Full Text of SB3399 100th General Assembly
SB3399eng 100TH GENERAL ASSEMBLY |
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| 1 | | AN ACT concerning regulation.
| 2 | | Be it enacted by the People of the State of Illinois,
| 3 | | represented in the General Assembly:
| 4 | | Section 5. The Auction License Act is amended by changing | 5 | | Section 10-30 as follows:
| 6 | | (225 ILCS 407/10-30)
| 7 | | (Section scheduled to be repealed on January 1, 2020)
| 8 | | Sec. 10-30. Expiration, renewal, and continuing education.
| 9 | | (a) License expiration dates, renewal periods, renewal | 10 | | fees, and procedures for renewal of licenses issued under this | 11 | | Act shall be set by rule of the Department. An entity may renew | 12 | | its license by paying the required fee and by meeting the | 13 | | renewal requirements adopted by the Department under this | 14 | | Section.
| 15 | | (b) All renewal applicants must provide proof as determined | 16 | | by the Department of having met the continuing education | 17 | | requirements by the deadline set forth by the Department by | 18 | | rule. At a minimum, the rules shall require an applicant for | 19 | | renewal licensure as an auctioneer to provide proof of the | 20 | | completion of at least 12 hours of continuing education during | 21 | | the pre-renewal period established by the Department for | 22 | | completion of continuing education preceding the expiration | 23 | | date of the license from schools approved by the Department, as |
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| 1 | | established by rule.
| 2 | | (c) The Department, in its discretion, may waive | 3 | | enforcement of the continuing education requirements of this | 4 | | Section and shall adopt rules defining the standards and | 5 | | criteria for such waiver.
| 6 | | (d) (Blank).
| 7 | | (Source: P.A. 95-572, eff. 6-1-08; 96-730, eff. 8-25-09.)
| 8 | | Section 10. The Home Inspector License Act is amended by | 9 | | changing Section 5-30 as follows:
| 10 | | (225 ILCS 441/5-30)
| 11 | | (Section scheduled to be repealed on January 1, 2022)
| 12 | | Sec. 5-30. Continuing education renewal requirements. The | 13 | | continuing
education requirements for a person to renew a | 14 | | license as a home inspector
shall be established by rule. The | 15 | | Department shall establish a continuing education completion | 16 | | deadline for home inspector licensees and require evidence of | 17 | | compliance with continuing education requirements in a manner | 18 | | established by rule before the renewal of a license.
| 19 | | (Source: P.A. 92-239, eff. 8-3-01 .)
| 20 | | Section 15. The Real Estate License Act of 2000 is amended | 21 | | by changing Sections 1-10, 5-15, 5-20, 5-45, 10-15, 10-20, | 22 | | 20-20, and 30-5 as follows:
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| 1 | | (225 ILCS 454/1-10)
| 2 | | (Section scheduled to be repealed on January 1, 2020)
| 3 | | Sec. 1-10. Definitions. In this Act, unless the context | 4 | | otherwise requires:
| 5 | | "Act" means the Real Estate License Act of 2000.
| 6 | | "Address of record" means the designated address recorded | 7 | | by the Department in the applicant's or licensee's application | 8 | | file or license file as maintained by the Department's | 9 | | licensure maintenance unit. It is the duty of the applicant or | 10 | | licensee to inform the Department of any change of address, and | 11 | | those changes must be made either through the Department's | 12 | | website or by contacting the Department.
| 13 | | "Agency" means a relationship in which a broker or | 14 | | licensee,
whether directly or through an affiliated licensee, | 15 | | represents a consumer by
the consumer's consent, whether | 16 | | express or implied, in a real property
transaction.
| 17 | | "Applicant" means any person, as defined in this Section, | 18 | | who applies to
the Department for a valid license as a managing | 19 | | broker, broker, or
leasing agent.
| 20 | | "Blind advertisement" means any real estate advertisement | 21 | | that does not
include the sponsoring broker's business name and | 22 | | that is used by any licensee
regarding the sale or lease of | 23 | | real estate, including his or her own, licensed
activities, or | 24 | | the hiring of any licensee under this Act. The broker's
| 25 | | business name in the case of a franchise shall include the | 26 | | franchise
affiliation as well as the name of the individual |
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| 1 | | firm.
| 2 | | "Board" means the Real Estate Administration and | 3 | | Disciplinary Board of the Department as created by Section | 4 | | 25-10 of this Act.
| 5 | | "Branch office" means a sponsoring broker's office other | 6 | | than the sponsoring
broker's principal office.
| 7 | | "Broker" means an individual, entity, corporation, foreign | 8 | | or domestic partnership, limited liability company,
| 9 | | corporation, or registered limited liability partnership , or | 10 | | other business entity other than a leasing agent who, whether | 11 | | in person or through any media or technology, for another and | 12 | | for compensation, or
with the intention or expectation of | 13 | | receiving compensation, either
directly or indirectly:
| 14 | | (1) Sells, exchanges, purchases, rents, or leases real | 15 | | estate.
| 16 | | (2) Offers to sell, exchange, purchase, rent, or lease | 17 | | real estate.
| 18 | | (3) Negotiates, offers, attempts, or agrees to | 19 | | negotiate the sale,
exchange, purchase, rental, or leasing | 20 | | of real estate.
| 21 | | (4) Lists, offers, attempts, or agrees to list real | 22 | | estate for sale,
rent, lease, or exchange.
| 23 | | (5) Buys, sells, offers to buy or sell, or otherwise | 24 | | deals in options on
real estate or improvements thereon.
| 25 | | (6) Supervises the collection, offer, attempt, or | 26 | | agreement
to collect rent for the use of real estate.
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| 1 | | (7) Advertises or represents himself or herself as | 2 | | being engaged in the
business of buying, selling, | 3 | | exchanging, renting, or leasing real estate.
| 4 | | (8) Assists or directs in procuring or referring of | 5 | | leads or prospects, intended to
result in the sale, | 6 | | exchange, lease, or rental of real estate.
| 7 | | (9) Assists or directs in the negotiation of any | 8 | | transaction intended to
result in the sale, exchange, | 9 | | lease, or rental of real estate.
| 10 | | (10) Opens real estate to the public for marketing | 11 | | purposes.
| 12 | | (11) Sells, rents, leases, or offers for sale or lease | 13 | | real estate at
auction.
| 14 | | (12) Prepares or provides a broker price opinion or | 15 | | comparative market analysis as those terms are defined in | 16 | | this Act, pursuant to the provisions of Section 10-45 of | 17 | | this Act. | 18 | | "Brokerage agreement" means a written or oral agreement | 19 | | between a sponsoring
broker and a consumer for licensed | 20 | | activities to be provided to a consumer in
return for | 21 | | compensation or the right to receive compensation from another.
| 22 | | Brokerage agreements may constitute either a bilateral or a | 23 | | unilateral
agreement between the broker and the broker's client | 24 | | depending upon the content
of the brokerage agreement. All | 25 | | exclusive brokerage agreements shall be in
writing.
| 26 | | "Broker price opinion" means an estimate or analysis of the |
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| 1 | | probable selling price of a particular interest in real estate, | 2 | | which may provide a varying level of detail about the | 3 | | property's condition, market, and neighborhood and information | 4 | | on comparable sales. The activities of a real estate broker or | 5 | | managing broker engaging in the ordinary course of business as | 6 | | a broker, as defined in this Section, shall not be considered a | 7 | | broker price opinion if no compensation is paid to the broker | 8 | | or managing broker, other than compensation based upon the sale | 9 | | or rental of real estate. | 10 | | "Client" means a person who is being represented by a | 11 | | licensee.
| 12 | | "Comparative market analysis" is an analysis or opinion | 13 | | regarding pricing, marketing, or financial aspects relating to | 14 | | a specified interest or interests in real estate that may be | 15 | | based upon an analysis of comparative market data, the | 16 | | expertise of the real estate broker or managing broker, and | 17 | | such other factors as the broker or managing broker may deem | 18 | | appropriate in developing or preparing such analysis or | 19 | | opinion. The activities of a real estate broker or managing | 20 | | broker engaging in the ordinary course of business as a broker, | 21 | | as defined in this Section, shall not be considered a | 22 | | comparative market analysis if no compensation is paid to the | 23 | | broker or managing broker, other than compensation based upon | 24 | | the sale or rental of real estate. | 25 | | "Compensation" means the valuable consideration given by | 26 | | one person or entity
to another person or entity in exchange |
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| 1 | | for the performance of some activity or
service. Compensation | 2 | | shall include the transfer of valuable consideration,
| 3 | | including without limitation the following:
| 4 | | (1) commissions;
| 5 | | (2) referral fees;
| 6 | | (3) bonuses;
| 7 | | (4) prizes;
| 8 | | (5) merchandise;
| 9 | | (6) finder fees;
| 10 | | (7) performance of services;
| 11 | | (8) coupons or gift certificates;
| 12 | | (9) discounts;
| 13 | | (10) rebates;
| 14 | | (11) a chance to win a raffle, drawing, lottery, or | 15 | | similar game of chance
not prohibited by any other law or | 16 | | statute;
| 17 | | (12) retainer fee; or
| 18 | | (13) salary.
