Chapter 520-1 LICENSURE AND BROKERAGE
| (1) |
Location of Offices. The
public may obtain information regarding the operation of the Commission or make
submissions to the Commission by addressing inquiries to the Georgia Real
Estate Commission, Suite 1000 - International Tower, 229 Peachtree Street, N.
E., Atlanta, Georgia 30303-1605. |
| (2) |
Election of Chair. At the
regularly scheduled first monthly meeting of the calendar year, the Commission
shall select from its members the chair. An election of the chair may also
occur at such time as the chair may vacate that position or at such time as the
number of members which constitutes a quorum may call for a new election. Such
election shall be by secret ballot with all eligible members listed on the
first ballot and balloting continuing until a member obtains a majority of the
votes cast. |
| (3) |
Election of
Vice Chair. At its regularly scheduled first monthly meeting of the
calendar year, the Commission shall select from its members the vice-chair. An
election of the vice-chair may also occur at such time as the vice-chair may
vacate that position or at such time as the number of members which constitutes
a quorum may call for a new election. Such election shall be by secret ballot
with all members listed on the first ballot and balloting continuing until a
member obtains a majority of the votes cast. The vice-chair shall preside in
the absence of the chairperson and perform such other duties as may be assigned
by the chair. |
| (4) |
Appearances before the Commission. Except as may otherwise be provided
for in the contested cases in Chapter 520-4 Procedural Rules and in the Georgia
Administrative Procedure Act, all requests for appearances before the
Commission shall be governed by the provisions of this paragraph. All requests
for scheduled appearances before the Commission shall be submitted in writing
to the Real Estate Commissioner at the address listed in paragraph (1) above.
The Real Estate Commissioner shall schedule an appearance at the Commission's
regular monthly meeting for the first three persons or groups submitting a
written request to the Commission offices during regular business hours on or
before the first day of the month preceding the monthly meeting at which such
person or group desires to be heard. Any person not scheduled to be heard by
the Commission who desires to be heard may, at the discretion of the
Commission, be allowed to appear before the Commission at the end of its
scheduled business at any monthly meeting. Except by leave of the Commission,
all scheduled appearances before the Commission shall be limited to fifteen
minutes and all unscheduled appearances before the Commission shall be limited
to five minutes. |
| (5) |
Amendments to Rules. Any interested person may petition the Commission
requesting the promulgation, amendment, or repeal of a rule. Such petition
shall be in writing and the signature of the petitioner notarized. Within
thirty (30) days after submission of a petition, the Commission either shall
deny the petition in writing stating its reasons for denial or shall instigate
rule-making procedures in accordance with the Georgia Administrative Procedure
Act. |
| (6) |
Declaratory
Rulings. The Commission shall supply declaratory rulings as to the
applicability of any statutory provision or of any of its rules. Requests for
declaratory rulings must be in writing and the signature of the petitioner
notarized. The Commission shall respond to a request for a declaratory ruling
within sixty (60) days of its receipt of said request except when the
Commission feels it would be in the best interest of the Commission to seek the
opinion of the Attorney General. Nothing in this paragraph shall limit or
impair the right of the Commission to seek the opinion of the Attorney General
on any question of law connected with the duties of the Commission. The
Commission shall not render a declaratory ruling on petitions on matters
related to investigative hearings pending before it at the time of the
petition. See also O.C.G.A. § 43-40-2
and Rules 520-4. |
| (1) |
Terms
Defined by 43-40-1. As used in this Chapter and Chapters 520-2 and
520-3, the terms "associate broker," "broker," "commission," "commissioner,"
"community association," "community association management services,"
"community association manager," "licensee," "person," "property management
services," "purchaser," "real estate," and "salesperson" have the same
definitions as provided for in O.C.G.A. Section
43-40-1. |
| (2) |
Other Terms. As used in this Chapter and
Chapters 520-2 and 520-3, the term:
| (a) |
"Agency" means every relationship in which a real estate broker acts for or
represents another by the latter's express authority in a real property
transaction; |
| (b) |
"Applicant" means
any person who has completed all of the requirements for a license or an
approval as set forth in O.C.G.A. Chapter 43-40 and in any Chapter of the
Commission's Rules and Regulations and who has submitted a complete application
on the proper form accompanied by the correct fee; |
| (c) |
"Bank" means any financial institution
regulated by a member of the federal financial institutions examination counsel
and authorized to provide federally insured checking accounts; |
| (d) |
"Brokerage engagement" means a written
contract wherein the seller, buyer, landlord, or tenant becomes the client of
the broker and promises to pay the broker a valuable consideration or agrees
that the real estate broker may receive a valuable consideration from another
in consideration of the broker's producing a seller, buyer, tenant, or landlord
ready, able, and willing to sell, buy, or rent the property or in consideration
of the broker's performing property management services or performing community
association management services. Such contracts or agreements as an exclusive
listing contract, an open listing contract, a buyer broker agreement, a
property management agreement, a community association management agreement,
and an exclusive tenant representation contract are examples of brokerage
engagements; |
| (e) |
"Brokerage
relationship" means the agency and non-agency relationships which may be formed
between the broker and the broker's clients and customers as a result of the
brokerage engagement; |
| (f) |
"Buyer"
means a purchaser, a person who acquired or attempts to acquire or succeeds to
an interest in real estate; |
| (g) |
"Candidate for Licensure" means any person who is in the process of completing
the requirements for a license or an approval as set forth in O.C.G.A. Chapter
43-40 and in any Chapter of the Commission's Rules and Regulations but who has
not successfully completed all of them. |
| (h) |
"Client" means a person who has entered
into a brokerage engagement with a real estate broker; |
| (i) |
"Customer" means a person who has not
entered into a brokerage engagement with a broker but for whom a broker may
perform ministerial acts in a real estate transaction; |
| (j) |
"Dual agent" means a broker who
simultaneously has a brokerage relationship with both seller and buyer or both
landlord and tenant in the same real estate transaction; |
| (k) |
"Firm" means a sole proprietorship,
partnership, limited liability company, or corporation licensed by the
Commission as a broker; |
| (l) |
"Franchise name" means any name, the use of which requires obtaining permission
from another who has an existing and continuing right in that trade name by
virtue of any state or federal law; |
| (m) |
"Franchisee" means a firm licensee
authorized to use a franchisor's trade name as part of or in conjunction with
the licensee firm's name; |
| (n) |
"Franchisor" means a business entity owning a trade name whose use by others
the owner of the trade name controls and authorizes; |
| (o) |
"Instructional hour" means a period of
time of at least fifty minutes of instruction or other learning
activity; |
| (p) |
"Military" means the
United States armed forces, including the National Guard; |
| (q) |
"Military Spouse" means a spouse of a
service member or transitioning service member; |
| (r) |
"Ministerial acts" means those acts which
the broker or affiliated licensee performs for a person which do not require
discretion or the exercise of the broker or affiliated licensee's own
judgment; |
| (s) |
"Service Member"
means an active or reserve member of the armed forces, including the National
Guard; |
| (t) |
"Statutory overnight
delivery" means delivery of a document through the United States Postal Service
or through a commercial firm which is regularly engaged in the business of
document delivery or document and package delivery in which the sender:
| 1. |
has directed that delivery be not later
than the next business day following the day on which the document is received
for delivery by the United States Postal Service or the commercial firm
and |
| 2. |
receives a receipt
acknowledging receipt of the document signed by addressee or an agent of the
addressee; |
|
| (u) |
"Transitioning Service Member" means a member of the military on active duty
status or on separation leave who is within twenty-four months of retirement or
twelve months of separation; and |
| (v) |
"Timely" means a reasonable time under
the particular circumstance. |
|
| (1) |
Certifications of License History.
Upon written request the Commission shall provide a certification of the
history of a licensee's records with the Commission only for the five years
immediately preceding the written request. However, regardless of the date of
occurrence, the Commission shall provide a certification of any records it
maintains of any disciplinary sanctions taken against the license of any
licensee. Whenever the certification is to be utilized in a court of law, the
party making the written request for the certification shall also indicate the
name of the case, its case number, and the name of the court in which the
certification will be used.
see also O.C.G.A. § 43-40-2,
43-40-6,
& 43-40-24.
|
| (2) |
Maintenance of Records. The Commission shall maintain investigative
files under the following schedules:
| (a) |
forty
years for all investigative files in which the Commission imposes a
disciplinary action or makes a payment from the Recovery Fund; and |
|
| (3) |
Return of Wall Certificate and
Pocket Card Surrender, Suspension, or Revocation of License. Upon
surrendering a license or upon notice of suspension or revocation of a license,
a licensee shall forward the licensee's wall certificate of licensure and
pocket card at once to the Commission. If such license is that of a broker,
such broker shall also forward to the Commission with the broker's wall
certificate of licensure and pocket card all other licensees' wall certificates
of licensure and pocket cards in the broker's possession or office and shall be
responsible for all missing wall certificates of licensure of other licensees
affiliate d with the broker's firm. No refund of fees will be made upon any
license when surrendered, suspended, or revoked. Any licensee who surrenders a
license to the Commission or whose license is revoked by the Commission and who
later seeks reinstatement of that license must apply for licensure as an
original applicant.
see also O.C.G.A. § 43-40-2
& 43-40-14.
|
| (1) |
Fees. Whenever an individual
applicant activates an original license, that applicant shall pay an activation
fee and a renewal fee which shall cover all fees due the Commission until the
applicant's month of birth in the fourth calendar year following the calendar
year in which the license was activated. Whenever a firm applicant activates an
original license, that firm shall pay an activation fee and a renewal fee which
shall cover all fees due the Commission until the month of the fourth
anniversary of the activation of a license by the firm.
| (a) |
Fees for all licenses and services
performed by the Georgia Real Estate Commission shall be as follows:
| 1. |
The activation fee for original licensure
as an individual broker, associate broker, salesperson, community association
manager shall be $45.00 which includes $20.00 for the Real Estate Education,
Research, and Recovery Fund; and the activation fee for original licensure as a
firm or an approved school or instructor shall be $75.00 which includes $20.00
for the Real Estate Education, Research, and Recovery Fund; |
| 2. |
Renewal fees for the four year renewal
period shall be $125.00 for each firm licensed as a broker and each approved
school and $125.00 for each individual licensee and each approved instructor if
submitted and paid in any manner other than through the Commission's Internet
on-line renewal system and $100.00 for each firm licensed as a broker and
$100.00 for each individual licensee and each approved instructor if submitted
and paid through the Commission's Internet on-line system. |
| 3. |
In addition to the renewal fee due, the
fee for reinstatement of any license or approval which lapsed for nonpayment of
fees or for failure to meet education requirements shall be as follows:
| i. |
if the license or approval is reinstated
within four months of the date of lapsing, $100.00; |
| ii. |
if the license or approval is reinstated
more than four months after the date of lapsing, $100.00 plus an additional fee
of $25.00 for an individual or instructor or $50.00 for a firm or school for
each month or portion of a month beyond six months from the date of lapsing;
and |
|
| 4. |
$25.00 (1) for
failure to notify the Commission in writing within 30 days of a change of
address, of the opening or closing of a designated trust account, of
transferring to a new company, or of leaving a firm to go on inactive status;
(2) for failure to affiliate with a new company or to apply to go on inactive
status within 30 days of the Commission's receipt of notice that the broker
holding the licensee's license no longer wishes to do so and has mailed a
letter to the licensee's last known address indicating that the broker is
returning the license to the Commission; and (3) whenever it is necessary for
the Commission to return an application because of the application is
incomplete; |
| 5. |
$100.00 for
submitting to the Commission a check that is returned unpaid or for disputing a
charge to a credit card for a fee owed to the Commission when the dispute
results in a chargeback to the Commission's account; and |
| 6. |
Whenever an instructor or school applicant
applies for an original approval, that applicant shall pay an activation fee
and a renewal fee which shall cover all fees due the Commission until December
31st in the fourth calendar year following the calendar year in which the
applicant's approval is granted. |
|
|
| (2) |
Required Experience for Brokers
License.
| (a) |
When a candidate for
licensure seeks to meet the experience requirement for a broker's or an
associate broker's license based on experience in another licensing
jurisdiction and that jurisdiction's licensing agency is unable to certify that
the applicant maintained a license in active status for at least three of the
five years immediately preceding the filing of an application with the
Commission because complete records are not available, the candidate for
licensure must meet the following two conditions in order for the Commission to
consider the application:
| 1. |
the candidate
for licensure obtained the experience within five years prior to date of making
application in Georgia; and |
| 2. |
the
candidate for licensure's former licensing jurisdiction is able to certify that
the applicant was licensed at some time during the prior five years; |
|
| (b) |
In addition, to the
requirements of paragraph (a) above, the Commission may consider other credible
evidence of the required experience such as:
| 1. |
transactions files reflecting real estate
brokerage activity within the last five years; |
| 2. |
an affidavit from any licensed broker with
whom the applicant was affiliated and who remains currently licensed stating
that (1) the broker is licensed, (2) the dates that the applicant was
affiliated with the broker, and (3) the approximate number and type(s) of
transactions in which the applicant participated; or |
| 3. |
if the candidate for licensure was a
broker in the other state, an affidavit from the candidate for licensure
stating that:
| (1) |
he or she was licensed,
|
| (2) |
the dates that the candidate
for licensure was licensed, |
| (3) |
the approximate number and type(s) of transactions in which the candidate for
licensure participated, and |
| (4) |
affidavits from three other brokers who can attest that the candidate for
licensure operated as a broker and for what period of time.
