Sen. Iris Y. Martinez

Filed: 11/1/2011





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2    AMENDMENT NO. ______. Amend House Bill 2956 by replacing
3everything after the enacting clause with the following:
4    "Section 5. The Real Estate License Act of 2000 is amended
5by changing Sections 5-70 and 10-30 as follows:
6    (225 ILCS 454/5-70)
7    (Section scheduled to be repealed on January 1, 2020)
8    Sec. 5-70. Continuing education requirement; managing
9broker, broker, or salesperson.
10    (a) The requirements of this Section apply to all managing
11brokers, brokers, and salespersons.
12    (b) Except as otherwise provided in this Section, each
13person who applies for renewal of his or her license as a
14managing broker, real estate broker, or real estate salesperson
15must successfully complete 6 hours of real estate continuing
16education courses approved by the Advisory Council for each



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1year of the pre-renewal period. Broker licensees must
2successfully complete a 6-hour broker management continuing
3education course approved by the Department for the pre-renewal
4period ending April 30, 2010. In addition, beginning with the
5pre-renewal period for managing broker licensees that begins
6after the effective date of this Act, those licensees renewing
7or obtaining a managing broker's license must successfully
8complete a 12-hour broker management continuing education
9course approved by the Department each pre-renewal period. The
10broker management continuing education course must be
11completed in the classroom or by other interactive delivery
12method presenting instruction and real time discussion between
13the instructor and the students. Successful completion of the
14course shall include achieving a passing score as provided by
15rule on a test developed and administered in accordance with
16rules adopted by the Department. No license may be renewed
17except upon the successful completion of the required courses
18or their equivalent or upon a waiver of those requirements for
19good cause shown as determined by the Secretary with the
20recommendation of the Advisory Council. The requirements of
21this Article are applicable to all managing brokers, brokers,
22and salespersons except those brokers and salespersons who,
23during the pre-renewal period:
24        (1) serve in the armed services of the United States;
25        (2) serve as an elected State or federal official;
26        (3) serve as a full-time employee of the Department; or



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1        (4) are admitted to practice law pursuant to Illinois
2    Supreme Court rule.
3    (c) A person licensed as a salesperson as of April 30, 2011
4shall not be required to complete the 18 hours of continuing
5education for the pre-renewal period ending April 30, 2012 if
6that person takes the 30-hour post-licensing course to obtain a
7broker's license. A person licensed as a broker as of April 30,
82011 shall not be required to complete the 12 hours of broker
9management continuing education for the pre-renewal period
10ending April 30, 2012, unless that person passes the
11proficiency exam provided for in Section 5-47 of this Act to
12qualify for a managing broker's license.
13    (d) A person receiving an initial license during the 90
14days before the renewal date shall not be required to complete
15the continuing education courses provided for in subsection (b)
16of this Section as a condition of initial license renewal.
17    (e) The continuing education requirement for salespersons,
18brokers and managing brokers shall consist of a core curriculum
19and an elective curriculum, to be established by the Advisory
20Council. In meeting the continuing education requirements of
21this Act, at least 3 hours per year or their equivalent, 6
22hours for each two-year pre-renewal period, shall be required
23to be completed in the core curriculum. In establishing the
24core curriculum, the Advisory Council shall consider subjects
25that will educate licensees on recent changes in applicable
26laws and new laws and refresh the licensee on areas of the



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1license law and the Department policy that the Advisory Council
2deems appropriate, and any other areas that the Advisory
3Council deems timely and applicable in order to prevent
4violations of this Act and to protect the public. In
5establishing the elective curriculum, the Advisory Council
6shall consider subjects that cover the various aspects of the
7practice of real estate that are covered under the scope of
8this Act. However, the elective curriculum shall not include
9any offerings referred to in Section 5-85 of this Act.
10    (f) The subject areas of continuing education courses
11approved by the Advisory Council may include without limitation
12the following:
13        (1) license law and escrow;
14        (2) antitrust;
15        (3) fair housing;
16        (4) agency;
17        (5) appraisal;
18        (6) property management;
19        (7) residential brokerage;
20        (8) farm property management;
21        (9) rights and duties of sellers, buyers, and brokers;
22        (10) commercial brokerage and leasing; and
23        (11) real estate financing.
24    (g) In lieu of credit for those courses listed in
25subsection (f) of this Section, credit may be earned for
26serving as a licensed instructor in an approved course of



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1continuing education. The amount of credit earned for teaching
2a course shall be the amount of continuing education credit for
3which the course is approved for licensees taking the course.
4    (h) Credit hours may be earned for self-study programs
5approved by the Advisory Council.
6    (i) A broker or salesperson may earn credit for a specific
7continuing education course only once during the prerenewal
9    (j) No more than 6 hours of continuing education credit may
10be taken or earned in one calendar day.
11    (k) To promote the offering of a uniform and consistent
12course content, the Department may provide for the development
13of a single broker management course to be offered by all
14continuing education providers who choose to offer the broker
15management continuing education course. The Department may
16contract for the development of the 12-hour 6-hour broker
17management continuing education course with an outside vendor
18or consultant and, if the course is developed in this manner,
19the Department or the outside consultant shall license the use
20of that course to all approved continuing education providers
21who wish to provide the course.
22    (l) Except as specifically provided in this Act, continuing
23education credit hours may not be earned for completion of pre
24or post-license courses. The approved 30-hour post-license
25course for broker licensees shall satisfy the continuing
26education requirement for the pre-renewal period in which the



