Oklahoma Real Estate Flashcards
How does the code define real estate?
Shall include any interest or estate in real property. Does NOT include the interest in oil, gas, or other mineral interest.
Real Estate Broker
Shall include any person, partnership, association, or corporation, who for a fee lists, sells, offers to sell, buys, or attempts to buy, exchanges, rents, leases, or attempts to negotiate any such activity 
Broker associate
Shall include any person who is qualified for a license as a broker, and in any act, or transaction set in broker definition 
Real estate associate
Any person having renewable license, and employed or engaged by, or associated as an independent contractor with a real estate broker to do or deal in any act, acts or transaction set out in the definition of a real estate broker 
Provisional sales associate
Shall include any person who has been licensed after June 30, 1993, employed by a real estate broker to do or deal in any act, or transaction set out in the definition of real estate broker. And subject to an additional 45 hour post license educational requirement to be completed within 12 months. 
Licensee
She include any person who performs any act, acts or transaction set out in the definition of a broker and licensed under the OREC
Commission
Shall mean the Oklahoma Real Estate commission 
How many members does the OREC have?
7 Members
What or who regulates and issues real estate licenses in Oklahoma?
Oklahoma Real Estate commission
OREC 
What are the basic requirements to serve as a commissioner?
All members should be citizens and resident of the state of Oklahoma for at least three years prior to their appointment 
Based on occupation, how is the commission compromised?
-5 members shall be licensed real estate brokers with five years of active experience.
-1 member shall be a lay person, not in the real estate business 
-1 member shall be an active representative of a school of Real Estate located in OK 
What is the limitation regarding congressional districts?
No, more than 2 members shall be appointed from the same congressional district 
Who appoints OREC members?
Appointed by the governor with the advice and the consent of the Senate 
How long is the term of an OREC member? 
Terms are 4 years and until they’re successor is appointed 
What organization recommends candidates to serve as commissioners?
Oklahoma Association of realtors Inc.
OAR
Who can remove members of OREC and for what causes/reasons?
Members may be removed by the governor for inefficiency, neglect, or malfeasance in office 
How much does the OREC earn while serving in an OREC capacity? 
Travel expenses essential to performing the duties to his office 
What are the OREC leadership positions?
Chairman, vice, chairman, secretary-treasurer 
What is the OREC revolving fund?
Consist of all monies received by the OREC
How often is the revolving fund audited and whom?
Once a year and by the state auditor and inspector
Can the OREC sue and be sued?
Yes
Where must the OREC office be located? 
Oklahoma City, Oklahoma
What are the powers and duties of OREC?
1.promulgate rules 
2. Administer examinations.
3. To sell other entities, computer, testing, and license applications to recover funds.
4. Issue licenses. 
What are the powers and duties of OREC
- Promulgate rules
- Administer examinations
- To sell to other entities, computer testing and license applications to recover funds
- Issue licenses
What governs OREC and defined the procedures for OREC performance?
Administrative procedures act 
What is a hearing examiner?
Has the power and authority to conduct hearing in the name of the commission
Where can hearings take place?
Any place or time
Who has the burden of proof in a hearing?
Shall be upon the moving party
Who may engage in real estate activities?
Licensed agents
Who is exempt from Real Estate licensing?
Resident managers, attorneys, behaves on of a corp
What is a resident referrals fee and what is the maximum amount?
 fee of no more than $100 that a resident of an apartment complex receives for recommending the property
Transit lodging facility?
A furnished room in which is rented to a person on a daily basis, not as a principal residence, for a period less than 30 days 
Transit lodging facility?
A furnished room in which is rented to a person on a daily basis, not as a principal residence, for a period less than 30 days 
When will a real estate license applicant be eligible after conviction of fraud
10 years after the completion of any criminal sentence, including parole and probation 
When will a real estate license applicant be eligible after conviction of fraud
10 years after the completion of any criminal sentence, including parole and probation 
What must a licensed do if the licensee pleads nolo contendere?
Notify the commission in writing of the conviction or plea of guilty within 30 days after the plea is taken 
What are the qualifications to earn a provisional sales associate license?