|
|
|
|
| (3) |
Examinations.
| (a) |
Candidates for licensure must take a
Commission approved examination and make a passing score as determined by
psychometrically sound criterion-related methods associated with assessment of
minimal competence. The methods used and the minimum passing score shall be
published prior to the administration of the examination. |
| (b) |
Any candidate for licensure who served on
active duty in the armed forces of the United States, or on active duty in a
reserve component of the armed forces of the United States including the
National Guard, for a period of one year or more, of which at least 90 days
were served during wartime or during any conflict when military personnel were
committed by the President of the United States, shall be entitled to a credit
of five points. If such candidate for licensure is taking the examination in
order to become licensed as a community association manager or a salesperson,
said points shall be added to the grade made by the candidate for licensure in
answering all questions in any such examination. If such candidate for
licensure is taking the examination to become licensed as a broker, said points
shall be added to the grade such candidate for licensure makes on the
Information Gathering section of the examination and to the grade such
candidate for licensure makes on the Decision Making section of the
examination. |
| (c) |
Any candidate for
licensure who is disabled who served on active duty in the armed forces of the
United States, or on active duty in a reserve component of the armed forces of
the United States including the National Guard, during wartime or during any
conflict when military personnel were committed by the President of the United
States shall be entitled to a credit of five points if the disability was for
an injury or illness incurred in line of duty and such disability is officially
rated at less than 10 percent at the time of taking said examination. If such
candidate for licensure is taking the examination in order to become licensed
as a community association manager or a salesperson, said points shall be added
to the grade made by the candidate for licensure in answering all questions in
any such examination. If such candidate for licensure is taking the examination
to become licensed as a broker, said points shall be added to the grade such
candidate for licensure makes on the Information Gathering section of the
examination and to the grade such candidate for licensure makes on the Decision
Making section of the examination. |
| (d) |
Any candidate for licensure who is a
disabled veteran and who served on active duty in the armed forces of the
United States, or on active duty in a reserve component of the armed forces of
the United States, including the National Guard, during wartime or during any
conflict when military personnel were committed by the President of the United
States shall be entitled to a credit of ten points if the disability was for an
injury or illness incurred in line of duty and such disability is rated at 10
percent or above at the time of taking said examination. If such candidate for
licensure is taking the examination in order to become licensed as a community
association manager or a salesperson, said points shall be added to the grade
made by the candidate for licensure in answering all questions in any such
examination. If such candidate for licensure is taking the examination to
become licensed as a broker, said points shall be added to the grade such
candidate for licensure makes on the Information Gathering section of the
examination and to the grade such candidate for licensure makes on the Decision
Making section of the examination. |
| (e) |
The provisions of paragraphs (b), (c),
and (d) above as to points to be allowed to veterans shall apply to any
candidate for licensure, male or female, who comes within the classes herein
specified; except that they shall not apply in any instance to a candidate for
licensure who has not been honorably discharged. |
| (f) |
Any candidate for licensure seeking to
qualify for veterans preference points under the provisions of paragraphs (b),
(c), (d), and (e) above must:
| 1. |
have served
in a branch of the armed forces which participated in the war or conflict
during which the candidate for licensure served at least ninety (90) days of
active duty; |
| 2. |
have served at
least ninety (90) days during a period of time when the Congress of the United
States formally declared a state of war or when the Joint Chiefs of Staff
authorized issuance of a campaign badge for service in a campaign or expedition
in which the President committed military personnel; and |
| 3. |
submit proof of the candidate's service on
official forms available through the Veterans Administration or the Department
of Defense which clearly identify active duty time and percentage of disability
for an injury or illness incurred in line of duty. |
|
| (g) |
A candidate for licensure for licensure
who has moved to Georgia from another state or a candidate for licensure for
non-resident licensure may be granted a license without further examination or
education if such candidate for licensure produces, from the licensing body of
each state which has licensed the candidate for licensure, an original
certification issued no more than twelve months prior to the candidate for
licensure making application for licensure which shows that the candidate for
licensure:
| 1. |
has passed an examination for
the type of license for which such candidate for licensure seeks licensure in
Georgia; |
| 2. |
has met all prelicense
and continuing education requirements required by such other state(s) for that
license; |
| 3. |
is licensed in good
standing at the time of the certification; and |
| 4. |
has not had any disciplinary action
imposed by such state's licensing body. A candidate for licensure whose
certification from the other state(s) does not comply with all of the
conditions in the preceding sentence must take and pass the qualifying
examination for the Georgia license which such candidate for licensure seeks.
Rather than the written certification required of applicants by this paragraph,
the Commission, in its sole discretion, may choose to accept some electronic
form of the certified data from other states, which applicants must submit, or
by some other procedure that reduces paperwork. |
|
| (h) |
If the criminal history report from
another state of such a candidate for licensure a prior criminal conviction(s)
or if the candidate for licensure has a prior professional license disciplinary
action, the candidate for licensure shall comply with the provisions in
paragraphs (8) and (9) of this rule and said candidate for licensure shall be
subject to the provisions of 43-40-15 (a) et seq. |
| (i) |
Any examinee, applicant, candidate for
licensure, or licensee who without proper authorization supplies to others, or
attempts to supply to others, any information concerning the content of any
qualifying examination, administered by or approved by the Commission shall be
grounds for denial of license or the imposition of any sanction permitted by
O.C.G.A. Section
43-40-25.
|
| (j) |
Approved instructors, approved
schools, or their staff members are prohibited from:
| 1. |
obtaining from examinees information
concerning the content of any qualifying examination administered by or
approved by the Commission; |
| 2. |
accepting such information except as provided or approved by the Commission;
and |
| 3. |
using such information in
non-approved courses operated by or in association with any approved instructor
or approved school or their staff. Violation of this paragraph may be grounds
for denial of approved status, withdrawal of approved status, suspension of
approved status, or imposing any sanction permitted by O.C.G.A. Section
43-40-25
upon both instructors and school. |
|
| (k) |
Unless a person first obtains written
permission of the Commission, a person may not take any qualifying examination
offered by the Commission except:
| 1. |
to
qualify for or to reinstate the license for which the examination is designed;
|
| 2. |
when:
| a. |
such person holds a license issued by the
Commission by reciprocity rather than by examination, |
| b. |
such person is applying to another state
for licensure by reciprocity, and |
| c. |
the state to which such person is applying
requires that an applicant for reciprocity must have passed an examination in
Georgia as a condition of receiving a license by reciprocity in that state; or
|
|
| 3. |
when such person is
required to take a qualifying examination by an Order of the Commission in a
disciplinary matter. |
|
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| (4) |
Applications. Applications
for licensure, for renewal of license, for transfer of license, for any change
in status of a license, and for any change in the name of a firm required to be
filed with the Commission, must be on Commission approved forms. Each
Commission approved form may require the email address of an applicant and his
or her affiliated firm (s), if an email address is maintained by such applicant
or firm. Changes in other information required to be filed with the Commission
such as changes in trust accounts, address changes, email address changes and
individuals' name changes may be done by letter or email.
| (a) |
Any such application, change of
information, or fee required to be filed with the Commission may be filed with
the Commission by:
| 1. |
personal delivery to
the Commission's offices during regular business hours; |
| 2. |
mail in a letter postmarked by the United
States Postal Service; |
| 3. |
private
courier or delivery service; or |
| 4. |
electronic facsimile (fax) transmission or email if the application does not
require the payment of a fee. |
|
| (b) |
The effective date of the filing of the
application or fee shall be the United States Postal Service postmarked date,
if mailed, or if otherwise filed, the date the Commission dates receipt of the
application or fee. In the event that receipt by the Commission of an
application or fee occurs later than the deadline for the filing of such
application or fee, the applicant or licensee shall bear the burden of proof
that the application or fee was timely filed. |
| (c) |
If an applicant or a candidate for
licensure submits an application on a form which is no longer in use by the
Commission and pays the correct fee in effect on the date of the application,
the Commission may require the applicant to submit a new application on its
latest form at no further cost to the applicant. |
| (d) |
A licensee, an applicant, or a candidate
for licensure must supply all information requested on any form the licensee
submits to the Commission. Failure to supply all information shall cause the
application to be incomplete. An application is incomplete if the applicant or
a candidate for licensure fails to include the proper fee, to attach any
required documents, to provide all requested biographical or other data, to
include required signatures, or to include legible responses. Failing to
disclose each and every criminal conviction, as defined by O.C.G.A. § 43-40-15(a),
or license disciplinary action that the applicant may have in this state or any
other jurisdiction may constitute a falsified application. |
| (e) |
The Commission may assess the fees cited
in Substantive Regulation 520-1-.04(1) on any incomplete application and may
return any incomplete application, or any obsolete application, or any
application on a non-approved form to a licensee or applicant by mail at either
(1) the address listed on the incomplete or incorrect application or (2) the
last known business address of record in the Commission's files if the
incomplete or incorrect application contains no address. |
| (f) |
The Commission will provide reasonable
accommodation to a qualified candidate for licensure with a disability in
accordance with the Americans With Disabilities Act. The request for an
accommodation by an individual with a disability must be made in writing and
received in the Commission's office by the application deadline along with
appropriate documentation, as indicated in the Commission's Request for
Disability Accommodation Guidelines. |
| (g) |
Whenever an applicant or a candidate for
licensure submits to the Commission an original application on paper for
licensure as, including but not limited to, a broker, an associate broker, a
salesperson, a community association manager, a sole proprietor firm, a
corporation, a limited liability company, or a partnership or for approval as a
school or an instructor, the Commission shall maintain the paper record for a
period of 15 years and may then destroy the application. Whenever a licensee
submits any other application to the Commission on paper, the Commission shall
maintain the paper record for a period of one year and may then destroy the
application. The Commission shall maintain all electronic licensing records for
a period of at least 15 years. |
|
| (5) |
Application Deadlines.
| (a) |
Any person who has taken the community
association manager's examination and successfully passed the examination and
any person who has taken the salesperson's examination and successfully passed
the examination must make application for an active or inactive license within
three months from the date of the examination taken, or after three months,
must pay a fee equal to two times the original application fee. Any person who
fails to activate a community association manager's or a salesperson's license
by making application therefore within twelve months from the date of the
examination taken must retake the examination. In addition to passing the
qualifying examination, an applicant who applies for a community association
manager's license must submit evidence of successful completion of the
Community Association Manager's Prelicense Course (or an approved equivalency
as set forth in Chapter 520-2) and an applicant who applies for a salesperson's
license must submit evidence of successful completion of the Salesperson's
Prelicense Course (or an approved equivalency as set forth in Chapter 520-2).
|
| (b) |
Any person who has taken the
broker's examination and successfully passed the examination must activate a
broker's or associate broker's license by making application therefore within
12 months from the date of the examination taken, or after 12 months must
retake the examination. An applicant must show proof of having held a license
in active status for at least three years of the five years immediately
preceding the filing of an application to become a broker or an associate
broker. Applicants whose prior active licensure was in a licensing jurisdiction
other than Georgia must present an original certification of licensure from
that licensing jurisdiction; and if the applicant was a broker in that
licensing jurisdiction, the applicant must present an original certification of
licensure of the firm or firms the applicant served as broker. The
certification of licensure must have been issued no more than twelve months
prior to the applicant's making application. |
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| (6) |
Name of Firm on Application.
| (a) |
A broker operating as a sole proprietor
shall supply the Commission with the name in which the broker intends to
conduct business on the broker's application for licensure as a sole proprietor
and the same name shall be shown on the broker's certificate of licensure.
|
| (b) |
Any corporation applying for
licensure as a broker shall submit with its application a copy of its corporate
charter as registered with the Corporation Division of the Secretary of State's
Office. In the event a corporation wishes to conduct business under a trade
name, it shall also submit with its application a certified copy of its trade
name, certified to by the Clerk of the County in which such certificate is on
file. The corporate name as is shown on the corporate charter, or the trade
name which appears on said certified copy, if the corporation has filed a trade
name registration, shall be shown on the broker's certificate of licensure
issued to the corporation. In the event a corporation chooses to conduct
business under a trade name or change the name under which it is conducting
business at any time after issuance of its initial certificate of licensure, it
shall submit a certified copy of its trade name; and such trade name shall be
shown on a new broker's certificate of licensure issued the corporation.
|
| (c) |
Any partnership applying for
licensure as a broker shall submit with its application a copy of its
partnership agreement and a certified copy of its Certificate of Trade Name,
certified to by the Clerk of the County in which such certificate is on file.