| 19 | | "Confidential information" means information obtained by a | 20 | | licensee from a
client during the term of a brokerage agreement | 21 | | that (i) was made confidential
by the written request or | 22 | | written instruction of the client, (ii) deals with
the | 23 | | negotiating position of the client, or (iii) is information the | 24 | | disclosure
of which could materially harm the negotiating | 25 | | position of the client, unless
at any time:
| 26 | | (1) the client permits the disclosure of information |
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| 1 | | given by that client
by word or conduct;
| 2 | | (2) the disclosure is required by law; or
| 3 | | (3) the information becomes public from a source other | 4 | | than the licensee.
| 5 | | "Confidential information" shall not be considered to | 6 | | include material
information about the physical condition of | 7 | | the property.
| 8 | | "Consumer" means a person or entity seeking or receiving | 9 | | licensed
activities.
| 10 | | "Coordinator" means the Coordinator of Real Estate created | 11 | | in Section 25-15 of this Act.
| 12 | | "Credit hour" means 50 minutes of classroom instruction in | 13 | | course work that
meets the requirements set forth in rules | 14 | | adopted by the Department.
| 15 | | "Customer" means a consumer who is not being represented by | 16 | | the licensee but
for whom the licensee is performing | 17 | | ministerial acts.
| 18 | | "Department" means the Department of Financial and | 19 | | Professional Regulation. | 20 | | "Designated agency" means a contractual relationship | 21 | | between a sponsoring
broker and a client under Section 15-50 of | 22 | | this Act in which one or more
licensees associated with or | 23 | | employed by the broker are designated as agent of
the client.
| 24 | | "Designated agent" means a sponsored licensee named by a | 25 | | sponsoring broker as
the legal agent of a client, as provided | 26 | | for in Section 15-50 of this Act.
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| 1 | | "Dual agency" means an agency relationship in which a | 2 | | licensee is
representing both buyer and seller or both landlord | 3 | | and tenant in the same
transaction. When the agency | 4 | | relationship is a designated agency, the
question of whether | 5 | | there is a dual agency shall be determined by the agency
| 6 | | relationships of the designated agent of the parties and not of | 7 | | the sponsoring
broker.
| 8 | | "Education provider" means a school licensed by the | 9 | | Department offering courses in pre-license, post-license, or | 10 | | continuing education required by this Act. | 11 | | "Employee" or other derivative of the word "employee", when | 12 | | used to refer to,
describe, or delineate the relationship | 13 | | between a sponsoring broker and a managing broker, broker, or a | 14 | | leasing agent, shall be
construed to include an independent | 15 | | contractor relationship, provided that a
written agreement | 16 | | exists that clearly establishes and states the relationship.
| 17 | | All responsibilities of a broker shall remain.
| 18 | | "Escrow moneys" means all moneys, promissory notes or any | 19 | | other type or
manner of legal tender or financial consideration | 20 | | deposited with any person for
the benefit of the parties to the | 21 | | transaction. A transaction exists once an
agreement has been | 22 | | reached and an accepted real estate contract signed or lease
| 23 | | agreed to by the parties. Escrow moneys includes without | 24 | | limitation earnest
moneys and security deposits, except those | 25 | | security deposits in which the
person holding the security | 26 | | deposit is also the sole owner of the property
being leased and |
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| 1 | | for which the security deposit is being held.
| 2 | | "Electronic means of proctoring" means a methodology | 3 | | providing assurance that the person taking a test and | 4 | | completing the answers to questions is the person seeking | 5 | | licensure or credit for continuing education and is doing so | 6 | | without the aid of a third party or other device. | 7 | | "Exclusive brokerage agreement" means a written brokerage | 8 | | agreement that provides that the sponsoring broker has the sole | 9 | | right, through one or more sponsored licensees, to act as the | 10 | | exclusive designated agent or representative of the client and | 11 | | that meets the requirements of Section 15-75 of this Act.
| 12 | | "Inoperative" means a status of licensure where the | 13 | | licensee holds a current
license under this Act, but the | 14 | | licensee is prohibited from engaging in
licensed activities | 15 | | because the licensee is unsponsored or the license of the
| 16 | | sponsoring broker with whom the licensee is associated or by | 17 | | whom he or she is
employed is currently expired, revoked, | 18 | | suspended, or otherwise rendered
invalid under this Act.
| 19 | | "Interactive delivery method" means delivery of a course by | 20 | | an instructor through a medium allowing for 2-way communication | 21 | | between the instructor and a student in which either can | 22 | | initiate or respond to questions. | 23 | | "Leads" means the name or names of a potential buyer, | 24 | | seller, lessor, lessee, or client of a licensee. | 25 | | "Leasing Agent" means a person who is employed by a broker | 26 | | to
engage in licensed activities limited to leasing residential |
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| 1 | | real estate who
has obtained a license as provided for in | 2 | | Section 5-5 of this Act.
| 3 | | "License" means the document issued by the Department | 4 | | certifying that the person named
thereon has fulfilled all | 5 | | requirements prerequisite to licensure under this
Act.
| 6 | | "Licensed activities" means those activities listed in the | 7 | | definition of
"broker" under this Section.
| 8 | | "Licensee" means any person, as defined in this Section, | 9 | | who holds a
valid unexpired license as a managing broker, | 10 | | broker, or
leasing agent.
| 11 | | "Listing presentation" means a communication between a | 12 | | managing broker or
broker and a consumer in which the licensee | 13 | | is attempting to secure a
brokerage agreement with the consumer | 14 | | to market the consumer's real estate for
sale or lease.
| 15 | | "Managing broker" means a broker who has supervisory | 16 | | responsibilities for
licensees in one or, in the case of a | 17 | | multi-office company, more than one
office and who has been | 18 | | appointed as such by the sponsoring broker.
| 19 | | "Medium of advertising" means any method of communication | 20 | | intended to
influence the general public to use or purchase a | 21 | | particular good or service or
real estate.
| 22 | | "Ministerial acts" means those acts that a licensee may | 23 | | perform for a
consumer that are informative or clerical in | 24 | | nature and do not rise to the
level of active representation on | 25 | | behalf of a consumer. Examples of these acts
include without | 26 | | limitation (i) responding to phone inquiries by consumers as to
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| 1 | | the availability and pricing of brokerage services, (ii) | 2 | | responding to phone
inquiries from a consumer concerning the | 3 | | price or location of property, (iii)
attending an open house | 4 | | and responding to questions about the property from a
consumer, | 5 | | (iv) setting an appointment to view property, (v) responding to
| 6 | | questions of consumers walking into a licensee's office | 7 | | concerning brokerage
services offered or particular | 8 | | properties, (vi) accompanying an appraiser,
inspector, | 9 | | contractor, or similar third party on a visit to a property, | 10 | | (vii)
describing a property or the property's condition in | 11 | | response to a consumer's
inquiry, (viii) completing business or | 12 | | factual information for a consumer on an
offer or contract to | 13 | | purchase on behalf of a client, (ix) showing a client
through a | 14 | | property being sold by an owner on his or her own behalf, or | 15 | | (x)
referral to another broker or service provider.
| 16 | | "Office" means a broker's place of business where the | 17 | | general
public is invited to transact business and where | 18 | | records may be maintained and
licenses displayed, whether or | 19 | | not it is the broker's principal place of
business.
| 20 | | "Person" means and includes individuals, entities, | 21 | | corporations, limited
liability companies, registered limited | 22 | | liability partnerships, foreign and domestic and
partnerships, | 23 | | and other business entities foreign or domestic , except that | 24 | | when the context otherwise
requires, the term may refer to a | 25 | | single individual or other described entity.
| 26 | | "Personal assistant" means a licensed or unlicensed person |
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| 1 | | who has been hired
for the purpose of aiding or assisting a | 2 | | sponsored licensee in the performance
of the sponsored | 3 | | licensee's job.