90 hours of basic real estate instruction approved by the commission
What must a provisional sales associate accomplish before expiration of their license?
Additional 45 hours of clock hours in basic real estate instruction 
What must a provisional sales associate accomplish before expiration of their license?
Additional 45 hours of clock hours in basic real estate instruction 
What are qualifications to earn a broker license?
Must hold a sales associate license with two years of experience within the last previous five years with successful completion of 90 hours in advanced real estate instruction 
What must any broker do if the broker charges and collect fees for services?
Provided detailed accounting of expenditures to the person such services are performed for within 10 days after the time specified to perform
What are the terms for each type of OK real estate license?
Every license has a term of 36 months with the exception of the provisional cells associate, whose license term is 12 months 
In what month does a license expire?
At the end of 12 months for provisional
At the end of 36 months for sales associate
What is the requirement for continuing education in relation to license renewal?
Must complete required our set by the OREC
When can a licensee with a revoked license apply for a re-issue?
May not reapply for three years
Who pays for the cost of the national criminal history record check
Paid by the applicant
What are the requirements for establishing a real estate office?
Must follow the local laws and be available to the public during reasonable business hours 
How many ways are there to lose your license?
23
Who is prohibited from participation in real estate business?
No person whose license has been revoked or suspended, canceled, suspended or lapsed 
Single party broker:
A) perform the terms of the brokerage agreement
B) treat all parties to the transaction with honesty and exercise,
reasonable skill, and care 
C) be available to receive all written offer and counter offers, reduce all offers or counter offers to a written form upon request of any party to a transaction, and present timely, such written offers and counter offers
D) when an offer is made, inform in writing to the party for whom the Breker is providing services that such party will be expected to pay certain closing costs, brokerage services cost, and the approximate amount of those costs
E) the party for whom the broker is performing services informed regarding the transaction
F) timely account for all money and property received by the broker
G) confidential information received from a confidential as stated below
H) perform activities for the benefit of the party for whom the single broker is performing services
I) disclose pertaining to the property required by residential property disclosure act
J) obey specific directions for whom the broker is performing services that are not contrary to applicable statutes and rules or contrary to the terms of a contract between the parties to the transaction
K) inform the broker providing services may be vicariously liable for the acts and omissions of the broker
L) comply with all requirements of the Oklahoma Real Estate code, and all applicable statutes and rules 
Transaction broker:
Same responsibilities of a single party except for…
A) performing all brokerage activities except for the benefit of the party for whom the broker performing services
B) the specific directions of the party for whom the brokers performing services that are not contrary to law or
C) keeping the party for whom the broker is performing services informed regarding the transaction. A transaction broker does not provide services for the benefit of a party, but assist in the transaction. In addition a party for whom transaction broker is performing services is not vicariously liable for the acts or omissions of the broker 
What are the duties and responsibilities of a transaction broker?
Treat all parties with honesty, timely account for all money, keep confidential information, disclose required information, comply with OREC laws 
What must happen if a broker is serving as a transaction broker without a written agreement?
Compliance with the disclosure requirement shall be documented by the broker 
What can the relationships when a broker assist only one party in a transaction?
- A transaction broker without a written brokerage agreement.
- A transaction broker, three-way written brokerage agreement.
- Single party broker through a written brokerage agreement. 
What can the relationships be when a broker assist both parties in a transaction?
- A transaction broker for both parties.
- A single party broker for one party and as a transaction broker for the other party.
- A transaction broker where the broker has previously entered into a written brokerage agreement.
- To provide services as a single broker for both parties. 
Which relationship does not have a vicarious liability?
Transaction broker 
Which relationship does have a vicarious liability? 
Single party broker
What constitutes confidential information?
- But a party is willing to pay more or except less than what is being offered.
- That a party is willing to agree to financing terms that are different than those offered.
- The motivating factors of the party purchasing, selling, leasing, optioning or exchanging the property. 
