PDF Oklahoma Real Estate License Code and Rules

OKLAHOMA REAL ESTATE LICENSE CODE

AND RULES

As of November 1, 2016

THE OKLAHOMA REAL ESTATE COMMISSION

Denver N. Davison Bldg. 1915 N. Stiles Ave., Suite 200 Oklahoma City, Oklahoma 73105-4919

orec.

OKLAHOMA REAL ESTATE COMMISSION

Members Mike Cassidy Douglas Emde Rodger Erker Steven Oliver Stephen Sherman Theresa Stewart Smith Julie Tetsworth

During 2016, the License Law and Rules were again amended. This booklet reflects those changes and is so designed that it may be inserted in the back of the Oklahoma Real Estate Commission study manuals; thereby providing you with current information and a ready reference on the License Law and Rules, as amended.

This publication, printed by the University of Oklahoma Printing Services, is issued by the Oklahoma Real Estate Commission, as authorized by Charla J. Slabotsky, Executive Director. 2,500 copies have been prepared and distributed at no cost to the taxpayers of Oklahoma. The entire cost of preparing this publication has been borne by the Real Estate Licensees through their Education and Recovery Fund Fees. Copies have been deposited with the Publications Clearinghouse of the Oklahoma Department of Libraries.

OKLAHOMA REAL ESTATE LICENSE CODE Title 59, Oklahoma Statutes of 1974 Section 858-101 through 858-605 As Amended Through November 1, 2016 GENERAL PROVISIONS

?858-101.Title and construction. This Code shall be known and cited as "The Oklahoma Real Estate License Code."

?858-102. Definitions. When used in this Code, unless the context clearly indicates otherwise, the following words and terms shall be construed as having the meanings ascribed to them in this section:

1. The term "real estate" shall include any interest or estate in real property, within or without the State of Oklahoma, whether vested, contingent or future, corporeal or incorporeal, freehold or nonfreehold, and including leaseholds, options and unit ownership estates to include condominiums, time-shared ownerships and cooperatives; provided, however, that the term "real estate"shall not include oil, gas or other mineral interests, or oil, gas or other mineral leases; and provided further, that the provisions of this Code shall not apply to any oil, gas, or mineral interest or lease or the sale, purchase or exchange thereof;

2. The term "real estate broker" shall include any person, partnership, association or corporation, foreign or domestic, who for a fee, commission or other valuable consideration, or who with the intention or expectation of receiving or collecting a fee, commission or other valuable consideration, lists, sells or offers to sell, buys or offers to buy, exchanges, rents or leases any real estate, or who negotiates or attempts to negotiate any such activity, or solicits listings of places for rent or lease, or solicits for prospective tenants, purchasers or sellers, or who advertises or holds himself out as engaged in such activities;

3. The term "broker associate" shall include any person who has qualified for a license as a broker and who is employed or engaged by, associated as an independent contractor with, or on behalf of, a broker to do or deal in any act, acts or transaction set out in the definition of a broker;

4. The term "real estate sales associate" shall include any person having a renewable license and employed or engaged by, or associated as an independent contractor with, or on behalf of, a real estate broker to do or deal in any act, acts or transactions set out in the definition of a real estate broker;

5. "Provisional sales associate"shall include any person who has been licensed after June 30, 1993, employed or engaged by, or associated as an independent contractor with, or on behalf of, a real estate broker to do or deal in any act, acts or transactions set out in the definition of a real estate broker and subject to an additional forty-five-clock-hour postlicensing educational requirement to be completed within the twelve-month license term. However, the Oklahoma Real Estate Commission shall promulgate rules for those persons called into active military service for purposes of satisfying the postlicensing educational requirement. The license of a provisional sales associate shall be nonrenewable unless the postlicensing requirement is satisfied prior to the expiration date of the license. Further, the term sales associate and provisional sales associate shall be synonymous in meaning except where specific exceptions are addressed in the Oklahoma Real Estate License Code;

6. The term "successful completion" shall include prelicense, postlicense, and distance education courses in which an approved public or private school entity has examined the individual, to the satisfaction of the entity and standards as established by the Commission, in relation to the course material presented during the offering.

