chapter 6 violations of a license law penalties and procedures

What is the maximum administrative fine per violation of F.S 475

$5,000

What is the civil penalty that can be imposed for the unlicensed practice of a real estate is a minimum fine of

$500 in a maximum of $5,000

licensees are allowed____days after receiving the notice of non-compliance to correct the violation

15

if an application is denied by the commission the denial letter is sent with the reason why it was denied and informed the applicant of their rights to request a formal hearing within

21 days

The subject has_____days from the date that the citation becomes a final order to pay the fine

30

if a citation is not dispute within______days the citation becomes a final order

30

once licensed, all licenses are required to report to the department within_____of being convicted or found guilty of or having pled nolo contendere or guilty to a crime in any jurisdiction

30 days

administrative complaints must be filed within______years of the time of the act giving rise to the complaint, or within ______ years from Discovery of the act would do diligence

5, 5

a violation of chapter 475 can cause which of the following revocation imprisonment directing denial of compensation All of the above

All of the above ​

writ of supersedeas

An order issued by a court containing a command to stay (stop) the DBPR from suspending or revoking a real estate license pending the outcome of the appeal process.

What provides the commission with the legal authority under which investigations and hearings are conducted

F.S 455 , "business and professional regulation: general provisions"

What is misrepresentation?

Information that is not true. False information.

The offices of the division and the commission are located in

Orlando and cannot be moved without the authority of the legislature

F.S. 455

Regulation of Professions and Occupations (DBPR)

who must investigate legally sufficient compliance

The division

who handles complaints made against both licensed and unlicensed individuals

The division ​

What happened if a licensee is under investigation involuntarily relinquished their license

The license will be permanently revoked

What is the purpose of the disciplinary guidelines?

To give licensees notice of the range of penalties that normally will be imposed for violation of a law or rule ​

The commission may take the return of an improperly collected commission part of the order of suspension with a stipulation that The order of suspension

Will not be removed until the money is voluntary repaid

What is rendering an opinion of title?

a broker cannot render an oral or written opinion that the title to the property being sold is good or merchantable. rendering an opinion could be considered as practicing law, which is beyond the scope of a real estate license if a question relating to the title of a property arises, a broker is required by law to advise a prospective purchaser to obtain title insurance or to insist upon or procure an abstract and obtain an attorney's title opinion [F.S 475.25(1)(J)]

What is the punishable crime for a third degree felony

a criminal fine of up to $5,000 and or imprisonment of up to 5 years

step 6: final order of the commission

a final order panel of the commission reviews the administrative law judges who recommended order together with any exceptions. the final order panel is composed of all commission members except those who served in the probable cause finding the commission then enters its final orders for a licensee if the final order were for suspension or revocation, the license it would be out of business The final order becomes effective in 30 days doing which time the licensee can continue to practice real estate The respondent can either accept the final order or file an appeal and move on to step 7 for an unlicensed individual, the administrative law judge findings of fact are sent to the secretary of the department for final order. The secretary's final order can petition the court for enforcement against the unlicensed individual. The online sense can appeal the order moving on the step 7 ​

What classify as a third degree felony

acting as a broker or sells associate without being the holder of a valid and current active license [F.S 475.42(1)(a)] knowingly give false or misleading information in the course of applying for obtaining a license [F.S 455.2275] stealing or reproducing and examination administered by the department [F.S 455.2175]

What are aggravating circumstances

add to the injury caused by the act carries a harsher penalty

What is administrative?

administrative finds maybe imposed by the commission for violation of law or rules and amounts up to $5,000 per offense

What does the division handles?

administrative functions, investigations, and prosecution of complaints and disciplinary proceedings against licensees