What does a broker have when a transaction is complete
The broker owes no further duties or responsibilities to the party after termination, expiration, or completion of the performance of the transaction, except:
1. To account for all monies and property relating to the transaction; and.
2. To keep confidential, all confidential information received by the broker during the broker relationship with a party. 
When a client pays or promises to pay a broker, does this act establish a relationship?
This does not determine what relationship, if any, has been established between the broker and a party to a transaction 
Who can use the word agent?
A real estate broker and the associates of the real estate broker are permitted under provisions of this title to use the word “agent” in a trade name and as a general reference for designating themselves as real estate licensees

Who can use the word agent?
A real estate broker and the associates of the real estate broker are permitted under provisions of this title to use the word “agent” in a trade name and as a general reference for designating themselves as real estate licensees

Who must be associated with a real estate broker?
Each broker associate, sales associate, and provisional sales associate shall be associated with a real estate broker 
Who may not refer to themselves as a broker?
Associates shall not refer to themselves as a broker
What is the penalty for violating the code?
Be guilty of a misdemeanor punishable by a fine of not more than $1000, or by imprisonment in the county jail for not more than six months, or by both such fine and imprisonment
What is the punishment of engaging in real estate activities without a license?
- Imposing fine of not more than $5000 or the amount of the commission or commissions earned.
- Make application to the appropriate court for an order, joining such acts or practices, and upon showing by the commission that such person has engaged in any such acts or practices, and injunction, restraining order.
- Impose administrative pursuant to this subsection, which shall be enforceable in the district courts of the state.
What is the punishment of engaging in real estate activities without a license?
- Imposing fine of not more than $5000 or the amount of the commission or commissions earned.
- Make application to the appropriate court for an order, joining such acts or practices, and upon showing by the commission that such person has engaged in any such acts or practices, and injunction, restraining order.
- Impose administrative pursuant to this subsection, which shall be enforceable in the district courts of the state.
Where does the OREC deposit the money paid for fines deposited?
important
- In the Oklahoma Real Estate Education and Recovery Fund
If the OREC fines a licensee, what is the cost range of such a fine 
$100 shall not exceed $2000 for each violation of this code or the rules of the commission or
B. Exceed $5000 for all violations, resulting from a single incident or transaction.
What is the time limit to pay an OREC fine?
Fines shall be paid within thirty (30) days of notification
What can happen to a licensees license when fined?
License may be suspended until any fine imposed upon the licensee by the commission is paid 
What happens if a fine has not been paid in 60 days?
The license shall automatically be revoked 
In what instances is a licensee not required to make disclosure in a transaction?
That previous occupants had a non-transmitted disease, or that a homicide, suicide, or felony took place on the property 
What may a purchaser do regarding psychologically impacted Real Estate
Advise the licensee assisting the owner, in writing, that knowledge of such factor is important to the persons decision to purchase or lease the property, the licensee shall make inquiry of the owner and report any findings to the purchaser or lessee 
What is a licenses duty regarding registered sex offenders or violent crime offenders?
Not have to disclose due to the required sex offender registry
If a claimant receives a judgment against an OK realtor for violating the code, who or what must pay?
Oklahoma Real Estate Education and Recovery fund
What happens when a license is issued for less than 36 months?
Additional fee shall be prorated to the nearest dollar and month
Who may seek relief from the OK Real Estate Education and Recovery fund?
Any claimant shall be eligible to seek recovery from the Oklahoma Real Estate education and recovery fund 
Under what conditions is a claimant eligible to seek relief from the education and recovery fund?
- An action has been filed in district based upon a violation specified in the Oklahoma Real Estate License code
- The cause of action accrued not more than two years prior to the filing of the action.
- At the commencement of an action, the party filing the action shall immediately notify the commission to this effect in writing and provide the commission with a file stamped copy of the petition or affidavit.
- Final judgment is received by the claimant upon such action.
When is a claimant unqualified?
- The claimant is the spouse of the judge or a personal representative of such spouse.
- The claimant is a licensee who acted on their own behalf in the transaction, which is the subject of the claim.
- The claimants claim is based upon a real estate transaction in which the claimant is through their own action, jointly responsible for any resulting monetary loss with respect to the property owned or controlled by the claimant.
