Chapter 6: Violations of License Law: Penalties and Procedures Flashcards
Criminal Penalties
How may a violation of F.S. 475 be punished?
As 1st or 2nd-degree misdemeanors or 3rd-degree felony
Rental related = 1st degree misdemeanor
Advertising = 2nd degree midemeanor
Doing business w/out a license = 3rd degree felony w/a criminal fine of up to $5K and/or imprisonment up to 5 years
Fraudulent Activities
List the different types of fraudulent activities typically encountered in real estate as it relates to sales associate and brokers
Breach of trust
Concealment
Conspiracy
Conversion
Culpable negligence
Failure to account
False or misleading ads
Filing false docs
Misrepresentation
Moral terpitude
Rendering an opinion of title
Promise to resell
Properties w/ liens
Using lotteries
Fraudulent Activities
What is concealment?
Failure to disclose of info to whom one has a duty and that is material to his/her decision
Fraudulent Activities
What is culpable negligence?
operating in a reckless, careless, and excessively negligent way i.e., forgetting to pick up an escrow deposit as specified in a sales contract
Fraudulent Activities
What is misrepresentation?
a misstatement or omission of facts i.e., saying a house is 5600 sq ft when it is actually 5000 sq ft
Range of Penalties
The purpose of disciplinary guidelines is to give notice to a licensee of the range of penalties normally imposed for each count. For purposes of this rule, list the penalties from lowest to highest.
Reprimand
Fine
Probation
Suspension
Revocation or denial
Range of Penalties
The maximum administrative fine per violation of F.S. 475 is $_______.
$5,000
Notice of Noncompliance
When is the notice of noncompliance used?
To handle minor first time violations
Notice of Noncompliance
When is a violation considered minor?
If it does not result in economic or physical harm or adversely affect public health, safety, and welfare, or create a significant threat of harm
Notice of Noncompliance
A notice of noncompliance must identify the rule violated and provide information to assist on actions to comply. How long does a licensee have to correct the violation and what is the result if it is not taken care of?
15 days after receipt
Failure to comply results in the issuance of a citation or full disciplinary proceedings
Citation Authority
When can a citation be issued?
When no substantial threat to the public health, safety, and welfare exists or if the potential for harm has been removed prior to issuing a citation
When is a complaint considered legally sufficient?
When it alleges a violation of law or rule and contains sufficient supporting evidence
Probable Cause Panel
In what capacity does a panel act to determine if probable cause exists?
Like a grand jury
Judicial Review
If a licensee does not agree w/ the final order of FREC, with whom can he/she file a petition for review?
Florida District Court of Appeals w/in 30 days
Florida Real Estate Recovery Fund
How is the Florida Real Estate Recovery Fund maintained?
Fees and fines paid by licensees