| 4 | | "Pocket card" means the card issued by the Department to | 5 | | signify that the person named
on the card is currently licensed | 6 | | under this Act.
| 7 | | "Pre-renewal period" means the period between the date of | 8 | | issue of a
currently valid license and the license's expiration | 9 | | date.
| 10 | | "Proctor" means any person, including, but not limited to, | 11 | | an instructor, who has a written agreement to administer | 12 | | examinations fairly and impartially with a licensed education | 13 | | provider. | 14 | | "Real estate" means and includes leaseholds as well as any | 15 | | other interest or
estate in land, whether corporeal, | 16 | | incorporeal, freehold, or non-freehold and whether the real | 17 | | estate is situated in this
State or elsewhere. "Real estate" | 18 | | does not include property sold, exchanged, or leased as a | 19 | | timeshare or similar vacation item or interest, vacation club | 20 | | membership, or other activity formerly regulated under the Real | 21 | | Estate Timeshare Act of 1999 (repealed).
| 22 | | "Regular employee" means a person working an average of 20 | 23 | | hours per week for a person or entity who would be considered | 24 | | as an employee under the Internal Revenue Service eleven main | 25 | | tests in three categories being behavioral control, financial | 26 | | control and the type of relationship of the parties, formerly |
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| 1 | | the twenty factor test.
| 2 | | "Secretary" means the Secretary of the Department of | 3 | | Financial and Professional Regulation, or a person authorized | 4 | | by the Secretary to act in the Secretary's stead. | 5 | | "Sponsoring broker" means the broker who has issued a | 6 | | sponsor card to a
licensed managing broker, broker, or a | 7 | | leasing agent.
| 8 | | "Sponsor card" means the temporary permit issued by the | 9 | | sponsoring broker certifying that the managing broker, broker,
| 10 | | or leasing agent named thereon is employed by or associated by | 11 | | written
agreement with the sponsoring broker, as provided for | 12 | | in Section
5-40 of this Act.
| 13 | | (Source: P.A. 99-227, eff. 8-3-15; 100-188, eff. 1-1-18; | 14 | | 100-534, eff. 9-22-17; revised 10-2-17.)
| 15 | | (225 ILCS 454/5-15)
| 16 | | (Section scheduled to be repealed on January 1, 2020)
| 17 | | Sec. 5-15. Necessity of managing broker, broker, or leasing | 18 | | agent license
or sponsor card; ownership
restrictions. | 19 | | (a) It is unlawful for any person , corporation, limited | 20 | | liability company,
registered limited liability partnership, | 21 | | or partnership to act as
a managing broker, broker, or leasing | 22 | | agent or to advertise
or assume to act as such
managing broker, | 23 | | broker or leasing agent without a properly issued sponsor card | 24 | | or
a license issued
under this Act by the Department, either | 25 | | directly or through its authorized designee.
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| 1 | | (b) No corporation shall be granted a license or engage in | 2 | | the business or
capacity, either
directly or indirectly, of a | 3 | | broker, unless every officer of the
corporation who actively
| 4 | | participates in the real estate activities of the corporation | 5 | | holds a license
as a managing broker or broker
and unless every | 6 | | employee who acts as a managing broker, broker, or leasing | 7 | | agent for the
corporation holds a
license as a managing broker, | 8 | | broker, or leasing agent. All nonparticipating owners or | 9 | | officers shall submit affidavits of nonparticipation as | 10 | | required by the Department.
| 11 | | (c) No partnership shall be granted a license or engage in | 12 | | the business or
serve in the capacity,
either directly or | 13 | | indirectly, of a broker, unless every general
partner in the | 14 | | partnership who actively participates in the real estate | 15 | | activities of the partnership
holds a license as a managing | 16 | | broker or broker and unless every employee who acts as a
| 17 | | managing broker, broker, or
leasing agent for the partnership | 18 | | holds a license as a managing broker, broker,
or leasing
agent. | 19 | | All nonparticipating partners shall submit affidavits of | 20 | | nonparticipation as required by the Department. In the case of | 21 | | a registered limited liability partnership (LLP), every
| 22 | | partner in the LLP that actively participates in the real | 23 | | estate activities of the limited liability partnership
must | 24 | | hold a license as a managing broker or broker and every | 25 | | employee who acts as a
managing broker, broker, or leasing
| 26 | | agent must hold a license as a managing broker, broker, or |
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| 1 | | leasing
agent. All nonparticipating limited liability partners | 2 | | shall submit affidavits of nonparticipation as required by the | 3 | | Department.
| 4 | | (d) No limited liability company shall be granted a license | 5 | | or engage in the
business or serve in
the capacity, either | 6 | | directly or indirectly, of a broker unless
every member or | 7 | | manager in
the limited liability company that actively | 8 | | participates in the real estate activities of the limited | 9 | | liability company or every member in a member managed limited | 10 | | liability company holds a license as a managing broker or | 11 | | broker and
unless every other member and employee who
acts as a | 12 | | managing broker, broker, or leasing agent for the limited | 13 | | liability company holds
a license as a managing broker, broker, | 14 | | or leasing agent. All nonparticipating members or managers | 15 | | shall submit affidavits of nonparticipation as required by the | 16 | | Department.
| 17 | | (e) (Blank). No partnership, limited liability company, or | 18 | | corporation shall be
licensed to conduct a
brokerage business | 19 | | where an individual leasing agent, or group
of
leasing agents, | 20 | | owns or directly or indirectly controls more than 49% of the
| 21 | | shares of stock or
other ownership in the partnership, limited | 22 | | liability company, or corporation.
| 23 | | (f) No person shall be granted a license if any | 24 | | participating owner, officer, director, partner, limited | 25 | | liability partner, member, or manager has been denied a real | 26 | | estate license by the Department in the previous 5 years or is |
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| 1 | | otherwise currently barred from real estate practice because of | 2 | | a suspension or revocation. | 3 | | (Source: P.A. 99-227, eff. 8-3-15.)
| 4 | | (225 ILCS 454/5-20)
| 5 | | (Section scheduled to be repealed on January 1, 2020)
| 6 | | Sec. 5-20. Exemptions from managing broker, broker, or | 7 | | leasing agent license
requirement. The requirement for holding | 8 | | a license under this Article 5 shall
not apply to:
| 9 | | (1) Any person , partnership, or corporation that as | 10 | | owner or lessor performs
any of the acts described in the | 11 | | definition of "broker" under Section 1-10 of
this Act with | 12 | | reference to property owned or leased by it, or to the | 13 | | regular
employees thereof with respect to the property so | 14 | | owned or leased, where such
acts are performed in the | 15 | | regular course of or as an incident to the
management, | 16 | | sale, or other disposition of such property and the | 17 | | investment
therein, provided that such regular employees | 18 | | do not perform any of the acts
described in the definition | 19 | | of "broker" under Section 1-10 of this Act in
connection | 20 | | with a vocation of selling or leasing any real estate or | 21 | | the
improvements thereon not so owned or leased.
| 22 | | (2) An attorney in fact acting under a duly executed | 23 | | and recorded power of
attorney to convey real estate from | 24 | | the owner or lessor or the services
rendered by an attorney | 25 | | at law in the performance of the attorney's duty as an
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| 1 | | attorney at law.
| 2 | | (3) Any person acting as receiver, trustee in | 3 | | bankruptcy, administrator,
executor, or guardian or while | 4 | | acting under a court order or under the
authority of a will | 5 | | or testamentary trust.
| 6 | | (4) Any person acting as a resident manager for the | 7 | | owner or any employee
acting as the resident manager for a | 8 | | broker managing an apartment building,
duplex, or | 9 | | apartment complex, when the resident manager resides on the
| 10 | | premises, the premises is his or her primary residence, and | 11 | | the resident
manager is engaged in the leasing of the | 12 | | property of which he or she is the
resident manager.
| 13 | | (5) Any officer or employee of a federal agency in the | 14 | | conduct of official
duties.
| 15 | | (6) Any officer or employee of the State government or | 16 | | any political
subdivision thereof performing official | 17 | | duties.
| 18 | | (7) Any multiple listing service or other similar | 19 | | information exchange that is
engaged in the collection
and | 20 | | dissemination of information concerning real estate | 21 | | available for sale,
purchase, lease, or
exchange for the | 22 | | purpose of providing licensees with a system by which | 23 | | licensees may cooperatively share information along with | 24 | | which no other licensed activities, as defined in Section | 25 | | 1-10 of this Act, are provided.
