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Public Act 102-0970 | ||||
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The State Finance Act is amended by adding | ||||
Section 5.970 as follows: | ||||
(30 ILCS 105/5.970 new) | ||||
Sec. 5.970. The Division of Real Estate General Fund.
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(30 ILCS 105/5.557 rep.)
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(30 ILCS 105/5.558 rep.)
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(30 ILCS 105/5.742 rep.) | ||||
Section 10. The State Finance Act is amended by repealing | ||||
Sections 5.557, 5.558, and 5.742. | ||||
Section 15. The Auction License Act is amended by changing | ||||
Sections 10-5, 10-30, 10-50, 20-15, 20-95, 30-13, and 30-30 | ||||
and by adding Sections 20-11, 20-15.1, 20-16, and 20-105 as | ||||
follows:
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(225 ILCS 407/10-5)
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(Section scheduled to be repealed on January 1, 2030)
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Sec. 10-5. Requirements for auctioneer license; | ||||
application. |
(a) Every
person
who desires
to obtain an auctioneer | ||
license under this Act shall:
| ||
(1) apply to the Department on forms provided by the | ||
Department accompanied by the required
fee;
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(2) be at least 18 years of age;
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(3) have attained a high school diploma or | ||
successfully completed an
equivalent
course of study | ||
determined by an examination conducted by the Illinois | ||
State
Board of Education; and
| ||
(4) pass a written examination authorized by the | ||
Department to
prove
competence, including but not limited | ||
to general knowledge of Illinois and
federal laws | ||
pertaining
to personal property contracts, auctions, real | ||
property, ethics, and other topics relating to the auction
| ||
business.
| ||
(b) The Department shall not require applicants to report | ||
the following information and shall not consider the following | ||
criminal history records in connection with an application for | ||
licensure or registration: | ||
(1) juvenile adjudications of delinquent minors as | ||
defined in Section 5-105 of the Juvenile Court Act of 1987 | ||
subject to the restrictions set forth in Section 5-130 of | ||
that Act; | ||
(2) law enforcement records, court records, and | ||
conviction records of an individual who was 17 years old | ||
at the time of the offense and before January 1, 2014, |
unless the nature of the offense required the individual | ||
to be tried as an adult; | ||
(3) records of arrest not followed by a charge or | ||
conviction; | ||
(4) records of arrest where the charges were dismissed | ||
unless related to the practice of the profession; however, | ||
applicants shall not be asked to report any arrests, and | ||
an arrest not followed by a conviction shall not be the | ||
basis of denial and may be used only to assess an | ||
applicant's rehabilitation; | ||
(5) convictions overturned by a higher court; or | ||
(6) convictions or arrests that have been sealed or | ||
expunged. | ||
(c) An applicant or licensee shall report to the | ||
Department, in a manner prescribed by the Department, and | ||
within 30 days after the occurrence if during the term of | ||
licensure: (i) any conviction of, or plea of guilty, or nolo | ||
contendere to forgery, embezzlement, obtaining money under | ||
false pretenses, larceny, extortion, conspiracy to defraud, or | ||
any similar offense or offenses or any conviction of a felony | ||
involving moral turpitude; or (ii) the entry of an | ||
administrative sanction by a government agency in this State | ||
or any other jurisdiction that has as an essential element | ||
dishonesty or fraud or involves larceny, embezzlement, or | ||
obtaining money, property, or credit by false pretenses. | ||
(Source: P.A. 101-345, eff. 8-9-19.)
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(225 ILCS 407/10-30)
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(Section scheduled to be repealed on January 1, 2030)
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Sec. 10-30. Expiration, renewal, and continuing education.
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(a) License expiration dates, renewal periods, renewal | ||
fees, and procedures for renewal of licenses issued under this | ||
Act shall be set by rule of the Department. An entity may renew | ||
its license by paying the required fee and by meeting the | ||
renewal requirements adopted by the Department under this | ||
Section.
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(b) All renewal applicants must provide proof as | ||
determined by the Department of having met the continuing | ||
education requirements by the deadline set forth by the | ||
Department by rule. At a minimum, the rules shall require an | ||
applicant for renewal licensure as an auctioneer to provide | ||
proof of the completion of at least 12 hours of continuing | ||
education during the pre-renewal period established by the | ||
Department for completion of continuing education from schools | ||
approved by the Department, as established by rule.
| ||
(c) The Department, in its discretion, may waive | ||
enforcement of the continuing education requirements of this | ||
Section and shall adopt rules defining the standards and | ||
criteria for such waiver.
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(d) (Blank).
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(e) The Department shall not renew a license if the | ||
licensee has an unpaid fine or fee from a disciplinary matter |
or from a non-disciplinary action imposed by the Department | ||
until the fine or fee is paid to the Department or the licensee | ||
has entered into a payment plan and is current on the required | ||
payments. | ||
(f) The Department shall not issue a license if the | ||
applicant has an unpaid fine imposed by the Department for | ||
unlicensed practice until the fine is paid to the Department | ||
or the applicant has entered into a payment plan and is current | ||
on the required payments. | ||
(Source: P.A. 100-831, eff. 1-1-19 .)
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(225 ILCS 407/10-50)
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(Section scheduled to be repealed on January 1, 2030)
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Sec. 10-50. Fees; disposition of funds.
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(a) The Department shall establish by rule a schedule of | ||
fees for the administration and maintenance of this Act. Such | ||
fees shall be nonrefundable. | ||
(b) Prior to July 1, 2023, all All fees collected under | ||
this Act shall be deposited into the General Professions | ||
Dedicated Fund and appropriated to the Department for the | ||
ordinary and contingent expenses of the Department in the | ||
administration of this Act. Beginning on July 1, 2023, all | ||
fees, fines, penalties, or other monies received or collected | ||
pursuant to this Act shall be deposited in the Division of Real | ||
Estate General Fund.
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(Source: P.A. 95-572, eff. 6-1-08; 96-730, eff. 8-25-09 .)
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(225 ILCS 407/20-11 new) | ||
Sec. 20-11. Confidentiality. All information collected by | ||
the Department in the course of an examination or | ||
investigation of a licensee or applicant, including, but not | ||
limited to, any complaint against a licensee filed with the | ||
Department and information collected to investigate any such | ||
complaint, shall be maintained for the confidential use of the | ||
Department and shall not be disclosed. The Department may not | ||
disclose the information to anyone other than law enforcement | ||
officials, other regulatory agencies that have an appropriate | ||
regulatory interest as determined by the Secretary, or to a | ||
party presenting a lawful subpoena to the Department. | ||
Information and documents disclosed to a federal, State, | ||
county, or local law enforcement agency shall not be disclosed | ||
by the agency for any purpose to any other agency or person. A | ||
formal complaint filed against a licensee by the Department or | ||
any order issued by the Department against a licensee or | ||
applicant shall be a public record, except as otherwise | ||
prohibited by law.
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(225 ILCS 407/20-15)
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(Section scheduled to be repealed on January 1, 2030)
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Sec. 20-15. Disciplinary actions; grounds. The Department | ||
may refuse to issue
or renew a
license, may place on probation | ||
or administrative supervision, suspend, or
revoke any license |
or may
reprimand or take other disciplinary or | ||
non-disciplinary action as the Department may deem proper, | ||
including the imposition of fines not to exceed $10,000 for | ||
each violation upon anyone licensed under this Act for any of | ||
the following reasons:
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(1) False or fraudulent representation or material | ||
misstatement in
furnishing
information to the Department | ||
in obtaining or seeking to obtain a license.
| ||
(2) Violation of any provision of this Act or the | ||
rules adopted under this
Act.
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(3) Conviction of or entry of a plea of guilty or nolo | ||
contendere , as set forth in subsection (c) of Section | ||
10-5, to any crime that is a felony or misdemeanor under | ||
the laws of the United States or any state or territory | ||
thereof, or entry of an administrative sanction by a | ||
government agency in this State or any other jurisdiction | ||
that is a misdemeanor, an essential element of which is | ||
dishonesty,
or
any crime that is directly related to the | ||
practice of the profession .
| ||
(3.5) Failing to notify the Department , of any | ||
criminal conviction that occurs during the licensee's term | ||
of licensure within 30 days after the occurrence, of the | ||
information required in subsection (c) of Section 10-5 | ||
conviction . | ||
(4) Being adjudged to be a person under legal | ||
disability or subject to
involuntary
admission or to meet |
the standard for judicial admission as provided in the
| ||
Mental Health and
Developmental Disabilities Code.
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(5) Discipline of a licensee by another state, the | ||
District of Columbia, a
territory of
the United States, a | ||
foreign nation, a governmental agency, or any other entity
| ||
authorized to impose
discipline if at least one of the | ||
grounds for that discipline is the same as or
the | ||
equivalent to one of
the grounds for discipline set forth | ||
in this Act or for failing to report to
the Department, | ||
within 30 days,
any adverse final action taken against the | ||
licensee by any other licensing
jurisdiction,
government | ||
agency, law enforcement agency, or court, or liability for | ||
conduct
that would constitute
grounds for action as set | ||
forth in this Act.
| ||
(6) Engaging in the practice of auctioneering, | ||
conducting an auction, or
providing an
auction service | ||
without a license or after the license was expired, | ||
revoked,
suspended, or terminated
or while the license was | ||
inoperative.
| ||
(7) Attempting to subvert or cheat on the auctioneer | ||
exam or any
continuing
education exam, or aiding or | ||
abetting another to do the same.
| ||
(8) Directly or indirectly giving to or receiving from | ||
a person, firm,
corporation,
partnership, or association a | ||
fee, commission, rebate, or other form of
compensation for | ||
professional
service not actually or personally rendered, |
except that an auctioneer licensed under this Act may | ||
receive a fee from another licensed auctioneer from this | ||
State or jurisdiction for the referring of a client or | ||
prospect for auction services to the licensed auctioneer.
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(9) Making any substantial misrepresentation or | ||
untruthful advertising.
| ||
(10) Making any false promises of a character likely | ||
to influence,
persuade,
or
induce.
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(11) Pursuing a continued and flagrant course of | ||
misrepresentation or the
making of
false promises through | ||
a licensee, agent, employee, advertising, or otherwise.
| ||
(12) Any misleading or untruthful advertising, or | ||
using any trade name or
insignia
of membership in any | ||
auctioneer association or organization of which the
| ||
licensee is not a member.
| ||
(13) Commingling funds of others with the licensee's | ||
his or her own funds or failing to
keep
the
funds of others | ||
in an escrow or trustee account.
| ||
(14) Failure to account for, remit, or return any | ||
moneys, property, or
documents
coming into the licensee's | ||
his or her possession that belong to others, acquired | ||
through the
practice of
auctioneering, conducting an | ||
auction, or providing an auction service within 30
days of | ||
the written
request from the owner of said moneys, | ||
property, or documents.
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(15) Failure to maintain and deposit into a special |
account, separate and
apart from
any personal or other | ||
business accounts, all moneys belonging to others
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entrusted to a licensee while
acting as an auctioneer, | ||
auction firm, or as a temporary
custodian of the funds
of | ||
others.
| ||
(16) Failure to make available to Department
personnel | ||
during normal business
hours
all
escrow and trustee | ||
records and related documents maintained in connection | ||
with
the practice of
auctioneering, conducting an auction, | ||
or providing an auction service within 24
hours after a | ||
request
from Department personnel.
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(17) Making or filing false records or reports in the | ||
licensee's his or her practice,
including but not
limited | ||
to false records or reports filed with State agencies.
| ||
(18) Failing to voluntarily furnish copies of all | ||
written instruments
prepared by the
auctioneer and signed | ||
by all parties to all parties at the time of execution.
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(19) Failing to provide information within 30 days in | ||
response to a
written
request
made by the Department.
| ||
(20) Engaging in any act that constitutes a violation | ||
of Section 2-102,
3-103, or
3-105 of the Illinois Human | ||
Rights Act.
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(21) (Blank).
| ||
(22) Engaging in dishonorable, unethical, or | ||
unprofessional conduct of a
character
likely to deceive, | ||
defraud, or harm the public.
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(23) Offering or advertising real estate for sale or | ||
lease at auction
without
a valid
broker or managing | ||
broker's license under the Real Estate License Act of | ||
1983, or
any successor Act,
unless exempt from licensure | ||
under the terms of the Real Estate License Act of 2000, or | ||
any
successor Act, except as provided in Section 5-32 of | ||
the Real Estate License Act of 2000.
| ||
(24) Inability to practice the profession with | ||
reasonable judgment, skill, or safety as a result of a | ||
physical illness, including, but not limited to, | ||
deterioration through the aging process or loss of motor | ||
skill, or a mental illness , or disability. | ||
(25) A pattern of practice or other behavior that
| ||
demonstrates incapacity or incompetence to practice under | ||
this Act. | ||
(26) Being named as a perpetrator in an indicated
| ||
report by the Department of Children and Family Services | ||
under the Abused and Neglected Child Reporting Act and | ||
upon proof by clear and convincing evidence that the | ||
licensee has caused a child to be an abused child or a | ||
neglected child as defined in the Abused and Neglected | ||
Child Reporting Act. | ||
(27) Inability to practice with reasonable judgment, | ||
skill, or safety as a result of habitual or excessive use | ||
or addiction to alcohol, narcotics, stimulants, or any | ||
other chemical agent or drug. |
(28) Willfully failing to report an instance of
| ||
suspected child abuse or neglect as required by the Abused | ||
and Neglected Child Reporting Act. | ||
The entry of an order by a circuit court establishing that | ||
any person holding a license under this Act is subject to | ||
involuntary admission or judicial admission, as provided in | ||
the Mental Health and Developmental Disabilities Code, | ||
operates as an automatic suspension of that license. That | ||
person may have his or her license restored only upon the | ||
determination by a circuit court that the patient is no longer | ||
subject to involuntary admission or judicial admission and the | ||
issuance of an order so finding and discharging the patient | ||
and upon the Board's recommendation to the Department that the | ||
license be restored. Where circumstances so indicate, the | ||
Board may recommend to the Department that it require an | ||
examination prior to restoring a suspended license. | ||
If the Department or Board finds an individual unable to | ||
practice because of the reasons set forth in this Section, the | ||
Department or Board may require that individual to submit to | ||
care, counseling, or treatment by physicians approved or | ||
designated by the Department or Board, as a condition, term, | ||
or restriction for continued, reinstated, or renewed licensure | ||
to practice; or, in lieu of care, counseling, or treatment, | ||
the Department may file, or the Board may recommend to the | ||
Department to file, a complaint to immediately suspend, | ||
revoke, or otherwise discipline the license of the individual. |
An individual whose license was granted, continued, | ||
reinstated, renewed, disciplined or supervised subject to such | ||
terms, conditions, or restrictions, and who fails to comply | ||
with such terms, conditions, or restrictions, shall be | ||
referred to the Secretary for a determination as to whether | ||
the individual shall have his or her license suspended | ||
immediately, pending a hearing by the Department. If the | ||
Secretary immediately suspends a person's license under this | ||
Section, a hearing on that person's license must be convened | ||
by the Department within 21 days after the suspension and | ||
completed without appreciable delay. The Department and Board | ||
shall have the authority to review the subject individual's | ||
record of treatment and counseling regarding the impairment to | ||
the extent permitted by applicable federal statutes and | ||
regulations safeguarding the confidentiality of medical | ||
records. | ||
An individual licensed under this Act and affected under | ||
this Section shall be afforded an opportunity to demonstrate | ||
to the Department or Board that he or she can resume practice | ||
in compliance with acceptable and prevailing standards under | ||
his or her license. | ||
In enforcing this Section, the Department or Board, upon a | ||
showing of a possible violation, may compel an individual | ||
licensed to practice under this Act, or who has applied for | ||
licensure under this Act, to submit to a mental or physical | ||
examination, or both, as required by and at the expense of the |
Department. The Department or Board may order the examining | ||
physician to present testimony concerning the mental or | ||
physical examination of the licensee or applicant. No | ||
information shall be excluded by reason of any common law or | ||
statutory privilege relating to communications between the | ||
licensee or applicant and the examining physician. The | ||
examining physicians shall be specifically designated by the | ||
Board or Department. The individual to be examined may have, | ||
at his or her own expense, another physician of his or her | ||
choice present during all aspects of this examination. Failure | ||
of an individual to submit to a mental or physical examination | ||
when directed shall be grounds for suspension of his or her | ||
license until the individual submits to the examination, if | ||
the Department finds that, after notice and hearing, the | ||
refusal to submit to the examination was without reasonable | ||
cause.
| ||
(Source: P.A. 101-345, eff. 8-9-19.)
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(225 ILCS 407/20-15.1 new) | ||
Sec. 20-15.1. Citations. | ||
(a) The Department may adopt rules to permit the issuance | ||
of citations to any licensee for failure to comply with the | ||
continuing education requirements set forth in this Act or as | ||
established by rule. The citation shall be issued to the | ||
licensee and shall contain the licensee's name and address, | ||
the licensee's license number, the number of required hours of |
continuing education that have not been successfully completed | ||
by the licensee within the renewal period, and the penalty | ||
imposed, which shall not exceed $2,000. The issuance of any | ||
such citation shall not excuse the licensee from completing | ||
all continuing education required for that renewal period. | ||
(b) Service of a citation shall be made in person, | ||
electronically, or by mail to the licensee at the licensee's | ||
address of record or email address of record, and must clearly | ||
state that if the cited licensee wishes to dispute the | ||
citation, they may make a written request, within 30 days | ||
after the citation is served, for a hearing before the | ||
Department. If the cited licensee does not request a hearing | ||
within 30 days after the citation is served, then the citation | ||
shall become a final, non-disciplinary order, and any fine | ||
imposed is due and payable within 60 days after that final | ||
order. If the cited licensee requests a hearing within 30 days | ||
after the citation is served, the Department shall afford the | ||
cited licensee a hearing conducted in the same manner as a | ||
hearing provided for in this Act for any violation of this Act | ||
and shall determine whether the cited licensee committed the | ||
violation as charged and whether the fine as levied is | ||
warranted. If the violation is found, any fine shall | ||
constitute non-public discipline and be due and payable within | ||
30 days after the order of the Secretary, which shall | ||
constitute a final order of the Department. No change in | ||
license status may be made by the Department until a final |
order of the Department has been issued. | ||
(c) Payment of a fine that has been assessed pursuant to | ||
this Section shall not constitute disciplinary action | ||
reportable on the Department's website or elsewhere unless a | ||
licensee has previously received 2 or more citations and been | ||
assessed 2 or more fines. | ||
(d) Nothing in this Section shall prohibit or limit the | ||
Department from taking further action pursuant to this Act and | ||
rules for additional, repeated, or continuing violations. | ||
(225 ILCS 407/20-16 new) | ||
Sec. 20-16. Illegal discrimination. When there has been an | ||
adjudication in a civil or criminal proceeding that a licensee | ||
has illegally discriminated while engaged in any activity for | ||
which a license is required under this Act, the Department, | ||
upon the recommendation of the Board as to the extent of the | ||
suspension or revocation, shall suspend or revoke the license | ||
of that licensee in a timely manner, unless the adjudication | ||
is in the appeal process. When there has been an order in an | ||
administrative proceeding finding that a licensee has | ||
illegally discriminated while engaged in any activity for | ||
which a license is required under this Act, the Department, | ||
upon recommendation of the Board as to the nature and extent of | ||
the discipline, shall take one or more of the disciplinary | ||
actions provided for in Section 20-15 in a timely manner, | ||
unless the administrative order is in the appeal process.
|
(225 ILCS 407/20-95)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 20-95. Returned checks and dishonored credit card | ||
charges ; fine. A person who : (i) delivers a check or
other
| ||
payment to the Department that is returned to the Department | ||
unpaid by the financial institution upon which it
is drawn ; or | ||
(ii) presents a credit or debit card for payment that is | ||
invalid or expired or against which charges by the Department | ||
are declined or dishonored, shall pay
to the Department, in | ||
addition to the amount already owed to the Department, a fee of | ||
$50. The Department shall
notify the person that the his or her | ||
check has been returned and that the person
shall pay to the | ||
Department by
certified check or money order the amount of the | ||
returned check plus the $50
fee within 30 calendar
days after | ||
the date of the notification. If, after the expiration of 30
| ||
calendar days of the notification,
the person has failed to | ||
submit the necessary remittance, the Department shall
| ||
automatically terminate the
license or deny the application | ||
without a hearing. If, after termination or
denial, the person | ||
seeks
a license, the applicant or licensee he or she shall | ||
petition the Department for restoration or issuance of the | ||
license and he or she may be
subject to additional
discipline | ||
or fines. The Secretary may waive the fines due under this
| ||
Section in individual
cases where the Secretary finds that the | ||
fines would be unreasonable or
unnecessarily
burdensome.