Who may apply to OREC for payment from the OK Real Estate, education and recovery fund?
Any claimant to meet all of the conditions prescribed by this act may apply to the commission for payment
What is the maximum amount of potential payment, including attorney fees?
An amount equal to the unsatisfied portion of the claimants judgment, which is actual or compensatory damages. $25,000 whichever is less. The claimant is entitled to reimbursement for attorney fees, reasonably incurred in the litigation not to exceed 25% of the claimants amount approved by the commission.
In order to receive payment from the education and recovery fund, what must a claimant due in relation to OREC?
Claimant assigns the claimants right, title, and interest in that portion of the judgment to the commission, which shall be subrogated up to the amount, actually paid by the fund to the claimant or to the claimants and the claimants attorney 
What is the aggregate amount of payment by OREC?
$50,000
If the education and recovery fund has insufficient money, what action may OREC take?
Commission satisfy such unpaid claim portion thereof, as soon as a sufficient amount of money has been deposited in the fund by collecting special love you from the members of the fund of an amount not to exceed five dollars each fiscal year 
What happens to the license of a licensee who loses a judgment?
The licenses license shall automatically be revoked upon the payment of any amount from the Oklahoma Real Estate, education and recovery fund on a judgment against a licensee
When may a license be reinstated after a judgment against a licensee?
The license shall not be considered for reinstatement until the licensee has repaid in full, plus any interest at the rate of 7% a year 
When and for what purpose may OREC expend education and recovery fund money?
At the commissions discretion when funds exceed $250,000 
What is the primary purpose of the oklahoma real estate commission
(OREC)
To safeguard the public interest and provide quality services by assisting and providing resources; encouraging and requiring high standards of knowledge and ethical practices of licenses; investigating and sanctioning licensed activities; and through the prosecution of any unlicensed person who violates the “Oklahoma Real Estate licensed code and rules“
Who made petition the commission to amend or appeal any rule?
Any person may petition the commission in writing requesting a promulgation amendment or repeal of any rule
** important!
What is the contract forms committee?
Drafts and revises residential real estate, purchase contracts and any related addenda for standardization and use by real estate licenses 
*** important
What is the composition of the contract forms committee?
Consists of eleven (11) members
*** important
Who appoints the contract forms committee members and in what numbers ?
5 member shall appointed by the Oklahoma Association of realtors OAR
3 member shall be appointed by the Oklahoma Real Estate commission OREC
3 member shall be appointed by the Oklahoma Bar Association OBA
Contract forms committee members serve for how long?
The initial member term shall begin upon development of the forms and each member shall serve through the effective date of implementation of forms, plus one (1) year
According to the rules, what is the definition of advertising?
All forms of representation, promotion, and solicitation disseminated in any manner, and by any means of communication to consumers for any purpose related to licensed real estate activity 
What is a bona fide offer?

An offer in writing
What is a trade name?
The name a firm is to be known as and by which is used in advertising by the firm to promote and generate publicity for the firm. A firm may or may not do business in the name under which their license is issued, but must register with the commission all trade names used by the firm. 
What is the time limit to appeal an OREC adverse administrative action?
Within 30 days of notice of such action or decision
What is the fee applied to a returned check for payment of a fee to OREC?
Fee of $35 will be charged
How many clock hours must be provisional sales associate candidate complete?
What I’m doing now.
90 clock hours of instruction or it’s equivalent
How many clock hours must a broker candidate complete?
At least 90 clock hours of instruction 
What is the OREC requirement concerning in class attendance?
A person must physically be present during all of the offering time and successfully complete all course requirements to include an examination
According to the rules, what constitutes good moral character
- Whether the probation period given in a conviction has been completed and fully satisfied to include fines, court cost, etc.
- Whether the restitution ordered by a court in a criminal conviction or civil judgment has been fully satisfied.
- Whether a bankruptcy is Real Estate related has been discharged.
- Whether an applicant has been denied licensure or a license has been suspended or revoked by this or any other state or jurisdiction to practice or conduct any regulated profession, business or vocation.