| 26 | | (8) Railroads and other public utilities regulated by |
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| 1 | | the State of Illinois,
or the officers or full time | 2 | | employees thereof, unless the performance of any
licensed | 3 | | activities is in connection with the sale, purchase, lease, | 4 | | or other
disposition of real estate or investment therein | 5 | | not needing the approval of
the appropriate State | 6 | | regulatory authority.
| 7 | | (9) Any medium of advertising in the routine course of | 8 | | selling or publishing
advertising along with which no other | 9 | | licensed activities, as defined in Section 1-10 of this | 10 | | Act, are provided.
| 11 | | (10) Any resident lessee of a residential dwelling unit | 12 | | who refers for
compensation to the owner of the dwelling | 13 | | unit, or to the owner's agent,
prospective lessees of | 14 | | dwelling units in the same building or complex as the
| 15 | | resident lessee's unit, but only if the resident lessee (i) | 16 | | refers no more than
3 prospective lessees in any 12-month | 17 | | period, (ii) receives compensation of no
more than $1,500 | 18 | | or the equivalent of one month's rent, whichever is less, | 19 | | in
any 12-month period, and (iii) limits his or her | 20 | | activities to referring
prospective lessees to the owner, | 21 | | or the owner's agent, and does not show a
residential | 22 | | dwelling unit to a prospective lessee, discuss terms or | 23 | | conditions
of leasing a dwelling unit with a prospective | 24 | | lessee, or otherwise participate
in the negotiation of the | 25 | | leasing of a dwelling unit.
| 26 | | (11) The purchase, sale, or transfer of a timeshare or |
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| 1 | | similar vacation item or interest, vacation club | 2 | | membership, or other activity formerly regulated under the | 3 | | Real Estate Timeshare Act of 1999 (repealed).
| 4 | | (12) (Blank).
| 5 | | (13) Any person who is licensed without examination | 6 | | under
Section 10-25 (now repealed) of the Auction License | 7 | | Act is exempt from holding a managing broker's or
broker's | 8 | | license under this Act for the limited purpose of selling | 9 | | or
leasing real estate at auction, so long as:
| 10 | | (A) that person has made application for said | 11 | | exemption by July 1, 2000;
| 12 | | (B) that person verifies to the Department that he | 13 | | or she has sold real estate
at auction for a period of | 14 | | 5 years prior to licensure as an auctioneer;
| 15 | | (C) the person has had no lapse in his or her | 16 | | license as an
auctioneer; and
| 17 | | (D) the license issued under the Auction License | 18 | | Act has not been
disciplined for violation of those | 19 | | provisions of Article 20 of the Auction
License Act | 20 | | dealing with or related to the sale or lease of real | 21 | | estate at
auction.
| 22 | | (14) A person who holds a valid license under the | 23 | | Auction License Act and a valid real estate auction | 24 | | certification and conducts auctions for the sale of real | 25 | | estate under Section 5-32 of this Act. | 26 | | (15) A hotel operator who is registered with the |
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| 1 | | Illinois Department of
Revenue and pays taxes under the | 2 | | Hotel Operators' Occupation Tax Act and rents
a room or | 3 | | rooms in a hotel as defined in the Hotel Operators' | 4 | | Occupation Tax
Act for a period of not more than 30 | 5 | | consecutive days and not more than 60 days
in a calendar | 6 | | year.
| 7 | | (Source: P.A. 99-227, eff. 8-3-15; 100-534, eff. 9-22-17.)
| 8 | | (225 ILCS 454/5-45)
| 9 | | (Section scheduled to be repealed on January 1, 2020)
| 10 | | Sec. 5-45. Offices.
| 11 | | (a) If a sponsoring broker maintains more than one office | 12 | | within the State,
the sponsoring
broker shall notify the | 13 | | Department on forms prescribed by the Department apply for a | 14 | | branch office license for each office other than the
sponsoring | 15 | | broker's
principal place of business. The brokerage branch | 16 | | office license shall be displayed
conspicuously in each
branch | 17 | | office. The name of each branch office shall be the same as | 18 | | that of the
sponsoring broker's
principal office or shall | 19 | | clearly delineate the branch office's relationship
with the | 20 | | principal office.
| 21 | | (b) The sponsoring broker shall name a managing broker for | 22 | | each branch
office and the
sponsoring broker shall be | 23 | | responsible for supervising all managing brokers.
The | 24 | | sponsoring
broker shall notify the Department in writing of the | 25 | | name of all managing brokers of the
sponsoring broker and the |
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| 1 | | office or offices they manage. Any person initially named as a | 2 | | managing broker after April 30, 2011 must either (i) be | 3 | | licensed as a managing broker or (ii) meet all the requirements | 4 | | to be licensed as a managing broker except the required | 5 | | education and examination and secure the managing broker's | 6 | | license within 90 days of being named as a managing broker.
Any | 7 | | changes in managing brokers shall be reported to the Department | 8 | | in writing within 15
days of the
change. Failure to do so shall | 9 | | subject the sponsoring broker to discipline
under
Section 20-20 | 10 | | of this Act.
| 11 | | (c) The sponsoring broker shall immediately notify the | 12 | | Department in writing of any
opening, closing, or
change in | 13 | | location of any principal or branch office.
| 14 | | (d) Except as provided in this Section, each sponsoring | 15 | | broker shall
maintain a definite office,
or place of business | 16 | | within this State for the transaction of real estate
business, | 17 | | shall conspicuously
display an identification sign on the | 18 | | outside of his or her office of adequate
size and visibility. | 19 | | The office or place of business shall not be located in any
| 20 | | retail or financial business
establishment unless it is | 21 | | separated from the other business by a separate and
distinct | 22 | | area within
the establishment. A broker who is licensed in this | 23 | | State by examination or
pursuant to the
provisions of Section | 24 | | 5-60 of this Act shall not be required to maintain a
definite | 25 | | office or place of
business in this State provided all of the | 26 | | following conditions are met:
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| 1 | | (1) the broker maintains an
active broker's license in | 2 | | the broker's state of domicile;
| 3 | | (2) the broker
maintains an office in the
broker's | 4 | | state of domicile; and
| 5 | | (3) the broker has filed with the Department written
| 6 | | statements appointing the
Secretary to act as the broker's | 7 | | agent upon whom all judicial and other
process or legal | 8 | | notices
directed to the licensee may be served and agreeing | 9 | | to abide by all of the
provisions of this Act
with respect | 10 | | to his or her real estate activities within the State of | 11 | | Illinois
and
submitting to the jurisdiction
of the | 12 | | Department.
| 13 | | The statements under subdivision (3) of this Section shall | 14 | | be in form and
substance the same as those
statements required
| 15 | | under Section 5-60 of this Act and shall operate to the same | 16 | | extent.
| 17 | | (e) Upon the loss of a managing broker who is not replaced | 18 | | by the sponsoring
broker or in the
event of the death or | 19 | | adjudicated disability of the sole proprietor of an
office, a | 20 | | written request for
authorization allowing the continued | 21 | | operation of the office may be submitted
to the Department | 22 | | within 15
days of the loss. The Department may issue a written | 23 | | authorization allowing the
continued operation,
provided that | 24 | | a licensed broker, or in the case of the death or adjudicated
| 25 | | disability of a sole
proprietor, the representative of the | 26 | | estate, assumes responsibility, in
writing, for the operation |
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| 1 | | of
the office and agrees to personally supervise the operation | 2 | | of the office. No
such written
authorization shall be valid for | 3 | | more than 60 days unless extended by the Department for
good | 4 | | cause shown
and upon written request by the broker or | 5 | | representative.
| 6 | | (Source: P.A. 96-856, eff. 12-31-09.)
| 7 | | (225 ILCS 454/10-15)
| 8 | | (Section scheduled to be repealed on January 1, 2020)
| 9 | | Sec. 10-15. No compensation to persons in violation of Act; | 10 | | compensation
to unlicensed
persons; consumer. | 11 | | (a) No compensation may be paid to any unlicensed person in | 12 | | exchange for the
person
performing licensed activities in | 13 | | violation of this Act.
| 14 | | (b) No action or suit shall be instituted, nor recovery | 15 | | therein be had, in
any court of this State
by any person , | 16 | | partnership, registered limited liability partnership, limited
| 17 | | liability company, or
corporation for compensation for any act | 18 | | done or service performed, the doing
or performing of
which is | 19 | | prohibited by this Act to other than licensed managing brokers, | 20 | | brokers,
or leasing agents unless
the person , partnership, | 21 | | registered limited liability partnership, limited
liability | 22 | | company, or corporation was duly
licensed hereunder as a | 23 | | managing broker,
broker, or leasing agent under this Act at the | 24 | | time that any such
act was done or service
performed that would | 25 | | give rise to a cause of action for compensation.
