Re: Real Estate License Issue . . . again - Posted by JohnBoy
Posted by JohnBoy on August 20, 2002 at 21:32:12:
To help along in the process here are statutes for Illinois.
(225 ILCS 454/15-40)
(Section scheduled to be repealed on January 1, 2010)
Sec. 15-40. Compensation does not determine agency. Compensation
does not determine agency relationship. The payment or promise of
payment of compensation to a licensee is not determinative of whether an
agency relationship has been created between any licensee and a
consumer.
(Source: P.A. 91-245, eff. 12-31-99.)
(225 ILCS 454/1-10)
(Section scheduled to be repealed on January 1, 2010)
Sec. 1-10. Definitions. In this Act, unless the context otherwise
requires:
“Agency” means a relationship in which a real estate broker or
licensee, whether directly or through an affiliated licensee, represents
a consumer by the consumer’s consent, whether express or implied, in a
real property transaction.
“Broker” means an individual, partnership, limited liability
company, corporation, or registered limited liability partnership other
than a real estate salesperson or leasing agent who for another and for
compensation, or with the intention or expectation of receiving
compensation, either directly or indirectly:
(1) Sells, exchanges, purchases, rents, or leases real estate.
(2) Offers to sell, exchange, purchase, rent, or lease real
estate.
(3) Negotiates, offers, attempts, or agrees to negotiate the
sale, exchange, purchase, rental, or leasing of real estate.
(4) Lists, offers, attempts, or agrees to list real estate for
sale, lease, or exchange.
(5) Buys, sells, offers to buy or sell, or otherwise deals in
options on real estate or improvements thereon.
(6) Supervises the collection, offer, attempt, or agreement to
collect rent for the use of real estate.
(7) Advertises or represents himself or herself as being
engaged in the business of buying, selling, exchanging, renting, or
leasing real estate.
(8) Assists or directs in procuring or referring of prospects,
intended to result in the sale, exchange, lease, or rental of real
estate.
(9) Assists or directs in the negotiation of any transaction
intended to result in the sale, exchange, lease, or rental of real
estate.
(10) Opens real estate to the public for marketing purposes.
(11) Sells, leases, or offers for sale or lease real estate at
auction.
“Salesperson” means any individual, other than a real estate broker
or leasing agent, who is employed by a real estate broker or is
associated by written agreement with a real estate broker as an
independent contractor and participates in any activity described in the
definition of “broker” under this Section.
“Ministerial acts” means those acts that a licensee may perform for
a consumer that are informative or clerical in nature and do not rise to
the level of active representation on behalf of a consumer.
(225 ILCS 454/5-20)
(Section scheduled to be repealed on January 1, 2010)
Sec. 5-20. Exemptions from broker, salesperson, or leasing agent
license requirement. The requirement for holding a license under this
Article 5 shall not apply to:
(1) Any person, partnership, or corporation that as owner or lessor
performs any of the acts described in the definition of “broker” under
Section 1-10 of this Act with reference to property owned or leased by
it, or to the regular employees thereof with respect to the property so
owned or leased, where such acts are performed in the regular course of
or as an incident to the management, sale, or other disposition of such
property and the investment therein, provided that such regular
employees do not perform any of the acts described in the definition of
“broker” under Section 1-10 of this Act in connection with a vocation of
selling or leasing any real estate or the improvements thereon not so
owned or leased.
(2) An attorney in fact acting under a duly executed and recorded
power of attorney to convey real estate from the owner or lessor or the
services rendered by an attorney at law in the performance of the
attorney’s duty as an attorney at law.
(3) Any person acting as receiver, trustee in bankruptcy,
administrator, executor, or guardian or while acting under a court order
or under the authority of a will or testamentary trust.
(4) Any person acting as a resident manager for the owner or any
employee acting as the resident manager for a broker managing an
apartment building, duplex, or apartment complex, when the resident
manager resides on the premises, the premises is his or her primary
residence, and the resident manager is engaged in the leasing of the
property of which he or she is the resident manager.
(5) Any officer or employee of a federal agency in the conduct of
official duties.
(6) Any officer or employee of the State government or any
political subdivision thereof performing official duties.
(7) Any multiple listing service or other information exchange that
is engaged in the collection and dissemination of information concerning
real estate available for sale, purchase, lease, or exchange along with
which no other licensed activities are provided.
(8) Railroads and other public utilities regulated by the State of
Illinois, or the officers or full time employees thereof, unless the
performance of any licensed activities is in connection with the sale,
purchase, lease, or other disposition of real estate or investment
therein not needing the approval of the appropriate State regulatory
authority.
(9) Any medium of advertising in the routine course of selling or
publishing advertising along with which no other licensed activities are
provided.
(10) Any resident lessee of a residential dwelling unit who refers
for compensation to the owner of the dwelling unit, or to the owner’s
agent, prospective lessees of dwelling units in the same building or
complex as the resident lessee’s unit, but only if the resident lessee
(i) refers no more than 3 prospective lessees in any 12-month period,
(ii) receives compensation of no more than $1,000 or the equivalent of
one month’s rent, whichever is less, in any 12-month period, and (iii)
limits his or her activities to referring prospective lessees to the
owner, or the owner’s agent, and does not show a residential dwelling
unit to a prospective lessee, discuss terms or conditions of leasing a
dwelling unit with a prospective lessee, or otherwise participate in the
negotiation of the leasing of a dwelling unit.
(11) An exchange company registered under the Real Estate Timeshare
Act of 1999 and the regular employees of that registered exchange
company but only when conducting an exchange program as defined in that
Act.
(12) An existing timeshare owner who, for compensation, refers
prospective purchasers, but only if the existing timeshare owner (i)
refers no more than 20 prospective purchasers in any calendar year, (ii)
receives no more than $1,000, or its equivalent, for referrals in any
calendar year and (iii) limits his or her activities to referring
prospective purchasers of timeshare interests to the developer or the
developer’s employees or agents, and does not show, discuss terms or
conditions of purchase or otherwise participate in negotiations with
regard to timeshare interests.
(13) Any person who is licensed without examination under Section
10-25 of the Auction License Act is exempt from holding a broker’s or
salesperson’s license under this Act for the limited purpose of selling
or leasing real estate at auction, so long as:
(A) that person has made application for said exemption
by July 1, 2000;
(B) that person verifies to OBRE that he or she has sold
real estate at auction for a period of 5 years prior to
licensure as an auctioneer;
(C) the person has had no lapse in his or her license as
an auctioneer; and
(D) the license issued under the Auction License Act has
not been disciplined for violation of those provisions of
Article 20 of the Auction License Act dealing with or related
to the sale or lease of real estate at auction.
(14) A hotel operator who is registered with the Illinois
Department of Revenue and pays taxes under the Hotel Operators’
Occupation Tax Act and rents a room or rooms in a hotel as defined in
the Hotel Operators’ Occupation Tax Act for a period of not more than 30
consecutive days and not more than 60 days in a calendar year.
(Source: P.A. 91-245, eff. 12-31-99; 91-585, eff. 1-1-00; 91-603, eff.
1-1-00; 92-16, eff. 6-28-01; 92-217, eff. 8-2-01.)