|
(Source: P.A. 95-572, eff. 6-1-08 .)
| ||
(225 ILCS 407/20-105 new) | ||
Sec. 20-105. No private right of action. Except as | ||
otherwise expressly provided for in this Act, nothing in this | ||
Act shall be construed to grant to any person a private right | ||
of action to enforce the provisions of this Act or the rules | ||
adopted under this Act. | ||
(225 ILCS 407/30-13) | ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 30-13. The Division of Real Estate General | ||
Professions Dedicated Fund. Prior to July 1, 2023, all All of | ||
the fees, fines, and penalties collected under this Act shall | ||
be deposited into the General Professions Dedicated Fund. | ||
Prior to July 1, 2023, the The monies deposited into the | ||
General Professions Dedicated Fund shall be used by the | ||
Department, as appropriated, for the ordinary and contingent | ||
expenses of the Department. Monies in the General Professions | ||
Dedicated Fund may be invested and reinvested, with all | ||
earnings received from investments to be deposited into that | ||
Fund and used for the same purposes as fees deposited in that | ||
Fund.
| ||
Beginning on July 1, 2023, all of the fees, fines, and | ||
penalties collected under this Act shall be deposited into the | ||
Division of Real Estate General Fund. The monies deposited |
into the Division of Real Estate General Fund shall be used by | ||
the Department, as appropriated, for the ordinary and | ||
contingent expenses of the Department. Monies in the Division | ||
of Real Estate General Fund may be invested and reinvested, | ||
with all earnings received from investments to be deposited | ||
into that Fund and used for the same purposes as fees deposited | ||
in that Fund. | ||
(Source: P.A. 96-730, eff. 8-25-09 .)
| ||
(225 ILCS 407/30-30)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 30-30. Auction Advisory Board.
| ||
(a) There is hereby created the Auction Advisory Board. | ||
The Advisory Board
shall consist
of 7 members and shall be | ||
appointed by the Secretary. In making the
appointments, the | ||
Secretary shall give due consideration to the recommendations | ||
by members and
organizations
of the industry, including but | ||
not limited to the Illinois State Auctioneers
Association. | ||
Five
members of the Advisory Board shall be licensed | ||
auctioneers , except that for
the initial
appointments, these | ||
members may be persons without a license, but who have been
| ||
auctioneers for
at least 5 years preceding their appointment | ||
to the Advisory Board . One member
shall be a public
member who | ||
represents the interests of consumers and who is not licensed | ||
under
this Act or the
spouse of a person licensed under this | ||
Act or who has any responsibility for
management or
formation |
of policy of or any financial interest in the auctioneering
| ||
profession or any other
connection with the profession . One | ||
member shall be actively engaged in the
real estate industry
| ||
and licensed as a broker or managing broker salesperson . The | ||
Advisory Board shall annually elect , at its first meeting of | ||
the fiscal year, one of its members to serve as Chairperson.
| ||
(b) The members' terms shall be for 4 years and until a | ||
successor is appointed expire upon completion of the term . No | ||
member shall be reappointed to the Board for a term that would | ||
cause the member's his or her cumulative service to the Board | ||
to exceed 10 years. Appointments to fill vacancies shall be | ||
made by the Secretary for the unexpired portion of the term. To | ||
the extent practicable, the Secretary
shall
appoint members to | ||
ensure that the various geographic regions of the State are
| ||
properly represented
on the Advisory Board.
| ||
(c) Four Board members shall
constitute a
quorum. A quorum | ||
is required for all Board decisions. A vacancy in the | ||
membership of the Board shall not impair the right of a quorum | ||
to exercise all of the rights and perform all of the duties of | ||
the Board.
| ||
(d) Each member of the Advisory Board may shall receive a | ||
per diem stipend in an
amount to be
determined by the | ||
Secretary. While engaged in the performance of duties, each | ||
Each member shall be reimbursed for paid his or her necessary
| ||
expenses while
engaged in the performance of his or her | ||
duties .
|
(e) Members of the Advisory Board shall be immune from | ||
suit in an action
based
upon any
disciplinary proceedings or | ||
other acts performed in good faith as members of
the Advisory | ||
Board.
| ||
(f) The Advisory Board shall meet as convened by the | ||
Department.
| ||
(g) The Advisory Board shall advise the Department on | ||
matters of licensing and
education and
make recommendations to | ||
the Department on those matters and shall hear and make
| ||
recommendations
to the Secretary on disciplinary matters that | ||
require a formal evidentiary
hearing.
| ||
(h) The Secretary shall give due consideration to all | ||
recommendations of
the
Advisory
Board.
| ||
(Source: P.A. 100-886, eff. 8-14-18 .)
| ||
Section 20. The Community Association Manager Licensing | ||
and Disciplinary Act is amended by changing Sections 10, 25, | ||
55, 60, and 65 as follows: | ||
(225 ILCS 427/10) | ||
(Section scheduled to be repealed on January 1, 2027) | ||
Sec. 10. Definitions. As used in this Act: | ||
"Address of record" means the designated street address, | ||
which may not be a post office box, recorded by the Department | ||
in the applicant's or licensee's application file or license | ||
file maintained by the Department. |
"Advertise" means, but is not limited to, issuing or | ||
causing to be distributed any card, sign or device to any | ||
person; or causing, permitting or allowing any sign or marking | ||
on or in any building, structure, newspaper, magazine or | ||
directory, or on radio or television; or advertising by any | ||
other means designed to secure public attention, including, | ||
but not limited to, print, electronic, social media, and | ||
digital forums. | ||
"Board" means the Community Association Manager Licensing | ||
and Disciplinary Board. | ||
"Community association" means an association in which | ||
membership is a condition of ownership or shareholder interest | ||
of a unit in a condominium, cooperative, townhouse, villa, or | ||
other residential unit which is part of a residential | ||
development plan and that is authorized to impose an | ||
assessment, rents, or other costs that may become a lien on the | ||
unit or lot. | ||
"Community association funds" means any assessments, fees, | ||
fines, or other funds collected by the community association | ||
manager from the community association, or its members, other | ||
than the compensation paid to the community association | ||
manager for performance of community association management | ||
services. | ||
"Community association management firm" means a company, | ||
corporation, limited liability company, partnership, or other | ||
entity that engages in community association management |
services. | ||
"Community association management services" means those | ||
services listed in the definition of community association | ||
manager in this Section. | ||
"Community association manager" means an individual who: | ||
(1) has an ownership interest in or is employed by a | ||
community association management firm, or is directly | ||
employed by or provides services as an independent | ||
contractor to a community association; and | ||
(2) administers for remuneration the financial, | ||
administrative, maintenance, or other duties for the | ||
community association, including the following services: | ||
(A) collecting, controlling or disbursing funds of | ||
the community association or having the authority to | ||
do so; | ||
(B) preparing budgets or other financial documents | ||
for the community association; | ||
(C) assisting in the conduct of community | ||
association meetings; | ||
(D) maintaining association records; | ||
(E) administering association contracts or | ||
procuring goods and services in accordance with the | ||
declaration, bylaws, proprietary lease, declaration of | ||
covenants, or other governing document of the | ||
community association or at the direction of the board | ||
of managers; and |
(F) coordinating financial, administrative, | ||
maintenance, or other duties called for in the | ||
management contract, including individuals who are | ||
direct employees of the community association. | ||
"Community association manager" does not mean support | ||
staff, including, but not limited to bookkeepers, | ||
administrative assistants, secretaries, property inspectors, | ||
or customer service representatives. | ||
"Department" means the Department of Financial and | ||
Professional Regulation. | ||
"Designated community association manager" means a | ||
licensed community association
manager who: (1) has an | ||
ownership interest in or is employed by a community | ||
association
management firm to act as a controlling person; | ||
and (2) is the authorized signatory or has delegated
signing | ||
authority for the firm on community association accounts; and | ||
(3) supervises, manages,
and is responsible for the firm's | ||
community association manager activities pursuant to Section
| ||
50 of this Act. | ||
"Email address of record" means the designated email | ||
address recorded by the Department in the applicant's | ||
application file or the licensee's license file, as maintained | ||
by the Department. | ||
"License" means the privilege conferred by the Department
| ||
to a person that has fulfilled all requirements prerequisite | ||
to any type of licensure under this Act. |
"Licensee" means any person licensed under this Act a | ||
community association manager or a community association | ||
management firm . | ||
"Person" means any individual, corporation, partnership, | ||
limited liability company, or other legal entity. | ||
"Secretary" means the Secretary of Financial and | ||
Professional Regulation or the Secretary's designee.
| ||
(Source: P.A. 102-20, eff. 1-1-22 .) | ||
(225 ILCS 427/25) | ||
(Section scheduled to be repealed on January 1, 2027) | ||
Sec. 25. Community Association Manager Licensing and | ||
Disciplinary Board. | ||
(a) There is hereby created the Community Association | ||
Manager Licensing and Disciplinary Board, which shall consist | ||
of 7 members appointed by the Secretary. All members must be | ||
residents of the State and must have resided in the State for | ||
at least 5 years immediately preceding the date of | ||
appointment. Five members of the Board must be licensees under | ||
this Act. Two members of the Board shall be owners of, or hold | ||
a shareholder's interest in, a unit in a community association | ||
at the time of appointment who are not licensees under this Act | ||
and have no direct affiliation with the community | ||
association's community association manager. This Board shall | ||
act in an advisory capacity to the Department. | ||
(b) The term of each member shall be for 4 years and or |
until that member's successor is appointed. No member shall be | ||
reappointed to the Board for a term that would cause the | ||
member's cumulative service to the Board to exceed 10 years. | ||
Appointments to fill vacancies shall be made by the Secretary | ||
for the unexpired portion of the term. The Secretary shall | ||
remove from the Board any member whose license has become void | ||
or has been revoked or suspended and may remove any member of | ||
the Board for neglect of duty, misconduct, or incompetence. A | ||
member who is subject to formal disciplinary proceedings shall | ||
be disqualified from all Board business until the charge is | ||
resolved. A member also shall be disqualified from any matter | ||
on which the member cannot act objectively. | ||
(c) Four Board members shall constitute a quorum. A quorum | ||
is required for all Board decisions. A vacancy in the | ||
membership of the Board shall not impair the right of a quorum | ||
to exercise all of the rights and perform all of the duties of | ||
the Board. | ||
(d) The Board shall elect annually, at its first meeting | ||
of the fiscal year, a chairperson and vice chairperson. | ||
(e) Each member shall be reimbursed receive reimbursement | ||
as set by the Governor's Travel Control Board for necessary | ||
expenses incurred in carrying out the duties as a Board | ||
member. The Board may receive a per diem stipend in an amount | ||
to shall be compensated as determined by the Secretary. | ||
(f) The Board may recommend policies, procedures, and | ||
rules relevant to the administration and enforcement of this |
Act.
| ||
(g) Members of the Board shall be immune from suit in an | ||
action based upon any disciplinary proceedings or other acts | ||
performed in good faith as members of the Board. | ||
(Source: P.A. 102-20, eff. 1-1-22 .) | ||
(225 ILCS 427/55) | ||
(Section scheduled to be repealed on January 1, 2027) | ||
Sec. 55. Fidelity insurance; segregation of accounts. | ||
(a) The designated community association manager or the | ||
community association management firm that employs the | ||
designated community association manager shall not have access | ||
to and disburse community association funds unless each of the | ||
following conditions occur: | ||
(1) There is fidelity insurance in place to insure | ||
against loss or theft of community association funds. | ||
(2) The fidelity insurance is in the maximum amount of | ||
coverage available to protect funds in the custody or | ||
control of the designated community association manager or | ||
community association management firm providing service to | ||
the association. | ||
(3) During the term and coverage period of the | ||
insurance, the fidelity insurance shall cover: | ||
(A) the designated community association manager; | ||
(B) the community association management firm; | ||
(C) all community association managers; |
(D) all partners, officers, and employees of the | ||
community association management firm; and | ||
(E) the community association officers, directors, | ||
and employees. | ||
(4) The insurance company issuing the fidelity | ||
insurance may not cancel or refuse to renew the bond | ||
without giving at least 10 days' prior written notice. | ||
(5) Unless an agreement between the community | ||
association and the designated community association | ||
manager or the community association management firm | ||
provides to the contrary, a community association may | ||
secure and pay for the fidelity insurance required by this | ||
Section. The designated community association manager, all | ||
other licensees, and the community association management | ||
firm must be named as additional insured parties on the | ||
community association policy. If the fidelity insurance is | ||
not secured and paid for by the association, the community | ||
association manager or the community association | ||
management firm that secures and pays for the insurance | ||
shall provide a current certificate of fidelity insurance | ||
to the community association for which it provides | ||
community association management services within 10 days | ||
of a request for such certificate by the community | ||
association for its records. | ||
(b) A community association management firm that provides | ||
community association management services for more than one |
community association shall maintain separate, segregated | ||
accounts for each community association. The funds shall not, | ||
in any event, be commingled with the supervising community | ||
association manager's or community association management | ||
firm's funds. The funds shall not, in any event, be commingled | ||
with the funds of the community association manager, the | ||
community association management firm, or any other community | ||
association. The maintenance of such accounts shall be | ||
custodial, and such accounts shall be in the name of the | ||
respective community association. | ||
(c) The designated community association manager or | ||
community association management firm shall obtain the | ||
appropriate general liability and errors and omissions | ||
insurance, as determined by the Department, to cover any | ||
losses or claims against a community association manager, the | ||
designated community association manager, or the community | ||
association management firm. The community association manager | ||
or the community association management firm shall provide a | ||
current certificate of general liability and errors and | ||
omissions insurance to the community association for which it | ||
provides community association management services within 10 | ||
days of a request for such certificate by the community | ||
association for its records. | ||
(d) The Department shall have authority to promulgate | ||
additional rules regarding insurance, fidelity insurance and | ||
all accounts maintained and to be maintained by a community |
association manager, designated community association manager, | ||
or community association management firm.
| ||
(Source: P.A. 102-20, eff. 1-1-22 .) | ||
(225 ILCS 427/60) | ||
(Section scheduled to be repealed on January 1, 2027) | ||
Sec. 60. Licenses; renewals; restoration; person in | ||
military service. | ||
(a) The expiration date, fees, and renewal period for each | ||
license issued under this Act shall be set by rule. The | ||
Department may promulgate rules requiring continuing education | ||
and set all necessary requirements for such, including but not | ||
limited to fees, approved coursework, number of hours, and | ||
waivers of continuing education. | ||
(b) Any licensee who has an expired license may have the | ||
license restored by applying to the Department and filing | ||
proof acceptable to the Department of fitness to have the | ||
expired license restored, by which may include sworn evidence | ||
certifying to active practice in another jurisdiction | ||
satisfactory to the Department, complying with any continuing | ||
education requirements, and paying the required restoration | ||
fee. | ||
(c) Any person whose license expired while (i) in federal | ||
service on active duty with the Armed Forces of the United | ||
States or called into service or training with the State | ||
Militia or (ii) in training or education under the supervision |
of the United States preliminary to induction into the | ||
military service may have the license renewed or restored | ||
without paying any lapsed renewal fees if, within 2 years | ||
after honorable termination of the service, training or | ||
education, except under condition other than honorable, the | ||
licensee furnishes the Department with satisfactory evidence | ||
of engagement and that the service, training, or education has | ||
been so honorably terminated. | ||
(d) A community association manager or community | ||
association management firm that notifies the Department, in a | ||
manner prescribed by the Department, may place the license on | ||
inactive status for a period not to exceed 2 years and shall be | ||
excused from the payment of renewal fees until the person | ||
notifies the Department in writing of the intention to resume | ||
active practice. | ||
(e) A community association manager or , community | ||
association management firm requesting that the license be | ||
changed from inactive to active status shall be required to | ||
pay the current renewal fee and shall also demonstrate | ||
compliance with the continuing education requirements. | ||
(f) No licensee with a nonrenewed or inactive license | ||
status or community association management firm operating | ||
operation without a designated community association manager | ||
shall provide community association management services as set | ||
forth in this Act. | ||
(g) Any person violating subsection (f) of this Section |
shall be considered to be practicing without a license and | ||
will be subject to the disciplinary provisions of this Act. | ||
(h) The Department shall not renew a license if the | ||
licensee has an unpaid fine or fee from a disciplinary matter | ||
or an unpaid fee from a non-disciplinary action imposed by the | ||
Department until the fine or fee is paid to the Department or | ||
the licensee has entered into a payment plan and is current on | ||
the required payments. | ||
(i) The Department shall not issue a license if the | ||
applicant has an unpaid fine imposed by the Department for | ||
unlicensed practice until the fine is paid to the Department | ||
or the applicant has entered into a payment plan and is current | ||
on the required payments.
| ||
(Source: P.A. 102-20, eff. 1-1-22 .) | ||
(225 ILCS 427/65) | ||
(Section scheduled to be repealed on January 1, 2027) | ||
Sec. 65. Fees; Division of Real Estate General Community | ||
Association Manager Licensing and Disciplinary Fund. | ||
(a) The fees for the administration and enforcement of | ||
this Act, including, but not limited to, initial licensure, | ||
renewal, and restoration, shall be set by rule of the | ||
Department. The fees shall be nonrefundable. | ||
(b) In addition to the application fee, applicants for the | ||
examination are required to pay, either to the Department or | ||
the designated testing service, a fee covering the cost of |
determining an applicant's eligibility and providing the | ||
examination. Failure to appear for the examination on the | ||
scheduled date, at the time and place specified, after the | ||
applicant's application and fee for examination have been | ||
received and acknowledged by the Department or the designated | ||
testing service, shall result in the forfeiture of the fee. | ||
(c) Prior to July 1, 2023, all All fees, fines, penalties, | ||
or other monies received or collected pursuant to this Act | ||
shall be deposited in the Community Association Manager | ||
Licensing and Disciplinary Fund. Beginning on July 1, 2023, | ||
all fees, fines, penalties, or other monies received or | ||
collected pursuant to this Act shall be deposited in the | ||
Division of Real Estate General Fund.
| ||
(d) Moneys in the Community Association Manager Licensing | ||
and Disciplinary Fund and the Division of Real Estate General | ||
Fund may be transferred to the Professions Indirect Cost Fund, | ||
as authorized under Section 2105-300 of the Department of | ||
Professional Regulation Law of the Civil Administrative Code | ||
of Illinois. | ||
(e) Notwithstanding any other provision of law, in | ||
addition to any other transfers that may be provided by law, on | ||
July 1, 2023, or as soon thereafter as practical, the State | ||
Comptroller shall direct and the State Treasurer shall | ||
transfer the remaining balance from the Community Association | ||
Manager Licensing and Disciplinary Fund into the Division of | ||
Real Estate General Fund. Upon completion of the transfer, the |
Community Association Manager Licensing and Disciplinary Fund | ||
is dissolved, and any future deposits due to that Fund and any | ||
outstanding obligations or liabilities of that Fund pass to | ||
the Division of Real Estate General Fund. | ||
(Source: P.A. 102-20, eff. 1-1-22 .) | ||
Section 25. The Home Inspector License Act is amended by | ||
changing Sections 1-10, 5-16, 5-17, 15-5, and 25-5 and by | ||
adding Section 15-11 as follows:
| ||
(225 ILCS 441/1-10)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 1-10. Definitions. As used in this Act, unless the | ||
context
otherwise requires:
| ||
"Address of record" means the designated street address, | ||
which may not be a post office box, recorded by the Department | ||
in the applicant's or licensee's application file or license | ||
file as maintained by the Department. | ||
"Applicant" means a person who applies to the Department | ||
for a license under this
Act.
| ||
"Client" means a person who engages or seeks to engage the | ||
services of a
home inspector for an inspection assignment.
| ||
"Department" means the Department of Financial and | ||
Professional Regulation.
| ||
"Email address of record" means the designated email | ||
address recorded by the Department in the applicant's |
application file or the licensee's license file, as maintained | ||
by the Department. | ||
"Home inspection" means the examination and evaluation of | ||
the exterior and
interior components of residential real | ||
property, which includes the inspection
of any 2 or more of the | ||
following components of residential real property in
| ||
connection with or to facilitate the sale, lease, or other | ||
conveyance of, or
the proposed sale, lease or other conveyance | ||
of, residential real property:
| ||
(1) heating, ventilation, and air conditioning system;
| ||
(2) plumbing system;
| ||
(3) electrical system;
| ||
(4) structural composition;
| ||
(5) foundation;
| ||
(6) roof;
| ||
(7) masonry structure; or
| ||
(8) any other residential real property component as | ||
established by rule.