The commission uses it's ________ _______ to assist citizens in the event of fraud by licensing

administrative powers

the Florida real estate commission (FREC or the commission) Can impose an administrative penalty

against a licensing

What are the range of penalties reprimand administrative probation suspension revocation denial of license

all of the above

What are the seven steps of the disciplinary process complaint investigation probable cause panel administrative complaint formal/informal hearing final order of the commission judicial review ​

all of the above are the seven steps

writ of mandamus

an order by the court to the commission to restore the licenses privileges. if the appeal reverses the final order of the decommission the district court can issue this

What are mitigating circumstances

are consider to be extenuating and reduce the degree of culpability carries a lesser penalty

What are civil penalties

are fines or other financial payments imposed by state or federal agency for violation of laws or regulations

What are some crimes that are labeled as moral turpitude

bookmarking or selling fake licenses

What are examples of fraudulent activities

breach of trust •concealment conspiracy conversion •culpable negligence failure to account false or misleading advertising filing false documents. misrepresentation moral turpitude •rendering an option of title promise to resell properties with liens •using lotteries

minor violations may be dealt with by issuing

citations and notice of non-compliance

who determines or who reviews the complaint form or letter to described if it's legally sufficient

compliant analyst

What is moral turpitude?

conduct contrary to honesty, good morals, justice, or accepted custom.

What are the three separate entities capable of imposing discipline. they operate independently of each other

criminal courts civil courts administrative agencies ​

What is the punishable crime for a second degree misdemeanor

criminal fine up to $500 and or imprisonment for up to 60 days

a civil fine is not considered to be a _______since it is primarily imposed to compensate for harm or wrongful conduct

criminal punishment

completion of the_____ ____ _____ document must be mailed to the department

criminal self-reporting document

What is typically classified as a second degree misdemeanor

criminal violation of F.S 475 by a licensee

a violation of F.S 475 by a real estate licensee or an unlicensed person may result in

criminal, civil, and administrative penalties

all fines are payable to the

department of business and professional regulation___R.E Citations.

What are examples of a second-degree misdemeanor

disseminating false or misleading advertising [F.S 475.42(1)(N)] any sales associates who collects money and connection with any real estate brokerage transaction, whether as a commission, deposit, payment, rental, or otherwise, except in the name of the employer with the express consent of the employer [F.S 475.42(1)(N)]

a copy of the citation and payment of the fine are to be sent to the

division in Orlando

Florida real estate recovery fund [F.S 475.482]

established for the purpose of reimbursing those persons or entities who have suffered monetary damages as a result of violation of F.S 475 committed by real estate licensees. if a licensee acted in the capacity of a buyer or seller only, the licensee would be eligible to collect following the same procedures as any other member of the public

a violation of F.S 475 Maybe a

first or second degree misdemeanor or a third degree felony

misrepresentation of value by a licensee could be considered______ and might lead to ____ of trust

fraud , breach

What is culpable negligence?

if a broker operates in a reckless, careless, and excessively negligent manner. it's negligence for which one can be held legally accountable ​

What would make a case be successful in a civil court

if a licensee commits fraud in a transaction or an unlicensed person performs a real estate services and a commission had already been paid, a suit to recover the money paid to anyone not entitled to the commission would be successful

step 5: formal/ informal hearing

if a respondent does not dispute the facts the case is brought to the commission for an informal hearing if the respondent disputes material facts, the case will be scheduled for a formal hearing before an administrative law judge from the division of administrative hearings DOAH 14 days of notice is given for a formal hearing The administrative law judge can issue subpoenas for witnesses and compel attendance of a witness. a respondent may request that an administrative lawyers subpoena a witness the commission with discipline a license see who fails to respond to a subpoena if and only this person fails to comply with the subpoena a court order may be obtained. violation of the court order may result in a $500 fine within 90 days following conclusion of the hearing The administrative law judge submits a recommended order to the commission based on findings of fact and conclusion of law. The findings of fact and conclusion of the administrative law judge must be based on clear and convincing evidence. all parties are served copies of the recommended order and original copy is delivered to the DOAH. a period of 15 days is allowed for the parties to fall exceptions to the recommended order after 15 days. has expired, they recommended order together with any exception is delivered to the commission ​