7. The term "renewable license"shall refer to a sales associate who is a holder of such license or to a provisional sales associate who has completed both the prelicense and postlicense educational requirements within the required time period as stated in the Code;

8. The term "nonrenewable license" shall refer to a provisional sales associate who is the holder of such license and who has not completed the postlicense educational requirement;

9. The term "surrendered license" shall refer to a real estate license which is surrendered, upon the request of the licensee, due to a pending investigation or disciplinary proceedings;

10. The term "cancelled license" shall refer to a real estate license which is canceled, upon the request of the licensee and approval of the Commission, due to a personal reason or conflict.

11. "Licensee" shall include any person who performs any act, acts or transactions set out in the definition of a broker and licensed under the Oklahoma Real Estate License Code;

12. The word "Commission" shall mean the Oklahoma Real Estate Commission; 13. The word "person"shall include and mean every individual, partnership, association or corporation, foreign or domestic; 14. Masculine words shall include the feminine and neuter, and the singular includes the plural; and 15. The word "associate"shall mean a broker associate, sales associate or provisional sales associate.

1

ESTABLISHMENT OF COMMISSION

?858-201. Oklahoma Real Estate Commission. A. There is hereby re-created, to continue until July 1, 2017, in accordance with the provisions of the Oklahoma Sunset Law, the Oklahoma Real Estate Commission, which shall consist of seven (7) members. The Commission shall be the sole governmental entity, state, county or municipal, which shall have the authority to regulate and issue real estate licenses in the State of Oklahoma. B. All members of the Commission shall be citizens of the United States and shall have been residents of the State of Oklahoma for at least three (3) years prior to their appointment. C. Five members shall be licensed real estate brokers and shall have had at least five (5) years' active experience as real estate brokers prior to their appointment and be engaged full time in the real estate brokerage business. One member shall be a lay person not in the real estate business, and one member shall be an active representative of a school of real estate located within the State of Oklahoma and approved by the Oklahoma Real Estate Commission. D. No more than two members shall be app ointed from the same congressional district according to the latest congressional redistricting act. However, when congressional districts are redrawn, each member appointed prior to July 1 of the year in which such modification becomes effective shall complete the current term of office and appointments made after July 1 of the year in which such modification becomes effective shall be based on the redrawn districts. No appointments may be made after July 1 of the year in which such modification becomes effective if such appointment would result in more than two members serving from the same modified district. ?858-202. Appointment; Tenure; Vacancies; Removal. A. Members of the Oklahoma Real Estate Commission shall be appointed by the Governor with the advice and consent of the Senate. B. Members of the commission shall serve until their terms expire. The terms of the Commission members shall be for four (4) years and until their successors are appointed and qualified. C. Each successor member and any vacancy which may occur in the membership of the Commission shall be filled by appointment of the Governor with the advice and consent of the Senate. D. The Governor may select appointees from a list of not less than two qualified persons submitted by a statewide organization representing realtors. E. Each person who shall have been appointed to fill a vacancy shall serve for the remainder of the term for which the member whom he or she will succeed was appointed and until his or her successor, in turn, shall have been appointed and shall have qualified. F. Members of the Commission may be removed from office by the Governor for inefficiency, neglect of duty or malfeasance in office in the manner provided by law for the removal of officers not subject to impeachment. ?858-203. Compensation of Commissioners. Each member of the Oklahoma Real Estate Commission shall be entitled to receive travel expenses essential to performing the duties of his office, as provided in the State Travel Reimbursement Act. ?858-204. Officers; Employees; Bond required. A. The members of the Commission, within thirty (30) days after their appointment, shall organize and elect a Chairman and Vice Chairman. Annually thereafter the offices of Chairman and Vice Chairman shall be attained through election by Commission members. B. The Commission, as soon after the election of the Chairman and Vice Chairman as practicable, shall employ a secretary-treasurer and such clerks and assistants as shall be deemed necessary to discharge the duties imposed by the provisions of this Code, and shall determine their duties and fix their compensation subject to the general laws of this state. C. The Chairman of the Commission and in his absence the Vice Chairman, shall preside at all meetings of the Commission and shall execute such duties as the Commission, by its rules, shall prescribe. D. The secretary-treasurer shall keep a complete and permanent record of all proceedings of the Commission and perform such other duties as the Commission shall prescribe. ?858-205.Revolving fund. A. There is hereby created in the State Treasury a revolving fund for the Oklahoma Real Estate Commission, to be designated the "Oklahoma Real Estate Commission Revolving Fund." The fund shall consist of all monies received by the Oklahoma Real Estate Commission other than the Oklahoma Real Estate Education and Recovery Fund fees or appropriated funds. The revolving fund shall be a continuing fund not subject to fiscal year limitations and shall be under the control and management of the Oklahoma Real Estate Commission.