The trade name that appears on said certified copy shall be shown on the
broker's certificate of licensure issued to the partnership. |
| (d) |
Any limited liability company applying
for licensure as a broker shall submit with its application a copy of its
certificate of authority to transact business in Georgia as issued by the
Secretary of State's office. In the event a limited liability company wishes to
conduct business under a trade name, it shall also submit with its application
a certified copy of its trade name, certified to by the clerk of the county in
which such certificate is on file. The limited liability company's name that
appears on its certificate of authority to transact business in Georgia, or the
trade name which appears on the certified copy of its trade name, if the
limited liability company has filed a trade name registration, shall be shown
on the broker's certificate of licensure issued to the limited liability
company. In the event a limited liability company chooses to conduct business
under a trade name or change the name on its certificate of authority to
transact business in Georgia at any time after issuance of the initial
certificate of licensure, it shall submit a certified copy of its trade name or
a copy of its revised certificate of authority to transact business in Georgia;
and such new name shall be shown on its broker's certificate of licensure.
|
| (e) |
The trade name of any
franchisee applying for licensure as a broker shall include the franchise name
in a manner reasonably calculated to discern it from any other firm registered
with the Commission by including both the franchise name and either: said
firm's name as it appears on its corporate charter, partnership agreement, or
certificate of authority to transact business in Georgia; or said firm's trade
name, unique from the franchise name, as registered with each county in which
it is doing business. |
|
| (7) |
Criminal History Report. No
more than 60 days prior to making application, each candidate for licensure or
applicant for a license or an instructor approval shall obtain, at the expense
of the candidate for licensure or applicant, and attach to the application for
licensure or approval:
| (a) |
a certified
criminal history report issued by the Georgia Crime Information Center of the
Georgia Bureau of Investigation, indicating whether the candidate for licensure
or the applicant has any record of a criminal history; |
| (b) |
for candidates for licensure or
applicants for licensure who have not lived in Georgia, a certified criminal
history report from their resident state, province, or territory that is
equivalent to the report required in sub-paragraph (a) of this sub-section.
If that report indicates that the candidate for licensure or
the applicant has a record in another jurisdiction, or if the applicant is
unable to obtain a report as set forth in subparagraph (b) of this sub-section,
the applicant must, at the applicant's expense, provide any necessary
fingerprints, fees, authorization, or other requirements for the Commission to
obtain a Federal Crime Information Center report from the Federal Bureau of
Investigation.
|
|
| (8) |
Applicants with Convictions.
Whenever a candidate for licensure or an applicant reveals that such candidate
or applicant for licensure has a criminal conviction, as that term is defined
in O.C.G.A. Section
43-40-15(b)(1)(A),
and whenever any licensee is convicted of any offense that the licensee is
required to report to the Commission, such candidate for licensure, applicant,
or licensee must supply to the Commission a certified copy of:
| (a) |
the citation, accusation, information, or
indictment that led to the conviction; and |
| (b) |
a certified copy of the sentence.
|
|
| (9) |
Applicants
with Disciplinary Actions. Whenever a candidate for licensure or an
applicant reveals that such candidate or applicant for licensure, has been the
subject of a disciplinary action before any licensing agency, and whenever any
licensee has been the subject of a disciplinary action before any licensing
agency that the licensee is required to report to the Commission, such
candidate for licensure, applicant, or licensee must supply the Commission with
a certified copy of:
| (a) |
any allegations that
preceded the final order; and |
| (b) |
the final order of that licensing agency. |
|
| (10) |
Incomplete Applications.
The Commission, in its discretion, may deem an application for licensure as
incomplete unless the requirements of paragraphs (1) and (2) are met and may
elect not to process such an application unless and until those requirements
are met. |
| (11) |
Preliminary
Decisions for Candidates for Licensure Having Convictions or Disciplinary
Actions. The Official Code of Georgia Annotated Section
43-40-15
provides in part that the Commission may deny a license to an applicant who has
a prior criminal conviction(s) or a disciplinary action(s) imposed by any
occupational licensing body. An applicant for licensure is a person who has met
all experience, education, and examination requirements for the license sought.
Because of the time and expense involved in becoming an applicant for
licensure, the Commission affords an individual who has not yet become an
applicant the opportunity to request that the Commission make a preliminary
decision on the conviction(s) or the prior disciplinary action(s) before the
individual takes the required education and examination for license. The
purpose of a preliminary decision is merely to provide advisory guidance.
Preliminary decisions are not binding. However, the Commission may elect to
allow a favorable preliminary decision to become its final decision without
further investigation or hearing when the individual becomes an applicant for
licensure.
| (a) |
Required Information. An
individual seeking a preliminary decision must submit to the Commission a
certified copy of any indictment and conviction or a disciplinary action
imposed by another licensing regulatory authority. An individual seeking a
preliminary decision may also provide the Commission with any additional
information that the individual believes may assist the Commission in rendering
a preliminary decision. |
| (b) |
Adverse Preliminary Decisions. A preliminary decision by the Commission that is
unfavorable to the individual shall not prevent the individual from becoming an
applicant for licensure by successfully completing all education, experience,
and examination requirements for the license. Whenever the Commission denies a
license based on a prior conviction or prior disciplinary action, it must
provide the applicant the opportunity for notice and a hearing. |
|
| (12) |
Request for hearing
after Commission Denies an Application. If the Commission denies an
application for licensure or reinstatement of licensure after an applicant has
met the age, education, and examination requirements as described in O.C.G.A.
Section
43-40-8
and
43-40-9
and the Rules and Regulations of the Commission and has paid all required fees
for the license, that applicant may request a formal hearing concerning that
denial. The applicant must make that request in writing to the Real Estate
Commission within sixty (60) days of the Commission's mailing notice to the
applicant to the address on the application that the Commission has reviewed
the applicant's application and voted to deny the application.
| (a) |
If the applicant does not make written
application for a formal hearing within sixty (60) days the application shall
lapse and the applicant may not make another application for a license without
again standing and passing any qualifying examination that may be required for
that license and paying any required fees. |
| (b) |
If the applicant makes written
application for a formal hearing within sixty (60) days and is granted the
opportunity for a formal hearing and the Commission affirms its denial of the
application, the applicant may not make another application for a license
without again standing and passing any qualifying examination that may be
required for that license and paying any required fees. |
|
| (13) |
Military Spouses and Transitioning
Service Member Applications. Effective July 1, 2017, military spouses
and transitioning service members may qualify for expedited processing of any
license application submitted to the Commission by showing that the applicant
is a military spouse or transitioning service member and that the applicant has
paid the fee and meets the requirements for a license under the law and rules
for the type of license for which the applicant has applied.
|
| (1) |
Required Education. O.C.G.A.
Section
43-40-8(d)requires
that each salesperson must furnish to the Commission within one year of the
issuance of an original salesperson's license evidence of satisfactory
completion of a post-license course of study of at least 25 instructional hours
(other than the Salespersons Prelicense Course or Brokers Prelicense Course)
approved by the Commission. Salespersons must have completed such course:
| (a) |
no earlier than one year before the date
of issuance of the original salesperson's license, or |
| (b) |
no later than either:
| 1. |
one year after the date of issuance of an
original salesperson's license or |
| 2. |
eighteen months after the date of issuance
of an original salesperson's license if the salesperson qualifies for the six
month extension of time authorized by the O.C.G.A. Section
43-40-8(d). |
|
| (c) |
if the salesperson is a
non-resident who has successfully completed in his or her state of residence a
post-license course substantially similar to Georgia's Salespersons
Post-license Course prior to the issuance of a Georgia salesperson's license
(or in the first year after being issued such a license), then such course
shall be deemed to have met the requirements of O.C.G.A. Section
43-40-8(d). |
| (d) |
In order to renew an active license, a
licensee shall furnish to the Commission evidence of satisfactorily completing
thirty-six (36) instructional hours of continuing education courses during the
renewal period. The effective date of this requirement shall be July 1, 2015.
Any licensee who renews an active license on or after this date must have
completed thirty-six (36) hours of continuing education courses to
renew. |
| (e) |
A licensee shall
satisfactorily complete at least three (3) hours of continuing education on the
topic of license law during each renewal period. The effective date of this
requirement shall be July 1, 2016. Any licensee who renews an active license on
or after this date must have completed at least three (3) hours of continuing
education on the topic of license law in order to renew. |
|
| (2) |
Active or Inactive License.
| (a) |
Every active Georgia associate broker,
salesperson, and community association manager shall be licensed under an
active Georgia broker; and said associate broker, salesperson, or community
association manager cannot be licensed under more than one Georgia broker
during the same period of time. An active Georgia associate broker,
salesperson, or community association manager may also affiliate a license
issued by another state's real estate licensing regulatory body with a broker
in that state provided:
| 1. |
said state's laws
allow affiliations in both states; and |
| 2. |
said Georgia resident associate broker,
salesperson, or community association manager has the written permission of the
broker holding his Georgia license to affiliate with a broker in another state
and said written permission clearly delineates (1) the duties that the licensee
may undertake for each broker and (2) that the licensee may not undertake
brokerage activity on property located in Georgia except in behalf of the
active Georgia broker. |
|
| (b) |
After making an original application for
licensure to the Commission, a salesperson or a community association manager
shall not commence work in real estate brokerage activities until the broker
has received the licensee's wall certificate of licensure. |
| (c) |
After a licensee makes application to
change the status of his or her license to a broker of a sole proprietorship or
qualifying broker of a corporation, limited liability company, or partnership,
the applicant shall not commence work in real estate brokerage activities until
the applicant has received the wall certificate of licensure for the sole
proprietorship, corporation, limited liability company, or
partnership. |
| (d) |
Any licensee whose
license is released by a broker shall not engage in the activities of a real
estate broker until the licensee:
| 1. |
affiliates his or her license with a new broker and mails a Change Application
to the Commission; or |
| 2. |
receives
from the Commission a wall certificate of licensure authorizing the licensee to
serve as the broker of a sole proprietorship or the qualifying broker of a
corporation, limited liability company, or partnership. |
|
| (e) |
Any licensee who seeks to activate a
license which has been on inactive status shall be required to have
satisfactorily completed the continuing education requirements which would have
been required if such licensee had been on active status or in lieu thereof,
requalifying as an original applicant. |
| (f) |
This requirement shall not apply to an
inactive licensee who can furnish to the Commission evidence that he or she has
met the continuing education requirement for each renewal period that his or
her license has been on inactive status. |
| (g) |
Every active licensee seeking to perform
real estate brokerage activity must do so as a broker or on behalf of a real
estate broker. Inactive licensees may not perform real estate brokerage
activity on any real estate except real estate owned solely by the inactive
licensee. Real estate brokerage activity includes sales, leasing, community
association management services, property management services, and any of the
activities identified under the definition of "Broker" in O.C.G.A. Section
43-40-1. |
| (h) |
The license law contains an exception
(not available to licensees) that allows an unlicensed person who is a
full-time employee of an unlicensed person to perform real estate brokerage
activity on property owned by that unlicensed person's employer. |
| (i) |
A licensee may not place the licensee's
license on inactive status and perform real estate brokerage activity for an
unlicensed person. Whenever a real estate licensee wishes to be employed by an
unlicensed person in order to perform real estate brokerage activity on real
estate owned by that unlicensed person, such licensee must first surrender such
licensee's license to the Commission and may not reinstate that license without
first qualifying as an original applicant. |
| (j) |
A licensee on inactive status may be an
employee of an unlicensed person to perform work other than real estate
brokerage activity for the unlicensed person. |
|
| (3) |
Renewals. Unless renewal
fees are paid, all licenses issued under the provisions of paragraph (1) of
this Rule will lapse:
| (a) |
in the case of an
individual license, on the last day of the month of the birthday of the
individual licensee and |
| (b) |
in the
case of a firm licensed as a broker on the last day of the month of the fourth
anniversary of its original licensure. |
|
| (4) |
Reinstatement of Lapsed
License.
| (a) |
Any licensee whose license
lapses due to nonpayment of fees or failure to satisfactorily complete any of
the education requirements of O.C.G.A. Chapter 43-40 shall be prohibited from
engaging in real estate brokerage activities as defined in O.C.G.A. Section
43-40-1
until such time as the license is reinstated. |
| (b) |
Any licensee who has been exempt from the
continuing education requirements of O.C.G.A. Section
43-40-8(e),
and whose license has lapsed for longer than one year from the date of lapsing,
and who reinstates it by paying the fees cited in Rule
520-1-.04(1) shall
thereafter be subject to the continuing education requirements of O.C.G.A.