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| 1 | | (c) A licensee may offer compensation, including prizes, | 2 | | merchandise,
services, rebates,
discounts, or other | 3 | | consideration to an unlicensed person who is a party to a
| 4 | | contract to buy or sell
real estate or is a party to a contract | 5 | | for the lease of real estate, so long
as the offer complies | 6 | | with
the provisions of subdivision (35) of subsection (a) of | 7 | | Section 20-20 of this
Act.
| 8 | | (d) A licensee may offer cash, gifts, prizes, awards, | 9 | | coupons, merchandise,
rebates or chances
to win a game of | 10 | | chance, if not prohibited by any other law or statute,
to a | 11 | | consumer as an
inducement to that consumer to use the services | 12 | | of the licensee even if the
licensee and consumer
do not | 13 | | ultimately enter into a broker-client relationship so long as | 14 | | the offer
complies with the
provisions of subdivision (35) of | 15 | | subsection (a) of Section 20-20 of this Act.
| 16 | | (Source: P.A. 99-227, eff. 8-3-15.)
| 17 | | (225 ILCS 454/10-20)
| 18 | | (Section scheduled to be repealed on January 1, 2020)
| 19 | | Sec. 10-20. Sponsoring broker; employment agreement.
| 20 | | (a) A licensee may perform activities as a licensee only | 21 | | for his or her
sponsoring broker. A
licensee must have only one | 22 | | sponsoring broker at any one time.
| 23 | | (b) Every broker who employs licensees or has an | 24 | | independent contractor
relationship with a
licensee shall have | 25 | | a written employment agreement with each such licensee.
The
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| 1 | | broker having
this written employment agreement with the | 2 | | licensee must be that licensee's
sponsoring broker.
| 3 | | (c) Every sponsoring broker must have a written employment | 4 | | agreement with
each licensee the
broker sponsors. The agreement | 5 | | shall address the employment or independent
contractor
| 6 | | relationship terms, including without limitation supervision,
| 7 | | duties, compensation, and
termination.
| 8 | | (d) Every sponsoring broker must have a written employment | 9 | | agreement with
each licensed
personal assistant who assists a | 10 | | licensee sponsored by the sponsoring broker.
This requirement
| 11 | | applies to all licensed personal assistants whether or not they | 12 | | perform
licensed activities in their
capacity as a personal | 13 | | assistant. The agreement shall address the employment
or | 14 | | independent
contractor relationship terms, including without | 15 | | limitation supervision,
duties, compensation, and
termination.
| 16 | | (e) Notwithstanding the fact that a sponsoring broker has | 17 | | an employment
agreement with a
licensee, a sponsoring broker | 18 | | may pay compensation directly to a business entity corporation
| 19 | | solely owned by that
licensee that has been formed for the | 20 | | purpose of receiving compensation earned
by the licensee.
A | 21 | | business entity corporation formed for the purpose herein | 22 | | stated in this subsection (e) shall
not be required to be
| 23 | | licensed under this Act so long as the person that who is the | 24 | | sole owner shareholder of
the business entity corporation is
| 25 | | licensed.
| 26 | | (Source: P.A. 91-245, eff. 12-31-99 .)
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| 1 | | (225 ILCS 454/20-20)
| 2 | | (Section scheduled to be repealed on January 1, 2020)
| 3 | | Sec. 20-20. Grounds for discipline. | 4 | | (a) The Department may refuse to issue or renew a license, | 5 | | may place on probation, suspend,
or
revoke any
license, | 6 | | reprimand, or take any other disciplinary or non-disciplinary | 7 | | action as the Department may deem proper and impose a
fine not | 8 | | to exceed
$25,000 upon any licensee or applicant under this Act | 9 | | or any person who holds himself or herself out as an applicant | 10 | | or licensee or against a licensee in handling his or her own | 11 | | property, whether held by deed, option, or otherwise, for any | 12 | | one or any combination of the
following causes:
| 13 | | (1) Fraud or misrepresentation in applying for, or | 14 | | procuring, a license under this Act or in connection with | 15 | | applying for renewal of a license under this Act.
| 16 | | (2) The conviction of or plea of guilty or plea of nolo | 17 | | contendere to a felony or misdemeanor in this State or any | 18 | | other jurisdiction; or the entry of an administrative | 19 | | sanction by a government agency in this State or any other | 20 | | jurisdiction. Action taken under this paragraph (2) for a | 21 | | misdemeanor or an administrative sanction is limited to a | 22 | | misdemeanor or administrative sanction that has as an
| 23 | | essential element dishonesty or fraud or involves larceny, | 24 | | embezzlement,
or obtaining money, property, or credit by | 25 | | false pretenses or by means of a
confidence
game.
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| 1 | | (3) Inability to practice the profession with | 2 | | reasonable judgment, skill, or safety as a result of a | 3 | | physical illness, including, but not limited to, | 4 | | deterioration through the aging process or loss of motor | 5 | | skill, or a mental illness or disability.
| 6 | | (4) Practice under this Act as a licensee in a retail | 7 | | sales establishment from an office, desk, or space that
is | 8 | | not
separated from the main retail business by a separate | 9 | | and distinct area within
the
establishment.
| 10 | | (5) Having been disciplined by another state, the | 11 | | District of Columbia, a territory, a foreign nation, or a | 12 | | governmental agency authorized to impose discipline if at | 13 | | least one of the grounds for that discipline is the same as | 14 | | or
the
equivalent of one of the grounds for which a | 15 | | licensee may be disciplined under this Act. A certified | 16 | | copy of the record of the action by the other state or | 17 | | jurisdiction shall be prima facie evidence thereof.
| 18 | | (6) Engaging in the practice of real estate brokerage
| 19 | | without a
license or after the licensee's license or | 20 | | temporary permit was expired or while the license was
| 21 | | inoperative.
| 22 | | (7) Cheating on or attempting to subvert the Real
| 23 | | Estate License Exam or continuing education exam. | 24 | | (8) Aiding or abetting an applicant
to
subvert or cheat | 25 | | on the Real Estate License Exam or continuing education | 26 | | exam
administered pursuant to this Act.
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| 1 | | (9) Advertising that is inaccurate, misleading, or | 2 | | contrary to the provisions of the Act.
| 3 | | (10) Making any substantial misrepresentation or | 4 | | untruthful advertising.
| 5 | | (11) Making any false promises of a character likely to | 6 | | influence,
persuade,
or induce.
| 7 | | (12) Pursuing a continued and flagrant course of | 8 | | misrepresentation or the
making
of false promises through | 9 | | licensees, employees, agents, advertising, or
otherwise.
| 10 | | (13) Any misleading or untruthful advertising, or | 11 | | using any trade name or
insignia of membership in any real | 12 | | estate organization of which the licensee is
not a member.
| 13 | | (14) Acting for more than one party in a transaction | 14 | | without providing
written
notice to all parties for whom | 15 | | the licensee acts.
| 16 | | (15) Representing or attempting to represent a broker | 17 | | other than the
sponsoring broker.
| 18 | | (16) Failure to account for or to remit any moneys or | 19 | | documents coming into
his or her possession that belong to | 20 | | others.
| 21 | | (17) Failure to maintain and deposit in a special | 22 | | account, separate and
apart from
personal and other | 23 | | business accounts, all escrow moneys belonging to others
| 24 | | entrusted to a licensee
while acting as a broker, escrow | 25 | | agent, or temporary custodian of
the funds of others or
| 26 | | failure to maintain all escrow moneys on deposit in the |
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| 1 | | account until the
transactions are
consummated or | 2 | | terminated, except to the extent that the moneys, or any | 3 | | part
thereof, shall be: | 4 | | (A)
disbursed prior to the consummation or | 5 | | termination (i) in accordance with
the
written | 6 | | direction of
the principals to the transaction or their | 7 | | duly authorized agents, (ii) in accordance with
| 8 | | directions providing for the
release, payment, or | 9 | | distribution of escrow moneys contained in any written
| 10 | | contract signed by the
principals to the transaction or | 11 | | their duly authorized agents,
or (iii)
pursuant to an | 12 | | order of a court of competent
jurisdiction; or | 13 | | (B) deemed abandoned and transferred to the Office | 14 | | of the State Treasurer to be handled as unclaimed | 15 | | property pursuant to the Revised Uniform Unclaimed | 16 | | Property Act. Escrow moneys may be deemed abandoned | 17 | | under this subparagraph (B) only: (i) in the absence of | 18 | | disbursement under subparagraph (A); (ii) in the | 19 | | absence of notice of the filing of any claim in a court | 20 | | of competent jurisdiction; and (iii) if 6 months have | 21 | | elapsed after the receipt of a written demand for the | 22 | | escrow moneys from one of the principals to the | 23 | | transaction or the principal's duly authorized agent.