how is a violation considered to be a minor

if it does not result in economic or physical harm to persons or adversely affect the public health, safety, welfare, or create a significant threat of harm

step 2: investigation

if the compliant is legally sufficient, the compliant is sent to the enforcement section of the division case number is assigned and investigator is appointed investigators cannot issue a subpoena or offer an opinion concerning the case The department issues a subpoena once concluded the investigator submits a report to the division and cannot contain any personal opinion or recommendation of the investigator cease and desist order are forwarded to the officer of general counsel (OGC) The OGC makes the decision whether to close the case or prosecute with an administrative complaint if no immediate threat to the public the investigative report is forwarded to the legal section of the division for further action if extremely serious nature poses an immediate and serious danger to the safety and welfare of the public the secretary of the department can order a summary of emergency suspension which carries a full disciplinary hearing

fraudulent activities

illegal commission- received compensation from other than employer overage (secret commission) - licensing buying customers property for resale at a higher price to awaiting buyer concealment- knew it but then disclosed it conversion- converting someone's property to another's use culpable negligence- didn't know what should have commingling- mixing personal funds with deposits failure pay money owed- doesn't pay money owed misrepresentation- reckless or false statement

corporations cannot be ___ Although a criminal find maybe levied. imprisonment is possible for officers and directors of corporations who are____a violations

imprisoned guilty

The division of real estate (DRE or the division) with the end of the department serves as

intermediary between the commission and the department

probation

is a condition arrangement in which the commission allows a licensee to continue to practice real estate services if the licensee completes specified requirements. The term of probation is 90 days unless otherwise stated

What is failure to account?

is a form of conversion that occurs when a broker is required to produce money or property that belongs to another in the normal course of business and either cannot or will not produce the money or property

Suspension

is considered to be a temporary penalty. The commission may suspend the license of a licensee for maximum period of 10 years. a second suspension for violation can result in revocation of a real estate license

step 1: compliant

is in allegation by a compliant (The person who makes the complaint) that a violation of the law or a rule has occurred. The division handles real estate related complaints made against both licensed and unlicensed individuals mediation is an acceptable method of dispute

Revocation

is the maximum penalty for violation permanently removes the license maximum fine of $5,000 is the maximum penalty for misrepresentation, concealment and obtaining a license by fraud ​

What is a reprimand?

is the minimum penalty of all listed violations

What is an example of culpable and negligence?

it sales associate who forgets to collect an escrow deposit, as specified in a sales contract may be charged with this

What happens if a license is issued by mistake?

it will be revoked without prejudice allowing the individual to reapply

chapter 475 is ____

law

a______. _______ _____ is one that alleges a violation of law or rule has occurred and contains sufficient supporting evidence

legally sufficient compliant

The courts may impose criminal and civil penalties against both

licensed and unlicensed person

step 7 judicial review (appeal process)

licensee does not agree with final order of the commission, a petition for review may be filed with the Florida district Court of appeals within 30 days of the final order The review of the case by the district court can either affirm or reverse the final order of the commission during the appeal process a licenses is out of business unless a stay of enforcement is granted The district court of appeals issues the stay and grants a writ of supersedeas . which means that the commission allows the licensee to continue to practice until the case can be heard on appeal if the appeal reverses the final order of the commission, the district court will issue a writ of mandamus if the Florida supreme Court affirms the action of the commission and district court, the final order is effective if either the district court of appeals of the Florida supreme Court reverses and sets aside the final order, the matter decided may not later be re-examined by the commission or any court

a member of the public may file civil action against either a

licensee or an unlicensed party

The commission can give consideration to either ___________ or _______ circumstances

mitigating or aggravating

The idea of inherent baseness or the depravity in the private social relations or duties owned by man to man or by man to society

moral turpitude

What is false or misleading advertising?

no one may disseminate or cause to be disseminated any false or misleading information for any means for the purpose of offering for sale, at least, or rent any real estate located in the state [F.S 475(1)(c)]

What is filing false documents?

occurs if a broker clouds the title to real estate by filling false, void, or unauthorized documents in the public record such as liens, contracts, or deeds. The broker is guilty of fraud [F.S 475.42(1)(I)]

What is denial of a license?

occurs if an individual is deemed by the department to lack character or competence to deal with the public safely, or is found guilty of acts that could have resulted in the suspension or revocation of a license if the individual had already been licensed.