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1course is taken. The approved 45-hour brokerage administration
2and management course shall satisfy the 12-hour broker
3management continuing education requirement for the
4pre-renewal period in which the course is taken.
5(Source: P.A. 96-856, eff. 12-31-09.)
6    (225 ILCS 454/10-30)
7    (Section scheduled to be repealed on January 1, 2020)
8    Sec. 10-30. Advertising.
9    (a) No advertising, whether in print, via the Internet, or
10through any other media, shall be fraudulent, deceptive,
11inherently misleading, or proven to be misleading in practice.
12Advertising shall be considered misleading or untruthful if,
13when taken as a whole, there is a distinct and reasonable
14possibility that it will be misunderstood or will deceive the
15ordinary purchaser, seller, lessee, lessor, or owner.
16Advertising shall contain all information necessary to
17communicate the information contained therein to the public in
18an accurate, direct, and readily comprehensible manner.
19    (b) No blind advertisements may be used by any licensee, in
20any media, except as provided for in this Section.
21    (c) A licensee shall disclose, in writing, to all parties
22in a transaction his or her status as a licensee and any and
23all interest the licensee has or may have in the real estate
24constituting the subject matter thereof, directly or
25indirectly, according to the following guidelines:



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1        (1) On broker yard signs or in broker advertisements,
2    no disclosure of ownership is necessary. However, the
3    ownership shall be indicated on any property data form and
4    disclosed to persons responding to any advertisement or any
5    sign. The term "broker owned" or "agent owned" is
6    sufficient disclosure.
7        (2) A sponsored or inoperative licensee selling or
8    leasing property, owned solely by the sponsored or
9    inoperative licensee, without utilizing brokerage services
10    of their sponsoring broker or any other licensee, may
11    advertise "By Owner". For purposes of this Section,
12    property is "solely owned" by a sponsored or inoperative
13    licensee if he or she (i) has a 100% ownership interest
14    alone, (ii) has ownership as a joint tenant or tenant by
15    the entirety, or (iii) holds a 100% beneficial interest in
16    a land trust. Sponsored or inoperative licensees selling or
17    leasing "By Owner" shall comply with the following if
18    advertising by owner:
19            (A) On "By Owner" yard signs, the sponsored or
20        inoperative licensee shall indicate "broker owned" or
21        "agent owned." "By Owner" advertisements used in any
22        medium of advertising shall include the term "broker
23        owned" or "agent owned."
24            (B) If a sponsored or inoperative licensee runs
25        advertisements, for the purpose of purchasing or
26        leasing real estate, he or she shall disclose in the



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1        advertisements his or her status as a licensee.
2            (C) A sponsored or inoperative licensee shall not
3        use the sponsoring broker's name or the sponsoring
4        broker's company name in connection with the sale,
5        lease, or advertisement of the property nor utilize the
6        sponsoring broker's or company's name in connection
7        with the sale, lease, or advertising of the property in
8        a manner likely to create confusion among the public as
9        to whether or not the services of a real estate company
10        are being utilized or whether or not a real estate
11        company has an ownership interest in the property.
12    (d) A sponsored licensee may not advertise under his or her
13own name. Advertising in any media shall be under the direct
14supervision of the sponsoring or managing broker and in the
15sponsoring broker's business name, which in the case of a
16franchise shall include the franchise affiliation as well as
17the name of the individual firm. This provision does not apply
18under the following circumstances:
19        (1) When a licensee enters into a brokerage agreement
20    relating to his or her own real estate, or real estate in
21    which he or she has an ownership interest, with another
22    licensed broker; or
23        (2) When a licensee is selling or leasing his or her
24    own real estate or buying or leasing real estate for
25    himself or herself, after providing the appropriate
26    written disclosure of his or her ownership interest as



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1    required in paragraph (2) of subsection (c) of this
2    Section.
3    (e) No licensee shall list his or her name under the
4heading or title "Real Estate" in the telephone directory or
5otherwise advertise in his or her own name to the general
6public through any medium of advertising as being in the real
7estate business without listing his or her sponsoring broker's
8business name.
9    (f) The sponsoring broker's business name and the name of
10the licensee must appear in all advertisements, including
11business cards. Nothing in this Act shall be construed to
12require specific print size as between the broker's business
13name and the name of the licensee.
14    (g) Those individuals licensed as a managing broker and
15designated with the Department as a managing broker by their
16sponsoring broker shall identify themselves to the public in
17advertising, except on "For Sale" or similar signs, as a
18managing broker. No other individuals holding a managing
19broker's license may hold themselves out to the public or other
20licensees as a managing broker.
21(Source: P.A. 96-856, eff. 12-31-09.)
22    Section 99. Effective date. This Act takes effect upon
23becoming law.".