| 24 | | The account
shall be noninterest
bearing, unless the | 25 | | character of the deposit is such that payment of interest
| 26 | | thereon is otherwise
required by law or unless the |
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| 1 | | principals to the transaction specifically
require, in | 2 | | writing, that the
deposit be placed in an interest bearing | 3 | | account.
| 4 | | (18) Failure to make available to the Department all | 5 | | escrow records and related documents
maintained in | 6 | | connection
with the practice of real estate within 24 hours | 7 | | of a request for those
documents by Department personnel.
| 8 | | (19) Failing to furnish copies upon request of | 9 | | documents relating to a
real
estate transaction to a party | 10 | | who has executed that document.
| 11 | | (20) Failure of a sponsoring broker to timely provide | 12 | | information, sponsor
cards,
or termination of licenses to | 13 | | the Department.
| 14 | | (21) Engaging in dishonorable, unethical, or | 15 | | unprofessional conduct of a
character
likely to deceive, | 16 | | defraud, or harm the public.
| 17 | | (22) Commingling the money or property of others with | 18 | | his or her own money or property.
| 19 | | (23) Employing any person on a purely temporary or | 20 | | single deal basis as a
means
of evading the law regarding | 21 | | payment of commission to nonlicensees on some
contemplated
| 22 | | transactions.
| 23 | | (24) Permitting the use of his or her license as a | 24 | | broker to enable a
leasing agent or
unlicensed person to | 25 | | operate a real estate business without actual
| 26 | | participation therein and control
thereof by the broker.
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| 1 | | (25) Any other conduct, whether of the same or a | 2 | | different character from
that
specified in this Section, | 3 | | that constitutes dishonest dealing.
| 4 | | (26) Displaying a "for rent" or "for sale" sign on any | 5 | | property without
the written
consent of an owner or his or | 6 | | her duly authorized agent or advertising by any
means that | 7 | | any property is
for sale or for rent without the written | 8 | | consent of the owner or his or her
authorized agent.
| 9 | | (27) Failing to provide information requested by the | 10 | | Department, or otherwise respond to that request, within 30 | 11 | | days of
the
request.
| 12 | | (28) Advertising by means of a blind advertisement, | 13 | | except as otherwise
permitted in Section 10-30 of this Act.
| 14 | | (29) Offering guaranteed sales plans, as defined in | 15 | | clause (A) of
this subdivision (29), except to
the extent | 16 | | hereinafter set forth:
| 17 | | (A) A "guaranteed sales plan" is any real estate | 18 | | purchase or sales plan
whereby a licensee enters into a | 19 | | conditional or unconditional written contract
with a | 20 | | seller, prior to entering into a brokerage agreement | 21 | | with the seller, by the
terms of which a licensee | 22 | | agrees to purchase a property of the seller within a
| 23 | | specified period of time
at a specific price in the | 24 | | event the property is not sold in accordance with
the | 25 | | terms of a brokerage agreement to be entered into | 26 | | between the sponsoring broker and the seller.
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| 1 | | (B) A licensee offering a guaranteed sales plan | 2 | | shall provide the
details
and conditions of the plan in | 3 | | writing to the party to whom the plan is
offered.
| 4 | | (C) A licensee offering a guaranteed sales plan | 5 | | shall provide to the
party
to whom the plan is offered | 6 | | evidence of sufficient financial resources to
satisfy | 7 | | the commitment to
purchase undertaken by the broker in | 8 | | the plan.
| 9 | | (D) Any licensee offering a guaranteed sales plan | 10 | | shall undertake to
market the property of the seller | 11 | | subject to the plan in the same manner in
which the | 12 | | broker would
market any other property, unless the | 13 | | agreement with the seller provides
otherwise.
| 14 | | (E) The licensee cannot purchase seller's property | 15 | | until the brokerage agreement has ended according to | 16 | | its terms or is otherwise terminated. | 17 | | (F) Any licensee who fails to perform on a | 18 | | guaranteed sales plan in
strict accordance with its | 19 | | terms shall be subject to all the penalties provided
in | 20 | | this Act for
violations thereof and, in addition, shall | 21 | | be subject to a civil fine payable
to the party injured | 22 | | by the
default in an amount of up to $25,000.
| 23 | | (30) Influencing or attempting to influence, by any | 24 | | words or acts, a
prospective
seller, purchaser, occupant, | 25 | | landlord, or tenant of real estate, in connection
with | 26 | | viewing, buying, or
leasing real estate, so as to promote |
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| 1 | | or tend to promote the continuance
or maintenance of
| 2 | | racially and religiously segregated housing or so as to | 3 | | retard, obstruct, or
discourage racially
integrated | 4 | | housing on or in any street, block, neighborhood, or | 5 | | community.
| 6 | | (31) Engaging in any act that constitutes a violation | 7 | | of any provision of
Article 3 of the Illinois Human Rights | 8 | | Act, whether or not a complaint has
been filed with or
| 9 | | adjudicated by the Human Rights Commission.
| 10 | | (32) Inducing any party to a contract of sale or lease | 11 | | or brokerage
agreement to
break the contract of sale or | 12 | | lease or brokerage agreement for the purpose of
| 13 | | substituting, in lieu
thereof, a new contract for sale or | 14 | | lease or brokerage agreement with a third
party.
| 15 | | (33) Negotiating a sale, exchange, or lease of real | 16 | | estate directly with
any person
if the licensee knows that | 17 | | the person has an exclusive brokerage
agreement with | 18 | | another
broker, unless specifically authorized by that | 19 | | broker.
| 20 | | (34) When a licensee is also an attorney, acting as the | 21 | | attorney for
either the
buyer or the seller in the same | 22 | | transaction in which the licensee is acting or
has acted as | 23 | | a managing broker
or broker.
| 24 | | (35) Advertising or offering merchandise or services | 25 | | as free if any
conditions or
obligations necessary for | 26 | | receiving the merchandise or services are not
disclosed in |
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| 1 | | the same
advertisement or offer. These conditions or | 2 | | obligations include without
limitation the
requirement | 3 | | that the recipient attend a promotional activity or visit a | 4 | | real
estate site. As used in this
subdivision (35), "free" | 5 | | includes terms such as "award", "prize", "no charge",
"free | 6 | | of charge",
"without charge", and similar words or phrases | 7 | | that reasonably lead a person to
believe that he or she
may | 8 | | receive or has been selected to receive something of value, | 9 | | without any
conditions or
obligations on the part of the | 10 | | recipient.
| 11 | | (36) (Blank).
| 12 | | (37) Violating the terms of a disciplinary order
issued | 13 | | by the Department.
| 14 | | (38) Paying or failing to disclose compensation in | 15 | | violation of Article 10 of this Act.
| 16 | | (39) Requiring a party to a transaction who is not a | 17 | | client of the
licensee
to allow the licensee to retain a | 18 | | portion of the escrow moneys for payment of
the licensee's | 19 | | commission or expenses as a condition for release of the | 20 | | escrow
moneys to that party.
| 21 | | (40) Disregarding or violating any provision of this | 22 | | Act or the published
rules adopted
promulgated by the | 23 | | Department to enforce this Act or aiding or abetting any | 24 | | individual, foreign or domestic
partnership, registered | 25 | | limited liability partnership, limited liability
company, | 26 | | or corporation , or other business entity in
disregarding |
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| 1 | | any provision of this Act or the published rules adopted | 2 | | promulgated by the Department
to enforce this Act.
| 3 | | (41) Failing to provide the minimum services required | 4 | | by Section 15-75 of this Act when acting under an exclusive | 5 | | brokerage agreement.