Section
43-40-8(e). |
| (c) |
Any licensee who fails to pay a renewal
fee and allows an active license to lapse may reinstate that license to active
status within two years of the date of lapsing by paying the fees cited in Rule
520-1-.04(1),
provided the licensee has satisfactorily completed the continuing education
requirements which would have been required if such licensee had been on active
status. |
| (d) |
Any licensee who fails
to pay a renewal fee and allows an inactive license to lapse may reinstate that
license to active status within two years of the date of lapsing by paying the
fees cited in Rule
520-1-.04(1) provided
the licensee has satisfactorily completed the continuing education requirements
which would have been required if such licensee had been on active
status |
| (e) |
Any licensee who fails
to pay a renewal fee and allows an inactive license to lapse may reinstate that
license to inactive status within two years of the date of lapsing by paying
the fees cited in Rule
520-1-.04(1). |
| (f) |
Any licensee who allows either an active
or inactive license to lapse for a period longer than two years and less than
five years from the date of lapsing may reinstate that license to active status
by paying the fees cited in Rule
520-1-.04(1) and by
satisfactorily completing the following educational course:
| 1. |
if the lapsed license is that of a
community association manager, the Community Association Managers Prelicense
Course; |
| 2. |
if the lapsed license is
that of a salesperson, the Salespersons Prelicense Course; or |
| 3. |
if the lapsed license is that of a broker
or associate broker, the Brokers Prelicense Course.
Courses taken to reinstate a license as provided in 1., 2. and
3. above must be taken within one year prior to making application for and
paying the fees required for reinstatement.
|
|
| (g) |
Any licensee who fails to pay a renewal
fee and allows a license to lapse and who does not elect to reinstate the
license under the provisions of paragraph (4) (c), (d), (e) or (f) of this Rule
may reinstate the license by retaking and passing the appropriate qualifying
examination for that license including the national portion of the
examination. |
| (h) |
Any licensee whose
license has lapsed a period of time longer than five years from the date of
lapsing due to a failure to pay required fees and who desires to re-qualify for
a license must do so as an original applicant. |
| (i) |
Any active licensee whose license lapses
for not completing any continuing education required for renewal of a license
shall automatically upon paying a renewal fee become an inactive licensee and
subject to the rules which govern an inactive license. |
| (j) |
Any salesperson whose license lapsed for
failure to satisfactorily complete the 25 instructional hours of post-license
education required by O.C.G.A. Section
43-40-8(d)may
reinstate the license only as provided in that Code section. Any such
salesperson whose license has lapsed for a period of time longer than five
years due to a failure to complete the post-license education requirements in a
timely manner and who desires to re-qualify for a license shall do so by
re-qualifying as an original applicant. |
| (k) |
Any licensee whose license lapses for any
reason and who then applies to reinstate that license or any licensee whose
license is on inactive status and who then applies to reactivate that license
shall not commence work in real estate brokerage activities until:
| 1. |
if a broker, he or she has received the
broker's certificate of licensure; or |
| 2. |
if a community association manager,
salesperson, or associate broker, the broker with whom the licensee is
affiliated has received the licensee's certificate of licensure. |
|
|
| (5) |
Notification
of Legal Action and Change of Address.
| (a) |
Every licensee shall notify the
Commission in writing of the final disposition of any administrative, civil, or
criminal action filed in any court of competent jurisdiction or any
administrative agency whenever that final disposition involves the subject
matter of the offenses cited in O.C.G.A. Sections
16-13-111,
43-40-15,
or
43-40-25.
Such notice of any administrative or civil action shall be given to the
Commission within ten (10) days of the conclusion of the court or
administrative proceedings and shall include a copy of any final order entered
by the court or agency. Such notice of any criminal action shall be given to
the Commission within ten days of any conviction and shall include a copy of
the indictment, accusation, and the conviction. |
| (b) |
Each licensee, approved school, or
approved instructor must notify the Commission in writing within one month of
any change in any such licensee's, approved school's, or approved instructor's
mailing address or residence address, or email address if an email address is
maintained by such licensee, approved school, or approved instructor. |
|
| (6) |
Nonresident Licensure
and Brokerage.
| (a) |
Nonresidents who
meet the requirements prescribed in O.C.G.A. Section
43-40-9
and the Rules and Regulations of the Commission ma y be granted a nonresident's
license. |
| (b) |
Licensees who remove
their residency from this state to another state may qualify for nonresident
licensure in accordance with O.C.G.A. Section
43-40-9
only if they make application to change their status from resident to
nonresident, sign a Consent to Jurisdiction, and sign an agreement to cooperate
with any investigation initiated by the Commission. |
| (c) |
A nonresident broker can serve as a
qualifying broker for any corporation, limited liability company, or
partnership licensed by the Commission. A nonresident broker can be the
qualifying broker for an out-of-state corporation or limited liability company
which becomes licensed by the Commission and is authorized by the Secretary of
State's Corporation Division to do business in the State of Georgia. |
| (d) |
Licensees who move from this state to
another state may elect to place their licenses on inactive status rather than
seeking a nonresident's license to avoid termination of their license.
Licensees who elect such inactive status may not then conduct brokerage
business in this state until they have again become residents of this state and
have complied with the reactivation provisions of O.C.G.A. Section
43-40-12
or have qualified for nonresident licensure as provided in paragraph (2) of
this rule. |
| (e) |
Any nonresident
licensee whose license lapses for failure to pay a renewal fee may reactivate
that license by paying the fee required of an original applicant if such
nonresident has maintained an active license in his or her state of residence
during the period that his or her license lapsed and has met that state's
continuing education requirements. |
| (f) |
No Georgia licensee may perform or
attempt to perform any of the acts of a broker as defined in O.C.G.A. Section
43-40-1 on
property located in another state without having first been properly licensed
in that state or otherwise complied fully with that state's laws regarding real
estate brokerage. |
| (g) |
An applicant
for non-resident licensure must also comply with the requirements set forth in
Rule
520-1-.04(3)(g). |
|
| (7) |
Retention of Certificate
of Licensure. Upon making such request in writing to the
Commission, any licensee who retires after twenty years of
active licensure or the family of any licensee who is deceased shall be allowed
to retain the licensee's wall certificate of licensure and pocket card for
non-brokerage purposes.
|
| (1) |
Brokerage Engagements.
| (a) |
Each exclusive brokerage agreement must
fully set forth its terms and have a definite expiration date. |
| (b) |
At the time of securing a brokerage
engagement, the licensee securing it must furnish each person signing it a true
copy thereof. |
| (c) |
The Commission
prohibits the acceptance by brokers of net brokerage engagements and hereby
makes it obligatory upon the broker, when securing the brokerage engagement, to
add the broker's fee thereby notifying the client of the gross price of the
property and the broker's services.
See also O.C.G.A.§§ 43-40-2
& 43-40-25.
|
|
| (2) |
Management Agreements.
| (a) |
Every written property management
agreement or other written authorization to manage real property between a
broker and the owners of the real property shall:
| 1. |
Identify the property to be
managed; |
| 2. |
Contain all the terms
and conditions under which the property is to be managed; |
| 3. |
Specify the terms and conditions on which
the broker will remit property income to the owner and on which the broker will
provide periodic written statements of property income and expenses to the
owner, provided that the periodic written statements shall be submitted to the
owner on at least an annual basis; |
| 4. |
Specify which payments of property related
expenses are to be made by the broker to third parties and how such payments
are to be funded; |
| 5. |
State the
amount of fee or commission to be paid and when the fee or commission will be
paid; |
| 6. |
Specify whether security
deposits and prepaid rents will be held by the broker or the owner; |
| 7. |
Contain the effective date of the
agreement and its termination date; |
| 8. |
Provide the terms and conditions for
termination of the property management agreement by the broker or the owner of
the property; and |
| 9. |
Contain
signatures of broker and owner or their authorized agent. |
|
| (b) |
The licensee shall give to the owner or
the owner's authorized agent a legible copy of every written property
management agreement or other written authorization to manage real property at
the time the signature of the owner is obtained; and the licensee's broker
shall retain a copy.
See also O.C.G.A. §§ 43-40-2,
43-40-25,
& 43-40-25.1.
|
|
| (3) |
Fidelity Bond or Insurance
Required for Community Association Management. Any broker who provides
community association management services as defined in O.C.G.A. Section
43-40-1
and who collects, maintains, controls, has access to, or disburses community
association funds shall be covered at all times under a fidelity bond or
fidelity insurance policy that complies with the requirements of paragraph (a)
below unless such broker at no time collects, maintains, controls, has access
to, or disburses community association funds totaling more than $60,000.00;
| (a) |
Any fidelity bond or fidelity insurance
policy required by this rule shall:
| 1. |
be
written by an insurance company authorized to write such bonds or policies in
this state; |
| 2. |
cover the maximum
amount of funds that the broker providing community association management
services collects, maintains, controls, has access to, or disburses at any time
the bond or insurance policy is in effect, provided that at no time shall
coverage be less than an amount equal to the sum of three months assessments
due from all the members of the association or associations managed by the
broker plus the amount of reserve funds that the community association or
associations require the broker to maintain; |
| 3. |
name the community association(s) as an
additional named insured; |
| 4. |
cover
the broker and all partners, officers, licensed affiliates, and employees of
the broker and may cover other persons collecting, maintaining, controlling,
having access to, or disbursing community association funds as well;
and |
| 5. |
provide that the insurance
company issuing the bond or policy may not cancel, substantially modify, or
refuse to renew the bond or policy without giving thirty days prior written
notice to the broker and to the community association; except that in the case
of non-payment of premiums, no less than ten days prior written notice shall be
given. |
|
| (b) |
Each broker
shall maintain a separate fidelity bond or fidelity insurance policy for each
community association for which the broker provides community association
management services and collects, maintains, controls, has access to, or
disburses community association funds or such alternate fidelity coverage as is
acceptable to the Commission. |
| (c) |
Each broker shall maintain a copy of each fidelity bond or fidelity insurance
policy along with a current certificate of each such bond or insurance policy
showing current coverage and shall provide a copy thereof to the community
association.
See also O.C.G.A. §§ 43-40-2.
|
|
| (4) |
Disclosure of
Brokerage Relationships.
| (a) |
No licensee shall
buy or lease, nor take an option to buy or lease, any interest in property
listed with the licensee or the licensee's firm on which the licensee or the
licensee's firm has been requested to act as a broker, unless the licensee
shall clearly disclose the licensee's position as a buyer to the seller or as a
tenant to the landlord, as the case may be, and insert a clause to this effect
in the contract. Neither shall any licensee sell or lease or otherwise convey
any interest in property owned by the licensee to any person, unless the
licensee shall clearly disclose the licensee's position as a seller to the
buyer or as a landlord to the tenant, as the case may be, and insert a clause
to this effect in the contract. |
| (b) |
A licensee shall make or cause to be made a written disclosure to both buyer
and seller or to both lessor and lessee, as the case may be, revealing the
party or parties for whom that licensee's firm is acting as agent or dual agent
and from whom that licensee's firm will receive any valuable consideration for
its efforts as agent in the transaction. If the licensee's firm is not acting
as an agent for either party, then the licensee shall make a written disclosure
revealing from whom the licensee's firm will receive any valuable consideration
for its efforts in the transaction. The written disclosures required by this
paragraph must be made in a timely manner, but in any event not later than the
time that any party first makes an offer to purchase, to sell, to lease, or to
exchange real property. |
| (c) |
Real
estate licensees shall not pay a fee or commission to a licensee representing
another party to a transaction except with the full knowledge and written
consent of all parties.
See also O.C.G.A. §§ 43-40-2
& 43-40-25.
|
|
| (1) |
Name of Firm. A broker shall
not conduct business under any name other than the one in which the broker's
license is issued. |
| (2) |
Responsibilities of Brokers or Qualifying Brokers.
| (a) |
A real estate broker or qualifying broker
shall be held responsible for any licensee whose license is affiliated with the
broker or the broker's firm who violates any of the provisions of O.C.G.A.
Chapter 43-40 and its attendant Rules and Regulations. |
| (b) |
Every broker or qualifying broker shall
be responsible to instruct licensees affiliated with the broker or the broker's
firm of the provisions set forth in the License Law and its Rules and
Regulations. |
| (c) |
The broker or
qualifying broker shall notify the Georgia Real Estate Commission of any
violation of the License Law and its Rules and Regulations.
See also O.C.G.A. §§ 43-40-1,
43-40-2,
& 43-40-18.
|
|
| (3) |
Change of Qualifying Broker.
| (a) |
Whenever the qualifying broker of a
partnership, limited liability company, or corporation dies, resigns, or is
discharged unexpectedly, the partnership, limited liability company, or
corporation must secure a new qualifying broker within 60 days or cease all
real estate brokerage activity until it does secure a new qualifying
broker. |
| (b) |
During the period of
time that the firm is seeking a new qualifying broker to replace a qualifying
broker who dies, resigns, or is discharged unexpectedly, the firm must
designate a partner, if a partnership; a member, if a limited liability
company; or an officer, if a corporation, to sign any documents and
applications which must be filed with the Commission and to disburse trust
funds from the firm's designated trust account(s) as may be required by any
contracts or agreements authorizing the firm to hold such trust
funds. |
|
| (4) |
Qualifying Brokers Affiliated with Multiple Firms.
| (a) |
A person licensed by the Commission as a
broker or qualifying broker for a licensed firm may serve as the broker or
qualifying broker with one or more other licensed firms. |
| (b) |
A person licensed as an associate broker
and affiliated with a licensed firm may serve as the broker or qualifying
broker for one or more other licensed firms provided such person has notified
in writing the broker with whom he or she is affiliated as an associate broker
of his or her intended services as a broker or qualifying broker with another
firm.
