement entered into between a licensed real estate broker and a property owner in Michigan is void if it fails to include the prohibition against discrimination required by 1919 PA 306, Sec. 17b as added by 1969 PA 298; MCLA 451.217b; MSA 19.807(2) which provides: The department of licensing and regulation shall require that all listing agreements entered into subsequent to December 31, 1970 between the broker and seller or lessor of property contain language that discrimination because of race, creed, color or national origin on the part of the broker or seller or lessor shall be prohibited. Nothing in this act shall authorize the commission to assume any facts not in evidence or compel a party to prove his innocence of charges before the same have been proven by the commission and the commission shall at all times bear the burden of proof to all charges made against a party. Nothing contained in this act shall be construed to diminish the right of any party to direct and immediate legal or equitable remedies in the courts of this state. Pursuant to the statutory requirement the Department of Licensing and Regulation promulgated a rule, 1973 AACS R 338.2734(3) which states: Any listing agreement shall have as one of its terms the following nondiscrimination clause: It is agreed by the broker and seller or lessor, parties to this listing agreement, that as required by law, discrimination because of race, creed, color or national origin by said parties in respect to the sale or lease of the subject property is prohibited. Because a properly promulgated rule has the force and effect of a law, People v Soule, 238 Mich 130; 213 NW 195 (1927), the omission of the required language from a listing agreement is tantamount of the violation of a statute. It is established law in Michigan that contracts founded upon an act prohibit by a statute are void and cannot be enforced. Jaenicke v Davidson, 290 Mich 298; 287 NW 472 (1939), Hoekzema v Van Hoften, 313 Mich 417; 21 NW2d 183 (1946). The listing agreement is not resuscitated by the last sentence of 1919 PA 306, Sec. 17b, supra, which merely restates the traditional rights of a party subjected to an illegal action of an administrative body. Michigan Civil Rights Commission v Clark, 390 Mich 726, 212 NW2d 915 (1973). In conclusion, a listing agreement which omits the required nondiscrimination statement is void and is not saved by the last sentence of 1919 PA 306, Sec. 17b, supra. Frank J. Kelley Attorney General