| 6 | | (42) Habitual or excessive use or addiction to alcohol, | 7 | | narcotics, stimulants, or any other chemical agent or drug | 8 | | that results in a managing broker, broker, or leasing | 9 | | agent's inability to practice with reasonable skill or | 10 | | safety. | 11 | | (43) Enabling, aiding, or abetting an auctioneer, as | 12 | | defined in the Auction License Act, to conduct a real | 13 | | estate auction in a manner that is in violation of this | 14 | | Act. | 15 | | (44) Permitting any leasing agent or temporary leasing | 16 | | agent permit holder to engage in activities that require a | 17 | | broker's or managing broker's license. | 18 | | (b) The Department may refuse to issue or renew or may | 19 | | suspend the license of any person who fails to file a return, | 20 | | pay the tax, penalty or interest shown in a filed return, or | 21 | | pay any final assessment of tax, penalty, or interest, as | 22 | | required by any tax Act administered by the Department of | 23 | | Revenue, until such time as the requirements of that tax Act | 24 | | are satisfied in accordance with subsection (g) of Section | 25 | | 2105-15 of the Civil Administrative Code of Illinois. | 26 | | (c) The Department shall deny a license or renewal |
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| 1 | | authorized by this Act to a person who has defaulted on an | 2 | | educational loan or scholarship provided or guaranteed by the | 3 | | Illinois Student Assistance Commission or any governmental | 4 | | agency of this State in accordance with item (5) of subsection | 5 | | (a) of Section 2105-15 of the Civil Administrative Code of | 6 | | Illinois. | 7 | | (d) In cases where the Department of Healthcare and Family | 8 | | Services (formerly Department of Public Aid) has previously | 9 | | determined that a licensee or a potential licensee is more than | 10 | | 30 days delinquent in the payment of child support and has | 11 | | subsequently certified the delinquency to the Department may | 12 | | refuse to issue or renew or may revoke or suspend that person's | 13 | | license or may take other disciplinary action against that | 14 | | person based solely upon the certification of delinquency made | 15 | | by the Department of Healthcare and Family Services in | 16 | | accordance with item (5) of subsection (a) of Section 2105-15 | 17 | | of the Civil Administrative Code of Illinois. | 18 | | (e) In enforcing this Section, the Department or Board upon | 19 | | a showing of a possible violation may compel an individual | 20 | | licensed to practice under this Act, or who has applied for | 21 | | licensure under this Act, to submit to a mental or physical | 22 | | examination, or both, as required by and at the expense of the | 23 | | Department. The Department or Board may order the examining | 24 | | physician to present testimony concerning the mental or | 25 | | physical examination of the licensee or applicant. No | 26 | | information shall be excluded by reason of any common law or |
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| 1 | | statutory privilege relating to communications between the | 2 | | licensee or applicant and the examining physician. The | 3 | | examining physicians shall be specifically designated by the | 4 | | Board or Department. The individual to be examined may have, at | 5 | | his or her own expense, another physician of his or her choice | 6 | | present during all aspects of this examination. Failure of an | 7 | | individual to submit to a mental or physical examination, when | 8 | | directed, shall be grounds for suspension of his or her license | 9 | | until the individual submits to the examination if the | 10 | | Department finds, after notice and hearing, that the refusal to | 11 | | submit to the examination was without reasonable cause. | 12 | | If the Department or Board finds an individual unable to | 13 | | practice because of the reasons set forth in this Section, the | 14 | | Department or Board may require that individual to submit to | 15 | | care, counseling, or treatment by physicians approved or | 16 | | designated by the Department or Board, as a condition, term, or | 17 | | restriction for continued, reinstated, or renewed licensure to | 18 | | practice; or, in lieu of care, counseling, or treatment, the | 19 | | Department may file, or the Board may recommend to the | 20 | | Department to file, a complaint to immediately suspend, revoke, | 21 | | or otherwise discipline the license of the individual. An | 22 | | individual whose license was granted, continued, reinstated, | 23 | | renewed, disciplined or supervised subject to such terms, | 24 | | conditions, or restrictions, and who fails to comply with such | 25 | | terms, conditions, or restrictions, shall be referred to the | 26 | | Secretary for a determination as to whether the individual |
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| 1 | | shall have his or her license suspended immediately, pending a | 2 | | hearing by the Department. | 3 | | In instances in which the Secretary immediately suspends a | 4 | | person's license under this Section, a hearing on that person's | 5 | | license must be convened by the Department within 30 days after | 6 | | the suspension and completed without appreciable delay. The | 7 | | Department and Board shall have the authority to review the | 8 | | subject individual's record of treatment and counseling | 9 | | regarding the impairment to the extent permitted by applicable | 10 | | federal statutes and regulations safeguarding the | 11 | | confidentiality of medical records. | 12 | | An individual licensed under this Act and affected under | 13 | | this Section shall be afforded an opportunity to demonstrate to | 14 | | the Department or Board that he or she can resume practice in | 15 | | compliance with acceptable and prevailing standards under the | 16 | | provisions of his or her license. | 17 | | (Source: P.A. 99-227, eff. 8-3-15; 100-22, eff. 1-1-18; | 18 | | 100-188, eff. 1-1-18; 100-534, eff. 9-22-17; revised 10-2-17.)
| 19 | | (225 ILCS 454/30-5)
| 20 | | (Section scheduled to be repealed on January 1, 2020)
| 21 | | Sec. 30-5. Licensing of real estate education providers , | 22 | | education provider branches, and
instructors. | 23 | | (a) No person shall operate an education provider entity | 24 | | without possessing a valid and active license issued by the | 25 | | Department. Only education providers in possession of a valid |
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| 1 | | education provider license may provide real estate | 2 | | pre-license, post-license, or continuing education courses | 3 | | that satisfy the requirements of this Act. Every person that | 4 | | desires to obtain an education provider license shall make | 5 | | application to the Department in writing on forms prescribed by | 6 | | the Department and pay the fee prescribed by rule. In addition | 7 | | to any other information required to be contained in the | 8 | | application as prescribed by rule, every application for an | 9 | | original or renewed license shall include the applicant's | 10 | | Social Security number or tax identification number.
| 11 | | (b) (Blank).
| 12 | | (c) (Blank).
| 13 | | (d) (Blank).
| 14 | | (e) (Blank). | 15 | | (f) To qualify for an education provider license, an | 16 | | applicant must demonstrate the following: | 17 | | (1) a sound financial base for establishing, | 18 | | promoting, and delivering the necessary courses; budget | 19 | | planning for the school's courses should be clearly | 20 | | projected; | 21 | | (2) a sufficient number of qualified, licensed | 22 | | instructors as provided by rule; | 23 | | (3) adequate support personnel to assist with | 24 | | administrative matters and technical assistance; | 25 | | (4) maintenance and availability of records of | 26 | | participation for licensees; |
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| 1 | | (5) the ability to provide each participant who | 2 | | successfully completes an approved program with a | 3 | | certificate of completion signed by the administrator of a | 4 | | licensed education provider on forms provided by the | 5 | | Department; | 6 | | (6) a written policy dealing with procedures for the | 7 | | management of grievances and fee refunds; | 8 | | (7) lesson plans and examinations, if applicable, for | 9 | | each course; | 10 | | (8) a 75% passing grade for successful completion of | 11 | | any continuing education course or pre-license or | 12 | | post-license examination, if required; | 13 | | (9) the ability to identify and use instructors who | 14 | | will teach in a planned program; instructor selections must | 15 | | demonstrate: | 16 | | (A) appropriate credentials; | 17 | | (B) competence as a teacher; | 18 | | (C) knowledge of content area; and | 19 | | (D) qualification by experience. | 20 | | Unless otherwise provided for in this Section, the | 21 | | education provider shall provide a proctor or an electronic | 22 | | means of proctoring for each examination; the education | 23 | | provider shall be responsible for the conduct of the proctor; | 24 | | the duties and responsibilities of a proctor shall be | 25 | | established by rule. | 26 | | Unless otherwise provided for in this Section, the |
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| 1 | | education provider must provide for closed book examinations | 2 | | for each course unless the Department, upon the recommendation | 3 | | of the Board, excuses this requirement based on the complexity | 4 | | of the course material. | 5 | | (g) Advertising and promotion of education activities must | 6 | | be carried out in a responsible fashion clearly showing the | 7 | | educational objectives of the activity, the nature of the | 8 | | audience that may benefit from the activity, the cost of the | 9 | | activity to the participant and the items covered by the cost, | 10 | | the amount of credit that can be earned, and the credentials of | 11 | | the faculty. | 12 | | (h) The Department may, or upon request of the Board shall, | 13 | | after notice, cause an education provider to attend an informal | 14 | | conference before the Board for failure to comply with any | 15 | | requirement for licensure or for failure to comply with any | 16 | | provision of this Act or the rules for the administration of | 17 | | this Act. The Board shall make a recommendation to the | 18 | | Department as a result of its findings at the conclusion of any | 19 | | such informal conference. | 20 | | (i) All education providers shall maintain these minimum | 21 | | criteria and pay the required fee in order to retain their | 22 | | education provider license. | 23 | | (j) The Department may adopt any administrative rule | 24 | | consistent with the language and intent of this Act that may be | 25 | | necessary for the implementation and enforcement of this | 26 | | Section. |
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| 1 | | (Source: P.A. 100-188, eff. 1-1-18 .)
