Lesson 1 - License Law and Regulations

Question 1

Article 12-A of the NYS Real Property Law

Answer 1

• The section of NY Real Property Law pertaining to real estate salespersons and brokers
• Primary purpose is to “Protect the Public”
• Requires a salesperson to be at least 18 years of age
• Requires a broker to be at least 20 years of age

Question 2

Sponsor

Answer 2

-A licensed real estate broker that holds the license of salesperson

Question 3

“Summary of your submission”

Answer 3

-Obtained after you register for the NYS Salesperson exam using eAccessNY. You must bring this with you when taking the state exam

Question 4

Misdemeanor

Answer 4

-A crime punishable by up to a year in prison and/or $1,000 fine.

Question 5

Listing agreement

Answer 5

-An employment contract between principal and agent, authorizing the agent to perform services for the principle involving the latter’s property

Question 6

Pocket Card

Answer 6

• A card issued by the Department of State to each licensee which contains the photo, name and business address of the licensee, and, in the case of a real estate salesperson, the name and business address of the broker with whom he or she is associated and shall certify that the person whose name appears thereon is a licensed real estate broker or salesperson.
• Must be carried by the agent at all times when serving as salesperson

Question 7

New York Court of Appeals

Answer 7

-Highest court in NYS

Question 8

Attorney General

Answer 8

-According to Article 12-A (NYS Real Property Law), the Attorney General shall prosecute criminal actions for violations of the Real Property Law.

Question 9

Violations of the Real Property Law

Answer 9

-The Department of State may suspend or revoke a real estate salesperson or broker’s license for violations of the Real Property Law.

The DOS may also impose a fine not to exceed $1,000.

Question 10

Requirements for Real estate brokers license

Answer 10

• Once an individual obtains their NYS real estate salespersons license, they must do the following to obtain a brokers license:
• Have at least two years of experience as a real estate salesperson.
• Be at least 20 years of age.
• Complete the 45-hour NYS real estate broker’s course (120 hours of total coursework including the 75-hour real estate salespersons course).
• Pass the State real estate broker’s exam.

A brokers license must be renewed every 2 years.

Question 11

Requirements for real estate salespersons license

Answer 11

-A real estate salesperson must be at least 18 years old.
A real estate salespersons license is valid for 2 years.
Every 2 years, the salesperson must renew their license online through eAccessNY.
Before renewing a license, the salesperson must complete 22.5-hours of Continuing Education.

If a real estate salesperson fails to renew their license within 2 years, their license is considered expired.
The salesperson must retake the State exam and reapply for their license.

Real estate salespersons may perform acts that a broker is authorized to perform, but they do so on behalf of a broker with whom they are associated.

Question 12

Suspension or revocation of sponsors license

Answer 12

-If a broker’s license is suspended or revoked, each real estate salesperson working under that broker shall also have their licenses suspended.
In this case, the State deems the salesperson’s license as a ‘discontinuance of association with the broker being suspended’

Question 13

License Exemptions

Answer 13

• Attorneys admitted to the NY State Bar are exempt from obtaining a license if they represent a client. If an attorney wants to employ salespersons, they then must obtain a broker’s license.
• Public officers are exempt when performing official duties.
• Persons under the judgement or order of a court.

It is important to note that if a licensed attorney wants to have salespersons working under them (the attorney acts as their sponsoring broker), the attorney must obtain a broker’s license.

Question 14

Advertising

Answer 14

-According to section 175.25 of Article 12-A of the NY Real Property Law:

“All advertisements placed by a broker must indicate that the advertiser is a broker or give the name of the broker and his telephone number.
All advertisements placed by a broker which state that property is in the vicinity of a geographical area or territorial subdivision must indicate as part of such advertisement the name of the geographical area or territorial subdivision in which such property is actually located.”

Question 15

Blind advertising

Answer 15

-All ads by a licensee must indicate that the advertiser is a broker and give the name and telephone number of the broker.

Ads that do not contain this information are called blind ads.
Blind ads are illegal in New York State.

Question 16

Stigmatized Property Disclosure

Answer 16

According to Article 443-a of the NY Real Property Law, sellers and seller agents do not have to disclose the following facts when selling or leasing residential property:

1) Occupants who have AIDS or other illnesses not transmitted through occupancy.
2) Properties that were a site of death due to natural causes, accidents, suicide, homicide, crime and other reasons.

Question 17

Record Keeping

Answer 17

-Brokers must maintain records of all transactions for at least 3 years.