See also O.C.G.A. §§ 43-40-2,
43-40-14,
& 43-40-25.
|
|
| (5) |
Transferring Licensees Into or Out
of a Firm.
| (a) |
Any broker seeking to
have a licensee affiliate with the broker's firm shall enter into a written
agreement specifying the terms under which the licensee will be compensated for
work during the time of their affiliation and specifying how the licensee will
be compensated for work begun but not completed prior to the termination of
their affiliation. Other than to determine that such agreements are entered
into by licensees and their broker, the Commission shall not regulate the
content of such agreements or enforce the provisions of such agreements. A
dispute between licensees as to whether the terms of this agreement have been
met shall not be grounds for the broker's refusal to sign a release and to
forward the wall certificate of licensure to the Commission nor for either
party to file a complaint with the Commission. |
| (b) |
When a licensee requests that a release
form be signed, the releasing broker shall immediately sign the release and
forward the wall certificate of licensure of the departing licensee to the
Commission or notify the Commission in writing that the wall certificate of
licensure has been forwarded to the new broker for whom the licensee will act.
If a licensee assumes the responsibility of delivering the wall certificate to
a new broker, then the wall certificate must be delivered as soon as
practically possible after the licensee receives it from the releasing
broker. |
| (c) |
Any licensee
transferring shall not take, nor have in the licensee's possession, nor use any
written brokerage engagement secured through the office or through licensed
affiliates of the releasing broker, unless specifically authorized by the
broker. The names of all prospective customers or clients given in writing to
the departing licensee during the tenure of the affiliation with the releasing
broker shall be accounted for to that broker. All plats of property, keys and
other property which the releasing broker owns or for which the releasing
broker is responsible,"for sale" signs, notebooks, listing cards, or records of
any kind that have been used in connection with the listing or selling of
property or with the management of property or community associations shall be
returned in person by the departing licensee to the person designated by the
releasing broker. Any broker seeking to have a licensee affiliate with the
broker's firm shall enter into a written agreement expressing the terms under
which the provisions of this paragraph shall be fulfilled upon the licensee's
transferring from the broker. Failure of a departing licensee to meet the
requirements of this paragraph shall not be grounds for the broker's refusal to
sign a release and to forward the wall certificate of licensure to the
Commission, but shall be grounds for the filing with the Commission of a formal
written complaint against the departing licensee. |
| (d) |
Whenever a broker returns to the
Commission a wall certificate of licensure of a licensee affiliated with the
broker's firm, the certificate shall be accompanied by a release signed by both
the broker or authorized associate broker and the licensee or by a signed
statement that such a release has been signed by both parties. The licensee
shall then transfer the license to another broker or apply to place the license
on inactive status within one month of the Commission's receipt of the
licensee's wall certificate of licensure. If a broker is releasing a licensee
for reasons other than the licensee's request and is unable for any reason to
obtain the licensee's signature on the release, the broker or authorized
associate broker shall send to the Commission a copy of a letter from the
broker or authorized associate broker mailed to the licensee's last known
address indicating that the broker is returning the license to the Commission.
The broker's letter to the licensee should state clearly that the licensee has
one month from the Commission's receipt of the licensee's wall certificate of
licensure to apply to transfer to another broker or to apply to place the
license on inactive status. |
| (e) |
Whenever a licensee decides to terminate an affiliation with a firm, such
licensee may not have any contact with any of the firm's clients that the
licensee is serving under a listing, a management agreement, or other brokerage
engagement until the expiration of such a brokerage engagement, except as may
be expressly approved in writing by the broker or qualifying broker of the firm
that the licensee is leaving. |
| (f) |
Applications for sponsoring broker forms and applications for transfer or
release may be signed only by the broker or an associate broker if the broker
permits the associate broker such authority in writing. Such written authority
shall be permanently maintained by the broker. |
| (g) |
Duplicate certificates of licensure
and/or pocket cards shall be issued upon satisfactory proof of loss of the
original.
See also O.C.G.A. §§ 43-40-2,
43-40-7,
43-40-11,
43-40-14,
& 43-40-25.
|
|
| (6) |
Utilizing Support Personnel - Task
Guidelines.
| (a) |
Whenever a firm or a
licensee who is affiliated with a firm engages support personnel to assist the
firm or the affiliated licensee in the conduct of the real estate brokerage
business, both the firm and the affiliated licensee are responsible for the
acts of the support personnel and for assuring that the support personnel
comply with the requirements of this rule and the license law. Support
personnel may not perform any real estate brokerage activities of a real estate
licensee when engaged as support personnel and may perform only ministerial
duties, those that do not require discretion or the exercise of the support
personnel's own judgment. |
| (b) |
Nothing in this rule shall prohibit an individual employed by a firm to assist
in the management of property from undertaking those activities permitted by
O.C.G.A. Section
43-40-29(10). |
| (c) |
An individual actively licensed with one
firm may work as support personnel for a different firm or for a licensee(s) of
a different firm with the written consent of the broker of each firm. An
individual whose license is on inactive status may work as support personnel
for a firm or any affiliated licensee. |
| (d) |
Any firm which employs (or engages under
an independent contractor agreement) support personnel to assist such firm or
an affiliated licensee of said firm in carrying out his or her real estate
brokerage activities must:
| 1. |
enter into a
written agreement with the support personnel specifying the duties that the
support personnel may undertake on behalf of the firm or an affiliated licensee
of the firm and the tasks that support personnel are prohibited from performing
on behalf of the firm or an affiliated licensee of the firm; |
| 2. |
if applicable, enter into a written
agreement with the affiliated licensee authorizing the use of the support
personnel, specifying the duties that the support personnel may undertake on
behalf of the affiliated licensee of the firm and the tasks that support
personnel are prohibited from performing, and approving any compensation
arrangement the affiliated licensee has with the support personnel; |
| 3. |
if applicable, assure that the affiliated
licensee of the firm and the support personnel have entered into a separate
written agreement specifying the duties that the support personnel may
undertake on behalf of the affiliated licensee of the firm, the tasks that
support personnel are prohibited from performing, and the compensation
arrangement the affiliated licensee has with the support personnel. |
|
| (e) |
In order to provide reasonable
guidelines for firms, affiliated licensees and support personnel, but without
defining every permitted or prohibited activity, the Commission has identified
the following tasks that support personnel may perform:
| 1. |
answer the telephone and forward calls and
emails to a licensee; |
| 2. |
submit
data on listings to a multiple listing service; |
| 3. |
check on the status of loan commitments
after a contract has been negotiated; |
| 4. |
assemble documents for closings; |
| 5. |
secure documents that are public
information from a courthouse and other sources available to the
public; |
| 6. |
have keys made for firm
listings and install or remove lock boxes from firm listings; |
| 7. |
write advertisements and promotional
materials for the approval of the firm and any affiliated licensee; |
| 8. |
place advertisements in the media as
defined in Rule
520-1-.09(1)(b) and
as directed by the firm; |
| 9. |
record,
and deposit earnest money, security deposits, and rents; |
| 10. |
type contract forms as directed by the
firm or affiliated licensee of the firm; |
| 11. |
monitor personnel files and license
reports from the Commission; |
| 12. |
compute commission checks; |
| 13. |
place signs on real estate and remove such signs; |
| 14. |
order items of routine repair as directed
by the firm or affiliated licensee; |
| 15. |
act as courier for such purposes as
delivering documents or obtaining documents and keys; |
| 16. |
schedule appointments with an owner or an
owner's agent in order for a licensee to show listed real estate; |
| 17. |
arrange dates and times for
inspections; |
| 18. |
arrange dates and
times for a mortgage application, a pre-closing walk through, or a
closing; |
| 19. |
schedule an open
house; |
| 20. |
accompany a licensee to
an open house or a showing only for security purposes; or |
| 21. |
perform physical maintenance on real
estate. |
|
| (f) |
The
Commission has identified the following tasks that support personnel shall not
perform:
| 1. |
make cold calls by telephone, in
person, or through any media as defined in Rule
520-1-.09(1)(b) or
otherwise contact the public for the purpose of securing prospects for
listings, leasing, sales, exchanges, or property management of real
estate; |
| 2. |
host open houses,
kiosks, home show booths, or fairs; |
| 3. |
prepare promotional materials or
advertisements without the review and approval of an affiliated licensee and
firm; |
| 5. |
answer any questions on
title, financing, or closings (other than the time and place); |
| 6. |
answer any questions regarding a listing
except for information on price and amenities expressly authorized in writing
by the licensee; |
| 7. |
discuss or
explain a contract, listing, lease, agreement, or other real estate document
with anyone outside the firm; |
| 8. |
negotiate or agree to any commission, commission split, management fee, or
referral fee on behalf of a licensee; |
| 9. |
discuss the attributes or amenities of
real estate, under any circumstances, with a prospective purchaser or
lessee; |
| 10. |
discuss with the owner
of real estate, the terms and conditions of the real estate offered for sale or
lease; |
| 11. |
collect or hold deposit
monies, rent, other monies or anything of value received from the owner of real
estate or from a prospective purchaser or lessee; or |
| 12. |
provide owners of real estate or
prospective purchasers or lessees with any advice, recommendations or
suggestions as to the sale, purchase, exchange, or leasing of real estate that
is listed, to be listed, or currently available for sale or lease. |
|
| (g) |
Unlicensed support personnel
or inactive licensed support personnel shall not hold themselves out in any
manner, orally or in writing, as being actively licensed or affiliated with a
particular firm or real estate broker as a licensee. |
|
| (7) |
Sharing Commissions with
Non-Resident Brokers. A licensed broker in this state is hereby
permitted to divide or share a real estate commission with a licensed broker in
another state. If a broker licensed in another licensing jurisdiction refers
prospective clients or customers to a Georgia broker, the Georgia broker may
pay a fee to such licensed broker. Such brokers who refer prospective clients
or customers to a Georgia broker may not perform any of the other acts of a
broker with regard to property located in this state unless they first obtain a
nonresident's license or enter into a written agreement with a Georgia broker
as permitted by O.C.G.A. Section
43-40-9.
See also O.C.G.A. §§ 43-40-2,
43-40-9,
& 43-40-25.
|
| (1) |
The Designated Trust or Escrow
Account.
| (a) |
Brokers may maintain more
than one designated trust or escrow account. Brokers shall notify the
Commission of the name of the financial institution in which each account is
maintained and each account's name or number within one month of opening each
account. |
| (b) |
A licensee shall place
all cash, checks, or other items of value received by the licensee in a
brokerage capacity into the custody of the broker holding the licensee's
license as soon after receipt as is practicably possible. |
| (c) |
A licensee shall place all cash, checks,
or other items of value received by the licensee when the licensee is acting in
the capacity of principal in the sale of interests in real estate owned by such
licensee and all security deposits received on property owned by the licensee
into the custody of the broker holding the licensee's license or in a trust
account approved by that broker as soon after receipt as is practicably
possible. |
| (d) |
Unless otherwise
agreed to in writing by the party or parties at interest, the broker holding
such cash or checks shall promptly deposit said funds in a federally insured
account designated by the financial institution as a trust account and
registered with the Commission and shall make appropriate arrangement for the
safekeeping of any items of value received other than cash or checks. If the
broker elects to deposit any funds into an interest-bearing trust account, the
broker shall obtain the written agreement of the parties indicating to whom the
broker shall pay any interest earned on trust funds deposited into that
interest-bearing account prior to depositing those funds into such an account.