What is a breach of trust

occurs when a broker violates their duties to the principal in an agency relationship. this includes any action that put the broker's self-interest ahead of the principal's interest, acting in excess of authority, or misappropriating funds entrusted to the broker by the principal

The commission cannot deny payment

of a commission to a licensing

step 3: probable cause panel

prosecutors from the legal section review the investigation report and make a recommendation regarding prosecution of the case to the probable cause panel panel consists of two current members of the commission or past commission members they have 15 days to request for any additional information they have 30 days to recommend dismissal of the case or the assurance of a formal complaint once a complete report is received panel is like a grand jury no probable cause = dismissal panel issues a letter of guidance in lieu of disciplinary action that advise the nature of its concern in the appropriate action required of the licensee probable cause exist = formal complaint is filed probable cause panel or exercise in the executive powers all information are kept confidential until 10 days following a finding of probable cause ​

What are the order of penalties ranging from lowest to highest

reprimand fine probation suspension revocation denial

administrative penalties administered by FREC

reprimand (criticism, mildest) notice of non-compliance minor (first offense) citation (both handled by DRE) $100 to $500 administrative finds up to $5,000 per offense probation ( dictate terms for probation) suspension 10 year max revocation- this is the most severe administrative penalty. this is permanent except: fraudulent renewal (they will allow the licensee to come back within 5 year and we apply for a license) denial of license: with or without prejudice with a prejudice the commission can hold a hearing to determine if the applicant should get a license or denial of a license ​

disciplinary guidelines are based on a

single violation

both the department and the commission can refer suspected violations of law discovered during an investigation to the

state attorney's office for investigation and possible prosecution

failure to notify the commission in writing within 30 days after pleading guilty or nolo contendere two or being convicted of on guilty of any crime in any jurisdiction can result in

suspension to revocation and an administrative fine of $500 to $2,500 for the first offense second offense $1,000 to $5,000 for subsequent offense

hearing procedures are established by F.S 120 call me tomorrow

the administrative procedure act

what is using lotteries or trading schemes?

the selling of certificates or chances to induce any person to buy real estate is guilty of fraud. contests were no purchase is required may be permissible

What is the only activity that is classified in F.S 475 as a first degree misdemeanor which is punishable by a fine of up to $1,000 and or imprisonment not to exceed one year

violating the requirements concerning rental list, information and contracts

step 4 administrative complaint

what's probable cause exist, in administrative complaint aka a formal complaint is filed against the individual individual who is subject of the complaint is referred to as respondent commissioned by rule allows 21 days for the respondent to file an election of rights form failure to file this complaint result into proceeding with a hearing The election of rights form requires a respondent to state whether or not he or she dispute the allegations in the complaint stipulation is an alternative method to settle a charge if the respondent does not wish the matter to go to a formal hearing The responded in attorneys for the department negotiate a settlement agreement and wish the respondent in most cases neither admits guilts nor denies the allegation and the complaint a stipulation is much like a plea bargain

What is concealment?

when a broke her fails to disclose information to a party, to whom the broker has such a duty and that is material to his or her decision zoning changes must let them know

What is conspiracy?

when a broker forms a scheme or design with another person with the intent to defraud a third party

What is conversion?

when a broker uses the funds or other property that belongs to another for his or her personal or personal business use

F.S 455.2273 requires licensing agencies to adopt guidelines under

which disciplinary actions may be imposed on those persons and entities under their jurisdiction.