FOREC denies an applicant a license, what course of action can the applicant take?
Upon written request from the applicant, Feild within 30 days after receipt of such notice of denial, the commission shall set the matter for hearing
What is the minimum number of days notice OREC must give before a hearing?
Within 60 days after the receipt of the applicants request
What are the two requirements to obtain a brokers license?
Served two years, or it’s equivalent, as a licensed real estate provisional sales associate and or sales associate, with an under the instructions and guidance of a licensed real estate broker of this state or any other state at least 24 months within the five-year period 
What must an applicant due to test?
Be required to appear in person, at a time and place to be designated by the commission, and answer questions based on their required subject matter as prescribed elsewhere in the rules of this chapter
What is the cost of the broker examination?
$75
What is the cost of for a provisional sales associate examination?
$60
What must an applicant do to retest after a test failure?
Pay another examination fee
What right does an applicant have after a failed examination?
Review test and appeal for correct grading
What percentile is considered a passing grade?
75%
For how long is the test result valid and from what starting date?
90 days after the day of testing
FOREC directs an examination as disciplinary action who pays the testing fee?
Applicant
How does the code define continuing education?
Real estate orientated, education, course or equivalent, hearien after called offerings intended
1. To improve the knowledge of licensees
2. To keep licenses abreast of changing real estate practices in laws.
3. To help licensees meet the statutory requirements for license renewal 
What is the purpose of continuing education?
Provide an educational program through which real estate licensees can continually become more competent and remain qualified to engage in real estate activities for which they are licensed 
Goal of continuing education is to protect consumers for what or whom?
unknowledgeable licenses
Continuing education pertains to laws at what level of the government?
Federal, state and local laws and regulations which affect real estate practices
Who is ultimately responsible to furnish OREC with documentation on completion of continuing education?
Individual licensees
How many hours must a licensee complete?
Minimum of 21 clock hours, every three years 
What constitutes evidence of completion?
- A certificate, and documents, statements and forms, as may reasonably be required by the commission or:
- A certified transcript.
What constitutes in class credit?
A person must physically be present during all of the offering time and successfully complete all course requirements
What proves distance education credit?
Successfully complete all course requirements to include all modules and an examination
What are the limitations to course selection?
A particular course offering may not be taken for continuing education, credit more than once from the same entity and or instructor during a renewal period.
How many clock hours of continuing education must be from OREC directed subject matter
12 clock hours
What are the subject areas of OREC mandates for continuing education credit?
Professional conduct, broker, relationships, act, fair, housing, and current issues, including code and rule updates
What term is applied to the remainder of continuing education courses?
Electives
What is the purpose of provisional sales associate post license education?
Provide an educational program through which real estate provisional sales associate licenses can become more competent, knowledgeable, and perfect, their ability to engage in real estate activities for which their licensed
How many hours of post licensed education must provisional sales associate complete?
45 hours before license expiration
Who is responsible to furnish OREC with evidence of post education?
Each provisional sales associate
What happens if a provisional sales associate fails to complete the post license education?
Not being entitled to renew such license
Who may request an extension of time for post license course completion?
Active military
When may licensee begin conducting real estate business?
No, Real Estate licensee shall begin operations in the real estate business without first having been issued his or her numbered license certificate 
What must an individual proof for license renewals and reinstatement?
Provide documentation required for compliance necessary to verify citizenship, qualified, alien status, and eligibility under the Personal Responsibility and Work Opportunity Reconciliation Act of 1966. Failure to provide such documentation shall result in disapproval of the application. 
When do all licenses expire except for the provisional sales associate?
At the end of the 36 month, including the month of issuance
When does the provisional sales associate license expire?
At the end of the 12th month, including the month of issuance
What is the cost of a broker license?
Fee shall be $210
What is the cost of the sales associate license?
These shall be $150
What is the cost of a duplicate replacement for a lost or destroyed license?
A fee of $7.50 shall be charged
What additional fee is charged along with a license fee and for what purpose?
Additional $15 fee, the Education and Recovery Fund fee 
When is the actual expiration of a license?
