97TH GENERAL ASSEMBLY
State of Illinois
2011 and 2012
HB1723

 

Introduced , by Rep. Jim Sacia

 

SYNOPSIS AS INTRODUCED:
 
225 ILCS 407/10-8 new
225 ILCS 454/5-20

    Amends the Auction License Act to provide a licensed auctioneer to sell real property at auction. Provides the requirements for a real property auction qualification. Amends the Real Estate License Law. Creates an exemption for a licensed auctioneer who has obtained a real property auction qualification under the Auction License Act. Effective immediately.


LRB097 07139 CEL 47241 b

 

 

A BILL FOR

 

HB1723LRB097 07139 CEL 47241 b

1    AN ACT concerning regulation.
 
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
 
4    Section 5. The Auction License Act is amended by adding
5Section 10-8 as follows:
 
6    (225 ILCS 407/10-8 new)
7    Sec. 10-8. Real property auction qualification
8requirements.
9    (a) A licensed auctioneer may qualify to sell real property
10at auction if he or she:
11        (1) is a licensed auctioneer within the State;
12        (2) is at least 21 years of age;
13        (3) successfully completes a 4-year course of study in
14    a high school or secondary school approved by the Illinois
15    State Board of Education or an equivalent course of study
16    as determined by an examination conducted by the Illinois
17    State Board of Education, which shall be verified under
18    oath by the applicant;
19        (4) completes 14 hours of real estate course
20    instruction, approved by the Advisory Council;
21        (5) personally takes and passes a written examination
22    authorized by the Department; and
23        (6) presents a valid application for issuance of the

 

 

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1    qualification accompanied by all fees established by
2    Department rule.
3    (b) A real property auction qualification does not
4authorize:
5        (1) the listing of real property;
6        (2) the selling of real property through private treaty
7    or sale; or
8        (3) leasing or renting real property.
 
9    Section 10. The Real Estate License Act of 2000 is amended
10by changing Section 5-20 as follows:
 
11    (225 ILCS 454/5-20)
12    (Section scheduled to be repealed on January 1, 2020)
13    Sec. 5-20. Exemptions from broker, salesperson, or leasing
14agent license requirement. The requirement for holding a
15license under this Article 5 shall not apply to:
16        (1) Any person, partnership, or corporation that as
17    owner or lessor performs any of the acts described in the
18    definition of "broker" under Section 1-10 of this Act with
19    reference to property owned or leased by it, or to the
20    regular employees thereof with respect to the property so
21    owned or leased, where such acts are performed in the
22    regular course of or as an incident to the management,
23    sale, or other disposition of such property and the
24    investment therein, provided that such regular employees

 

 

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1    do not perform any of the acts described in the definition
2    of "broker" under Section 1-10 of this Act in connection
3    with a vocation of selling or leasing any real estate or
4    the improvements thereon not so owned or leased.
5        (2) An attorney in fact acting under a duly executed
6    and recorded power of attorney to convey real estate from
7    the owner or lessor or the services rendered by an attorney
8    at law in the performance of the attorney's duty as an
9    attorney at law.
10        (3) Any person acting as receiver, trustee in
11    bankruptcy, administrator, executor, or guardian or while
12    acting under a court order or under the authority of a will
13    or testamentary trust.
14        (4) Any person acting as a resident manager for the
15    owner or any employee acting as the resident manager for a
16    broker managing an apartment building, duplex, or
17    apartment complex, when the resident manager resides on the
18    premises, the premises is his or her primary residence, and
19    the resident manager is engaged in the leasing of the
20    property of which he or she is the resident manager.
21        (5) Any officer or employee of a federal agency in the
22    conduct of official duties.
23        (6) Any officer or employee of the State government or
24    any political subdivision thereof performing official
25    duties.
26        (7) Any multiple listing service or other similar

 

 

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1    information exchange that is engaged in the collection and
2    dissemination of information concerning real estate
3    available for sale, purchase, lease, or exchange for the
4    purpose of providing licensees with a system by which
5    licensees may cooperatively share information along with
6    which no other licensed activities, as defined in Section
7    1-10 of this Act, are provided.
8        (8) Railroads and other public utilities regulated by
9    the State of Illinois, or the officers or full time
10    employees thereof, unless the performance of any licensed
11    activities is in connection with the sale, purchase, lease,
12    or other disposition of real estate or investment therein
13    not needing the approval of the appropriate State
14    regulatory authority.
15        (9) Any medium of advertising in the routine course of
16    selling or publishing advertising along with which no other
17    licensed activities, as defined in Section 1-10 of this
18    Act, are provided.
19        (10) Any resident lessee of a residential dwelling unit
20    who refers for compensation to the owner of the dwelling
21    unit, or to the owner's agent, prospective lessees of
22    dwelling units in the same building or complex as the
23    resident lessee's unit, but only if the resident lessee (i)
24    refers no more than 3 prospective lessees in any 12-month
25    period, (ii) receives compensation of no more than $1,500
26    or the equivalent of one month's rent, whichever is less,

 

 

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1    in any 12-month period, and (iii) limits his or her
2    activities to referring prospective lessees to the owner,
3    or the owner's agent, and does not show a residential
4    dwelling unit to a prospective lessee, discuss terms or
5    conditions of leasing a dwelling unit with a prospective
6    lessee, or otherwise participate in the negotiation of the
7    leasing of a dwelling unit.
8        (11) An exchange company registered under the Real
9    Estate Timeshare Act of 1999 and the regular employees of
10    that registered exchange company but only when conducting
11    an exchange program as defined in that Act.
12        (12) An existing timeshare owner who, for
13    compensation, refers prospective purchasers, but only if
14    the existing timeshare owner (i) refers no more than 20
15    prospective purchasers in any calendar year, (ii) receives
16    no more than $1,000, or its equivalent, for referrals in
17    any calendar year and (iii) limits his or her activities to
18    referring prospective purchasers of timeshare interests to
19    the developer or the developer's employees or agents, and
20    does not show, discuss terms or conditions of purchase or
21    otherwise participate in negotiations with regard to
22    timeshare interests.
23        (13) Any person who is licensed without examination
24    under Section 10-25 (now repealed) of the Auction License
25    Act is exempt from holding a broker's or salesperson's
26    license under this Act for the limited purpose of selling

 

 

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1    or leasing real estate at auction, so long as:
2            (A) that person has made application for said
3        exemption by July 1, 2000;
4            (B) that person verifies to the Department that he
5        or she has sold real estate at auction for a period of
6        5 years prior to licensure as an auctioneer;
7            (C) the person has had no lapse in his or her
8        license as an auctioneer; and
9            (D) the license issued under the Auction License
10        Act has not been disciplined for violation of those
11        provisions of Article 20 of the Auction License Act
12        dealing with or related to the sale or lease of real
13        estate at auction.
14        (14) A hotel operator who is registered with the
15    Illinois Department of Revenue and pays taxes under the
16    Hotel Operators' Occupation Tax Act and rents a room or
17    rooms in a hotel as defined in the Hotel Operators'
18    Occupation Tax Act for a period of not more than 30
19    consecutive days and not more than 60 days in a calendar
20    year.
21        (15) A licensed auctioneer who has obtained a real
22    property auction qualification under Section 10-8 of the
23    Auction License Act.
24(Source: P.A. 96-328, eff. 8-11-09; 96-856, eff. 12-31-09.)
 
25    Section 99. Effective date. This Act takes effect upon
26becoming law.