| ||
"Home inspector" means a person or entity who, for another | ||
and for compensation either
direct or indirect, performs home | ||
inspections.
| ||
"Home inspection report" or "inspection report" means a | ||
written evaluation
prepared and issued by a home inspector | ||
upon completion of a home inspection,
which meets the | ||
standards of practice as established by the Department.
| ||
"Inspection assignment" means an engagement for which a |
home inspector is
employed or retained to conduct a home | ||
inspection and prepare a home inspection
report.
| ||
"License" means the privilege conferred by the Department | ||
to a person who has fulfilled all requirements prerequisite to | ||
any type of licensure under this Act. | ||
"Licensee" means any person licensed under this Act a home | ||
inspector, home inspector entity, or home inspector education | ||
provider . | ||
"Person" means individuals, entities, corporations, | ||
limited liability
companies, registered limited liability | ||
partnerships, and partnerships, foreign
or domestic, except | ||
that when the context otherwise requires, the term may
refer | ||
to a single individual or other described entity.
| ||
"Residential real property" means real property that is | ||
used or intended to
be used as a residence by one or more | ||
individuals.
| ||
"Secretary" means the Secretary of Financial and | ||
Professional Regulation or the Secretary's designee. | ||
"Standards of practice" means recognized standards to be | ||
used in a
home
inspection, as determined by the Department and | ||
established by rule.
| ||
(Source: P.A. 102-20, eff. 1-1-22 .)
| ||
(225 ILCS 441/5-16)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 5-16. Renewal of license.
|
(a) The expiration date and renewal period for a home | ||
inspector license
issued under this Act shall be set by rule. | ||
Except as otherwise provided in
subsections (b) and (c) of | ||
this Section, the holder of a license may renew the
license | ||
within 90 days preceding the expiration date by:
| ||
(1) completing and submitting to the Department a | ||
renewal application in a manner prescribed by the | ||
Department;
| ||
(2) paying the required fees; and
| ||
(3) providing evidence of successful completion of the | ||
continuing
education requirements through courses approved | ||
by the Department given by
education providers licensed by | ||
the Department, as established by rule.
| ||
(b) A home inspector whose license under this Act has | ||
expired may
renew the license for a period of 2 years following | ||
the expiration
date by complying with the requirements of | ||
subparagraphs (1), (2), and (3) of
subsection (a) of
this
| ||
Section and paying any late penalties established by rule.
| ||
(c) Notwithstanding subsection (b), a
home inspector whose | ||
license under this Act has expired may renew
the license | ||
without paying any lapsed
renewal fees or late penalties if | ||
(i) the license expired while the home
inspector was on
active | ||
duty with the United States Armed Services, (ii) application | ||
for renewal
is made within
2 years following the termination | ||
of the military service or related education,
training, or
| ||
employment, and (iii) the applicant furnishes to the |
Department an affidavit that the applicant was so engaged.
| ||
(d) The Department shall provide reasonable care and due | ||
diligence to ensure that each
licensee under this Act is | ||
provided a renewal application at least 90 days
prior to the
| ||
expiration date, but it is the responsibility of each licensee | ||
to renew the
license prior to its expiration date.
| ||
(e) The Department shall not renew a license if the | ||
licensee has an unpaid fine or fee from a disciplinary matter | ||
or from a non-disciplinary action imposed by the Department | ||
until the fine or fee is paid to the Department or the licensee | ||
has entered into a payment plan and is current on the required | ||
payments. | ||
(f) The Department shall not issue a license if the | ||
applicant has an unpaid fine imposed by the Department for | ||
unlicensed practice until the fine is paid to the Department | ||
or the applicant has entered into a payment plan and is current | ||
on the required payments. | ||
(Source: P.A. 102-20, eff. 1-1-22 .)
| ||
(225 ILCS 441/5-17)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 5-17. Renewal of home inspector license; entity.
| ||
(a) The expiration date and renewal period for a home | ||
inspector
license for an entity that is not a natural person | ||
shall be set by rule. The
holder of
a license may renew the | ||
license within 90 days preceding the
expiration date by |
completing and submitting to the Department a renewal
| ||
application in a manner prescribed by the Department and | ||
paying the required fees.
| ||
(b) An entity that is not a natural person whose license | ||
under this Act has
expired may renew the license for a period | ||
of 2 years following
the expiration date by complying with the | ||
requirements of subsection
(a) of this Section and paying any | ||
late penalties established
by rule.
| ||
(c) The Department shall not renew a license if the | ||
licensee has an unpaid fine or fee from a disciplinary matter | ||
or from a non-disciplinary action imposed by the Department | ||
until the fine or fee is paid to the Department or the licensee | ||
has entered into a payment plan and is current on the required | ||
payments. | ||
(d) The Department shall not issue a license if the | ||
applicant has an unpaid fine imposed by the Department for | ||
unlicensed practice until the fine is paid to the Department | ||
or the applicant has entered into a payment plan and is current | ||
on the required payments. | ||
(Source: P.A. 102-20, eff. 1-1-22 .)
| ||
(225 ILCS 441/15-5)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 15-5. Unlicensed practice; civil penalty.
| ||
(a) Any person who practices, offers to practice, attempts | ||
to practice, or holds oneself himself or herself out to |
practice home inspection or as a home inspector without being | ||
licensed under this Act shall, in addition to
any other | ||
penalty provided by law, pay a
civil penalty to the Department | ||
in an amount not to exceed $25,000 for each violation of this | ||
Act as
determined by the Department. The civil penalty shall | ||
be assessed by the
Department after a
hearing is held in | ||
accordance with the provisions of this Act.
| ||
(b) The Department has the authority and power to | ||
investigate any
unlicensed activity.
| ||
(c) A civil penalty shall be paid within 60 days after the | ||
effective date
of the order imposing the civil penalty. The | ||
Department may petition the circuit
court for a
judgment to | ||
enforce the collection of the penalty. Prior to July 1, 2023, | ||
any Any civil penalties
collected under this Act shall be made | ||
payable to the Department and deposited into the Home | ||
Inspector Administration Fund. Beginning on July 1, 2023, any | ||
civil penalties collected under this Act shall be made payable | ||
to the Department and deposited into the Division of Real | ||
Estate General Fund.
| ||
(Source: P.A. 97-226, eff. 7-28-11 .)
| ||
(225 ILCS 441/15-11 new) | ||
Sec. 15-11. Illegal discrimination. When there has been an | ||
adjudication in a civil or criminal proceeding that a licensee | ||
has illegally discriminated while engaged in any activity for | ||
which a license is required under this Act, the Department, |
upon the recommendation of the Board as to the extent of the | ||
suspension or revocation, shall suspend or revoke the license | ||
of that licensee in a timely manner, unless the adjudication | ||
is in the appeal process. When there has been an order in an | ||
administrative proceeding finding that a licensee has | ||
illegally discriminated while engaged in any activity for | ||
which a license is required under this Act, the Department, | ||
upon recommendation of the Board as to the nature and extent of | ||
the discipline, shall take one or more of the disciplinary | ||
actions provided for in Section 15-10 of this Act in a timely | ||
manner, unless the administrative order is in the appeal | ||
process.
| ||
(225 ILCS 441/25-5)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 25-5. Division of Real Estate General Home Inspector | ||
Administration Fund; surcharge.
| ||
(a) The Home Inspector Administration Fund is
created as a | ||
special fund in the State Treasury. Prior to July 1, 2023, all | ||
All fees, fines, and
penalties received
by the Department | ||
under this Act shall be deposited into the Home Inspector
| ||
Administration Fund.
All earnings attributable to investment | ||
of funds in the Home Inspector
Administration Fund shall be | ||
credited to the Home Inspector Administration
Fund.
Subject to | ||
appropriation, the moneys in the Home Inspector
Administration | ||
Fund shall be appropriated to the Department for the expenses |
incurred by
the Department in the administration of this Act.
| ||
(a-5) The Division of Real Estate General Fund is created | ||
as a special fund in the State Treasury. Beginning on July 1, | ||
2023, all fees, fines, and penalties received by the | ||
Department under this Act shall be deposited into the Division | ||
of Real Estate General Fund. All earnings attributable to | ||
investment of funds in the Division of Real Estate General | ||
Fund shall be credited to the Division of Real Estate General | ||
Fund. Subject to appropriation, the moneys in the Division of | ||
Real Estate General Fund shall be appropriated to the | ||
Department for the expenses incurred by the Department in the | ||
administration of this Act. | ||
(b) (Blank).
| ||
(c) (Blank).
| ||
(c-5) Moneys in the Home Inspection Administration Fund | ||
and the Division of Real Estate General Fund may be | ||
transferred to the Professions Indirect Cost Fund, as | ||
authorized under Section 2105-300 of the Department of | ||
Professional Regulation Law of the Civil Administrative Code | ||
of Illinois.
| ||
(d) Upon the completion of
any audit of the Department, as | ||
prescribed by the Illinois State Auditing Act, that
includes | ||
an audit of the Home Inspector Administration Fund or the | ||
Division of Real Estate General Fund , the Department shall | ||
make
the audit report open to inspection by any interested | ||
person.
|
(e) Notwithstanding any other provision of law, in | ||
addition to any other transfers that may be provided by law, on | ||
July 1, 2023, or as soon thereafter as practical, the State | ||
Comptroller shall direct and the State Treasurer shall | ||
transfer the remaining balance from the Home Inspector | ||
Administration Fund into the Division of Real Estate General | ||
Fund. Upon completion of the transfer, the Home Inspector | ||
Administration Fund is dissolved, and any future deposits due | ||
to that Fund and any outstanding obligations or liabilities of | ||
that Fund pass to the Division of Real Estate General Fund. | ||
(Source: P.A. 97-226, eff. 7-28-11 .)
| ||
Section 30. The Real Estate License Act of 2000 is amended | ||
by changing Sections 1-10, 5-10, 5-25, 5-45, 5-50, 5-70, | ||
15-35, 15-45, 20-20, 20-20.1, 20-69, 20-75, 20-110, 25-10, | ||
30-15, and 30-25 and by adding Section 25-38 as follows:
| ||
(225 ILCS 454/1-10)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 1-10. Definitions. In this Act, unless the context | ||
otherwise requires:
| ||
"Act" means the Real Estate License Act of 2000.
| ||
"Address of record" means the designated address recorded | ||
by the Department in the applicant's or licensee's application | ||
file or license file as maintained by the Department.
| ||
"Agency" means a relationship in which a broker or |
licensee,
whether directly or through an affiliated licensee, | ||
represents a consumer by
the consumer's consent, whether | ||
express or implied, in a real property
transaction.
| ||
"Applicant" means any person, as defined in this Section, | ||
who applies to
the Department for a valid license as a managing | ||
broker, broker, or
residential leasing agent.
| ||
"Blind advertisement" means any real estate advertisement | ||
that is used by a licensee regarding the sale or lease of real | ||
estate, licensed activities, or the hiring of any licensee | ||
under this Act that does not
include the sponsoring broker's | ||
complete business name or, in the case of electronic | ||
advertisements, does not provide a direct link to a display | ||
with all the required disclosures. The broker's
business name | ||
in the case of a franchise shall include the franchise
| ||
affiliation as well as the name of the individual firm.
| ||
"Board" means the Real Estate Administration and | ||
Disciplinary Board of the Department as created by Section | ||
25-10 of this Act.
| ||
"Broker" means an individual, entity, corporation, foreign | ||
or domestic partnership, limited liability company,
registered | ||
limited liability partnership, or other business entity other | ||
than a residential leasing agent who, whether in person or | ||
through any media or technology, for another and for | ||
compensation, or
with the intention or expectation of | ||
receiving compensation, either
directly or indirectly:
| ||
(1) Sells, exchanges, purchases, rents, or leases real |
estate.
| ||
(2) Offers to sell, exchange, purchase, rent, or lease | ||
real estate.
| ||
(3) Negotiates, offers, attempts, or agrees to | ||
negotiate the sale,
exchange, purchase, rental, or leasing | ||
of real estate.
| ||
(4) Lists, offers, attempts, or agrees to list real | ||
estate for sale,
rent, lease, or exchange.
| ||
(5) Whether for another or themselves, engages in a | ||
pattern of business of buying, selling, offering to buy or | ||
sell, marketing for sale, exchanging, or otherwise dealing | ||
in contracts, including assignable contracts for the | ||
purchase or sale of, or options on
real estate or | ||
improvements thereon. For purposes of this definition, an | ||
individual or entity will be found to have engaged in a | ||
pattern of business if the individual or entity by itself | ||
or with any combination of other individuals or entities, | ||
whether as partners or common owners in another entity, | ||
has engaged in one or more of these practices on 2 or more | ||
occasions in any 12-month period.
| ||
(6) Supervises the collection, offer, attempt, or | ||
agreement
to collect rent for the use of real estate.
| ||
(7) Advertises or represents oneself himself or | ||
herself as being engaged in the
business of buying, | ||
selling, exchanging, renting, or leasing real estate.
| ||
(8) Assists or directs in procuring or referring of |
leads or prospects, intended to
result in the sale, | ||
exchange, lease, or rental of real estate.
| ||
(9) Assists or directs in the negotiation of any | ||
transaction intended to
result in the sale, exchange, | ||
lease, or rental of real estate.
| ||
(10) Opens real estate to the public for marketing | ||
purposes.
| ||
(11) Sells, rents, leases, or offers for sale or lease | ||
real estate at
auction.
| ||
(12) Prepares or provides a broker price opinion or | ||
comparative market analysis as those terms are defined in | ||
this Act, pursuant to the provisions of Section 10-45 of | ||
this Act. | ||
"Brokerage agreement" means a written or oral agreement | ||
between a sponsoring
broker and a consumer for licensed | ||
activities to be provided to a consumer in
return for | ||
compensation or the right to receive compensation from | ||
another.
Brokerage agreements may constitute either a | ||
bilateral or a unilateral
agreement between the broker and the | ||
broker's client depending upon the content
of the brokerage | ||
agreement. All exclusive brokerage agreements shall be in
| ||
writing.
| ||
"Broker price opinion" means an estimate or analysis of | ||
the probable selling price of a particular interest in real | ||
estate, which may provide a varying level of detail about the | ||
property's condition, market, and neighborhood and information |
on comparable sales. The activities of a real estate broker or | ||
managing broker engaging in the ordinary course of business as | ||
a broker, as defined in this Section, shall not be considered a | ||
broker price opinion if no compensation is paid to the broker | ||
or managing broker, other than compensation based upon the | ||
sale or rental of real estate. A broker price opinion shall not | ||
be considered an appraisal within the meaning of the Real | ||
Estate Appraiser Licensing Act of 2002, any amendment to that | ||
Act, or any successor Act. | ||
"Client" means a person who is being represented by a | ||
licensee.
| ||
"Comparative market analysis" means an analysis or opinion | ||
regarding pricing, marketing, or financial aspects relating to | ||
a specified interest or interests in real estate that may be | ||
based upon an analysis of comparative market data, the | ||
expertise of the real estate broker or managing broker, and | ||
such other factors as the broker or managing broker may deem | ||
appropriate in developing or preparing such analysis or | ||
opinion. The activities of a real estate broker or managing | ||
broker engaging in the ordinary course of business as a | ||
broker, as defined in this Section, shall not be considered a | ||
comparative market analysis if no compensation is paid to the | ||
broker or managing broker, other than compensation based upon | ||
the sale or rental of real estate. A comparative market | ||
analysis shall not be considered an appraisal within the | ||
meaning of the Real Estate Appraiser Licensing Act of 2002, |
any amendment to that Act, or any successor Act. | ||
"Compensation" means the valuable consideration given by | ||
one person or entity
to another person or entity in exchange | ||
for the performance of some activity or
service. Compensation | ||
shall include the transfer of valuable consideration,
| ||
including without limitation the following:
| ||
(1) commissions;
| ||
(2) referral fees;
| ||
(3) bonuses;
| ||
(4) prizes;
| ||
(5) merchandise;
| ||
(6) finder fees;
| ||
(7) performance of services;
| ||
(8) coupons or gift certificates;
| ||
(9) discounts;
| ||
(10) rebates;
| ||
(11) a chance to win a raffle, drawing, lottery, or | ||
similar game of chance
not prohibited by any other law or | ||
statute;
| ||
(12) retainer fee; or
| ||
(13) salary.
| ||
"Confidential information" means information obtained by a | ||
licensee from a
client during the term of a brokerage | ||
agreement that (i) was made confidential
by the written | ||
request or written instruction of the client, (ii) deals with
| ||
the negotiating position of the client, or (iii) is |
information the disclosure
of which could materially harm the | ||
negotiating position of the client, unless
at any time:
| ||
(1) the client permits the disclosure of information | ||
given by that client
by word or conduct;
| ||
(2) the disclosure is required by law; or
| ||
(3) the information becomes public from a source other | ||
than the licensee.
| ||
"Confidential information" shall not be considered to | ||
include material
information about the physical condition of | ||
the property.
| ||
"Consumer" means a person or entity seeking or receiving | ||
licensed
activities.
| ||
"Coordinator" means the Coordinator of Real Estate created | ||
in Section 25-15 of this Act.
| ||
"Credit hour" means 50 minutes of instruction in course | ||
work that
meets the requirements set forth in rules adopted by | ||
the Department.
| ||
"Customer" means a consumer who is not being represented | ||
by the licensee.
| ||
"Department" means the Department of Financial and | ||
Professional Regulation. | ||
"Designated agency" means a contractual relationship | ||
between a sponsoring
broker and a client under Section 15-50 | ||
of this Act in which one or more
licensees associated with or | ||
employed by the broker are designated as agent of
the client.
| ||
"Designated agent" means a sponsored licensee named by a |
sponsoring broker as
the legal agent of a client, as provided | ||
for in Section 15-50 of this Act.
| ||
"Designated managing broker" means a managing broker who | ||
has supervisory responsibilities for licensees in one or, in | ||
the case of a multi-office company, more than one office and | ||
who has been appointed as such by the sponsoring broker | ||
registered with the Department. | ||
"Director" means the Director of Real Estate within the | ||
Department of Financial and Professional Regulation. | ||
"Dual agency" means an agency relationship in which a | ||
licensee is
representing both buyer and seller or both | ||
landlord and tenant in the same
transaction. When the agency | ||
relationship is a designated agency, the
question of whether | ||
there is a dual agency shall be determined by the agency
| ||
relationships of the designated agent of the parties and not | ||
of the sponsoring
broker.
| ||
"Education provider" means a school licensed by the | ||
Department offering courses in pre-license, post-license, or | ||
continuing education required by this Act. | ||
"Employee" or other derivative of the word "employee", | ||
when used to refer to,
describe, or delineate the relationship | ||
between a sponsoring broker and a managing broker, broker, or | ||
a residential leasing agent, shall be
construed to include an | ||
independent contractor relationship, provided that a
written | ||
agreement exists that clearly establishes and states the | ||
relationship.
|
"Escrow moneys" means all moneys, promissory notes or any | ||
other type or
manner of legal tender or financial | ||
consideration deposited with any person for
the benefit of the | ||
parties to the transaction. A transaction exists once an
| ||
agreement has been reached and an accepted real estate | ||
contract signed or lease
agreed to by the parties. Escrow | ||
moneys includes without limitation earnest
moneys and security | ||
deposits, except those security deposits in which the
person | ||
holding the security deposit is also the sole owner of the | ||
property
being leased and for which the security deposit is | ||
being held.
| ||
"Electronic means of proctoring" means a methodology | ||
providing assurance that the person taking a test and | ||
completing the answers to questions is the person seeking | ||
licensure or credit for continuing education and is doing so | ||
without the aid of a third party or other device. | ||
"Exclusive brokerage agreement" means a written brokerage | ||
agreement that provides that the sponsoring broker has the | ||
sole right, through one or more sponsored licensees, to act as | ||
the exclusive agent or representative of the client and that | ||
meets the requirements of Section 15-75 of this Act.
| ||
"Inactive" means a status of licensure where the licensee | ||
holds a current
license under this Act, but the licensee is | ||
prohibited from engaging in
licensed activities because the | ||
licensee is unsponsored or the license of the
sponsoring | ||
broker with whom the licensee is associated or by whom the |
licensee he or she is
employed is currently expired, revoked, | ||
suspended, or otherwise rendered
invalid under this Act. The | ||
license of any business entity that is not in good standing | ||
with the Illinois Secretary of State, or is not authorized to | ||
conduct business in Illinois, shall immediately become | ||
inactive and that entity shall be prohibited from engaging in | ||
any licensed activities.