The actual expiration date of a license, shall be midnight on the last day of the month of the designated license term
What is the late penalty fee for an expired license?
$10
By when must a renewal be filed?
By midnight on the date on which the license is due to expire
If a license has lapsed more than five years, what is the status of the applicant?
The applicant shall be regarded as an original applicant
What is the status of a provisional sales associate who has not successfully completed the post licensing education requirement before the expiration of their license?
The commission will not submit a renewable sales associate license
Within how many days must a licensee file with OREC of a change in the name of firm?
Must be filed in the commission office within 10 days of such a change
What must accompany a name change filing with OREC
The licensee or firm shall return the license certificate to the commission along with the request for such a name change
What is the OREC fee to change a license?
$25
What is the OREC fee to change a license?
$25
If a license you request a certified license history, what is the OREC fee?
$15
Where would a licensees license be displayed?
Branch office
Within how many days must a new branch office broker be appointed?
10 days
Within how many days must a new branch office broker be appointed?
10 days
How may a branch office use a name different than a main office?
If the branch office also utilizes, for identification and connection purposes, the name or trade name of the main office
How may a branch office use a name different than a main office?
If the branch office also utilizes, for identification and connection purposes, the name or trade name of the main office
What must each broker maintain?
Maintain a specific place of business
What must each broker maintain?
Maintain a specific place of business
Whose license must a broker display?
Broker license, as well as those of all licenses associated with a broker, must be prominently displayed in such place of business
What is the minimum size a construction of a broker office?
The office shall consist of at least one enclosed room or building of stationary construction, where in negotiations and closing over real estate transactions of others may be conducted and carried on with privacy
What does OREC say about an office in a broker residence?
If not contrary to local zoning ordinances
How can a broker be a broker for more than one firm?
So long as the firms are at the same location
For whom is a broker responsible?
All real estate related activities of any unlicensed assistant working within the firm
What is the requirement for office identification?
Shall erect and maintain a sign honor about the entrance of his or her office, and all branch offices, which sign shall be easily observed, and read by persons about to enter any of said offices 
Broker office science must have letters at least what size?
All letters, not less than 1 inch in height
When must trade names be registered?
Prior to the trade name being advertised or displayed in anyway
What is the first requirement for advertising Real Estate?
Must use his or her business trade name, or the name under which the broker is licensed
What is the restriction regarding contact information in an advertisement?
No real estate advertisement shall show only a post office box number, telephone number or street address
What must a property owner do before advertising Real Estate?
Given permission to the owner or the owners authorize representative and said permission has a definite date of expiration
What must a property owner do before advertising Real Estate?
Given permission to the owner or the owners authorize representative and said permission has a definite date of expiration
With how many days must be broker file a change of business address with the OREC?
Within 10 days of such change
What is the OREC fee for a broker change of business address?
$25 for each license to be changed
Within how many days must be broker file a change of the brokers home address with the OREC?
Within 10 days of such change
Within how many days must be broker file a change of the brokers home address with the OREC?
Within 10 days of such change
What is the OREC fee to change a brokers home address?
$25 will be charged if the change requires a new licensed to be issued
With a death or disability of a broker, within how many days must advertising terminate
Within 30 days of death or disability of the broker 
With a death or disability of a broker, within how many days must advertising terminate
Within 30 days of death or disability of the broker 
All acts performed by an associate must be in the name of whom
Done only in the name of the associate’s broker
All acts performed by an associate must be in the name of whom
Done only in the name of the associate’s broker
Who is responsible for the act of an associates unlicensed assistant?
An associate who employs an unlicensed assistant is responsible in conjunction with the broker for all Real Estate activities of the unlicensed assistant
Who is responsible for the act of an associates unlicensed assistant?
An associate who employs an unlicensed assistant is responsible in conjunction with the broker for all Real Estate activities of the unlicensed assistant
Who retains custody of an associates license?
The associates broker 
Within how many days must an associate file with OREC a change of office form?
Within 10 days
What action with OREC must the new broker take when an associate moved?
