Real Estate License Act of 2000 Flashcards

Real Estate License Act of 2000 Flashcards License that has been expired more than 5 years must complete all of the pre-license requirements in order to become licensed again Continuing Education Requirements - Managing Broker12 hours of CE and 12 hours of broker management CE Funding for the Real Estate Recovery Fund balance of $800,000- if the recovery fund is less than $750,000, the state treasurer transfers enough money from the Real Estate License Administration Fund Requirements for Managing Broker- 20 years of age or older- Have been licensed two consecutive years out of the three years as a real estate broker- Complete 45 hours of managing broker pre-license education Sole Ownership- ownership of 100 percent of the property- ownership by joint tenancy- ownership by tenancy by the entirety- ownership of 100 percent of a land trust owning the property Stigmatized PropertyProperty that might be undesirable because it was the site

of a presumably negative event. Ex: suicide, murder or

alleged ghost sighting occurred Unlicensed Practicecivil penalty of up to $25,000 per offense - performing acts requiring a license without obtaining the required license.Must be paid within 60 days Continuing Education Requirements - Leasing Agent required to complete eight hours of continuing education for each renewal period Real Estate License Administration Fundthe State Treasury is to maintain a Real Estate License Administration Fund.- money is used to pay expenses of the Department for administration of the act- the money also covers the Department expenses Real Estate Audit Funda special fund used to conduct audits of escrow accounts Illegal Discriminationthe Department must suspend or revoke the license of a licensee who has been found guilty of illegal discrimination Real Estate Administration and Disciplinary Board - Members

• all members need to have been residents and citizens of

Illinois for at least six years- 12 members need to have been managing broker or broker licensees for at least 10 years prior to appointment- 3 members shall be public members who need to represent consumer interests and must not be licensed under the act, not be married to a licensee, and not own an interest in a real estate brokerage Brokerage AgreementThe relationship created between a sponsoring broker and any member of the public who is receiving real estate services through the sponsoring broker or the broker's sponsored licensees.

Real Estate Administration and Disciplinary Board a fifteen-member Real Estate Administration and Disciplinary Board is to be appointed by the governor.Injunctiona court order that forces someone to stop doing a specific act Fines and Penalties for Real Estate Recovery Fund the proceeds of all fines and penalties collected under the act are placed in the real estate recovery fund Maximum liability against the fundadopted by rule leasing agent license expirationJuly 31st on even numbered years Second Offense ViolationClass 4 felony Referral Fees - TenantsExempt from licensing requirements - if they make no more than three referrals in a 12-month period, receive no more than $5,000 or two month's rent [whichever is less] for the referrals and do not engage in any other real estate activities How long for the Department to be notified of a change of designated managing broker?within 15 days Recovery from Real Estate Recovery Fundthe Department is to maintain a recovery fund to reimburse the public when a licensee's actions result in the loss of actual money rather than market value- an individual who has lost money due to the acts of a licensee can recover

amounts: adopted by rule

Exempt from Continuing Education- attorneys registered to practice in Illinois- licensees in the armed services- elected state or federal officials- employees of the Department Terms of the Real Estate Administration and Disciplinary Board

• the term of each appointment is four years- the terms are

staggered- no one is to serve more than 12 years in a lifetime- the geographic makeup of the board should be similar to the geographic makeup of the licensee population Actions for Damagesmust be brought within two years of either the injury or the injured party gaining knowledge of the act or omission Real Estate Research and Education Fundcreated and administered by the Department to provide funds that may be used for research or education at state institutions of higher education or other organizations.Funds are intended to help advance education in the real estate industry Functions of a Leasing Agentshowing residential property, negotiating leases and collecting rents Real Estate Coordinatoroversees the IDFPR's real estate division and reports to the department's secretary Continuing Education Requirements - Broker 12 hours of CE First ViolationClass A misdemeanor Appointment of a Hearing Officerthe Secretary appoints hearing officers to conduct hearings Compensation to Unlicensed Personsit is illegal to pay compensation to any unlicensed individual who provides real estate services

Time limit on actionthe Department must begin its action against an individual within five years of the violation Brokerage Agreement - Terminationterminates automatically when the license of the sponsoring broker is suspended or revoked Exclusive Brokerage AgreementA written agreement between a sponsoring broker and a client who will receive exclusive representation Returned Checkscheck fee of $50 payable to the Department for a bad check AssistantA licensed or unlicensed person who has been hired to assist a licensee- a licensed assistant must receive compensation from the same sponsor as the licensee being assisted How long does a sponsoring broker have to notify the Department when sponsoring a new or inactive licensee?within 24 hours after establishing a sponsorship Requirements for Broker LicenseComplete 75 hours of coursework plus 45 hours of post-license education Illinois Administrative Procedure Actsets standards for hearings and certain other procedures Investigations and Hearingsindividuals who will be the subject of a hearing must be given 30 days' written notice of the charges against them How long for the Department to be notified of the loss of a designated managing broker or the death of a sole proprietor?within 15 days FeesLicense fees are set by rule Temporary Suspensionthe Secretary may temporarily suspend a license. A hearing must then be schedules within 30 days of the suspension Surrender of Licenseif a licensee does not surrender a revoked or suspended license, the Department has the right to seize it Expiration and Renewal of Licensesa real estate licensee whose license has expired may renew the license within five years of expiration.- apply to the department- pay the required fees- complete education required in the most recent state renewal period in which the licensee's was expired- file acceptable proof of fitness for a license within the IDFPR