| ||
"Leads" means the name or names of a potential buyer, | ||
seller, lessor, lessee, or client of a licensee.
| ||
"License" means the privilege conferred by the Department | ||
to a person that has fulfilled all requirements prerequisite | ||
to any type of licensure under this
Act.
| ||
"Licensed activities" means those activities listed in the | ||
definition of
"broker" under this Section.
| ||
"Licensee" means any person licensed under this Act , as | ||
defined in this Section, who holds a
valid unexpired license | ||
as a managing broker, broker, or
residential leasing agent .
| ||
"Listing presentation" means any communication, written or | ||
oral and by any means or media, between a managing broker or
| ||
broker and a consumer in which the licensee is attempting to | ||
secure a
brokerage agreement with the consumer to market the | ||
consumer's real estate for
sale or lease.
| ||
"Managing broker" means a licensee who may be authorized | ||
to assume responsibilities as a designated managing broker for
| ||
licensees in one or, in the case of a multi-office company, | ||
more than one
office, upon appointment by the sponsoring |
broker and registration with the Department. A managing broker | ||
may act as one's his or her own sponsor.
| ||
"Medium of advertising" means any method of communication | ||
intended to
influence the general public to use or purchase a | ||
particular good or service or
real estate, including, but not | ||
limited to, print, electronic, social media, and digital | ||
forums.
| ||
"Office" means a broker's place of business where the | ||
general
public is invited to transact business and where | ||
records may be maintained and
licenses readily available | ||
displayed , whether or not it is the broker's principal place | ||
of
business.
| ||
"Person" means and includes individuals, entities, | ||
corporations, limited
liability companies, registered limited | ||
liability partnerships, foreign and domestic
partnerships, and | ||
other business entities, except that when the context | ||
otherwise
requires, the term may refer to a single individual | ||
or other described entity.
| ||
"Proctor" means any person, including, but not limited to, | ||
an instructor, who has a written agreement to administer | ||
examinations fairly and impartially with a licensed education | ||
provider. | ||
"Real estate" means and includes leaseholds as well as any | ||
other interest or
estate in land, whether corporeal, | ||
incorporeal, freehold, or non-freehold and whether the real | ||
estate is situated in this
State or elsewhere. "Real estate" |
does not include property sold, exchanged, or leased as a | ||
timeshare or similar vacation item or interest, vacation club | ||
membership, or other activity formerly regulated under the | ||
Real Estate Timeshare Act of 1999 (repealed).
| ||
"Regular employee" means a person working an average of 20 | ||
hours per week for a person or entity who would be considered | ||
as an employee under the Internal Revenue Service rules for | ||
classifying workers.
| ||
"Renewal period" means the period beginning 90 days prior | ||
to the expiration date of a license. | ||
"Residential leasing agent" means a person who is employed | ||
by a broker to
engage in licensed activities limited to | ||
leasing residential real estate who
has obtained a license as | ||
provided for in Section 5-5 of this Act. | ||
"Secretary" means the Secretary of the Department of | ||
Financial and Professional Regulation, or a person authorized | ||
by the Secretary to act in the Secretary's stead. | ||
"Sponsoring broker" means the broker who certifies to the | ||
Department his, her, or its sponsorship of a
licensed managing | ||
broker, broker, or a residential leasing agent.
| ||
"Sponsorship" means that a sponsoring broker has certified | ||
to the Department that a managing broker, broker,
or | ||
residential leasing agent named thereon is employed by or | ||
associated by written
agreement with the sponsoring broker and | ||
the Department has registered the sponsorship, as provided for | ||
in Section
5-40 of this Act.
|
"Team" means any 2 or more licensees who work together to | ||
provide real estate brokerage services, represent themselves | ||
to the public as being part of a team or group, are identified | ||
by a team name that is different than their sponsoring | ||
broker's name, and together are supervised by the same | ||
managing broker and sponsored by the same sponsoring broker. | ||
"Team" does not mean a separately organized, incorporated, or | ||
legal entity. | ||
(Source: P.A. 100-188, eff. 1-1-18; 100-534, eff. 9-22-17; | ||
100-831, eff. 1-1-19; 100-863, eff. 8-14-18; 101-357, eff. | ||
8-9-19.)
| ||
(225 ILCS 454/5-10)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 5-10. Requirements for license as a residential | ||
leasing agent; continuing education. | ||
(a) Every applicant for licensure as a residential leasing | ||
agent must meet the following qualifications: | ||
(1) be at least 18 years of age; | ||
(2) be of good moral
character; | ||
(3) successfully complete
a 4-year course of study in | ||
a high school or secondary school or an
equivalent course | ||
of
study approved by the state in which the school is | ||
located, or possess a high school equivalency certificate, | ||
which shall be verified under oath by the applicant; | ||
(4) personally take and pass a written
examination |
authorized by the Department sufficient to demonstrate the | ||
applicant's
knowledge of the
provisions of this Act | ||
relating to residential leasing agents and the applicant's
| ||
competence to engage in the
activities of a licensed | ||
residential leasing agent; | ||
(5) provide satisfactory evidence of having completed | ||
15 hours of
instruction in an approved course of study | ||
relating to the leasing of residential real property. The | ||
Board may recommend to the Department the number of hours | ||
each topic of study shall require. The
course of study | ||
shall, among other topics, cover
the provisions of this | ||
Act
applicable to residential leasing agents; fair housing | ||
and human rights issues relating to residential
leasing; | ||
advertising and marketing issues;
leases, applications, | ||
and credit and criminal background reports; owner-tenant | ||
relationships and
owner-tenant laws; the handling of | ||
funds; and
environmental issues relating
to residential | ||
real
property; | ||
(6) complete any other requirements as set forth by | ||
rule; and
| ||
(7) present a valid application for issuance of an | ||
initial license accompanied by fees specified by rule. | ||
(b) No applicant shall engage in any of the activities | ||
covered by this Act without a valid license and until a valid | ||
sponsorship has been registered with the Department. | ||
(c) Successfully completed course work, completed pursuant |
to the
requirements of this
Section, may be applied to the | ||
course work requirements to obtain a managing
broker's or
| ||
broker's license as provided by rule. The Board may
recommend | ||
to the Department and the Department may adopt requirements | ||
for approved courses, course
content, and the
approval of | ||
courses, instructors, and education providers, as well as | ||
education provider and instructor
fees. The Department may
| ||
establish continuing education requirements for residential | ||
licensed leasing agents, by
rule, consistent with the language | ||
and intent of this Act, with the advice of
the Board.
| ||
(d) The continuing education requirement for residential | ||
leasing agents shall consist of a single core curriculum to be | ||
prescribed by the Department as recommended by the Board. | ||
Leasing agents shall be required to complete no less than 8 | ||
hours of continuing education in the core curriculum during | ||
the current term of the license for each 2-year renewal | ||
period . The curriculum shall, at a minimum, consist of a | ||
single course or courses on the subjects of fair housing and | ||
human rights issues related to residential leasing, | ||
advertising and marketing issues, leases, applications, credit | ||
reports, and criminal history, the handling of funds, | ||
owner-tenant relationships and owner-tenant laws, and | ||
environmental issues relating to residential real estate. | ||
(Source: P.A. 100-188, eff. 1-1-18; 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/5-25)
|
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 5-25. Good moral character.
| ||
(a) When an applicant has had a his or her license revoked | ||
on a prior occasion
or when an
applicant is found to have | ||
committed any of the practices enumerated in Section
20-20 of | ||
this Act or when an
applicant has been convicted of or enters a | ||
plea of guilty or nolo contendere to forgery, embezzlement, | ||
obtaining money under
false pretenses,
larceny, extortion, | ||
conspiracy to defraud, or any other similar offense or
| ||
offenses or has been
convicted of a felony involving moral | ||
turpitude in any court of competent
jurisdiction in this or | ||
any
other state, district, or territory of the United States | ||
or of a foreign
country, the Board may consider
the prior | ||
revocation, conduct, or conviction in its determination of the
| ||
applicant's moral character
and whether to grant the applicant | ||
a license.
| ||
(b) In its consideration of the prior revocation, conduct, | ||
or conviction, the Board shall take into account the nature of | ||
the conduct, any aggravating or extenuating circumstances, the | ||
time elapsed since the revocation, conduct, or conviction, the | ||
rehabilitation or restitution performed by the applicant, | ||
mitigating factors, and any other factors that the Board deems | ||
relevant, including, but not limited to: | ||
(1) the lack of direct relation of the offense for | ||
which the applicant was previously convicted to the | ||
duties, functions, and responsibilities of the position |
for which a license is sought; | ||
(2) unless otherwise specified, whether 5 years since | ||
a felony conviction or 3 years since release from | ||
confinement for the conviction, whichever is later, have | ||
passed without a subsequent conviction; | ||
(3) if the applicant was previously licensed or | ||
employed in this State or other states or jurisdictions, | ||
the lack of prior misconduct arising from or related to | ||
the licensed position or position of employment; | ||
(4) the age of the person at the time of the criminal | ||
offense; | ||
(5) if, due to the applicant's criminal conviction | ||
history, the applicant would be explicitly prohibited by | ||
federal rules or regulations from working in the position | ||
for which a license is sought; | ||
(6) successful completion of sentence and, for | ||
applicants serving a term of parole or probation, a | ||
progress report provided by the applicant's probation or | ||
parole officer that documents the applicant's compliance | ||
with conditions of supervision; | ||
(7) evidence of the applicant's present fitness and | ||
professional character; | ||
(8) evidence of rehabilitation or rehabilitative | ||
effort during or after incarceration, or during or after a | ||
term of supervision, including, but not limited to, a | ||
certificate of good conduct under Section 5-5.5-25 of the |
Unified Code of Corrections or a certificate of relief | ||
from disabilities under Section 5-5.5-10 of the Unified | ||
Code of Corrections; and | ||
(9) any other mitigating factors that contribute to | ||
the person's potential and current ability to perform the | ||
job duties. | ||
(c) The Department shall not require applicants to report | ||
the following information and shall not consider the following | ||
criminal history records in connection with an application for | ||
licensure or registration: | ||
(1) juvenile adjudications of delinquent minors as | ||
defined in Section 5-105 of the Juvenile Court Act of 1987 | ||
subject to the restrictions set forth in Section 5-130 of | ||
that Act; | ||
(2) law enforcement records, court records, and | ||
conviction records of an individual who was 17 years old | ||
at the time of the offense and before January 1, 2014, | ||
unless the nature of the offense required the individual | ||
to be tried as an adult; | ||
(3) records of arrests not followed by a charge or | ||
conviction; | ||
(4) records of arrests where the charges were | ||
dismissed unless related to the practice of the | ||
profession; however, applicants shall not be asked to | ||
report any arrests, and an arrest not followed by a | ||
conviction shall not be the basis of a denial and may be |
used only to assess an applicant's rehabilitation; | ||
(5) convictions overturned by a higher court; or | ||
(6) convictions or arrests that have been sealed or | ||
expunged. | ||
(d) If an applicant makes a false statement of material | ||
fact on the his or her application, the false statement may in | ||
itself be sufficient grounds to revoke or refuse to issue a | ||
license. | ||
(e) A licensee shall report to the Department, in a manner | ||
prescribed by the Department and within 30 days after the | ||
occurrence of: (1) any conviction of or adopted by rule, any | ||
plea of guilty, or nolo contendere to forgery, embezzlement, | ||
obtaining money under false pretenses, larceny, extortion, | ||
conspiracy to defraud, or any similar offense or offenses or | ||
any conviction of a felony involving moral turpitude ; (2) the | ||
entry of an administrative sanction by a government agency in | ||
this State or any other jurisdiction that has as an essential | ||
element dishonesty or fraud or involves larceny, embezzlement, | ||
or obtaining money, property, or credit by false pretenses; or | ||
(3) any crime that subjects the licensee to compliance with | ||
the requirements of the Sex Offender Registration Act that | ||
occurs during the licensee's term of licensure . | ||
(Source: P.A. 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/5-45)
| ||
(Section scheduled to be repealed on January 1, 2030)
|
Sec. 5-45. Offices.
| ||
(a) If a sponsoring broker maintains more than one office | ||
within the State,
the sponsoring
broker shall notify the | ||
Department in a manner prescribed by the Department for each | ||
office other than the
sponsoring broker's
principal place of | ||
business. The brokerage license shall be displayed
| ||
conspicuously in each
office. The name of each branch office | ||
shall be the same as that of the
sponsoring broker's
principal | ||
office or shall clearly delineate the office's relationship
| ||
with the principal office.
| ||
(b) The sponsoring broker shall name a designated managing | ||
broker for each
office and the
sponsoring broker shall be | ||
responsible for supervising all designated managing brokers.
| ||
The sponsoring
broker shall notify the Department in a manner | ||
prescribed by the Department of the name of all designated | ||
managing brokers of the
sponsoring broker and the office or | ||
offices they manage.
Any changes in designated managing | ||
brokers shall be reported to the Department in a manner | ||
prescribed by the Department within 15
days of the
change. | ||
Failure to do so shall subject the sponsoring broker to | ||
discipline
under
Section 20-20 of this Act.
| ||
(c) The sponsoring broker shall, within 24 hours, notify | ||
the Department in a manner prescribed by the Department of any
| ||
opening, closing, or
change in location of any office.
| ||
(d) Except as provided in this Section, each sponsoring | ||
broker shall
maintain an office,
or place of business within |
this State for the transaction of real estate
business, shall | ||
conspicuously
display an identification sign on the outside of | ||
the his or her physical office of adequate
size and | ||
visibility. Any record required by this Act to be created or | ||
maintained shall be, in the case of a physical record, | ||
securely stored and accessible for inspection by the | ||
Department at the sponsoring broker's principal office and, in | ||
the case of an electronic record, securely stored in the | ||
format in which it was originally generated, sent, or received | ||
and accessible for inspection by the Department by secure | ||
electronic access to the record. Any record relating to a | ||
transaction of a special account shall be maintained for a | ||
minimum of 5 years, and any electronic record shall be backed | ||
up at least monthly. The office or place of business shall not | ||
be located in any
retail or financial business
establishment | ||
unless it is clearly separated from the other business and is | ||
situated within a
distinct area within
the establishment. | ||
(e) A broker who is licensed in this State by examination | ||
or
pursuant to the
provisions of Section 5-60 of this Act shall | ||
not be required to maintain a
definite office or place of
| ||
business in this State provided all of the following | ||
conditions are met:
| ||
(1) the broker maintains an
active broker's license in | ||
the broker's state of domicile;
| ||
(2) the broker
maintains an office in the
broker's | ||
state of domicile; and
|
(3) the broker has filed with the Department written
| ||
statements appointing the
Secretary to act as the broker's | ||
agent upon whom all judicial and other
process or legal | ||
notices
directed to the licensee may be served and | ||
agreeing to abide by all of the
provisions of this Act
with | ||
respect to the broker's his or her real estate activities | ||
within the State of Illinois
and
submitting to the | ||
jurisdiction
of the Department.
| ||
The statements under subdivision (3) of this Section shall | ||
be in form and
substance the same as those
statements required
| ||
under Section 5-60 of this Act and shall operate to the same | ||
extent.
| ||
(f) The Department may adopt rules to permit and regulate | ||
the operation of virtual offices that do not have a fixed | ||
location. | ||
(Source: P.A. 100-831, eff. 1-1-19; 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/5-50)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 5-50. Expiration and renewal of managing broker, | ||
broker, or residential
leasing agent license; sponsoring | ||
broker;
register of licensees. | ||
(a) The expiration date and renewal period for each | ||
license issued under
this Act shall be set by
rule. Except as | ||
otherwise provided in this Section, the holder of
a
license | ||
may renew
the license within 90 days preceding the expiration |
date thereof by completing the continuing education required | ||
by this Act and paying the
fees specified by
rule.
| ||
(b) An individual whose first license is that of a broker | ||
received on or after the effective date of this amendatory Act | ||
of the 101st General Assembly, must provide evidence of having | ||
completed 45 hours of post-license education presented in a | ||
classroom or a live, interactive webinar, or online distance | ||
education course, and which shall require passage of a final | ||
examination.
| ||
The Board may recommend, and the Department shall approve, | ||
45 hours of post-license education, consisting of three | ||
15-hour post-license courses, one each that covers applied | ||
brokerage principles, risk management/discipline, and | ||
transactional issues. Each of the courses shall require its | ||
own 50-question final examination, which shall be administered | ||
by the education provider that delivers the course. | ||
Individuals whose first license is that of a broker | ||
received on or after the effective date of this amendatory Act | ||
of the 101st General Assembly, must complete all three 15-hour | ||
courses and successfully pass a course final examination for | ||
each course prior to the date of the next broker renewal | ||
deadline, except for those individuals who receive their first | ||
license within the 180 days preceding the next broker renewal | ||
deadline, who must complete all three 15-hour courses and | ||
successfully pass a course final examination for each course | ||
prior to the second broker renewal deadline that follows the |
receipt of their license. | ||
(c) Any managing broker, broker, or residential leasing | ||
agent whose license under this Act has expired shall be | ||
eligible to renew the license during the 2-year period | ||
following the expiration date, provided the managing broker, | ||
broker, or residential leasing agent pays the fees as | ||
prescribed by rule and completes continuing education and | ||
other requirements provided for by the Act or by rule. A | ||
managing broker, broker, or residential leasing agent whose | ||
license has been expired for more than 2 years but less than 5 | ||
years may have it restored by (i) applying to the Department, | ||
(ii) paying the required fee, (iii) completing the continuing | ||
education requirements for the most recent term of licensure | ||
pre-renewal period that ended prior to the date of the | ||
application for reinstatement, and (iv) filing acceptable | ||
proof of fitness to have the his or her license restored, as | ||
set by rule. A managing broker, broker, or residential leasing | ||
agent whose license has been expired for more than 5 years | ||
shall be required to meet the requirements for a new license.
| ||
(d) Notwithstanding any other provisions of this Act to | ||
the contrary, any managing broker, broker, or residential | ||
leasing agent whose license expired while the licensee he or | ||
she was (i) on active duty with the Armed Forces of the United | ||
States or called into service or training by the state | ||
militia, (ii) engaged in training or education under the | ||
supervision of the United States preliminary to induction into |
military service, or (iii) serving as the Coordinator of Real | ||
Estate in the State of Illinois or as an employee of the | ||
Department may have the his or her license renewed, reinstated | ||
or restored without paying any lapsed renewal fees if within 2 | ||
years after the termination of the service, training or | ||
education by furnishing the Department with satisfactory | ||
evidence of service, training, or education and it has been | ||
terminated under honorable conditions. | ||
(e) Each licensee shall carry on one's his or her person | ||
the his or
her license or an electronic version thereof. | ||
(f) The Department shall provide to the sponsoring broker | ||
a notice of renewal for all sponsored licensees by mailing the | ||
notice to the sponsoring broker's address of record, or, at | ||
the Department's discretion, emailing the notice to the | ||
sponsoring broker's email address of record. | ||
(g) Upon request from the sponsoring broker, the | ||
Department shall make available to the sponsoring broker, by | ||
electronic means at the discretion of the Department, a | ||
listing of licensees under this Act who, according to the | ||
records of the Department, are sponsored by that broker. Every | ||
licensee associated with or employed by a broker whose license | ||
is revoked, suspended, or expired shall be considered inactive | ||
until such time as the sponsoring broker's license is | ||
reinstated or renewed, or a new valid sponsorship is | ||
registered with the Department the licensee changes employment | ||
as set forth in subsection (b) (c) of Section 5-40 of this Act. |
(h) The Department shall not renew a license if the | ||
licensee has an unpaid fine or fee from a disciplinary matter | ||
from a non-disciplinary action imposed by the Department until | ||
the fine or fee is paid to the Department or the licensee has | ||
entered into a payment plan and is current on the required | ||
payments. | ||
(i) The Department shall not issue a license if the | ||
applicant has an unpaid fine imposed by the Department for | ||
unlicensed practice until the fine is paid to the Department | ||
or the applicant has entered into a payment plan and is current | ||
on the required payments. | ||
(Source: P.A. 100-188, eff. 1-1-18; 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/5-70)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 5-70. Continuing education requirement; managing | ||
broker or broker.
| ||
(a) The requirements of this Section apply to all managing | ||
brokers and brokers.
| ||
(b) Except as otherwise
provided in this Section, each
| ||
person who applies for renewal of a his or her license as a | ||
managing broker or broker must successfully complete 12 hours | ||
of real estate continuing education
courses recommended by the | ||
Board and approved by
the Department during the current term | ||
of the license. In addition, those licensees renewing or | ||
obtaining a managing broker's license must successfully |
complete a 12-hour broker management continuing education | ||
course approved by the Department during the current term of | ||
the license. The broker management continuing education course | ||
must be completed in the classroom or through a live, | ||
interactive webinar or online distance education format. No
| ||
license may be renewed
except upon the successful completion | ||
of the required courses or their
equivalent or upon a waiver
of | ||
those requirements for good cause shown as determined by the | ||
Secretary upon
the
recommendation of the Board.