2

B. The Oklahoma Real Estate Commission may invest all or part of the monies of the fund in securities offered through the "Oklahoma State Treasurer's Cash Management Program". Any interest or dividends accruing from the securities and any monies generated at the time of redemption of the securities shall be deposited in the General Operating Fund of the Oklahoma Real Estate Commission. All monies accruing to the credit of the fund are hereby appropriated and may be budgeted and expended by the Oklahoma Real Estate Commission.

C. Expenditures from this fund shall be made pursuant to the purposes of this Code and without legislative appropriation. Warrants for expenditures shall be drawn by the State Treasurer based on claims signed by an authorized employee or employees of the Oklahoma Real Estate Commission and approved for payment by the Director of the Office of Management and Enterprise Services.

D. The revolving fund shall be audited at least once each year by the State Auditor and Inspector. ?858-206. Suits; Service; Seals; Certified copies; Location of office. A. The Commission may sue and be sued in its official name, and service of summons upon the SecretaryTreasurer of the Commission shall constitute lawful service upon the Commission. B. The Commission shall have a seal which shall be affixed to all licenses, certified copies of records and papers on file, and to such other instruments as the Commission may direct, and all courts shall take judicial notice of such seal. C. Copies of records and proceedings of the Commission and all papers on file in the office, certified under the seal, shall be received as evidence in all courts of record. D. The office of the Commission shall be at Oklahoma City, Oklahoma. ?858-207. Annual report of fees. The Commission shall at the close of each fiscal year file with the Governor and State Auditor and Inspector a true and correct report of all fees charged, collected and received during the previous fiscal year, and shall pay into the General Revenue Fund of the State Treasury ten percent (10%) of the license fees collected and received during the fiscal year. ?858-208. Powers and duties of the Commission. The Oklahoma Real Estate Commission shall have the following powers and duties:

1. To promulgate rules, prescribe administrative fees by rule, and make orders as it may deem necessary or expedient in the performance of its duties;

2. To administer examinations to persons who apply for the issuance of licenses; 3. To sell to other entities or governmental bodies, not limited to the State of Oklahoma, computer testing and license applications to recover expended research and development costs; 4. To issue licenses in the form the Commission may prescribe to persons who have passed examinations or who otherwise are entitled to such licenses; 5. To issue licenses to and regulate the activities of real estate brokers, provisional sales associates, sales associates, branch offices, nonresidents, associations, corporations, and partnerships; 6. Upon showing good cause as provided for in The Oklahoma Real Estate License Code, to discipline licensees, instructors and real estate school entities by:

a. reprimand, b. probation for a specified period of time, c. required education in addition to the educational requirements provided by Section 858-307.2 of this title, d. suspending real estate licenses and approvals for specified periods of time, e. revoking real estate licenses and approvals, f. imposing administrative fines pursuant to Section 858-402 this title, or g. any combination of discipline as provided by subparagraphs a through f of this paragraph; 7. Upon showing good cause, to modify any sanction imposed pursuant to the provisions of this section and to reinstate licenses; 8. To conduct, for cause disciplinary proceedings; 9. To prescribe penalties as it may deem proper to be assessed against licensees for the failure to pay the license renewal fees as provided for in this Code; 10. To initiate the prosecution of any person who violates any of the provisions of this Code; 11. To approve instructors and organizations offering courses of study in real estate and to further require them to meet standards to remain qualified as is necessary for the administration of this Code; 12. To contract with attorneys and other professionals to carry out the functions and purposes of this Code; 13. To apply for injunctions and restraining orders for violations of the Code or the rules of the Commission; 14. To create an Oklahoma Real Estate Contract Form Committee by rule that will be required to draft and revise real estate purchase and/or lease contracts and any related addenda for voluntary use by real estate licensees.

3

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download