See also O.C.G.A. §§ 43-40-2,
43-40-20,
43-40-21,
& 43-40-25.
|
| (e) |
A broker
may maintain the broker's own funds in a designated trust or escrow account
only when they are clearly identified as the broker's deposit and only for the
following purposes:
| 1. |
If the financial
institution in which the account is maintained designates a specific minimum
balance that must be maintained in order to keep the account open, the broker
may maintain that amount in the account designated as the broker's
funds. |
| 2. |
If the financial
institution in which the account is maintained requires a service charge be
paid for the account, the broker may maintain in the account in the broker's
name a reasonable amount to cover that service charge. The broker may also
maintain in the account in the broker's name a reasonable amount sufficient to
cover other occasional financial institution charges and costs of maintaining
the account including but not limited to charges for blank checks and deposit
slips and fees for return of deposited checks which fail to clear. |
| 3. |
A broker may allow commissions due the
broker that are being paid from funds of others held in the broker's designated
trust or escrow account to remain in the account provided that:
| (i) |
the broker's accounting system for trust
or escrow accounts designates those commissions as the broker's funds and
properly accounts for them and |
| (ii) |
each month the broker removes from the account any of the broker's funds that
exceed the minimum necessary to comply with subparagraph (a) or (b)
above. |
|
| 4. |
Only checks
made payable to the broker may be used to withdraw monies designated as the
broker's funds from the designated trust or escrow account. |
|
|
| (2) |
Accounting
Requirements.
| (a) |
Every broker
required by O.C.G.A. Section
43-40-22
to maintain a trust or escrow account shall maintain an accounting system in
which each trust or escrow deposit is detailed in the following manner:
| 1. |
Names of buyer and seller or tenant and
landlord or member and community association or broker. |
| 2. |
Amount and date of deposit. |
| 3. |
Identification of property
involved. |
| 4. |
The amount, payee and
date of each check drawn on the escrow account in connection with that
deposit. |
|
| (b) |
Licensees
may meet the accounting requirements of this or any other Commission rule with
either manual or electronic accounting systems as the efficiency of the firm's
business operations dictate. However, whether a manual or electronic, the
accounting system must:
| 1. |
include all the
components required by law and sound business practices, |
| 2. |
be readily accessible, |
| 3. |
be in a readily understandable format,
and |
| 4. |
be reasonably available to
any authorized representative of the Commission. |
|
|
| (3) |
Disbursements.
| (a) |
A broker who disburses trust funds from
the broker's designated trust or escrow account contrary to the terms of a
contract for the sale or rental of real estate, or other contract creating the
escrow, or who fails to disburse trust funds according to the terms of any
contract creating the escrow, will be considered by the Commission to have
demonstrated incompetence to act as a real estate broker in such manner as to
safeguard the interest of the public. |
| (b) |
A broker who disburses trust funds from a
designated trust account under the following circumstances shall be deemed by
the Commission to have fulfilled properly the broker's duty to account for and
remit money which the broker is required to maintain and deposit in a
designated trust account:
| 1. |
upon the
rejection of an offer to buy, sell, rent, lease, exchange, or option real
estate; |
| 2. |
upon the withdrawal of
an offer not yet accepted to buy, sell, rent, lease, exchange, or option real
estate; |
| 3. |
at the closing of the
transaction; |
| 4. |
upon securing a
written agreement which is signed by all parties having an interest in the
trust funds and is separate from the contract which directs the broker to hold
the funds; |
| 5. |
upon the filing of an
interpleader action in a court of competent jurisdiction; |
| 6. |
upon the order of a court of competent
jurisdiction; or |
| 7. |
upon a
reasonable interpretation of the contract which directed the broker to deposit
the funds. |
|
| (c) |
A broker
shall not disburse funds from a designated trust account as provided in
paragraph (b) until the broker has reasonable assurance that the financial
institution has credited the funds to the broker's trust account. When a broker
makes a disbursal to which all parties to the contract do not expressly agree,
the broker must immediately notify all parties in writing of the
disbursal. |
| (d) |
A broker who claims
any part of the earnest money or other money paid to the broker in connection
with any real estate transaction as part or all of the broker's commission or
fee shall be deemed by the Commission to have complied with O.C.G.A. Section
43-40-20(e)if:
| 1. |
in a sales transaction, the transaction
has closed or the date of closing specified in the sales agreement and any
extensions of that date have passed; |
| 2. |
in a lease or rental transaction,
possession has been delivered to the tenant; |
| 3. |
in a lease/purchase transaction, the sales
transaction has closed or the date of closing specified in the sales agreement
and any extensions thereof have passed; or 4. the broker has secured a written
agreement, separate from the sales contract or lease agreement, signed by all
parties having an interest in the transaction who have agreed that the broker
is entitled to any commission. |
|
| (e) |
All refunds of earnest money must be paid
by check or credited at the closing of a transaction.
See also O.C.G.A. §§ 43-40-2,
43-40-20,
43-40-21,
& 43-40-25.
|
| (f) |
The
total of all checks written against each deposit should reflect a zero balance
in the designated escrow or trust account relating to the closing of each
individual transaction except when a portion of the deposit is transferred to
the broker's name for the purpose of satisfying a commission. When such a
transfer is made, the total of that transfer and all checks written against
that deposit should reflect a zero balance. |
| (g) |
If a licensee who owns a designated trust
account files a bankruptcy petition, such licensee shall immediately notify the
Commission in writing of the filing of that petition. If a qualifying broker or
the firm that a licensee serves as qualifying broker files a bankruptcy
petition, such qualifying broker shall immediately notify the Commission in
writing of the filing of that petition.
See also O.C.G.A. §§ 43-40-2,
43-40-7,
& 43-40-25.
|
|
| (4) |
Trust Accounts for Property
Management or Association Management. Brokers who manage real property
or community associations may maintain designated rental or assessment trust or
escrow accounts separate from their other trust or escrow accounts.
| (a) |
In paying bills on behalf of an owner or
an association from any designated rental or assessment escrow or trust
account, there must be enough money credited and deposited to the owner's or
the association's account to cover said bill. |
| (b) |
Security deposits, if kept in a
designated rental trust or escrow account, must be clearly identified and
credited to the tenant and there must always be a balance in the account equal
to the total of said security deposits. |
| (c) |
A licensee who manages rental property
which the licensee owns must maintain any security deposits collected in a
designated trust account and may not post a bond in lieu of maintaining such
security deposits in a designated trust account. |
|
| (5) |
Examination of Trust Accounts by
the Commission. O.C.G.A. Section
43-40-20
provides that each broker required to maintain a designated trust or escrow
account shall authorize the Commission to have that designated trust or escrow
account(s) examined by a duly authorized representative of the Commission
during each renewal period or at such other time as the Commission may direct
upon reasonable cause.
| (a) |
With regard to the
members of the Commission who are required to maintain such designated trust
accounts, this examination may be done either:
| 1. |
by the Commission member's engaging and
paying a Certified Public Accountant to examine the broker's designated trust
account or accounts to determine that that account is maintained in accordance
with this rule and any other applicable rules, regulations, or statutes;
or |
| 2. |
by the Real Estate
Commissioner's engaging the services of an independent accountant to examine a
member's designated trust account or accounts to determine that the account is
maintained in accordance with this rule and any other applicable rules,
regulations, or statutes. |
|
| (b) |
Upon being contacted by the Commission's
staff for purposes of conducting an examination of a trust account or accounts,
a broker may elect to provide the Commission with a report on the broker's
designated trust account(s) from a Certified Public Accountant in lieu of an
examination by a duly authorized representative of the Commission. The
Commission, in its discretion, may elect not to accept such a report and
conduct its own examination. The report of the Certified Public Accountant must
take the following form:
__________________________
(Date)
I, ________, a Certified Public Accountant, have this date
examined the real estate brokerage trust accounts of ___________ for the time
period of ________ to __________ and find the handling of funds in these
accounts to be in compliance with O.C.G.A. Sections
43-40-20
and
43-40-25(a)(3),(4),(5),
and (23) and Rules
520-1-.26,
520-1-.30, and
520-1-.34 of the Georgia Real Estate
Commission. (Attach a statement explaining items, if any, which do not appear
to be in compliance.) Said firm maintains the following real estate brokerage
trust accounts:
(list account numbers and financial institution names)
Certificate Number Signature of Certified Public
Accountant
Affirmed by Broker
|
| (c) |
Copies of accounting system entries for
trust or escrow accounts, financial institution deposits, financial institution
statements, receipts and other documents related to designated trust or escrow
accounts shall be made available to authorized agents of the Commission upon
reasonable request and at a reasonable cost to the Commission. |
|
| (6) |
Monthly Reconciliation
of Trust Accounts. A broker required to maintain a trust or escrow
account shall cause to be made, at least monthly, a written reconciliation
statement comparing the broker's total trust liability with the reconciled
financial institution balance(s) of the broker's trust account(s). The broker's
trust liability is the sum total of all deposits received, required by contract
to deposit, and being held by the broker at any point in time.
| (a) |
The minimum information to be included in
the monthly reconciliation statement shall be the date the reconciliation was
undertaken, the date used to reconcile the balances, the name of the financial
institution(s), the name(s) of the account(s), the account number(s), the
account balance(s) and date(s), any deposit(s) in transit, the amounts of any
outstanding check(s) identified by date and check number, an itemization of the
broker's outstanding trust liability showing the amount and source of funds
received and not yet disbursed, and other items necessary to reconcile the
financial institution account balance(s) with the balance in the broker's
checkbook(s) and with the amount of the broker's trust liability. The broker
shall review the monthly reconciliation statement and maintain copies in the
broker's files for a period of three years. |
| (b) |
Whenever the trust liability and the
financial institution balances do not agree, the reconciliation statement shall
contain a description or explanation for the difference(s) and any corrective
action(s) taken with reference to shortages or overages of funds in the
account(s). Whenever a trust financial institution account record reflects a
service charge or fee for a non-sufficient check being returned or whenever an
account has a negative balance, the reconciliation statement shall disclose the
cause(s) of the returned check or negative balance and the corrective action(s)
taken. |
|
| (7) |
Renewal
Trust Account Examination. When renewing a broker's license, a broker
shall submit, along with the renewal application:
| (a) |
a summary of data on the broker's trust
account(s) on a form prepared by or approved by the Commission or |
| (b) |
a report on the broker's designated trust
account(s) from a Certified Public Accountant. The report of the Certified
Public Accountant must take the form provided for in paragraph (10) of this
Rule. |
|
| (8) |
Abandoned
Funds in a Trust Account. Whenever a real estate licensee believes that
a person who placed trust funds in the licensee's care has abandoned those
funds, the licensee may not disburse those funds from a trust account unless:
| (a) |
the licensee's written authorization to
hold those funds requires a particular disbursal; |
| (b) |
the licensee has complied with the
requirements of the Disposition of Unclaimed Property Act, O.C.G.A. Section
44-12-191,
et seq.; or |
| (c) |
the licensee has complied with such other statutory or court ordered
requirements as may be appropriate to the circumstances.
See also O.C.G.A. §§ 3-40-2,
43-40-20,
43-40-21,
& 43-40-25.
|
|
| (9) |
Trust Account Requirements for
Non-Broker Licensee Owned Property. O.C.G.A. Section
43-40-20(h)authorizes
a non-broker licensee to open a trust account for the deposit of trust funds
received on properties the non-broker licensee owns if the broker holding the
non-broker licensee's license approves the opening of such an account and if
the non-broker licensee provides the broker with regular reports accounting for
the funds in such an account. The Commission shall deem a property "owned by a
licensee" if the deed for such property reflects either (a) only the name of
the licensee or (b) only the name of a business entity of which the licensee is
the sole owner, member, or stockholder. Whenever a licensee (a) owns any
interest in a property that is less than one hundred percent and (b) receives
any trust funds on such property, such licensee must deposit those trust funds
into the trust account of a firm licensed under this
chapter. |
| (1) |
Definitions.
| (a) |
Advertising or
Advertisement.For the purposes of this Rule, the term "advertising" or
"advertisement" means any manner, method, or activity by which a licensee
through the use of any media makes known to the general public real estate for
sale, rent, lease, or exchange. |
| (b) |
Media. For the purposes of this Rule, the term "media" includes,
but is not limited to, print, photographs, broadcast, and the Internet
including, but not limited to, such examples as newspapers, magazines, flyers,
posters, business cards, billboards, radio, videos, television, signs
(including office, directional,"for sale," "for lease," "sold," or vehicle
signs), newsletters, voicemail, email, facsimile transmissions, Internet
websites, blogs, video blogs, property listing database services, email
farming, news groups, discussion lists, bulletin boards, social
networking/social media, instant text messages, multimedia advertising, banner
ads, pop-ups, and similar media. |
|
| (2) |
Misleading Advertising. Any
advertising that is misleading or inaccurate in any material fact or in any way
misrepresents any real estate is prohibited. Whenever a licensee becomes aware
that a principal with whom the licensee's firm has a brokerage engagement is
advertising to sell, buy, rent, lease, or exchange real estate in such a manner
that is inconsistent with this rule, the licensee must immediately take steps
to stop the advertising until it complies with this rule. |
| (2.1) |
Advertising by Affiliated
Licensees. All advertising by associate brokers, salespersons, and
community association managers must be under the direct supervision of their
broker and in the name of their firm. |
| (3) |
Written Permission to
Advertise. A licensee shall not advertise any real estate for sale,
rent, lease, or exchange unless the licensee has first secured the written
permission of the owner, the owner's authorized agent, or the owner of a
leasehold estate. When such permission is granted, a licensee advertising real
estate that is listed with another firm shall clearly and conspicuously
disclose that fact and the name of the listing firm unless the listing firm has
expressly agreed in writing to waive those clear and conspicuous
disclosures. |
| (4) |
Discriminatory Advertising Prohibited. A licensee shall not advertise to
sell, buy, exchange, rent, or lease real estate when such advertisement is
directed at or referred to persons of a particular race, color, religion, sex,
handicap, familial status, or national origin. The contents of any
advertisement must be confined to information relative to the real estate
itself, and any advertisement that is directed at or referred to persons of any
particular race, color, religion, sex, handicap, familial status, or national
origin is prohibited. |
| (5) |
Internet Advertising. In addition to the unfair trade practices found in
O.C.G.A. § 43-40-25(b)(1),(2),(11),(12)
and (21) or any other requirements found in
this Rule, any advertising on the Internet by a licensee of real estate for
sale, rent, lease, or exchange shall disclose the name and telephone number of
the licensee's firm on every viewable web page of a website except as herein
otherwise provided.