The | ||
requirements of this Article are applicable to all managing | ||
brokers and brokers
except those managing brokers
and brokers | ||
who, during the current term of licensure renewal period :
| ||
(1) serve in the armed services of the United States;
| ||
(2) serve as an elected State or federal official;
| ||
(3) serve as a full-time employee of the Department; | ||
or
| ||
(4) are admitted to practice law pursuant to Illinois | ||
Supreme Court rule.
| ||
(c) (Blank). | ||
(d) A
person receiving an initial license
during the 90 | ||
days before the renewal date shall not be
required to complete | ||
the continuing
education courses provided for in subsection | ||
(b) of this
Section as a condition of initial license renewal.
| ||
(e) The continuing education requirement for brokers and | ||
managing brokers shall
consist of a single core
curriculum and | ||
an elective curriculum, to be recommended by the Board and |
approved by the Department in accordance with this subsection. | ||
The core curriculum shall not be further divided into | ||
subcategories or divisions of instruction. The core curriculum | ||
shall consist of 4 hours during the current term of the license | ||
on subjects that may include, but are not limited to, | ||
advertising, agency, disclosures, escrow, fair housing, | ||
residential leasing agent management, and license law. The | ||
amount of time allotted to each of these subjects shall be | ||
recommended by the Board and determined by the Department. The | ||
Department, upon the recommendation of the Board, shall review | ||
the core curriculum every 4 years, at a minimum, and shall | ||
revise the curriculum if necessary. However, the core | ||
curriculum's total hourly requirement shall only be subject to | ||
change by amendment of this subsection, and any change to the | ||
core curriculum shall not be effective for a period of 6 months | ||
after such change is made by the Department. The Department | ||
shall provide notice to all approved education providers of | ||
any changes to the core curriculum. When determining whether | ||
revisions of the core curriculum's subjects or specific time | ||
requirements are necessary, the Board shall consider
recent | ||
changes in applicable laws, new laws, and areas
of the license | ||
law and the Department policy that the Board deems | ||
appropriate,
and any other subject
areas the Board deems | ||
timely and applicable in order to prevent
violations of this | ||
Act
and to protect the public.
In establishing a | ||
recommendation to the Department regarding the elective |
curriculum, the Board shall consider
subjects that cover
the | ||
various aspects of the practice of real estate that are | ||
covered under the
scope of this Act.
| ||
(f) The subject areas of continuing education courses | ||
recommended by the Board and approved by the Department shall | ||
be meant to protect the professionalism of the industry, the | ||
consumer, and the public and prevent violations of this Act | ||
and
may
include without limitation the following:
| ||
(1) license law and escrow;
| ||
(2) antitrust;
| ||
(3) fair housing;
| ||
(4) agency;
| ||
(5) appraisal;
| ||
(6) property management;
| ||
(7) residential brokerage;
| ||
(8) farm property management;
| ||
(9) transaction management rights and duties of | ||
parties in a transaction;
| ||
(10) commercial brokerage and leasing;
| ||
(11) real estate financing;
| ||
(12) disclosures; | ||
(13) residential leasing agent management; | ||
(14) advertising; | ||
(15) broker supervision and designated managing broker | ||
responsibility; | ||
(16) professional conduct; and |
(17) use of technology. | ||
(g) In lieu of credit for those courses listed in | ||
subsection (f) of this
Section, credit may be
earned for | ||
serving as a licensed instructor in an approved course of | ||
continuing
education. The
amount of credit earned for teaching | ||
a course shall be the amount of continuing
education credit | ||
for
which the course is approved for licensees taking the | ||
course.
| ||
(h) Credit hours may be earned for self-study programs | ||
approved by the Department.
| ||
(i) A managing broker or broker may earn credit for a | ||
specific continuing
education course only
once during the | ||
current term of the license.
| ||
(j) No more than 12 hours of continuing education credit | ||
may be taken in one
calendar day.
| ||
(k) To promote the offering of a uniform and consistent | ||
course content, the Department may provide for the development | ||
of a single broker management course to be offered by all | ||
education providers who choose to offer the broker management | ||
continuing education course. The Department may contract for | ||
the development of the 12-hour broker management continuing | ||
education course with an outside vendor or consultant and, if | ||
the course is developed in this manner, the Department or the | ||
outside consultant shall license the use of that course to all | ||
approved education providers who wish to provide the course.
| ||
(l) Except as specifically provided in this Act, |
continuing education credit hours may not be earned for | ||
completion of pre-license or post-license courses. The courses | ||
comprising the approved 45-hour post-license curriculum for | ||
broker licensees shall satisfy the continuing education | ||
requirement for the initial broker license term period in | ||
which the courses are taken . The approved 45-hour managing | ||
broker pre-license brokerage administration and management | ||
course shall satisfy the 12-hour broker management continuing | ||
education requirement for the initial managing broker license | ||
term in which the course is taken . | ||
(Source: P.A. 100-188, eff. 1-1-18; 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/15-35)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 15-35. Agency relationship disclosure.
| ||
(a) A licensee acting as a designated agent shall advise a | ||
consumer in writing, no later than beginning to work as a | ||
designated agent on behalf of the consumer, of the following:
| ||
(1) That a designated agency relationship exists, | ||
unless there is written
agreement
between the sponsoring | ||
broker and the consumer providing for a different agency
| ||
relationship; and
| ||
(2) The name or names of the his or her designated | ||
agent or agents on the written disclosure, which can be | ||
included in a brokerage agreement or be a separate | ||
document, a copy of which is retained by the sponsoring |
broker real estate brokerage firm for the licensee.
| ||
(b) The licensee representing the consumer shall discuss | ||
with the consumer the sponsoring broker's compensation and | ||
policy with regard to
cooperating with
brokers who represent | ||
other parties in a transaction.
| ||
(c) A licensee shall disclose in writing to a customer | ||
that the licensee is
not acting as the agent
of the customer at | ||
a time intended to prevent disclosure of confidential
| ||
information from a
customer to a licensee, but in no event | ||
later than the preparation of an offer
to purchase or lease | ||
real
property.
| ||
(Source: P.A. 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/15-45)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 15-45. Dual agency.
| ||
(a) An individual licensee may act as a dual agent or a | ||
sponsoring broker may permit one or more of its sponsored | ||
licensees to act as dual agents in the same transaction only | ||
with the informed written
consent of all clients.
Informed | ||
written consent shall be presumed to have been given by any | ||
client who
signs a document
that includes the following:
| ||
"The undersigned (insert name(s)), ("Licensee"), may | ||
undertake a dual
representation (represent
both the seller | ||
or landlord and the buyer or tenant) for the sale or lease | ||
of
property. The
undersigned acknowledge they were |
informed of the possibility of this type of
| ||
representation.
Before signing this document please read | ||
the following:
Representing more than one party to a | ||
transaction presents a conflict of
interest since both | ||
clients
may rely upon Licensee's advice and the client's | ||
respective interests may be
adverse to each other.
| ||
Licensee will undertake this representation only with the | ||
written consent of
ALL clients in the
transaction.
Any | ||
agreement between the clients as to a final contract price | ||
and other terms
is a result of
negotiations between the | ||
clients acting in their own best interests and on
their | ||
own behalf. You
acknowledge that Licensee has explained | ||
the implications of dual
representation, including the
| ||
risks involved, and understand that you have been advised | ||
to seek independent
advice from your
advisors or attorneys | ||
before signing any documents in this transaction.
| ||
WHAT A LICENSEE CAN DO FOR CLIENTS
| ||
WHEN ACTING AS A DUAL AGENT
| ||
1. Treat all clients honestly.
| ||
2. Provide information about the property to the buyer or | ||
tenant.
| ||
3. Disclose all latent material defects in the property | ||
that are known to
the
Licensee.
| ||
4. Disclose financial qualification of the buyer or tenant | ||
to the seller or
landlord.
| ||
5. Explain real estate terms.
|
6. Help the buyer or tenant to arrange for property | ||
inspections.
| ||
7. Explain closing costs and procedures.
| ||
8. Help the buyer compare financing alternatives.
| ||
9. Provide information about comparable properties that | ||
have sold so both
clients may
make educated decisions on | ||
what price to accept or offer.
| ||
WHAT LICENSEE CANNOT DISCLOSE TO CLIENTS WHEN
| ||
ACTING AS A DUAL AGENT
| ||
1. Confidential information that Licensee may know about a | ||
client,
without that
client's permission.
| ||
2. The price or terms the seller or landlord will take | ||
other than the listing price
without
permission of the | ||
seller or landlord.
| ||
3. The price or terms the buyer or tenant is willing to pay | ||
without permission of the
buyer or tenant.
| ||
4. A recommended or suggested price or terms the buyer or | ||
tenant should offer.
| ||
5. A recommended or suggested price or terms the seller or | ||
landlord should counter
with or
accept.
| ||
If either client is uncomfortable with this disclosure | ||
and dual
representation, please
let Licensee know.
You are | ||
not required to sign this document unless you want to | ||
allow Licensee to
proceed as a Dual Agent in this | ||
transaction.
By signing below, you acknowledge that you | ||
have read and understand this form
and voluntarily consent |
to Licensee acting as a Dual Agent (that is, to
represent
| ||
BOTH the seller or landlord and the buyer or tenant) | ||
should that become
necessary."
| ||
(b) The dual agency disclosure form provided for in | ||
subsection (a) of this
Section must be
presented by a | ||
licensee, who offers dual representation, to the client at the
| ||
time the brokerage
agreement is entered into and may be signed | ||
by the client at that time or at
any time before the
licensee | ||
acts as a dual agent as to the client.
| ||
(c) A licensee acting in a dual agency capacity in a | ||
transaction must obtain
a written
confirmation from the | ||
licensee's clients of their prior consent for the
licensee to
| ||
act as a dual agent in the
transaction.
This confirmation | ||
should be obtained at the time the clients are executing any
| ||
offer or contract to
purchase or lease in a transaction in | ||
which the licensee is acting as a dual
agent. This | ||
confirmation
may be included in another document, such as a | ||
contract to purchase, in which
case the client must
not only | ||
sign the document but also initial the confirmation of dual | ||
agency
provision. That
confirmation must state, at a minimum, | ||
the following:
| ||
"The undersigned confirm that they have previously | ||
consented to (insert
name(s)),
("Licensee"), acting as a | ||
Dual Agent in providing brokerage services on their
behalf
| ||
and specifically consent to Licensee acting as a Dual | ||
Agent in regard to the
transaction referred to in this |
document."
| ||
(d) No cause of action shall arise on behalf of any person | ||
against a dual
agent for making
disclosures allowed or | ||
required by this Article, and the dual agent does not
| ||
terminate any agency
relationship by making the allowed or | ||
required disclosures.
| ||
(e) In the case of dual agency, each client and the | ||
licensee possess only
actual knowledge and
information. There | ||
shall be no imputation of knowledge or information among or
| ||
between clients,
brokers, or their affiliated licensees.
| ||
(f) In any transaction, a licensee may without liability | ||
withdraw from
representing a client who
has not consented to a | ||
disclosed dual agency. The withdrawal shall not
prejudice the | ||
ability of the
licensee to continue to represent the other | ||
client in the transaction or limit
the licensee from
| ||
representing the client in other transactions. When a | ||
withdrawal as
contemplated in this subsection
(f) occurs, the | ||
licensee shall not receive a referral fee for referring a
| ||
client to another licensee unless
written disclosure is made | ||
to both the withdrawing client and the client that
continues | ||
to be
represented by the licensee.
| ||
(g) A licensee shall not serve as a dual agent in any | ||
transaction when the licensee, or an entity in which the | ||
licensee has or will have any ownership interest, is a party to | ||
the transaction. | ||
(Source: P.A. 101-357, eff. 8-9-19.)
|
(225 ILCS 454/20-20)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 20-20. Nature of and grounds for discipline. | ||
(a) The Department may refuse to issue or renew a license, | ||
may place on probation, suspend,
or
revoke any
license, | ||
reprimand, or take any other disciplinary or non-disciplinary | ||
action as the Department may deem proper and impose a
fine not | ||
to exceed
$25,000 upon any licensee or applicant under this | ||
Act or any person who holds oneself himself or herself out as | ||
an applicant or licensee or against a licensee in handling | ||
one's his or her own property, whether held by deed, option, or | ||
otherwise, for any one or any combination of the
following | ||
causes:
| ||
(1) Fraud or misrepresentation in applying for, or | ||
procuring, a license under this Act or in connection with | ||
applying for renewal of a license under this Act.
| ||
(2) The licensee's conviction of or plea of guilty or | ||
plea of nolo contendere , as set forth in subsection (e) of | ||
Section 5-25, to: (A) a felony or misdemeanor in this | ||
State or any other jurisdiction; or (B) the entry of an | ||
administrative sanction by a government agency in this | ||
State or any other jurisdiction ; or (C) any crime that | ||
subjects the licensee to compliance with the requirements | ||
of the Sex Offender Registration Act . Action taken under | ||
this paragraph (2) for a misdemeanor or an administrative |
sanction is limited to a misdemeanor or administrative | ||
sanction that has as an
essential element dishonesty or | ||
fraud or involves larceny, embezzlement,
or obtaining | ||
money, property, or credit by false pretenses or by means | ||
of a
confidence
game.
| ||
(3) Inability to practice the profession with | ||
reasonable judgment, skill, or safety as a result of a | ||
physical illness, including, but not limited to, | ||
deterioration through the aging process or loss of motor | ||
skill, or a mental illness , or disability.
| ||
(4) Practice under this Act as a licensee in a retail | ||
sales establishment from an office, desk, or space that
is | ||
not
separated from the main retail business and located | ||
within a separate and distinct area within
the
| ||
establishment.
| ||
(5) Having been disciplined by another state, the | ||
District of Columbia, a territory, a foreign nation, or a | ||
governmental agency authorized to impose discipline if at | ||
least one of the grounds for that discipline is the same as | ||
or
the
equivalent of one of the grounds for which a | ||
licensee may be disciplined under this Act. A certified | ||
copy of the record of the action by the other state or | ||
jurisdiction shall be prima facie evidence thereof.
| ||
(6) Engaging in the practice of real estate brokerage
| ||
without a
license or after the licensee's license or | ||
temporary permit was expired or while the license was |
inactive, revoked, or suspended.
| ||
(7) Cheating on or attempting to subvert the Real
| ||
Estate License Exam or a continuing education course or | ||
examination. | ||
(8) Aiding or abetting an applicant
to
subvert or | ||
cheat on the Real Estate License Exam or continuing | ||
education exam
administered pursuant to this Act.
| ||
(9) Advertising that is inaccurate, misleading, or | ||
contrary to the provisions of the Act.
| ||
(10) Making any substantial misrepresentation or | ||
untruthful advertising.
| ||
(11) Making any false promises of a character likely | ||
to influence,
persuade,
or induce.
| ||
(12) Pursuing a continued and flagrant course of | ||
misrepresentation or the
making
of false promises through | ||
licensees, employees, agents, advertising, or
otherwise.
| ||
(13) Any misleading or untruthful advertising, or | ||
using any trade name or
insignia of membership in any real | ||
estate organization of which the licensee is
not a member.
| ||
(14) Acting for more than one party in a transaction | ||
without providing
written
notice to all parties for whom | ||
the licensee acts.
| ||
(15) Representing or attempting to represent, or | ||
performing licensed activities for, a broker other than | ||
the
sponsoring broker.
| ||
(16) Failure to account for or to remit any moneys or |
documents coming into the licensee's
his or her possession | ||
that belong to others.
| ||
(17) Failure to maintain and deposit in a special | ||
account, separate and
apart from
personal and other | ||
business accounts, all escrow moneys belonging to others
| ||
entrusted to a licensee
while acting as a broker, escrow | ||
agent, or temporary custodian of
the funds of others or
| ||
failure to maintain all escrow moneys on deposit in the | ||
account until the
transactions are
consummated or | ||
terminated, except to the extent that the moneys, or any | ||
part
thereof, shall be: | ||
(A)
disbursed prior to the consummation or | ||
termination (i) in accordance with
the
written | ||
direction of
the principals to the transaction or | ||
their duly authorized agents, (ii) in accordance with
| ||
directions providing for the
release, payment, or | ||
distribution of escrow moneys contained in any written
| ||
contract signed by the
principals to the transaction | ||
or their duly authorized agents,
or (iii)
pursuant to | ||
an order of a court of competent
jurisdiction; or | ||
(B) deemed abandoned and transferred to the Office | ||
of the State Treasurer to be handled as unclaimed | ||
property pursuant to the Revised Uniform Unclaimed | ||
Property Act. Escrow moneys may be deemed abandoned | ||
under this subparagraph (B) only: (i) in the absence | ||
of disbursement under subparagraph (A); (ii) in the |
absence of notice of the filing of any claim in a court | ||
of competent jurisdiction; and (iii) if 6 months have | ||
elapsed after the receipt of a written demand for the | ||
escrow moneys from one of the principals to the | ||
transaction or the principal's duly authorized agent.
| ||
The account
shall be noninterest
bearing, unless the | ||
character of the deposit is such that payment of interest
| ||
thereon is otherwise
required by law or unless the | ||
principals to the transaction specifically
require, in | ||
writing, that the
deposit be placed in an interest-bearing | ||
account.
| ||
(18) Failure to make available to the Department all | ||
escrow records and related documents
maintained in | ||
connection
with the practice of real estate within 24 | ||
hours of a request for those
documents by Department | ||
personnel.
| ||
(19) Failing to furnish copies upon request of | ||
documents relating to a
real
estate transaction to a party | ||
who has executed that document.
| ||
(20) Failure of a sponsoring broker or licensee to | ||
timely provide sponsorship or termination of sponsorship | ||
information to the Department.
| ||
(21) Engaging in dishonorable, unethical, or | ||
unprofessional conduct of a
character
likely to deceive, | ||
defraud, or harm the public, including, but not limited | ||
to, conduct set forth in rules adopted by the Department.
|
(22) Commingling the money or property of others with | ||
the licensee's his or her own money or property.
| ||
(23) Employing any person on a purely temporary or | ||
single deal basis as a
means
of evading the law regarding | ||
payment of commission to nonlicensees on some
contemplated
| ||
transactions.
| ||
(24) Permitting the use of one's his or her license as | ||
a broker to enable a residential
leasing agent or
| ||
unlicensed person to operate a real estate business | ||
without actual
participation therein and control
thereof | ||
by the broker.
| ||
(25) Any other conduct, whether of the same or a | ||
different character from
that
specified in this Section, | ||
that constitutes dishonest dealing.
| ||
(26) Displaying a "for rent" or "for sale" sign on any | ||
property without
the written
consent of an owner or the | ||
owner's his or her duly authorized agent or advertising by | ||
any
means that any property is
for sale or for rent without | ||
the written consent of the owner or the owner's his or her
| ||
authorized agent.
| ||
(27) Failing to provide information requested by the | ||
Department, or otherwise respond to that request, within | ||
30 days of
the
request.
| ||
(28) Advertising by means of a blind advertisement, | ||
except as otherwise
permitted in Section 10-30 of this | ||
Act.
|
(29) A licensee under this Act or an unlicensed | ||
individual offering guaranteed sales plans, as defined in | ||
Section 10-50, except to
the extent set forth in Section | ||
10-50.
| ||
(30) Influencing or attempting to influence, by any | ||
words or acts, a
prospective
seller, purchaser, occupant, | ||
landlord, or tenant of real estate, in connection
with | ||
viewing, buying, or
leasing real estate, so as to promote | ||
or tend to promote the continuance
or maintenance of
| ||
racially and religiously segregated housing or so as to | ||
retard, obstruct, or
discourage racially
integrated | ||
housing on or in any street, block, neighborhood, or | ||
community.
