License Statuses Flashcards
Explain the different licensure statuses
Distinguish between active and inactive license status
Describe the regulations regarding involuntarily inactive status
Distinguish between multiple and group licenses
The Real Estate Recovery Fund is funded by:
dues paid by members of the Florida Real Estate Commission
penalty fees paid by license holders who violated rules
Florida residents via taxpayer dollars
fees paid by real estate license holders and applicants
fees paid by real estate license holders and applicants
When a license is inactive, it means
that the licensee can’t legally engage in any professional real estate activities.
Some license holders want to take a breather from the real estate business, but they don’t want to lose their licenses and have to get new ones when they’re ready to return
This involves making an official request to the Department of Business and Professional Regulation to put the license on voluntarily inactive status.
How to reactivate a voluntarily inactive license
Secure an employing broker or owner-developer
Submit the proper request form
What happens if life gets in the way and you don’t renew your license by its expiration date? Unless it’s a first renewal,
it automatically changes to involuntary inactive status, which means it’s inactive due to either a failure to meet renewal requirements or the lack of an employing broker.
How to reactivate an involuntarily inactive license
To reactivate within 12 months of expiration, submit a request to DBPR and complete 14 hours of continuing education.
To reactivate more than 12 months but less than 24 months after expiration, submit a request to DBPR and complete 28 hours of continuing education. This amounts to a 24-month grace period for renewing licenses after the expiration date.
All reactivations of involuntarily inactive licenses incur a $100 fee for late renewal. (This is charged in addition to the regular renewal fees for each inactive period.)
If a sales associate’s or broker associate’s license is inactive because their employing broker had their license revoked or suspended, the sales associate can reactivate by submitting proof of a new employer broker.
A licensee has a voluntarily inactive license. To change it to an active license, what must they do?
(Select all that apply)
submit the proper request form
retake the 45-hour post-licensing education course
find an employing broker or owner-developer
retake the licensing exam
submit the proper request form
find an employing broker or owner-developer
Don’s Florida sales associate license has been expired for a year and a half. What does he need to do if he wants to start practicing real estate again?
Because Don’s real estate license has been expired for a year and a half, it is considered involuntarily inactive. To reactivate it, he will need to complete 28 hours of continuing education, submit a request to the DBPR, and pay a late fee in addition to the renewal fee.
Restitution is rescission where the contract is undone, all obligations terminated and all consideration returned. Cancellation is termination without undoing any of the acts that have been performed under the contract. In real property terminology, replacement may refer to rebuilding improvements to the same functional and economic value as before. Restoration may refer to reconstructing improvements to exactly the same physical status and appearance as before.
A unilateral contract binds only one party. A bilateral contract (i.e. real estate sales contract) binds both parties.
The termination of a contract occurs if it is completed (i.e. closed). Fraud makes a contract avoidable by the lied-to party, but it is not necessarily terminated. Acceptance of an offer would commence the contract, not terminate it.
When one party makes an offer and the other party accepts the offer there is mutual assent, which is called a meeting of the minds. The consummation of a real estate sales contract generally does not occur until closing, where a deed and consideration are exchanged.