| (a) |
When advertising in
electronic messages of limited information or characters, a license shall
provide a direct link to a display that is in compliance with this
Rule. |
| (b) |
When advertising real
estate for sale, rent, lease or exchange on an internet website not owned or
controlled by the licensee or firm with which the licensee is affiliated and
that website's terms of use limit the licensee's ability to comply with this
paragraph, the advertising shall provide a direct link to a display that is in
compliance with this Rule on every viewable webpage of the website. |
| (c) |
Information on a website maintained by a
licensee that is outdated shall be updated or removed from the website within
thirty (30) days of the information becoming outdated. |
| (d) |
If a licensee's website is maintained by
an authorized third party (other than its firm or its franchisor's webmaster),
the licensee shall provide to the third party, a timely written notice, by
mail, fax, or electronic means, of any updates to outdated information or
information to be removed from the website, so that such updates or information
removal may be accomplished in accordance with this Rule. A licensee who
provides such timely notice shall not be in violation of this Rule if the third
party fails to effect an information change as notified. |
| (e) |
The requirements of this Rule apply to
advertising and information on a website that is within the licensee's
ownership or direct control. No licensee shall be responsible for any
information taken from the licensee's website, or other advertising, if placed
on a website, or in other advertising outside the licensee's ownership and/or
direct control and without the licensee's consent. |
|
| (6) |
Trade Names and Franchise
Names. For purposes of this rule the term trade name shall include trade
mark and service mark; and the term advertising shall include, but is not
limited to, advertising done by others on behalf of the licensee.
| (a) |
Any firm using a trade name or any
franchisee in advertising specific real estate for sale in any media shall
clearly and unmistakably include the firm's name as registered with the
Commission in a manner reasonably calculated to attract the attention of the
public. The firm's name shall appear adjacent to any specific real estate the
firm advertises for sale so that the public may unmistakably identify the firm
listing the specific real estate. In advertising real estate for sale, rent, or
exchange, the name of the firm offering the real estate for sale, rent, or
exchange shall appear in equal or greater size, prominence, and frequency than
the name or names of any affiliated licensees or groups of licensees. |
| (b) |
Any firm using a trade name or any
franchisee shall clearly include the firm's name as registered with the
Commission on any contracts or other documents relating to a real estate
transaction. |
| (c) |
Any firm using a
trade name or any franchisee shall clearly include the firm's name as
registered with the Commission on office signs. |
|
| (7) |
Firm Names and Telephone Numbers
in Advertising. In advertising specific real estate for sale, rent, or
exchange in any media:
| (a) |
firms must include
in the advertisement a name of the firm as registered with the Commission and a
telephone number for the firm, except when complying with lawful restrictions
(such as covenants or local governmental ordinances) that forbid the use of the
firm's name on a particular type of sign; |
| (b) |
the name of the firm advertising the real
estate for sale, rent, or exchange shall appear in equal or greater size,
prominence, and frequency than the name or names of any affiliated licensees or
groups of licensees; |
| (c) |
the firm's
telephone number shall appear in equal or greater size, prominence, and
frequency than the telephone number of any affiliated licensee or groups of
licensees, and it must be a number at which the public can reach a broker or a
manager of the firm without going through the affiliated licensee(s) listed in
the advertisement; |
| (d) |
whether
contained in a logo or standing alone, the name of the firm must be in equal or
greater size, prominence, and frequency than the name of any affiliated
licensee or group of licensees; and |
| (e) |
a block advertisement in any print media
that advertises various listings of a firm and includes the name of the listing
agent next to each listing shall be in compliance with this rule if the name of
the firm appears only once at the top of the advertisement in equal or greater
prominence and print size than any of the listing agent's names. The firm's
name may be located in other positions in such block advertisements if the firm
name appears clearly larger and more prominently than the name of any other
licensee in the advertisement. |
|
| (8) |
Licensees Advertising as
Principals. A licensee shall not advertise to sell, buy, exchange, rent,
or lease real estate in a manner indicating that the offer to sell, buy,
exchange, rent, or lease such real estate is being made by a private party not
licensed by the Commission.
Every associate broker, salesperson, and community association
manager is prohibited from advertising under the licensee's individual name to
buy any real estate or offer for sale, rent, or lease any real estate. All
advertising by associate brokers, salespersons, and community association
managers must be under the direct supervision of their broker and in the name
of their firm. However, when a licensee wishes to advertise real estate owned
by the licensee and which is not under a brokerage engagement, the licensee may
do so provided:
| 1. |
if the licensee's
license is affiliated with a firm, the broker holding the licensee's license
has been notified in writing of the specific real estate to be
advertised; |
| 2. |
if the licensee's
license is affiliated with a firm, the broker gives written consent to
advertising the specific real estate and approves the advertisement itself;
and |
| 3. |
regardless of whether the
licensee's license is affiliated with a firm or on inactive status, any
advertisement must include either (a) the legend "seller, buyer, landlord,
tenant (select the appropriate name) holds a real estate license" or (b) the
legend "Georgia Real Estate License # (insert licensee's six digit number; for
example,000001)." "Georgia Real Estate License" may be abbreviated to "GA R. E.
Lic.." |
|
| (9) |
Licensees Advertising Approved Schools. A licensee shall not advertise
that such licensee offers, sponsors, or conducts Commission approved courses or
that such licensee offers, sponsors, or conducts Commission approved courses in
conjunction with an approved school or other approved organization unless the
licensee is approved by the Commission to offer such courses. |
| (10) |
Notwithstanding any other provision of
this Rule, a licensee shall make every reasonable attempt in advertising to
assure the public knows that they are being contacted by a
licensee. |
| (1) |
PresentingOffers. A licensee shall promptly tender to any customer or client
any signed offer to purchase, sell, lease, or exchange property made to such
client or customer. In a transaction in which the offeror is not a client or
customer of the licensee, the licensee receiving an offer must provide a copy
of the offer to the licensee working with or representing the offeree. However,
a licensee who obtains an offer may negotiate a sale, exchange, or lease
directly with an owner, a lessor, a purchaser, or a tenant if the licensee who
obtains the offer knows that such offeree has a written outstanding agreement
in connection with such property that expressly provides the other licensee
will not provide negotiation services to the offeree. |
| (2) |
License Numbers in Offers. A
licensee preparing or signing a brokerage engagement or an offer to purchase,
sell, lease, or exchange real property shall include the license number issued
by the Commission of each firm and of each licensee participating in the
transaction. The licensee shall include the six digit license number issued by
the Commission. |
| (3) |
Responsibility to Distribute Copies. A licensee shall provide a
copy of any document utilized in a real estate transaction to any individual
signing such document. If any offer to purchase, sell, lease, or exchange is
accepted and signed by all parties, copies of that document shall be properly
distributed, one to each person signing the document and one to each brokerage
firm involved in the transaction. |
| (4) |
Retention of Copies of Records and
Documents. Copies of sales contracts, brokerage engagements, closing
statements, leases, and other documents related to a real estate transaction
required by law to be maintained in a broker's file for three years shall be
made available to authorized agents of the Commission upon reasonable request
and at a reasonable cost to the Commission. Brokers that must keep copies of
the documents cited in this paragraph include:
| (a) |
any broker identified in a sales
contract, brokerage engagement, closing statement, lease, or other document
related to a real estate transaction; |
| (b) |
any broker firm that participates in the
negotiations involving a sales contract, brokerage engagement, lease, or other
contractual document related to a real estate transaction; and |
| (c) |
any broker required by O.C.G.A. Section
43-40-20
to maintain a trust account.
Copies of documents and other records which licensees are
required by law and the Commission's rules to maintain may be maintained in any
records storage system that utilizes paper, film, electronic, or other media
provided that:
|
| (a) |
the
licensee can produce true and correct copies of such documents and recordsand
|
| (b) |
copies of such documents and
records can be made available to an authorized representative of the Commission
upon reasonable request and at reasonable cost to the Commission. |
|
| (5) |
Falsification of
Transaction Documents and Misleading Representations Prohibited. No
licensee shall falsify or be a party to the falsification of a document
involved in a real estate transaction or knowingly represent, either verbally
or in writing, to a principal or any interested third party:
| (a) |
an amount other than the true and actual
sales, lease, or exchange price; |
| (b) |
an amount other than the true and actual
downpayment; |
| (c) |
an amount other
than the true and actual earnest money, security deposit, or other trust funds
or that such trust funds have been tendered in any form other than its true and
actual form; |
| (d) |
a payment of trust
funds in cash when in fact some other method of such is made; or |
| (e) |
an artifice, contrivance, or machination
with the intent to deceive.
Any or all such practices shall constitute a
misrepresentation.
|
|
| (6) |
Disclosure of Commissions, Fees,
Rebates, or Other Valuable Consideration.
| (a) |
The disclosures required by O.C.G.A.
§ 43-40-25(b)(6)
from a licensee to a principal may be made in advance of the payment or receipt
of a commission, fee, rebate or thing of value to a licensee based upon
pre-established terms set forth in a brokerage agreement, a brokerage
engagement agreement, management agreement or other written
agreement. |
| (b) |
In a transaction
where a licensee refers a principal to another broker for brokerage or
relocation services (and the broker to whom the principal is referred knows of
the referral and the referring licensee's expectation of receiving a
commission, fee or other thing of value for the referral), the payment of a
commission, fee or other thing of value to the referring licensee by the broker
working with the principal shall be disclosed in writing to the principal by
the broker to whom the referral was made no later than at the closing of the
purchase, sale, exchange, or lease, of any property in a transaction where a
commission, fee or other thing of value will be paid by the broker to the
referring licensee. |
| (c) |
The
disclosures required in O.C.G.A. § 43-40-25(b)(6)(c)
shall be in addition to any requirements of federal law pertaining to the
payment or receipt of anything of value for the referral of any service or
product in a real estate transaction. |
| (d) |
For the purposes of O.C.G.A. § 43-40-25(b)(6),
the term "licensee's principal" shall, in the specific real estate transaction
for which disclosure is required, mean both the client of the broker and a
customer of the broker if the customer is working primarily with the broker and
is not being represented by another broker in the transaction. |
| (e) |
A licensee may rebate to a principal any
part of a commission, fee, or other compensation received by the licensee
related to the purchase, sale, lease or exchange of real estate as long as said
rebate is disclosed on the closing statement for that transaction and as long
as the rebate does not mislead any other licensee, other principal, lender,
title company or government agency involved in the transaction regarding the
source of funds to complete the transaction or regarding the financial
resources or obligations of a buyer principal.
Notwithstanding anything to the contrary above, no disclosure
is required for gifts, products, services, or other things of value given to a
principal by a licensee provided that they are not contingent upon the
purchase, sale, lease or exchange of real estate for that
transaction.
|
|
| (1) |
Written Notification to Broker.
No licensee shall be permitted to list, sell, buy, exchange, rent,
lease, or option or offer to list, sell, buy, exchange, rent, lease, or option
real estate, either in individual or multiple parcels, in the licensee's own
name or in the name of any other firm or entity in which the licensee is an
officer, employee, beneficiary, or member of such firm or other entity acting
as principal without first advising, in writing, the broker for whom the real
estate licensee is acting. |
| (2) |
Offers to Buy Associated with a Brokerage Relationship. Whenever a
licensee offers to purchase a property as a condition to obtaining a brokerage
engagement to sell, lease, or exchange or on which the licensee is extending
the expiration date of an existing brokerage engagement, the licensee must
enter into a written contract to purchase which expresses all the terms and
conditions of the licensee's purchase prior to or at the time of entering into
the proposed brokerage engagement or into the extension of the existing
brokerage engagement. Whenever a licensee offers to purchase a property in
order to enable a party to purchase, sell, lease, or exchange another property,
the licensee must enter into a written contract to purchase which expresses all
the terms and conditions of the licensee's purchase prior to or at the time of
the other party's entering into a contract to purchase, sell, lease, or
exchange the new property. |
| (3) |
Licensees Advertising as Principals. Licensees advertising to buy,
sell, or exchange real property for their own accounts must comply with the
advertising requirements of Rule
520-1-.09. |
Unless otherwise excepted from licensure requirements by
O.C.G.A. Section
43-40-29,
a person who brokers the sale of a business must hold an appropriate license
issued by the Commission if the sale of the business involves the transfer of
any interest (including, but not limited to, leasehold or ownership interest)
in real property. A business broker and any of the business broker's associates
who do not hold licenses issued by the Commission may not negotiate or attempt
to negotiate or assist in procuring prospects for the sale of a business
where:
| (a) |
that sale involves the
transfer of any interest in real property, or |
| (b) |
where the payment of all or part of a
commission or fee to the business broker or any of the business broker's
associates in the sale of a business is contingent upon the transfer of an
interest in real estate.
An unlicensed broker may not perform or attempt to perform the
acts in the preceding sentence and then secure a person licensed by the
Commission to approve that transaction.
