Bert Rodgers Chapter 3

4

A quorum to conduct certain duties of the commission requires _________ members.

ceases to be in force

When a sales associate changes employer; sales associate must notify the Commission no later than 10 days of the change

Florida Real Estate Commission

an appointed administrative agency within the Department of Business and Professional Regulation whose purpose is to regulate real estate brokers, sales associates and schools within the state of Florida and thus protect the public from potential economic loss

FREC members appointment

appointed by governor, confirmed by Senate

brokers license 1st renewal

must complete post-license education and test prior to expiration Failure results in null and void license May revert to sales associate license by completing 14 hour CE within 6 months

Voluntary Inactive License

pertains to a person who has attained license status as a broker or sales associate, and has requested before the end of the license period to be placed on inactive status. May be renewed at the end of each license period indefinitely (must pay license fees, complete CE and renew), or activated by filing a request. Also initial license status until employment is filed.

Renewal

replaces a prior license and is requested by licensee when a license is about to expire. Notified by Department at last known address 60 days prior. Effective when received by Department. Valid 2 years.

Reissue

required anytime the information related to a licensee on the record with the Department is no longer correct. Applies to changes in licensees name, or if a license has been lost or destroyed. Licensee has 10 days to notify the Department of a change. Also used when suspended licensee wishes to reinstate.

Duties of the Department

responsible for licensing and regulation of the real estate profession. Delegates rule-making and disciplinary authority as well as day-to-day work of regulation.

initial issue

the first license issued in the category in which an applicant is qualified. Valid on date applicant receives official notification. Valid 2 years, expires on either March 31 or September 30. Must complete post-license education before end of license renewal period.

Revoked license

the license is permanently removed, the licensee is no longer licensed as a real estate professional.

suspended license

the licensee is prohibited from practicing real estate for a period of time.

Part 1 of FS 475

Real Estate Brokers, Sales Associates and Schools. Defines the FREC.

Commission term of office

4 year term - max 2 consecutive (no maximum number of terms, just can't be consecutive) appointments staggered no more than 2 up in a year no salary but earn per diem

Tallahassee, FL

Offices of the Department

quasi-legislative powers of Commission

-give the power to make and pass rules that regulate the operation of licensees and the real estate profession. These are not laws but have the same effect -The purpose of this power is to interpret and implement the law These cannot be delegated; a quorum vote is required to exercise this authority. Rules enacted do not require approval of any agency or legislation, but do not become effective until 20 days after they have been filed with Secretary of State. Rules cannot be in conflict with US Constitution or laws of State of Florida

Powers of the Department

-may seek an injunction from a court agains a licensee for failure to follow an order -may issue a cease-and-desist order against an unlicensed party for violation of any rule or law under its administration -may issue citations to violators of specific rules that include the payment of an administrative fine not to exceed $5,000 per offense -administers oaths -takes depositions -issues subpoenas -adopts rules concerning violations that may be submitted for mediation -may issue a notice of non-compliance or a citation to a licensee for specified offenses -conducts investigations and prosecution of complaints through delegation -may act as a plaintiff in a civil action, in which case a civil penalty of not less than $500 or more than $5,000 per offense may be imposed

Executive powers of Commission

-publication of books and newsletters to keep licensees and the public informed of new and important changes to law and rules governing real estate profession -furthering education of potential and current licensees -investigation of complaints against licensees These can be exercised by the chairperson acting alone or can be delegated by quorum vote to any other member

Ministerial powers

-record keeping and clerical functions. Delegated to Division Employees

change from involuntary inactive to voluntary inactive

-within 12 months of involuntary inactive status -complete 14 hour CE -Pay additional fee

mediation timeline

14 days allowed after contact for parties to agree, 60 days to resolve

Composition of Commission

7 Members 4 licensed real estate brokers (held license min 5 years) 1 licensed broker or sales associate (held license min 2 years) 2 lay members (not involved in real estate profession) at least 1 member must be 60 or older (no staff)

Division of Real Estate (DRE)

A division established within the Department that provides recordkeeping services, examination services, legal services, investigation services plus any other services required to implement FS 475 and 455.

canceled license

A license that is void. Effective on the date that it is approved by the FREC. Does not involve disciplinary action. A licensee who no longer wishes to practice can do this voluntarily

ceases to be in force

A licensee cannot conduct any business while their license is in this status.

quasi-judicial powers

Allows the Commission to impose disciplinary action for violations of the laws or rules. Similar to the actions of a court. Can deny an application, reprimand, fine, or place a licensee on probation, suspend or revoke a license. Cannot be delegated requires a quorum vote to be exercised.

Part II of FS 475

Appraisers; defines the Florida Real Estate Appraisal Board

F S 120

Department is governed by

FS 20.165

Department is structured according to

FS 475 and FAC 61J2

Florida Real Estate Commission governed by

Secretary

Head of the Department, appointed by governor, confirmed by senate. No set term limit, serves at pleasure of governor

Director

Head of the Division. appointed by Secretary of the Department, subject to approval by a majority of FREC. salaried employee, day to day manager.

Void and Ineffective Licenses

If a broker's license is suspended, revoked, or otherwise void of ineffective, the licenses of all persons who are employed under such broker automatically becomes inactive. No real estate services may be performed for compensation under a license that is void or ineffective

1st renewal

Must complete post-license education and test prior to expiration Failure results in null and void license

Executive, Quasi-legislative, Quasi-judicial and Ministerial

Powers delegated to the Commission

Involuntary inactive

Status of individuals who do not renew their licenses. This generally occurs when a licensee fails to renew at the end of the license period or does not complete the 14 hour continuing education, whether voluntarily or involuntarily. Can remain in this status for 2 years and then the license becomes null and void. After 1st year, licensee must take 28 hour reactivation course and pay additional fee

Part IV of FS 475

The Commercial Real Estate Leasing Commission Lien Act; allows a broker who has earned a commission to place a lien on an owner's real interests in commercial real estate that has been leased

Part III of FS 475

The Commercial Real Estate Sales Commission Lien Act; allows a broker to place a lien on an owner's net proceeds for commissions earned during a sales transaction

Null and void license

The license is no longer valid and the license holder is out of the real estate business

Secretary of State

To become effective, rules enacted by the FREC must be filed with ___________________________________.

FS 455

created the Department of Business and Professional regulation to provide licensing, oversight and regulation of businesses and professions in the state of Florida.

mediation offenses

economic in nature, caused by and can be corrected by licensees

Multiple licenses

issued only to active brokers if it is clearly shown that such additional licenses are necessary to the conduct of legitimate business, and that there is no opportunity for such licenses to be used in a manner harmful to the public or to the business associates of the license holder.

group license

issued only to active sales associates or broker associates employed by owner/developers. May be issued if proof is submitted that various properties are held in the names of various individuals, corporations or partnerships, and all such owners are so connected or affilliated that such ownership, for practical purposes, is substantially in the same ownership entity