| ||
(31) Engaging in any act that constitutes a violation | ||
of any provision of
Article 3 of the Illinois Human Rights | ||
Act, whether or not a complaint has
been filed with or
| ||
adjudicated by the Human Rights Commission.
| ||
(32) Inducing any party to a contract of sale or lease | ||
or brokerage
agreement to
break the contract of sale or | ||
lease or brokerage agreement for the purpose of
| ||
substituting, in lieu
thereof, a new contract for sale or | ||
lease or brokerage agreement with a third
party.
| ||
(33) Negotiating a sale, exchange, or lease of real | ||
estate directly with
any person
if the licensee knows that | ||
the person has an exclusive brokerage
agreement with | ||
another
broker, unless specifically authorized by that |
broker.
| ||
(34) When a licensee is also an attorney, acting as | ||
the attorney for
either the
buyer or the seller in the same | ||
transaction in which the licensee is acting or
has acted | ||
as a managing broker
or broker.
| ||
(35) Advertising or offering merchandise or services | ||
as free if any
conditions or
obligations necessary for | ||
receiving the merchandise or services are not
disclosed in | ||
the same
advertisement or offer. These conditions or | ||
obligations include without
limitation the
requirement | ||
that the recipient attend a promotional activity or visit | ||
a real
estate site. As used in this
subdivision (35), | ||
"free" includes terms such as "award", "prize", "no | ||
charge",
"free of charge",
"without charge", and similar | ||
words or phrases that reasonably lead a person to
believe | ||
that one he or she
may receive or has been selected to | ||
receive something of value, without any
conditions or
| ||
obligations on the part of the recipient.
| ||
(36) (Blank).
| ||
(37) Violating the terms of a disciplinary order
| ||
issued by the Department.
| ||
(38) Paying or failing to disclose compensation in | ||
violation of Article 10 of this Act.
| ||
(39) Requiring a party to a transaction who is not a | ||
client of the
licensee
to allow the licensee to retain a | ||
portion of the escrow moneys for payment of
the licensee's |
commission or expenses as a condition for release of the | ||
escrow
moneys to that party.
| ||
(40) Disregarding or violating any provision of this | ||
Act or the published
rules adopted
by the Department to | ||
enforce this Act or aiding or abetting any individual, | ||
foreign or domestic
partnership, registered limited | ||
liability partnership, limited liability
company, | ||
corporation, or other business entity in
disregarding any | ||
provision of this Act or the published rules adopted by | ||
the Department
to enforce this Act.
| ||
(41) Failing to provide the minimum services required | ||
by Section 15-75 of this Act when acting under an | ||
exclusive brokerage agreement.
| ||
(42) Habitual or excessive use of or addiction to | ||
alcohol, narcotics, stimulants, or any other chemical | ||
agent or drug that results in a managing broker, broker, | ||
or residential leasing agent's inability to practice with | ||
reasonable skill or safety. | ||
(43) Enabling, aiding, or abetting an auctioneer, as | ||
defined in the Auction License Act, to conduct a real | ||
estate auction in a manner that is in violation of this | ||
Act. | ||
(44) Permitting any residential leasing agent or | ||
temporary residential leasing agent permit holder to | ||
engage in activities that require a broker's or managing | ||
broker's license. |
(45) Failing to notify the Department , of any criminal | ||
conviction that occurs during the licensee's term of | ||
licensure within 30 days after the occurrence, of the | ||
information required in subsection (e) of Section 5-25 | ||
conviction . | ||
(46) A designated managing broker's failure to provide | ||
an appropriate written company policy or failure to | ||
perform any of the duties set forth in Section 10-55. | ||
(b) The Department may refuse to issue or renew or may | ||
suspend the license of any person who fails to file a return, | ||
pay the tax, penalty or interest shown in a filed return, or | ||
pay any final assessment of tax, penalty, or interest, as | ||
required by any tax Act administered by the Department of | ||
Revenue, until such time as the requirements of that tax Act | ||
are satisfied in accordance with subsection (g) of Section | ||
2105-15 of the Department of Professional Regulation Law of | ||
the Civil Administrative Code of Illinois. | ||
(c) (Blank). | ||
(d) In cases where the Department of Healthcare and Family | ||
Services (formerly Department of Public Aid) has previously | ||
determined that a licensee or a potential licensee is more | ||
than 30 days delinquent in the payment of child support and has | ||
subsequently certified the delinquency to the Department may | ||
refuse to issue or renew or may revoke or suspend that person's | ||
license or may take other disciplinary action against that | ||
person based solely upon the certification of delinquency made |
by the Department of Healthcare and Family Services in | ||
accordance with item (5) of subsection (a) of Section 2105-15 | ||
of the Department of Professional Regulation Law of the Civil | ||
Administrative Code of Illinois. | ||
(e) (Blank). In enforcing this Section, the Department or | ||
Board upon a showing of a possible violation may compel an | ||
individual licensed to practice under this Act, or who has | ||
applied for licensure under this Act, to submit to a mental or | ||
physical examination, or both, as required by and at the | ||
expense of the Department. The Department or Board may order | ||
the examining physician to present testimony concerning the | ||
mental or physical examination of the licensee or applicant. | ||
No information shall be excluded by reason of any common law or | ||
statutory privilege relating to communications between the | ||
licensee or applicant and the examining physician. The | ||
examining physicians shall be specifically designated by the | ||
Board or Department. The individual to be examined may have, | ||
at his or her own expense, another physician of his or her | ||
choice present during all aspects of this examination. Failure | ||
of an individual to submit to a mental or physical | ||
examination, when directed, shall be grounds for suspension of | ||
his or her license until the individual submits to the | ||
examination if the Department finds, after notice and hearing, | ||
that the refusal to submit to the examination was without | ||
reasonable cause. | ||
If the Department or Board finds an individual unable to |
practice because of the reasons set forth in this Section, the | ||
Department or Board may require that individual to submit to | ||
care, counseling, or treatment by physicians approved or | ||
designated by the Department or Board, as a condition, term, | ||
or restriction for continued, reinstated, or renewed licensure | ||
to practice; or, in lieu of care, counseling, or treatment, | ||
the Department may file, or the Board may recommend to the | ||
Department to file, a complaint to immediately suspend, | ||
revoke, or otherwise discipline the license of the individual. | ||
An individual whose license was granted, continued, | ||
reinstated, renewed, disciplined or supervised subject to such | ||
terms, conditions, or restrictions, and who fails to comply | ||
with such terms, conditions, or restrictions, shall be | ||
referred to the Secretary for a determination as to whether | ||
the individual shall have his or her license suspended | ||
immediately, pending a hearing by the Department. | ||
In instances in which the Secretary immediately suspends a | ||
person's license under this Section, a hearing on that | ||
person's license must be convened by the Department within 30 | ||
days after the suspension and completed without appreciable | ||
delay. The Department and Board shall have the authority to | ||
review the subject individual's record of treatment and | ||
counseling regarding the impairment to the extent permitted by | ||
applicable federal statutes and regulations safeguarding the | ||
confidentiality of medical records. | ||
An individual licensed under this Act and affected under |
this Section shall be afforded an opportunity to demonstrate | ||
to the Department or Board that he or she can resume practice | ||
in compliance with acceptable and prevailing standards under | ||
the provisions of his or her license. | ||
(Source: P.A. 100-22, eff. 1-1-18; 100-188, eff. 1-1-18; | ||
100-534, eff. 9-22-17; 100-831, eff. 1-1-19; 100-863, eff. | ||
8-14-18; 100-872, eff. 8-14-18; 101-81, eff. 7-12-19; 101-357, | ||
eff. 8-9-19.)
| ||
(225 ILCS 454/20-20.1) | ||
(Section scheduled to be repealed on January 1, 2030) | ||
Sec. 20-20.1. Citations. | ||
(a) The Department may adopt rules to permit the issuance | ||
of citations to any licensee for failure to comply with the | ||
continuing education requirements set forth in this Act or as | ||
adopted by rule. The citation shall be issued to the licensee, | ||
and a copy shall be sent to the licensee's his or her | ||
designated managing broker and sponsoring broker. The citation | ||
shall contain the licensee's name and address, the licensee's | ||
license number, the number of required hours of continuing | ||
education that have not been successfully completed by the | ||
licensee's licensee within the renewal deadline period , and | ||
the penalty imposed, which shall not exceed $2,000. The | ||
issuance of any such citation shall not excuse the licensee | ||
from completing all continuing education required for that | ||
term of licensure renewal period . |
(b) Service of a citation shall be made by in person, | ||
electronically, or by mail to the licensee at the licensee's | ||
address of record or email address of record, and must clearly | ||
state that if the cited licensee wishes to dispute the | ||
citation, the cited licensee he or she may make a written | ||
request, within 30 days after the citation is served, for a | ||
hearing before the Department. If the cited licensee does not | ||
request a hearing within 30 days after the citation is served, | ||
then the citation shall become a final, non-disciplinary | ||
order, and any fine imposed is due and payable within 60 days | ||
after that final order. If the cited licensee requests a | ||
hearing within 30 days after the citation is served, the | ||
Department shall afford the cited licensee a hearing conducted | ||
in the same manner as a hearing provided for in this Act for | ||
any violation of this Act and shall determine whether the | ||
cited licensee committed the violation as charged and whether | ||
the fine as levied is warranted. If the violation is found, any | ||
fine shall constitute non-public discipline and be due and | ||
payable within 30 days after the order of the Secretary, which | ||
shall constitute a final order of the Department. No change in | ||
license status may be made by the Department until such time as | ||
a final order of the Department has been issued. | ||
(c) Payment of a fine that has been assessed pursuant to | ||
this Section shall not constitute disciplinary action | ||
reportable on the Department's website or elsewhere unless a | ||
licensee has previously received 2 or more citations and has |
been assessed paid 2 or more fines. | ||
(d) Nothing in this Section shall prohibit or limit the | ||
Department from taking further action pursuant to this Act and | ||
rules for additional, repeated, or continuing violations.
| ||
(Source: P.A. 101-357, eff. 8-9-19.) | ||
(225 ILCS 454/20-69) | ||
(Section scheduled to be repealed on January 1, 2030) | ||
Sec. 20-69. Restoration of a suspended or revoked license. | ||
At any time after the successful completion of a term of | ||
suspension or revocation of an individual's a license, the | ||
Department may restore it to the licensee, upon the written | ||
recommendation of the Board, unless after an investigation and | ||
a hearing the Board determines that restoration is not in the | ||
public interest.
| ||
(Source: P.A. 96-856, eff. 12-31-09 .)
| ||
(225 ILCS 454/20-75)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 20-75. Administrative Review venue.
| ||
(a) All final administrative decisions of the Department | ||
are subject to judicial review under
the Administrative Review | ||
Law and its
rules. The term "administrative decision" is
| ||
defined in Section 3-101
of the Code of Civil Procedure. | ||
(b) Proceedings for judicial review shall be commenced in | ||
the circuit court of the court in which the party applying for |
review resides, but if the party is not a resident of Illinois, | ||
the venue shall be in Sangamon County or Cook County.
| ||
(Source: P.A. 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/20-110)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 20-110. Disciplinary actions of the Department not | ||
limited. Nothing contained in Sections 20-82 20-80 through | ||
20-100 of this Act limits the
authority of the Department
to | ||
take
disciplinary action against any licensee for a violation | ||
of this Act or the
rules of the Department, nor shall the | ||
repayment in full of all obligations to the Real Estate
| ||
Recovery Fund by any
licensee nullify or modify the effect of | ||
any other disciplinary proceeding
brought pursuant to this
| ||
Act.
| ||
(Source: P.A. 96-856, eff. 12-31-09 .)
| ||
(225 ILCS 454/25-10)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 25-10. Real Estate Administration and Disciplinary
| ||
Board;
duties.
There is created the Real Estate Administration | ||
and Disciplinary Board.
The Board shall be composed of 15 | ||
persons appointed by the Governor. Members
shall be
appointed | ||
to the Board subject to the following conditions:
| ||
(1) All members shall have been residents and citizens | ||
of this State for
at least 6 years
prior to the date of |
appointment.
| ||
(2) Twelve members shall have been actively engaged as | ||
managing brokers or
brokers or both for
at least the 10 | ||
years prior to the appointment, 2 of whom must possess an | ||
active pre-license instructor license.
| ||
(3) Three members of the Board shall be public members | ||
who represent
consumer
interests.
| ||
None of these members shall be (i) a person who is licensed | ||
under this
Act or a similar Act of another jurisdiction, (ii) | ||
the spouse or immediate family member of a licensee, or (iii) a | ||
person who has an ownership interest in a
real estate | ||
brokerage
business , or (iv) a person the Department determines | ||
to have any other connection with a real estate brokerage | ||
business or a licensee .
| ||
The members' terms shall be for 4 years and until a | ||
successor is appointed expire upon completion of the term . No | ||
member shall be reappointed to the Board for a term that would | ||
cause the member's his or her cumulative service to the Board | ||
to exceed 10 years.
Appointments to fill vacancies shall be | ||
for the unexpired portion of the term. Those members of the | ||
Board that satisfy the requirements of paragraph (2) shall be | ||
chosen in a manner such that no area of the State shall be | ||
unreasonably represented.
In making the appointments, the | ||
Governor shall give
due consideration
to the recommendations | ||
by members and organizations of the profession.
The Governor | ||
may terminate the appointment of any member for cause that in |
the
opinion of the
Governor reasonably justifies the | ||
termination. Cause for termination shall
include without | ||
limitation
misconduct, incapacity, neglect of duty, or missing | ||
4 board meetings during any
one fiscal
calendar year.
Each | ||
member of the Board may receive a per diem stipend in an amount | ||
to be
determined by the Secretary. While engaged in the | ||
performance of duties, each Each member shall be reimbursed | ||
for paid his or her necessary expenses while
engaged in the
| ||
performance of his or her duties . Such compensation and | ||
expenses shall be paid
out of the Real Estate
License | ||
Administration Fund.
The Secretary shall consider the | ||
recommendations of the Board on questions
involving
standards | ||
of professional conduct, discipline, education, and policies | ||
and procedures
under this Act. With regard to this subject | ||
matter, the Secretary may establish temporary or permanent | ||
committees of the Board and may consider the recommendations | ||
of the Board on matters that include, but are not limited to, | ||
criteria for the licensing and renewal of education providers, | ||
pre-license and continuing education instructors, pre-license | ||
and continuing education curricula, standards of educational | ||
criteria, and qualifications for licensure and renewal of | ||
professions, courses, and instructors. The Department, after | ||
notifying and considering the recommendations of the Board, if | ||
any,
may issue rules,
consistent with the provisions of this | ||
Act, for the administration and
enforcement thereof and may
| ||
prescribe forms that shall be used in connection therewith. |
Eight Board members shall constitute a quorum. A quorum is | ||
required for all Board decisions. A vacancy in the membership | ||
of the Board shall not impair the right of a quorum to exercise | ||
all of the rights and perform all of the duties of the Board. | ||
The Board shall elect annually, at its first meeting of | ||
the fiscal year, a vice chairperson who shall preside, with | ||
voting privileges, at meetings when the chairperson is not | ||
present. Members of the Board shall be immune from suit in an | ||
action based upon any disciplinary proceedings or other acts | ||
performed in good faith as members of the Board.
| ||
(Source: P.A. 99-227, eff. 8-3-15; 100-188, eff. 1-1-18; | ||
100-886, eff. 8-14-18 .)
| ||
(225 ILCS 454/25-38 new) | ||
Sec. 25-38. Real Estate Audit Fund. Notwithstanding any | ||
other provision of law, in addition to any other transfers | ||
that may be provided by law, on July 1, 2023, or as soon | ||
thereafter as practical, the State Comptroller shall direct | ||
and the State Treasurer shall transfer the remaining balance | ||
from the Real Estate Audit Fund into the Real Estate License | ||
Administration Fund. Upon completion of the transfer, the Real | ||
Estate Audit Fund is dissolved, and any future deposits due to | ||
that Fund and any outstanding obligations or liabilities of | ||
that Fund pass to the Real Estate License Administration Fund. | ||
This Section is repealed on October 1, 2023.
|
(225 ILCS 454/30-15)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 30-15. Licensing of education providers; approval of
| ||
courses. | ||
(a) (Blank).
| ||
(b) (Blank).
| ||
(c) (Blank).
| ||
(d) (Blank).
| ||
(e) (Blank).
| ||
(f) All education providers shall submit, at the time of | ||
initial
application and
with each license renewal, a list of | ||
courses with course materials that comply with the course | ||
requirements in this Act to be
offered by the education | ||
provider. The Department may establish an online mechanism by | ||
which education providers may submit for approval by the | ||
Department upon the recommendation of the Board or its | ||
designee pre-license, post-license, or continuing education | ||
courses that
are submitted
after the time of the education | ||
provider's initial license application or renewal. The | ||
Department shall provide to each education provider
a | ||
certificate for each approved pre-license, post-license, or | ||
continuing education course. All pre-license, post-license, or
| ||
continuing education
courses shall be valid for the period | ||
coinciding with the term of license of
the education provider. | ||
However, in no case shall a course continue to be valid if it | ||
does not, at all times, meet all of the requirements of the |
core curriculum established by this Act and the Board, as | ||
modified from time to time in accordance with this Act. All | ||
education providers shall provide a copy of the
certificate of | ||
the pre-license, post-license, or continuing
education course | ||
within the course materials given to each student or shall
| ||
display a copy of the
certificate of the pre-license, | ||
post-license, or continuing education course in a conspicuous | ||
place at the
location of the class.
| ||
(g) Each education provider shall provide to the | ||
Department a report
in a
frequency and format determined by | ||
the Department, with information concerning students who
| ||
successfully completed all
approved pre-license, post-license, | ||
or continuing education courses offered by the education | ||
provider.
| ||
(h) The Department, upon the recommendation of the Board, | ||
may temporarily
suspend a licensed education provider's | ||
approved courses without
hearing and refuse to
accept | ||
successful completion of or participation in any of these | ||
pre-license, post-license, or continuing
education courses for
| ||
education credit from that education provider upon the failure | ||
of that
education provider
to comply with the provisions of | ||
this Act or the rules for the administration
of this Act, until | ||
such
time as the Department receives satisfactory assurance of | ||
compliance. The Department shall notify
the
education provider | ||
of the noncompliance and may initiate disciplinary
proceedings | ||
pursuant to
this Act. The Department
may refuse to issue, |
suspend, revoke, or otherwise discipline the license
of an
| ||
education provider or may withdraw approval of a pre-license, | ||
post-license, or continuing education course for
good cause.
| ||
Failure to comply with the requirements of this Section or any | ||
other
requirements
established by rule shall
be deemed to be | ||
good cause. Disciplinary proceedings shall be conducted by the
| ||
Board in the same
manner as other disciplinary proceedings | ||
under this Act.
| ||
(i) Pre-license, post-license, and continuing education | ||
courses, whether submitted for approval at the time of an | ||
education provider's initial application for licensure or | ||
otherwise, must meet the following minimum course | ||
requirements: | ||
(1) Continuing education courses No continuing | ||
education course shall be required to be at least one hour | ||
taught in increments longer than 2 hours in duration . For | ||
; however, for each one hour of course time in each course , | ||
there shall be a minimum of 50 minutes of instruction. | ||
(2) All core curriculum courses shall be provided only | ||
in the classroom or through a live, interactive webinar or | ||
online distance education format. | ||
(3) Courses provided through a live, interactive | ||
webinar shall require all participants to demonstrate | ||
their attendance in and attention to the course by | ||
answering or responding to at least one polling question | ||
per 50 minutes of course instruction. |
(4) All participants in courses provided in an online | ||
distance education format shall demonstrate proficiency | ||
with the subject matter of the course through verifiable | ||
responses to questions included in the course content. | ||
(5) Credit for courses completed in a classroom or | ||
through a live, interactive webinar or online distance | ||
education format shall not require an examination. | ||
(6) Credit for courses provided through | ||
correspondence, or by home study, shall require the | ||
passage of an in-person, proctored examination. | ||
(j) The Department is authorized to engage a third party | ||
as the Board's designee to perform the functions specifically | ||
provided for in subsection (f) of this Section, namely that of | ||
administering the online system for receipt, review, and | ||
approval or denial of new courses. | ||
(k) The Department may adopt any administrative rule | ||
consistent with the language and intent of this Act that may be | ||
necessary for the implementation and enforcement of this | ||
Section. | ||
(Source: P.A. 100-188, eff. 1-1-18; 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/30-25)
| ||
(Section scheduled to be repealed on January 1, 2030)
| ||
Sec. 30-25. Licensing of education provider instructors.