See also O.C.G.A. §§ 43-40-1;
43-40-2;
43-40-29;
and 43-40-30.
|
| (1) |
Prohibited Representations.
No licensee or agent or employee of a licensee shall represent, explicitly or
implicitly, for the purpose of inducing or discouraging the purchase, sale, or
rental of any real property or the listing for purchase, sale, or rental of any
real property:
| (a) |
that a change has occurred
or will or may occur in the composition of any block, neighborhood or area
based upon race, color, religion, sex, handicap, familial status, or national
origin; |
| (b) |
that the presence of
persons of any particular race, color, religion, sex, handicap, familial
status, or national origin in an area will or may result in the following:
| 1. |
a lowering of property values in the
neighborhood; |
| 2. |
a material change
in the composition of the area based upon race, color, religion, sex, handicap,
familial status, or national origin; |
| 3. |
an increase in criminal or antisocial
behavior in the area; or |
| 4. |
a
decline in the quality of the schools serving the area.
See also O.C.G.A. §§ 43-40-2,
43-40-15,
& 43-40-25.
|
|
|
| (2) |
Discrimination Prohibited.
No licensee or employee or agent of any licensee shall:
| (a) |
Refuse to sell, purchase, rent or lease,
or otherwise deny to or withhold any housing accommodation from a person
because of such person's race, color, religion, sex, handicap, familial status,
or national origin; or |
| (b) |
Discriminate against a person because of such person's race, color, religion,
sex, handicap, familial status, or national origin in the terms of the sale,
purchase, rental or lease of any housing accommodations, or in the furnishing
of facilities or services in connection therewith; or |
| (c) |
Refuse to receive or transmit a bona fide
offer to sell, purchase, rent or lease any housing accommodation, from or to a
person because of such person's race, color, religion, sex, handicap, familial
status, or national origin; or |
| (d) |
Refuse to negotiate for the sale, purchase, rental or lease of any housing
accommodation to a person because of such person's race, color, religion, sex,
handicap, familial status, or national origin; or |
| (e) |
Represent to a person that any housing
accommodation is not available for inspection, sale, purchase, rental, or lease
when in fact it is so available, or to refuse to permit a person to inspect any
housing accommodations, because of such person's race, color, religion, sex,
handicap, familial status, or national origin.
See also O.C.G.A. §§ 43-40-2,
43-40-15,
& 43-40-25.
|
|
| (1) |
Imposition of Penalties. Whenever the Commission determines from
the evidence gathered in an investigation that a licensee has violated one or
more of the provisions of O.C.G.A. Chapter 43-40 or the rules and regulations
adopted by the Commission or has committed an unfair trade practice, the
Commission, in its discretion, may (a) initiate the process for the imposition
of sanctions in accordance with the hearing procedures established for
contested cases by Chapter 13 of Title 50; or (b) issue a citation to the
licensee in lieu of initiating the process for the imposition of sanctions. A
citation issued by the Commission may include an order to complete a course of
study in real estate brokerage or instruction; to file periodic reports by an
independent accountant on a real estate broker's designated trust account;
and/or to pay a fine not to exceed $1,000.00 for each violation, with fines for
multiple violations limited to $5,000.00 in any one citation. |
| (2) |
Approved Education. The
Commission may elect to require successful completion of approved continuing
education or post license education courses in addition to or in lieu of the
financial penalties cited in paragraph (3) below. |
| (3) |
Schedule of Violations and
Penalties. Violation of the following rules, regulations, and unfair
trade practices may become the basis for the issuance of a citation. While the
Commission may determine that circumstances warrant the imposition of a lesser
penalty, the monetary penalties prescribed constitute the maximum penalty for a
single violation of the cited rule, regulation, or unfair trade practice. In
the event of any conflict between the description of a violation in the
schedule below and the language in the code section or rule, the language in
the code section or rule shall control.
| (a) |
Failure of a community association manager, salesperson, or associate broker to
turn over trust funds to the broker as soon as practicably possible.
43-40-25(b)(23) & 520-1-.08. Fine of $500.00. |
| (b) |
Failure of a licensee to include
financing terms in a sales contract having a financing contingency. 43-40-25.1.
Fine of $500.00. |
| (c) |
Failure of a
licensee to provide a copy of any document used in a real estate transaction to
any individual signing such document. 43-40-25(b)(19),
520-1-.06(1) &
(2), &
520-1-.10(2). Fine of
$500.00. |
| (d) |
Where a Commission
examination of a brokerage firm's operations reveals a violation of
requirements set forth in 43-40-11, 43-40-18, 43-40-25.1,
520-1-.06,
520-1-.07, &
520-1-.08(5)(c). Fine
of $500.00. |
| (e) |
Where an
examination of an approved school reveals a violation of requirements set forth
in Chapter 520 of the Rules of the Commission. Fine of $100.00. |
| (f) |
Failure of a licensee to present promptly
a signed offer to a seller or failure to deliver copies of an accepted contract
to the parties within a reasonable time. 43-40-25(b)(19) &
520-1-.07. Fine of $600.00. |
| (g) |
Conducting business under a name other
than that which is registered with the GREC.
520-1-.07. Fine of $600.00. |
| (h) |
Where a Commission examination of a
brokerage firm's operations reveals a trust account violation. 43-40-20 &
520-1-.08. Fine of $600.00. |
| (i) |
Failure of a community association
manager, a salesperson, or an associate broker to notify the broker of personal
real estate activities.
520-1-.11. Fine of $600.00. |
| (j) |
Failure of a licensee to include the
correct amount of earnest money, security deposit, or terms in a sales or lease
contract. 43-40-25.1. Fine of $600.00. |
| (k) |
Where an approved school violates the
requirements set forth in the Rules of the Commission developing or offering
computer-based courses. Fine of $200.00. |
| (l) |
Where a licensee pays a commission or a
referral fee for performing a real estate brokerage activity to a person who
does not hold a current, active real estate license in this or some other state
except as provided in 43-40-25(b)(17). Fine of $600.00. |
| (m) |
Advertising that violates a provision of
43-40-25(b)(11) or
520-1-.09(3),(5), or (6); but is not discriminatory or
intentionally misleading or inaccurate in violation of 43-40-25(b)(1) or (2) or
520-1-.09(2) or (4). Fine of $600.00. |
| (n) |
Failure of a licensee to register with
the GREC an account into which trust funds have been deposited. 43-40-20(b)
&
520-1-.08(1). Fine of
$600.00 per account not registered. |
| (o) |
Failure of a licensee to have the
financial institution designate an account as a trust or escrow account, except
where the financial institution has erred. 43-40-20(b). Fine of $600.00 per
account not designated. |
| (p) |
Failure
of a licensee to disclose his or her licensure in a contract requiring such
disclosure.
520-1-.11. Fine of $600.00 per
contract. |
| (q) |
Where a broker
continues to allow an affiliated licensee to conduct brokerage transactions
after the licensee's license has been in a lapsed status for more than one
month. 43-40-18 &
520-1-.05(4). Fine of
$600.00 per brokerage transaction. |
| (r) |
Where a licensee performs real estate
brokerage activity in violation of
520-1-.05(4) beyond
the month in which a license lapses for non-payment of renewal fees. Fine of
$600.00 per brokerage transaction. |
| (s) |
Where an approved school offers a course
without prior authorization, if such prior authorization is required. Fine of
$200.00 per student enrolled, not to exceed the limits set forth in
520-1-.14(1). |
| (t) |
Failure of a
licensee to deposit trust funds promptly where the deposit was made more than
three business days after receipt unless the contract provides otherwise.
43-40-25(b)(3). Fine of $600.00. |
| (u) |
Failure of a licensee to notify the
Commission of the final disposition of any administrative, civil, or criminal
action within ten days of the conclusion of court or administrative
proceedings.
520-1-.05(5). Fine of
$600.00. |
| (v) |
Failure of a licensee
to obtain written permission before depositing trust funds into an
interest-bearing account where the licensee retained the interest.
43-40-25(b)(30) & 520- 1-.08(1). Fine of $600.00. |
| (w) |
Failure of a broker to sign a release
form immediately upon personally receiving the request of a community
association manager, salesperson, or associate broker to be released from the
broker's firm.
520-1-.07(5). Fine of
$600.00. |
| (x) |
Failure of a
transferring salesperson or associate broker to account for or to return to the
releasing broker all items belonging to that broker.
520-1-.07(5). Fine of
$600.00. |
| (y) |
Failure of a licensee
to deposit into a trust account trust funds received in connection with a
transaction in which a licensee is a principal. 43-40-20(f),
520-1-.08(1) &
(4). Fine of $600.00. |
| (z) |
Failure
of a licensee to include a fixed date of expiration in a listing agreement or
failure to leave a copy with the principal. 43-40-25(b)(18). Fine of
$600.00. |
| (aa) |
Where an approved
school allows a person who has not been approved by the Commission as a
pre-license instructor to instruct a Community Association Managers Course, a
Salespersons Prelicense Course, or a Brokers Prelicense Course. Fine of $300.00
per course, not to exceed the limits set forth in 520-1-.14(1). |
| (bb) |
Failure of a licensee to deposit earnest
money, security deposits or other trust funds according to the terms of a
contract. 43-40-25(b)(5) &
520-1-.08(1). Fine of
$800.00 per contract. |
| (cc) |
Where a
broker upon disbursing trust funds without obtaining the express agreement to
all the parties to the contract, fails to notify all parties in writing of the
disbursal. 520- 1-.08(3). Fine of $800.00. |
| (dd) |
Where a licensee has made a false
statement of material fact on his or her application or caused to be submitted
or been a party to preparing or submitting any falsified application to the
commission on paper, electronically, or by any other means or media.
43-40-15(d) &
520-2-.16(1), &
520-3-.07. Fine of
$800.00.
|
| (ee) |
Failure to
handle trust funds as required by 43-40-20; 43-40-25(b)(3), (4), & (5);
&
520-1-.08 in a transaction in which a
client or a customer claims a loss and full restitution has been made. Fine of
$900.00. |
| (ff) |
Where the annual
percentage of students passing the real estate examination from any prelicense
school falls ten percentage points or more below the percentage of all
examinees passing the real estate examination in any two consecutive calendar
years.
520-2-.16(2). Fine of
$900.00.
|
| (gg) |
Where an
approved school fails to have students complete the required number of hours in
any course or to complete all exercises and/or examinations required by the
school.
520-2-.10(3),(4),(5),
& (6). Fine of $400.00 or $100.00 per student, whichever is greater, but
not to exceed the limits set forth in 520-1-.14(1). |
| (hh) |
Failure to reconcile a trust or escrow
account at least monthly; to provide the required information in the
reconciliation statement; or, in the event of a discrepancy in the account, to
provide an explanation or description of the discrepancy and the corrective
action taken.
520-1-.08(6). Fine of
$600.00 per violation if the account balances; fine of $900.00 per violation if
the account is not in balance. And such other violations and fines as the
Commission and the respondent parties agree upon. |
|
| (4) |
Consent in lieu of Citation.
In lieu of imposing a citation upon a licensee, the Commission in its
discretion may offer the licensee the opportunity to consent to completing a
course of study, to submit periodic reports on a designated trust account, to
paying a fine, or some combination of these or other penalties. |
| (5) |
Effective Date of Citation.
When the Commission issues a citation on its own motion, the order in the
citation shall become final when 30 days have passed since the date of service
of the citation upon the licensee either personally or by certified mail or
statutory overnight delivery unless prior to that time:
| (a) |
the licensee and the Commission have
reached agreement on alternative terms; or |
| (b) |
the licensee has requested a contested
case hearing.
When a citation becomes final, the licensee named in the
citation must meet any requirements contained in the order in the citation
within 30 days of the effective date of that order unless the order prescribes
a different timetable for completion of the requirements.
|
|
| (6) |
Service of
Citation. Service of the final order in a citation shall be by personal
delivery or by certified mail or statutory overnight delivery to the last
address provided to the Commission by the broker or in the case of a community
association manager, salesperson, or associate broker, the last address
provided to the Commission by the broker with whom the community association
manager's, salesperson's, or associate broker's license is affiliated or in the
case of an inactive licensee, at the last address provided to the Commission by
the inactive licensee or in the case of an approved school or instructor, the
last address provided to the Commission by the approved school or instructor.
Service upon a licensee's, approved school's, or approved instructor's attorney
shall be deemed service upon the licensee, school, or instructor. |
| (7) |
Citation in lieu of Contested
Case. After initiating a contested case action, the Commission, in its
discretion and with the consent of the licensee, may elect to dismiss the
contested case action and issue a citation. |
| (8) |
Sanction for Failure to Comply with
Order. The Commission may impose sanctions on the license of a licensee
who fails to comply with the terms of a final order in a citation after giving
notice to the licensee and the opportunity for a hearing. |
| (9) |
Citations and Subsequent
Disciplinary Actions. In imposing a disciplinary action on a licensee's
license in a contested case, the Commission shall not consider prior citations
if the licensee has fully complied with the terms of those citations.
see also O.C.G.A. §§ 43-40-2,
43-40-25,
43-40-25.2
|