| 2 | | Section 20. The Real Estate Appraiser Licensing Act of 2002 | 3 | | is amended by changing Sections 5-45 and 15-15 as follows:
| 4 | | (225 ILCS 458/5-45)
| 5 | | (Section scheduled to be repealed on January 1, 2022)
| 6 | | Sec. 5-45. Continuing education renewal requirements.
| 7 | | (a) The continuing education requirements for a person to | 8 | | renew a license as
a State certified general
real estate | 9 | | appraiser
or
a State certified residential real estate | 10 | | appraiser
shall be
established by rule.
| 11 | | (b) The continuing education requirements for a person to
| 12 | | renew a license as an associate real estate trainee appraiser | 13 | | shall be
established by rule.
| 14 | | (c) Notwithstanding any other provision of this Act to the | 15 | | contrary, the Department shall establish a continuing | 16 | | education completion deadline for appraisal licensees and | 17 | | require evidence of compliance with the continuing education | 18 | | requirements before the renewal of a license. | 19 | | (Source: P.A. 96-844, eff. 12-23-09 .)
| 20 | | (225 ILCS 458/15-15)
| 21 | | (Section scheduled to be repealed on January 1, 2022)
| 22 | | Sec. 15-15. Investigation; notice; hearing.
| 23 | | (a) Upon the motion of the Department
or the Board or
upon |
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| 1 | | a complaint in
writing of a person setting forth facts that, if | 2 | | proven, would constitute
grounds for suspension, revocation,
| 3 | | or other disciplinary action against a licensee or applicant | 4 | | for licensure, the Department
shall investigate the actions of | 5 | | the licensee or applicant. If, upon investigation, the | 6 | | Department believes that there may be cause for suspension, | 7 | | revocation, or other disciplinary action, the Department shall | 8 | | use the services of a State certified general real estate | 9 | | appraiser, a State certified residential real estate | 10 | | appraiser, or the Real Estate Coordinator to assist in | 11 | | determining whether grounds for disciplinary action exist | 12 | | prior to commencing formal disciplinary proceedings.
| 13 | | (b) Formal disciplinary proceedings shall commence upon | 14 | | the issuance of a
written complaint
describing the charges that | 15 | | are the basis of the disciplinary action and
delivery of the | 16 | | detailed complaint to the address of
record of the licensee or | 17 | | applicant. The Department
shall notify the licensee or
| 18 | | applicant
to file a verified written
answer within 20 days | 19 | | after the service of the notice and complaint.
The
notification | 20 | | shall inform the licensee or applicant of his or her
right to | 21 | | be heard in person or by
legal counsel; that the hearing will | 22 | | be afforded not sooner than 30 days after
service
of the | 23 | | complaint; that failure to file an answer will result in a | 24 | | default being
entered against the licensee or applicant;
that | 25 | | the license may be suspended, revoked, or placed on
| 26 | | probationary status; and that other
disciplinary action may be |
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| 1 | | taken pursuant to this Act, including limiting the
scope, | 2 | | nature, or extent of the licensee's
practice. If the licensee | 3 | | or applicant fails to file an answer after service of
notice, | 4 | | his or her license may,
at the discretion of the Department, be | 5 | | suspended,
revoked, or placed on probationary
status and the | 6 | | Department
may take whatever disciplinary
action it deems | 7 | | proper,
including limiting the scope, nature, or extent of the | 8 | | person's practice,
without a hearing.
| 9 | | (c) At the time and place fixed in the notice, the Board | 10 | | shall conduct
hearing of the charges, providing
both the | 11 | | accused person and the complainant ample opportunity to present | 12 | | in
person
or by counsel such statements, testimony, evidence, | 13 | | and argument as may be
pertinent to the charges or
to a defense | 14 | | thereto.
| 15 | | (d) The Board shall present to the Secretary
a written | 16 | | report of its
findings and
recommendations. A copy of the | 17 | | report shall be served upon the licensee or
applicant,
either | 18 | | personally or by certified
mail. Within 20 days after the | 19 | | service, the licensee or applicant may present
the Secretary
| 20 | | with a motion in writing
for either a rehearing, a proposed | 21 | | finding of fact, a conclusion of law, or an
alternative | 22 | | sanction, and shall
specify the particular grounds for the | 23 | | request. If the accused orders a
transcript of the record
as | 24 | | provided in this Act, the time elapsing thereafter and before | 25 | | the transcript
is ready for delivery to the
accused shall not | 26 | | be counted as part of the 20 days. If the Secretary
is
not |
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| 1 | | satisfied that
substantial justice has been done, the Secretary
| 2 | | may order a rehearing by
the Board or other
special committee | 3 | | appointed by the Secretary, may remand the matter to the
Board | 4 | | for its
reconsideration of the matter based on the pleadings | 5 | | and evidence presented to
the Board, or may enter
a final order | 6 | | in contravention of the Board's recommendation. In all
| 7 | | instances under this Act in which
the Board has rendered a | 8 | | recommendation to the Secretary
with respect to a
particular | 9 | | licensee or
applicant, the Secretary, if he or she disagrees | 10 | | with
the recommendation of the Board, shall file with the Board | 11 | | and provide to the
licensee or applicant a copy of the | 12 | | Secretary's
specific written reasons for
disagreement with the | 13 | | Board. The reasons shall be filed within 60 days of the
Board's | 14 | | recommendation
to the Secretary
and prior to any contrary | 15 | | action. Notwithstanding a licensee's or applicant's failure to | 16 | | file a motion for rehearing, the Secretary
shall have the right | 17 | | to take any of
the actions specified in this
subsection (d). | 18 | | Upon the suspension or revocation of a license, the licensee
| 19 | | shall
be required to surrender his
or her license to the | 20 | | Department, and upon failure or refusal to do so, the | 21 | | Department
shall have
the right to seize the
license.
| 22 | | (e) The Department
has the power to issue subpoenas and
| 23 | | subpoenas duces tecum
to bring before it any person in this | 24 | | State, to take testimony, or to require
production of any | 25 | | records
relevant to an inquiry or hearing by the Board in the | 26 | | same manner as prescribed
by law in judicial
proceedings in the |
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| 1 | | courts of this State. In a case of refusal of a witness to
| 2 | | attend, testify, or to produce
books or papers concerning a | 3 | | matter upon which he or she might be lawfully
examined, the | 4 | | circuit court
of the county where the hearing is held, upon | 5 | | application of the Department
or any
party to the proceeding, | 6 | | may compel obedience by proceedings as for contempt.
| 7 | | (f) Any license that is suspended indefinitely or revoked | 8 | | may not be
restored for a minimum period
of 2 years, or as | 9 | | otherwise ordered by the Secretary.
| 10 | | (g) In addition to the provisions of this Section | 11 | | concerning the conduct of
hearings and the
recommendations for | 12 | | discipline, the Department
has the authority to negotiate
| 13 | | disciplinary and non-disciplinary
settlement agreements | 14 | | concerning any license issued under this Act. All such
| 15 | | agreements shall be
recorded as Consent Orders or Consent to | 16 | | Administrative Supervision Orders.
| 17 | | (h) The Secretary
shall have the authority to appoint an | 18 | | attorney duly
licensed to practice law in the
State of Illinois | 19 | | to serve as the hearing officer in any action to suspend,
| 20 | | revoke, or otherwise discipline
any license issued by the | 21 | | Department. The Hearing Officer
shall have full authority
to | 22 | | conduct the hearing.
| 23 | | (i) The Department, at its expense, shall preserve a record | 24 | | of all formal hearings of
any contested case involving
the | 25 | | discipline of a license. At all hearings or pre-hearing | 26 | | conferences, the Department
and the licensee shall be
entitled |
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| 1 | | to have the proceedings transcribed by a certified shorthand | 2 | | reporter.
A copy of the transcribed
proceedings shall be made | 3 | | available to the licensee by the certified shorthand
reporter | 4 | | upon payment of
the prevailing contract copy rate.
| 5 | | (Source: P.A. 96-844, eff. 12-23-09 .)
| 6 | | Section 99. Effective date. This Act takes effect January | 7 | | 1, 2019.
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