| ||
(a) No person shall act as either a pre-license or | ||
continuing education instructor without possessing a
valid |
pre-license or continuing
education instructor license and | ||
satisfying any other qualification criteria adopted by the | ||
Department by rule.
| ||
(a-5) Each person with a valid pre-license instructor | ||
license may teach pre-license, post-license, continuing | ||
education core curriculum, continuing education elective | ||
curriculum, or broker management education courses if they | ||
meet specific criteria adopted by the Department by rule. | ||
Those persons who have not met the criteria or who only possess | ||
a valid continuing education instructor license shall only | ||
teach continuing education elective curriculum courses. Any | ||
person with a valid continuing education instructor license | ||
who wishes to teach continuing education core curriculum or | ||
broker management continuing education courses must obtain a | ||
valid pre-license instructor license. | ||
(b) Every person who desires to obtain an education | ||
provider instructor's license shall attend and successfully | ||
complete a one-day instructor development workshop, as | ||
approved by the Department. However, pre-license instructors | ||
who have complied with subsection (b) of this Section 30-25 | ||
shall not be required to complete the instructor workshop in | ||
order to teach continuing education elective curriculum | ||
courses. | ||
(b-5) The term of licensure for a pre-license or | ||
continuing education instructor shall be 2 years, with renewal | ||
dates adopted by rule. Every person who desires to obtain a |
pre-license or continuing education instructor
license shall | ||
make
application to the Department in a manner prescribed by | ||
the Department, accompanied
by the fee adopted
by rule. In | ||
addition to any other information required to be
contained in | ||
the application,
every application for an original license | ||
shall include the
applicant's Social Security
number, which | ||
shall be retained in the agency's records pertaining to the | ||
license. As soon as practical, the Department shall assign a | ||
customer's identification number to each applicant for a | ||
license. | ||
Every application for a renewal or restored license shall | ||
require the applicant's customer identification number. | ||
The Department shall issue a pre-license or continuing | ||
education instructor license to
applicants who meet
| ||
qualification criteria established by this Act or rule.
| ||
(c) The Department may refuse to issue, suspend, revoke, | ||
or otherwise discipline a
pre-license or continuing education
| ||
instructor for good cause. Disciplinary proceedings shall be | ||
conducted by the
Board in the same
manner as other | ||
disciplinary proceedings under this Act. All pre-license | ||
instructors must teach at least one pre-license or continuing | ||
education core curriculum course within the period of | ||
licensure as a requirement for renewal of the instructor's | ||
license. All continuing
education instructors
must teach at | ||
least one course within the period of licensure or take an
| ||
instructor training program
approved by the Department in lieu |
thereof as a requirement for renewal of the instructor's | ||
license.
| ||
(d) Each course transcript submitted by an education | ||
provider to the Department shall include the name and license | ||
number of the pre-license or continuing education instructor | ||
for the course. | ||
(e) Licensed education provider instructors may teach for | ||
more than one licensed education provider. | ||
(f) The Department may adopt any administrative rule | ||
consistent with the language and intent of this Act that may be | ||
necessary for the implementation and enforcement of this | ||
Section. | ||
(Source: P.A. 100-188, eff. 1-1-18; 101-357, eff. 8-9-19.)
| ||
(225 ILCS 454/20-21 rep.) | ||
Section 35. The Real Estate License Act of 2000 is amended | ||
by repealing Section 20-21.
| ||
(225 ILCS 456/Act rep.)
| ||
Section 40. The Real Estate Regulation Transfer Act is | ||
repealed. | ||
Section 45. The Real Estate Appraiser Licensing Act of | ||
2002 is amended by changing Sections 1-10, 5-25, 15-15, and | ||
25-10 as follows:
|
(225 ILCS 458/1-10)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 1-10. Definitions. As used in this Act, unless the | ||
context
otherwise requires:
| ||
"Accredited college or university, junior college, or | ||
community college" means a college or university, junior | ||
college, or community college that is approved or accredited | ||
by the Board of Higher Education, a regional or national | ||
accreditation association, or by an accrediting agency that is | ||
recognized by the U.S. Secretary of Education.
| ||
"Address of record" means the designated street address, | ||
which may not be a post office box, recorded by the Department | ||
in the applicant's or licensee's application file or license | ||
file as maintained by the Department. | ||
"Applicant" means a person who applies to the Department
| ||
for a license under this Act.
| ||
"Appraisal" means
(noun) the act or process of developing | ||
an opinion
of value; an
opinion of value (adjective) of or | ||
pertaining to appraising
and related functions, such as | ||
appraisal practice or appraisal services. | ||
"Appraisal assignment" means a valuation service provided | ||
pursuant to an agreement between an appraiser and a client. | ||
"Appraisal firm" means an appraisal entity that is 100% | ||
owned and controlled by a person or persons licensed in | ||
Illinois as a certified general real estate appraiser or a | ||
certified residential real estate appraiser. "Appraisal firm" |
does not include an appraisal management company. | ||
"Appraisal management company" means any corporation, | ||
limited liability company, partnership, sole proprietorship, | ||
subsidiary, unit, or other business entity that directly or | ||
indirectly: (1) provides appraisal management services to | ||
creditors or secondary mortgage market participants, including | ||
affiliates; (2) provides appraisal management services in | ||
connection with valuing the consumer's principal dwelling as | ||
security for a consumer credit transaction (including consumer | ||
credit transactions incorporated into securitizations); and | ||
(3) any appraisal management company that, within a given | ||
12-month period, oversees an appraiser panel of 16 or more | ||
State-certified appraisers in Illinois or 25 or more | ||
State-certified or State-licensed appraisers in 2 or more | ||
jurisdictions. "Appraisal management company" includes a | ||
hybrid entity. | ||
"Appraisal practice" means valuation services performed by | ||
an individual acting as an appraiser, including, but not | ||
limited to, appraisal or appraisal review.
| ||
"Appraisal report" means any communication, written or | ||
oral, of an appraisal or appraisal review that is transmitted | ||
to a client upon completion of an assignment.
| ||
"Appraisal review" means the act or process of developing | ||
and communicating an opinion about the quality of another | ||
appraiser's work that was performed as part of an appraisal, | ||
appraisal review, or appraisal assignment.
|
"Appraisal Subcommittee" means the Appraisal Subcommittee | ||
of the Federal
Financial Institutions
Examination Council as | ||
established by Title XI.
| ||
"Appraiser" means a person who performs
real estate or | ||
real property
appraisals competently and in a manner that is | ||
independent, impartial, and objective. | ||
"Appraiser panel" means a network, list, or roster of | ||
licensed or certified appraisers approved by the appraisal | ||
management company or by the end-user client to perform | ||
appraisals as independent contractors for the appraisal | ||
management company. "Appraiser panel" includes both appraisers | ||
accepted by an appraisal management company for consideration | ||
for future appraisal assignments and appraisers engaged by an | ||
appraisal management company to perform one or more | ||
appraisals. For
the purposes of determining the size of an | ||
appraiser panel,
only independent contractors of hybrid | ||
entities shall be
counted towards the appraiser panel.
| ||
"AQB" means the Appraisal Qualifications Board of the | ||
Appraisal Foundation.
| ||
"Associate real estate trainee appraiser" means an | ||
entry-level appraiser who holds
a license of this | ||
classification under this Act with restrictions as to the | ||
scope of practice
in
accordance with this Act.
| ||
"Automated valuation model" means an automated system that | ||
is used to derive a property value through the use of available | ||
property records and various analytic methodologies such as |
comparable sales prices, home characteristics, and price | ||
changes. | ||
"Board" means the Real Estate Appraisal Administration and | ||
Disciplinary Board.
| ||
"Broker price opinion" means an estimate or analysis of | ||
the probable selling price of a particular interest in real | ||
estate, which may provide a varying level of detail about the | ||
property's condition, market, and neighborhood and information | ||
on comparable sales. The activities of a real estate broker or | ||
managing broker engaging in the ordinary course of business as | ||
a broker, as defined in this Section, shall not be considered a | ||
broker price opinion if no compensation is paid to the broker | ||
or managing broker, other than compensation based upon the | ||
sale or rental of real estate. | ||
"Classroom hour" means 50 minutes of instruction out of | ||
each 60-minute
segment of coursework.
| ||
"Client" means the party or parties who engage an | ||
appraiser by employment or contract in a specific appraisal | ||
assignment.
| ||
"Comparative market analysis" is an analysis or opinion | ||
regarding pricing, marketing, or financial aspects relating to | ||
a specified interest or interests in real estate that may be | ||
based upon an analysis of comparative market data, the | ||
expertise of the real estate broker or managing broker, and | ||
such other factors as the broker or managing broker may deem | ||
appropriate in developing or preparing such analysis or |
opinion. The activities of a real estate broker or managing | ||
broker engaging in the ordinary course of business as a | ||
broker, as defined in this Section, shall not be considered a | ||
comparative market analysis if no compensation is paid to the | ||
broker or managing broker, other than compensation based upon | ||
the sale or rental of real estate. | ||
"Coordinator" means the Real Estate Appraisal Coordinator | ||
created in Section 25-15.
| ||
"Department" means the Department of Financial and | ||
Professional Regulation.
| ||
"Email address of record" means the designated email | ||
address recorded by the Department in the applicant's | ||
application file or the licensee's license file maintained by | ||
the Department. | ||
"Evaluation" means a valuation permitted by the appraisal | ||
regulations of the Federal Financial Institutions Examination | ||
Council and its federal agencies for transactions that qualify | ||
for the appraisal threshold exemption, business loan | ||
exemption, or subsequent transaction exemption. | ||
"Federal financial institutions regulatory agencies" means | ||
the Board of
Governors of the Federal Reserve
System, the | ||
Federal Deposit Insurance Corporation, the Office of the
| ||
Comptroller of the Currency, the
Consumer Financial Protection | ||
Bureau, and the National Credit Union Administration.
| ||
"Federally related transaction" means any real | ||
estate-related financial
transaction in which a federal
|
financial institutions regulatory agency
engages in, contracts | ||
for, or
regulates and requires the services
of an appraiser.
| ||
"Financial institution" means any bank, savings bank, | ||
savings and loan
association, credit union,
mortgage broker, | ||
mortgage banker, licensee under the Consumer Installment Loan
| ||
Act or the Sales
Finance Agency Act, or a corporate fiduciary, | ||
subsidiary, affiliate, parent
company, or holding company
of | ||
any such licensee, or any institution involved in real estate | ||
financing that
is regulated by state or
federal law.
| ||
"Hybrid entity" means an appraisal management company that | ||
hires an appraiser as an employee to perform an appraisal and | ||
engages an independent contractor to perform an appraisal. | ||
"License" means the privilege conferred by the Department | ||
to a person that has fulfilled all requirements prerequisite | ||
to any type of licensure under this Act. | ||
"Licensee" means any person licensed under this Act , as | ||
defined in this Section, who holds a valid unexpired license . | ||
"Multi-state licensing system" means a web-based platform | ||
that allows an applicant to submit the application or license | ||
renewal application to the Department online. | ||
"Person" means an individual, entity, sole proprietorship, | ||
corporation, limited liability company, partnership, and joint | ||
venture, foreign or domestic, except that when the context | ||
otherwise requires, the term may refer to more than one | ||
individual or other described entity. | ||
"Real estate" means an identified parcel or tract of land, |
including any
improvements.
| ||
"Real estate related financial transaction" means any | ||
transaction involving:
| ||
(1) the sale, lease, purchase, investment in, or | ||
exchange of real
property,
including interests
in property | ||
or the financing thereof;
| ||
(2) the refinancing of real property or interests in | ||
real property; and
| ||
(3) the use of real property or interest in property | ||
as security for a
loan or
investment,
including mortgage | ||
backed securities.
| ||
"Real property" means the interests, benefits, and rights | ||
inherent in the
ownership of real estate.
| ||
"Secretary" means the Secretary of Financial and | ||
Professional Regulation or the Secretary's designee.
| ||
"State certified general real estate
appraiser" means an | ||
appraiser who holds a
license of this classification under | ||
this Act
and such classification applies to
the appraisal of | ||
all types of real property without restrictions as to
the | ||
scope of practice.
| ||
"State certified residential real estate
appraiser" means | ||
an appraiser who
holds a
license of this classification
under | ||
this Act
and such classification applies to
the appraisal of
| ||
one to 4 units of
residential real property without regard to | ||
transaction value or complexity,
but with restrictions as to | ||
the
scope of practice
in a federally related transaction in |
accordance with Title
XI, the provisions of USPAP,
criteria | ||
established by the AQB, and further defined by rule.
| ||
"Supervising appraiser" means either (i) an appraiser who | ||
holds a valid license under this Act as either a State | ||
certified general real estate appraiser or a State certified | ||
residential real estate appraiser, who co-signs an appraisal | ||
report for an associate real estate trainee appraiser or (ii) | ||
a State certified general real estate appraiser who holds a | ||
valid license under this Act who co-signs an appraisal report | ||
for a State certified residential real estate appraiser on | ||
properties other than one to 4 units of residential real | ||
property without regard to transaction value or complexity.
| ||
"Title XI" means Title XI of the federal Financial | ||
Institutions Reform,
Recovery, and
Enforcement Act of 1989.
| ||
"USPAP" means the Uniform Standards of Professional | ||
Appraisal Practice as
promulgated by the
Appraisal Standards | ||
Board pursuant to Title XI and by rule.
| ||
"Valuation services" means services pertaining to aspects | ||
of property value. | ||
(Source: P.A. 102-20, eff. 1-1-22; 102-687, eff. 12-17-21.)
| ||
(225 ILCS 458/5-25)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 5-25. Renewal of license.
| ||
(a) The expiration date and renewal period
for a State | ||
certified general
real estate appraiser license
or a State |
certified residential
real estate appraiser license issued | ||
under
this Act shall be set by rule.
Except as otherwise | ||
provided in subsections (b) and (f) of this Section, the
| ||
holder of a license may renew
the license within 90 days | ||
preceding the expiration date by:
| ||
(1) completing and submitting to the Department, or | ||
through a multi-state licensing system as designated by | ||
the Secretary,
a renewal application form as
provided by
| ||
the Department;
| ||
(2) paying the required fees; and
| ||
(3) providing evidence to the Department, or through a | ||
multi-state licensing system as designated by the | ||
Secretary, of successful completion of the continuing
| ||
education requirements through courses approved by the | ||
Department
from
education providers licensed by the | ||
Department, as established by the AQB
and by rule.
| ||
(b) A State certified general real estate appraiser
or | ||
State certified
residential real estate
appraiser whose | ||
license under this Act has expired may renew
the license for a | ||
period of
2 years following the expiration date by complying | ||
with the requirements of
paragraphs (1), (2),
and (3) of | ||
subsection (a)
of this Section and paying any late penalties | ||
established by rule.
| ||
(c) (Blank).
| ||
(d) The expiration date and renewal period for an | ||
associate real estate
trainee appraiser license issued under |
this
Act shall be set by rule. Except as otherwise provided in | ||
subsections (e) and
(f) of this Section, the holder
of an | ||
associate real estate trainee appraiser license may renew the | ||
license within 90
days preceding the expiration date by:
| ||
(1) completing and submitting to the Department, or | ||
through a multi-state licensing system as designated by | ||
the Secretary,
a renewal application form as
provided by | ||
the Department;
| ||
(2) paying the required fees; and
| ||
(3) providing evidence to the Department, or through a | ||
multi-state licensing system as designated by the | ||
Secretary, of successful completion of the continuing
| ||
education requirements through
courses approved by the | ||
Department
from education providers approved
by the | ||
Department, as established by rule.
| ||
(e) Any associate real estate trainee appraiser whose | ||
license under this Act has
expired may
renew the license for a | ||
period of 2 years following the expiration date
by complying | ||
with the requirements of paragraphs
(1), (2), and (3) of | ||
subsection (d) of this Section and paying any late
penalties
| ||
as established by rule.
| ||
(f) Notwithstanding subsections (c) and (e), an
appraiser | ||
whose license
under this Act has expired may renew or convert | ||
the license without
paying any lapsed renewal
fees or late | ||
penalties if the license expired while the appraiser was:
| ||
(1) on active duty with the United States Armed |
Services;
| ||
(2) serving as the Coordinator or an employee of
the | ||
Department
who was required to surrender the license | ||
during the term of
employment.
| ||
Application for renewal must be made within 2 years | ||
following
the termination of the military service or related | ||
education, training, or
employment and shall include an | ||
affidavit from the licensee of engagement.
| ||
(g) The Department
shall provide reasonable care and due | ||
diligence to ensure that each
licensee under this Act
is | ||
provided with a renewal application at least 90 days prior to | ||
the expiration
date, but
timely renewal or conversion of the | ||
license prior to its expiration date is the responsibility of | ||
the licensee. | ||
(h) The Department shall not renew a license if the | ||
licensee has an unpaid fine or fee from a disciplinary matter | ||
or an unpaid fee from a non-disciplinary action imposed by the | ||
Department until the fine or fee is paid to the Department or | ||
the licensee has entered into a payment plan and is current on | ||
the required payments. | ||
(i) The Department shall not issue a license if the | ||
applicant has an unpaid fine imposed by the Department for | ||
unlicensed practice until the fine is paid to the Department | ||
or the applicant has entered into a payment plan and is current | ||
on the required payments.
| ||
(Source: P.A. 101-81, eff. 7-12-19; 102-20, eff. 1-1-22 .)
|
(225 ILCS 458/15-15)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 15-15. Investigation; notice; hearing.
| ||
(a) Upon the motion of the Department
or the Board or
upon | ||
a complaint in
writing of a person setting forth facts that, if | ||
proven, would constitute
grounds for suspension, revocation,
| ||
or other disciplinary action against a licensee or applicant | ||
for licensure, the Department
shall investigate the actions of | ||
the licensee or applicant. If, upon investigation, the | ||
Department believes that there may be cause for suspension, | ||
revocation, or other disciplinary action, the Department shall | ||
use the services of a State certified general real estate | ||
appraiser, a State certified residential real estate | ||
appraiser, or the Real Estate Coordinator to assist in | ||
determining whether grounds for disciplinary action exist | ||
prior to commencing formal disciplinary proceedings.
| ||
(b) Formal disciplinary proceedings shall commence upon | ||
the issuance of a
written complaint
describing the charges | ||
that are the basis of the disciplinary action and
delivery of | ||
the detailed complaint to the address of
record of the | ||
licensee or applicant. For an associate real estate trainee | ||
appraiser, a copy shall also be sent to the licensee's | ||
supervising appraiser of record. The Department
shall notify | ||
the licensee or
applicant
to file a verified written
answer | ||
within 20 days after the service of the notice and complaint.
|
The
notification shall inform the licensee or applicant of the
| ||
right to be heard in person or by
legal counsel; that the | ||
hearing will be afforded not sooner than 20 days after
service
| ||
of the complaint; that failure to file an answer will result in | ||
a default being
entered against the licensee or applicant;
| ||
that the license may be suspended, revoked, or placed on
| ||
probationary status; and that other
disciplinary action may be | ||
taken pursuant to this Act, including limiting the
scope, | ||
nature, or extent of the licensee's
practice. If the licensee | ||
or applicant fails to file an answer after service of
notice, | ||
the respective license may,
at the discretion of the | ||
Department, be suspended,
revoked, or placed on probationary
| ||
status and the Department
may take whatever disciplinary
| ||
action it deems proper,
including limiting the scope, nature, | ||
or extent of the person's practice,
without a hearing.
| ||
(c) At the time and place fixed in the notice, the Board | ||
shall conduct
hearing of the charges, providing
both the | ||
accused person and the complainant ample opportunity to | ||
present in
person
or by counsel such statements, testimony, | ||
evidence, and argument as may be
pertinent to the charges or
to | ||
a defense thereto.
| ||
(d) The Board shall present to the Secretary
a written | ||
report of its
findings of fact and
recommendations. A copy of | ||
the report shall be served upon the licensee or
applicant,
| ||
either personally, by
mail, or, at the discretion of the | ||
Department, by electronic means. For associate real estate |
trainee appraisers, a copy shall also be sent to the | ||
licensee's supervising appraiser of record. Within 20 days | ||
after the service, the licensee or applicant may present
the | ||
Secretary
with a motion in writing
for a rehearing and shall
| ||
specify the particular grounds for the request. If the accused | ||
orders a
transcript of the record
as provided in this Act, the | ||
time elapsing thereafter and before the transcript
is ready | ||
for delivery to the
accused shall not be counted as part of the | ||
20 days. If the Secretary
is
not satisfied that
substantial | ||
justice has been done, the Secretary
may order a rehearing by
| ||
the Board or other
special committee appointed by the | ||
Secretary, may remand the matter to the
Board for its
| ||
reconsideration of the matter based on the pleadings and | ||
evidence presented to
the Board, or may enter
a final order in | ||
contravention of the Board's recommendation. Notwithstanding a | ||
licensee's or applicant's failure to file a motion for | ||
rehearing, the Secretary
shall have the right to take any of
| ||
the actions specified in this
subsection (d). Upon the | ||
suspension or revocation of a license, the licensee
shall
be | ||
required to surrender the respective license to the | ||
Department, and upon failure or refusal to do so, the | ||
Department
shall have
the right to seize the
license.
| ||
(e) The Department
has the power to issue subpoenas and
| ||
subpoenas duces tecum
to bring before it any person in this | ||
State, to take testimony, or to require
production of any | ||
records
relevant to an inquiry or hearing by the Board in the |
same manner as prescribed
by law in judicial
proceedings in | ||
the courts of this State. In a case of refusal of a witness to
| ||
attend, testify, or to produce
books or papers concerning a | ||
matter upon which the witness might be lawfully
examined, the | ||
circuit court
of the county where the hearing is held, upon | ||
application of the Department
or any
party to the proceeding, | ||
may compel obedience by proceedings as for contempt.
| ||
(f) Any license that is revoked may not be
restored for a | ||
minimum period
of 3 years.
| ||
(g) In addition to the provisions of this Section | ||
concerning the conduct of
hearings and the
recommendations for | ||
discipline, the Department
has the authority to negotiate
| ||
disciplinary and non-disciplinary
settlement agreements | ||
concerning any license issued under this Act. All such
| ||
agreements shall be
recorded as Consent Orders or Consent to | ||
Administrative Supervision Orders.
| ||
(h) The Secretary
shall have the authority to appoint an | ||
attorney duly
licensed to practice law in the
State of | ||
Illinois to serve as the hearing officer in any action to | ||
suspend,
revoke, or otherwise discipline
any license issued by | ||
the Department. The Hearing Officer
shall have full authority
| ||
to conduct the hearing.
| ||
(i) The Department, at its expense, shall preserve a | ||
record of all formal hearings of
any contested case involving
| ||
the discipline of a license. At all hearings or pre-hearing | ||
conferences, the Department
and the licensee shall be
entitled |
to have the proceedings transcribed by a certified shorthand | ||
reporter.
A copy of the transcribed
proceedings shall be made | ||
available to the licensee by the certified shorthand
reporter | ||
upon payment of
the prevailing contract copy rate.
| ||
(Source: P.A. 102-20, eff. 1-1-22 .)
| ||
(225 ILCS 458/25-10)
| ||
(Section scheduled to be repealed on January 1, 2027)
| ||
Sec. 25-10. Real Estate Appraisal Administration and | ||
Disciplinary Board; appointment.
| ||
(a) There is hereby created the Real Estate Appraisal | ||
Administration and Disciplinary Board. The Board
shall be | ||
composed of the Coordinator and 10 persons appointed by the | ||
Governor. Members shall be appointed to the Board
subject to | ||
the following conditions:
| ||
(1) All appointed members shall have been residents | ||
and citizens of this
State for
at least 5 years prior
to | ||
the date of appointment.
| ||
(2) The appointed membership of the Board should | ||
reasonably reflect the
geographic
distribution of the
| ||
population of the State.
| ||
(3) Four appointed members shall have been actively | ||
engaged and currently
licensed as
State
certified general | ||
real estate appraisers for a period of not less than 5
| ||
years.
| ||
(4) Three
appointed members shall have been actively |
engaged and currently
licensed as
State
certified | ||
residential real estate appraisers for a period of
not | ||
less than 5 years.
| ||
(5) One
appointed member shall hold a valid license as | ||
a
real estate
broker for at least 3 years prior to the date | ||
of the appointment and
shall hold either a valid
State | ||
certified general real estate appraiser license or a valid | ||
State certified residential appraiser license issued under | ||
this Act or a predecessor Act for a period of at
least 5 | ||
years prior to the appointment.
| ||
(6) One appointed member shall be a representative of | ||
a financial
institution, as evidenced by proof of | ||
employment with a financial
institution.
| ||
(7) One appointed member shall represent the interests | ||
of the general
public. This member or the member's spouse | ||
shall not be licensed under this Act
nor be employed by or | ||
have any financial interest in an appraisal business, | ||
appraisal management company, real estate
brokerage | ||
business, or a financial institution.
| ||
In making appointments as
provided in paragraphs (3) and | ||
(4) of this subsection, the Governor shall
give due | ||
consideration to recommendations by members and organizations
| ||
representing the profession.
| ||
In making the appointments as
provided in paragraph (5) of | ||
this subsection, the Governor shall give
due consideration to | ||
the recommendations by members and organizations
representing |
the real estate industry.
| ||
In making the appointment as provided
in paragraph (6) of | ||
this subsection, the Governor
shall give due consideration to | ||
the recommendations by members and
organizations representing | ||
financial institutions.
| ||
(b) The members' terms shall be for 4 years or until a | ||
successor is appointed. No member shall be reappointed to the | ||
Board for a term that would cause the member's cumulative | ||
service to the Board to exceed 10 years. Appointments to fill | ||
vacancies shall be for the unexpired portion of the term.
| ||
(c) The Governor may terminate the appointment of a member | ||
for cause that,
in
the opinion of the Governor, reasonably | ||
justifies the termination. Cause for
termination may include, | ||
without limitation, misconduct, incapacity, neglect of
duty, | ||
or missing 4 Board meetings during any one fiscal year.
| ||
(d) A majority of the Board members shall constitute a
| ||
quorum. A vacancy in the membership of the Board shall not | ||
impair the right of
a quorum to exercise all of the rights and | ||
perform all of the duties of the
Board.
| ||
(e) The Board shall meet at least monthly and may be | ||
convened
by the Chairperson, Vice-Chairperson, or 3 members of | ||
the Board upon 10 days
written notice.
| ||
(f) The Board shall, annually at the first meeting of the | ||
fiscal year,
elect a Chairperson and Vice-Chairperson from its
| ||
members. The Chairperson shall preside over the meetings and | ||
shall coordinate
with the Coordinator
in developing and |
distributing an agenda for each meeting. In the absence of
the | ||
Chairperson, the Vice-Chairperson shall preside over the | ||
meeting.
| ||
(g) The Coordinator shall serve as
a member of the Board | ||
without vote.
| ||
(h) The Board shall advise and make recommendations to
the | ||
Department
on the education and experience qualifications of | ||
any applicant for initial licensure as a State certified | ||
general real estate appraiser or a State certified residential | ||
real estate appraiser. The Department shall not make any | ||
decisions concerning education or experience qualifications of | ||
an applicant for initial licensure as a State certified | ||
general real estate appraiser or a State certified residential | ||
real estate appraiser without having first received the advice | ||
and recommendation of the Board and
shall give due | ||
consideration to all
such advice and recommendations; however, | ||
if the Board does not render advice or make a recommendation | ||
within a reasonable amount of time, then the Department may | ||
render a decision.
| ||
(i) Except as provided in Section 15-17 of this Act, the
| ||
Board shall hear and make recommendations to the
Secretary
on
| ||
disciplinary matters
that require a formal evidentiary | ||
hearing. The Secretary
shall give due
consideration to the
| ||
recommendations of the Board involving discipline and | ||
questions involving
standards of professional
conduct of | ||
licensees.
|
(j) The Department shall seek and the Board shall provide
| ||
recommendations to the Department
consistent with the
| ||
provisions
of this Act and for the administration and | ||
enforcement of all
rules adopted
pursuant to this Act. The | ||
Department
shall give due consideration to
such
| ||
recommendations
prior to adopting rules.
| ||
(k) The Department shall seek and the Board shall provide
| ||
recommendations to the Department
on the approval of all | ||
courses
submitted to the Department
pursuant to this Act and | ||
the rules adopted pursuant to this Act. The Department shall | ||
not approve any courses without having first received the | ||
recommendation of the Board and
shall
give due consideration | ||
to such
recommendations
prior to approving and licensing | ||
courses; however, if the Board does not make a recommendation | ||
within a reasonable amount of time, then the Department may | ||
approve courses.
| ||
(l) Each voting member of the Board may shall receive a per | ||
diem stipend in an
amount
to be determined by the Secretary. | ||
While engaged in the performance of duties, each member shall | ||
be reimbursed for paid the necessary expenses.
| ||
(m) Members of the Board shall be immune from suit in an | ||
action based upon
any disciplinary
proceedings or other acts | ||
performed in good faith as members of the Board.
| ||
(n) If the Department disagrees with any advice or | ||
recommendation provided by the Board under this Section to the | ||
Secretary or the Department, then notice of such disagreement |
must be provided to the Board by the Department.
| ||
(o) (Blank).
| ||
(Source: P.A. 102-20, eff. 1-1-22 .)
| ||
Section 50. The Appraisal Management Company Registration | ||
Act is amended by changing Sections 40, 47, and 67 as follows: | ||
(225 ILCS 459/40)
| ||
Sec. 40. Qualifications for registration. | ||
(a) The Department may issue a certification of | ||
registration to practice under this Act to any applicant who | ||
is qualified to do business in this State and applies to the | ||
Department on forms provided by the Department, or through a | ||
multi-state licensing system as designated by the Secretary, | ||
pays the required non-refundable fees, is qualified to | ||
transact business in this State, and provides the following: | ||
(1) the business name of the applicant seeking | ||
registration; | ||
(2) the business address or addresses and contact | ||
information of the applicant seeking registration; | ||
(3) if the business applicant is not a corporation | ||
that is domiciled in this State, then the name and contact | ||
information for the company's agent for service of process | ||
in this State; | ||
(4) the name, address, and contact information for any | ||
individual or any corporation, partnership, limited |
liability company, association, or other business | ||
applicant that owns 10% or more of the appraisal | ||
management company along with a completed criminal history | ||
records background check as required in Section 68 ; | ||
(5) the name, address, and contact information for a | ||
designated controlling person; | ||
(6) a certification that the applicant will utilize | ||
Illinois licensed appraisers to provide appraisal services | ||
within the State of Illinois; | ||
(7) a certification that the applicant has a system in | ||
place utilizing a licensed Illinois appraiser to review | ||
the work of all employed and independent appraisers that | ||
are performing real estate appraisal services in Illinois | ||
for the appraisal management company on a periodic basis, | ||
except for a quality control review, to verify that the | ||
real estate appraisal assignments are being conducted in | ||
accordance with USPAP; | ||
(8) a certification that the applicant maintains a | ||
detailed record of each service request that it receives | ||
and the independent appraiser that performs the real | ||
estate appraisal services for the appraisal management | ||
company; | ||
(9) a certification that the employees of the | ||
appraisal management company working on behalf of the | ||
appraisal management company directly involved in | ||
providing appraisal management services, will be |
appropriately trained and familiar with the appraisal | ||
process to completely provide appraisal management | ||
services;
| ||
(10) an irrevocable Uniform Consent to Service of | ||
Process, under rule; and | ||
(11) a certification that the applicant shall comply | ||
with all other requirements of this Act and rules | ||
established for the implementation of this Act. | ||
(b) Applicants have 3 years from the date of application | ||
to complete the application process. If the process has not | ||
been completed in 3 years, the application shall be denied, | ||
the fee shall be forfeited, and the applicant must reapply and | ||
meet the requirements in effect at the time of reapplication.
| ||
(Source: P.A. 100-604, eff. 7-13-18.) | ||
(225 ILCS 459/47) | ||
Sec. 47. Report Annual report ; investigation; costs. Each | ||
registrant shall provide annually file a report with the | ||
Secretary for the calendar year period from January 1 through | ||
December 31, giving relevant information as the Secretary may | ||
reasonably require concerning, and for the purpose of | ||
examination for compliance with federal and State regulations, | ||
the business and operations during the preceding fiscal year | ||
period of each registered appraisal management company | ||
conducted by the registrant within the State. The Secretary | ||
may, at any time, examine the books and records of an appraisal |
management company operating in the State and require the | ||
appraisal management company to submit reports, information | ||
and documents. The report shall be made under oath and shall be | ||
in the form prescribed by rule. The Secretary may, at any time, | ||
investigate a registrant and every person, partnership, | ||
association, limited liability company, corporation, or other | ||
business entity who or which is engaged in the business of | ||
operating an appraisal management company. For that purpose, | ||
the Secretary shall have free access to the offices and places | ||
of business and to records of all persons, firms, | ||
partnerships, associations, limited liability companies and | ||
members thereof, and corporations and to the officers and | ||
directors thereof that relate to the appraisal management | ||
company. The investigation may be conducted in conjunction | ||
with representatives of other State agencies or agencies of | ||
another state or of the United States as determined by the | ||
Secretary. The Secretary may require by subpoena the | ||
attendance of and examine under oath all persons whose | ||
testimony the Secretary he or she may require relative to the | ||
appraisal management company, and, in those cases, the | ||
Secretary, or a designee of the Secretary representative whom | ||
he or she may designate , may administer oaths to all persons | ||
called as witnesses, and the Secretary, or a representative of | ||
the Secretary, may conduct an audit, and there shall be paid to | ||
the Secretary for each audit a fee, to be established by rule, | ||
for each day or part thereof for each representative |
designated and required to conduct the audit.
| ||
(Source: P.A. 100-604, eff. 7-13-18.) | ||
(225 ILCS 459/67) | ||
Sec. 67. Good moral character. If an applicant, | ||
registrant, controlling person, or any person with an | ||
ownership interest in of the applicant or registrant , has had | ||
a license or registration revoked on a prior occasion, has | ||
been found to have committed any of the practices enumerated | ||
in Section 65, has been convicted of or entered a plea of | ||
guilty or nolo contendere to forgery, embezzlement, obtaining | ||
money under false pretenses, larceny, extortion, conspiracy to | ||
defraud, or a similar offense or offenses, or has been | ||
convicted of a felony involving moral turpitude in a court of | ||
competent jurisdiction in this State or any other state, | ||
district, or territory of the United States or of a foreign | ||
country, the Department may consider the prior revocation, | ||
conduct, or conviction in its determination of the applicant's | ||
moral character of the applicant, registrant, controlling | ||
person, or person with ownership interest and whether to grant | ||
the applicant's registration or renewal . In its consideration | ||
of the prior revocation, conduct, or conviction, the | ||
Department shall take into account the nature of the conduct, | ||
any aggravating or extenuating circumstances, the time elapsed | ||
since the revocation, conduct, or conviction, the | ||
rehabilitation or restitution performed by the applicant , and |
any other factors that the Department deems relevant. When an | ||
applicant , registrant, controlling person, or person with | ||
ownership interest has made a false statement of material fact | ||
on any his or her application, the false statement may in | ||
itself be sufficient grounds to revoke or refuse to issue or | ||
renew a registration.
| ||
(Source: P.A. 100-604, eff. 7-13-18.) | ||
(225 ILCS 459/68 rep.) | ||
Section 55. The Appraisal Management Company Registration | ||
Act is amended by repealing Section 68. | ||
Section 60. The Professional Limited Liability Company Act | ||
is amended by changing Section 13 as follows: | ||
(805 ILCS 185/13) | ||
Sec. 13. Nature of business. | ||
(a) A professional limited liability company may be formed | ||
to provide a professional service or services licensed by the | ||
Department except: | ||
(1) the practice of dentistry unless all the members | ||
and managers are licensed as dentists under the Illinois | ||
Dental Practice Act; | ||
(2) the practice of medicine unless all the managers, | ||
if any, are licensed to practice medicine under the | ||
Medical Practice Act of 1987 and each member is either: |
(A) licensed to practice medicine under the | ||
Medical Practice Act of 1987; | ||
(B) a registered medical corporation or | ||
corporations organized pursuant to the Medical | ||
Corporation Act; | ||
(C) a professional corporation organized pursuant | ||
to the Professional Service Corporation Act of | ||
physicians licensed to practice under the Medical | ||
Practice Act of 1987; | ||
(D) a hospital or hospital affiliate as defined in | ||
Section 10.8 of the Hospital Licensing Act; or | ||
(E) a professional limited liability company that | ||
satisfies the requirements of subparagraph (A), (B), | ||
(C), or (D); | ||
(3) the practice of real estate unless all the members | ||
and managers, if any, that actively participate in the | ||
real estate activities of the professional limited | ||
liability company or every member in a member-managed | ||
company are licensed to practice as a managing broker or | ||
broker pursuant to the Real Estate License Act of 2000 . | ||
All nonparticipating members or managers shall submit | ||
affidavits of nonparticipation as required by the | ||
Department and the Real Estate License Act of 2000 ; | ||
(4) the practice of clinical psychology unless all the | ||
managers and members are licensed to practice as a | ||
clinical psychologist under the Clinical Psychologist |
Licensing Act; | ||
(5) the practice of social work unless all the | ||
managers and members are licensed to practice as a | ||
clinical social worker or social worker under the Clinical | ||
Social Work and Social Work Practice Act; | ||
(6) the practice of marriage and family therapy unless | ||
all the managers and members are licensed to practice as a | ||
marriage and family therapist under the Marriage and | ||
Family Therapy Licensing Act; | ||
(7) the practice of professional counseling unless all | ||
the managers and members are licensed to practice as a | ||
clinical professional counselor or a professional | ||
counselor under the Professional Counselor and Clinical | ||
Professional Counselor Licensing and Practice Act; | ||
(8) the practice of sex offender evaluation and | ||
treatment unless all the managers and members are licensed | ||
to practice as a sex offender evaluator or sex offender | ||
treatment provider under the Sex Offender Evaluation and | ||
Treatment Provider Act; or | ||
(9) the practice of veterinary medicine unless all the | ||
managers and members are licensed to practice as a | ||
veterinarian under the Veterinary Medicine and Surgery | ||
Practice Act of 2004. | ||
(b) Notwithstanding any provision of this Section, any of | ||
the following professional services may be combined and | ||
offered within a single professional limited liability company |
provided that each professional service is offered only by | ||
persons licensed to provide that professional service and all | ||
managers and members are licensed in at least one of the | ||
professional services offered by the professional limited | ||
liability company: | ||
(1) the practice of medicine by physicians licensed | ||
under the Medical Practice Act of 1987, the practice of | ||
podiatry by podiatric physicians licensed under the | ||
Podiatric Medical Practice Act of 1987, the practice of | ||
dentistry by dentists licensed under the Illinois Dental | ||
Practice Act, and the practice of optometry by | ||
optometrists licensed under the Illinois Optometric | ||
Practice Act of 1987; or | ||
(2) the practice of clinical psychology by clinical | ||
psychologists licensed under the Clinical Psychologist | ||
Licensing Act, the practice of social work by clinical | ||
social workers or social workers licensed under the | ||
Clinical Social Work and Social Work Practice Act, the | ||
practice of marriage and family counseling by marriage and | ||
family therapists licensed under the Marriage and Family | ||
Therapy Licensing Act, the practice of professional | ||
counseling by professional counselors and clinical | ||
professional counselors licensed under the Professional | ||
Counselor and Clinical Professional Counselor Licensing | ||
and Practice Act, and the practice of sex offender | ||
evaluation and treatment by sex offender evaluators and |
sex offender treatment providers licensed under the Sex | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Offender Evaluation and Treatment Provider Act ; .
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(3) the practice of architecture by persons licensed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
under the Illinois Architecture Practice Act of 1989, the | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
practice of professional engineering by persons licensed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
under the Professional Engineering Practice Act of 1989, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
the practice of structural engineering by persons licensed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
under the Structural Engineering Practice Act of 1989, and | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
the practice of land surveying by persons licensed under | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
the Illinois Professional Land Surveyor Act of 1989; or | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(4) the practice of acupuncture by persons licensed | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
under the Acupuncture Practice Act, the practice of | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
massage by persons licensed under the Massage Licensing | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Act, the practice of naprapathy by persons licensed under | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
the Naprapathic Practice Act, the practice of occupational | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
therapy by persons licensed under the Illinois | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Occupational Therapy Practice Act, the practice of | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
physical therapy by persons licensed under the Illinois | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Physical Therapy Act, and the practice of speech-language | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
pathology by persons licensed under the Illinois | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Speech-Language Pathology and Audiology Practice Act. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Source: P.A. 100-894, eff. 8-14-18.)
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Section 99. Effective date. This Act takes effect upon | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
becoming law, except that Section 10 takes effect on October | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
1, 2023.
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