Cause the license of that associate to be forwarded to the commission along with a release of association form. The broker shall make every attempt to notify the associate of the disassociation. 
What is the OREC fee to change offices?
$25
If a broker refuses to release an associate, what action must the associate take?
Notify the broker by certified mail of the disassociation and furnish the commission, a sworn statement that the notification has been served on the broker
If a broker refuses to release an associate, what action must the associate take?
Notify the broker by certified mail of the disassociation and furnish the commission, a sworn statement that the notification has been served on the broker
When an associate moves to a new broker, within what time limit can the associate continue to engage in Real Estate activities?
May act as if the change is done
What is the procedure for a disassociated associate to be compensated by the prior broker?
May pay directly to the associate from the previous broker
With an how many days must an associate file with OREC a change in-home address
Within 10 days of such change
What is the OREC fee to change an associates address?
No fee is required to change the licenses records; however, a fee of $25 will be charged if the change requires a new license to be issued
What criteria must apply to any financial institution where an earnest money is deposited?
Deposits are insured by an agency of the federal government
Whose name must be on the bank account that holds money?
The broker
What is the time limit for depositing escrow funds?
Before the end of the third banking day, following acceptance of an offer by an offeree
When may a broker disperse funds from a trust account until the transaction involved is:
 consummated, or terminated and proper accounting made
What is the definition of comingling?
May not keep any personal funds in the trust account except amounts sufficient to ensure the integrity of the account and cover any charges made by the financial institution for servicing the trust or escrow account
What musty broker do with with regards to an interest-bearing trust account?
Must disclose in writing to all parties that the account bears interest and identify the party receiving the interest
Are brokers required by OREC to maintain a trust account?
Not unless less monies or other deposit items belonging to others are accepted by the broker
With whom must a broker register all trust accounts
Required to notify the commission in writing of all trust or escrow accounts, security, deposit accounts, rental management operating accounts, and interest bearing accounts in which trust funds are held
With whom must a broker register all trust accounts
Required to notify the commission in writing of all trust or escrow accounts, security, deposit accounts, rental management operating accounts, and interest bearing accounts in which trust funds are held
Who is responsible for a transaction settlement statement?
The broker
Within what time limit must be broker “pay over “after the closing of the transaction
Promptly after the closing of any transaction
What happens to earnest money when a transaction does not consummate
Promptly disperse the earnest money or items to the proper party in accordance with the terms of the contract
What happens to earnest money when a transaction does not consummate
Promptly disperse the earnest money or items to the proper party in accordance with the terms of the contract
After a transaction closes at terminates, for how long must a broker maintain the records?
A minimum of five years after consummation or termination
How long must original trust account be maintained?
Two years
How long must original trust account be maintained?
Two years
If documents are transferred to alternate media, what action must be taken before the original records are destroyed
Quality assurance check Shelby done to ensure that every document was imaged and can be reproduced in a legible and readable condition on a display device
What is the minimum number of alternate media copies
No less than two copies
What is the minimum number of alternate media copies
No less than two copies
To whom and win must an associate turnover all documents in a transaction?
To the broker promptly
To whom most an associate provided a copy of all instruments in a transaction?
To the broker
To whom most an associate provided a copy of all instruments in a transaction?
To the broker
Is an associate permitted to open or maintain trust or escrow accounts
No
What happens to escrow money/valuables in the event of a dispute prior to disbursement?
Until he or she has a written release from all parties consenting to its disposition or until a civil action is filed to determine it’s disposition at which time he or she may pay or return it in the court
To whom and what form must a licensee disclose any additional compensation?
A licensee may receive for recommending or referring a service or product or for any beneficial interest a licensee may have any service or product provider in writing to all parties on both sides of the transaction.
Who has primary responsibility for written disclosure?
His or her broker
What form does OREC prescribe for disclosures?
In writing
What form does OREC prescribe for disclosures?
In writing
When must disclosures be made?
Either prior to, or at the time of a contract
When must disclosures be made?
Either prior to, or at the time of a contract
Who does NOT Determine what brokerage relationship exists?
The associated broker associates, sales associates, or provisional sales associates
Who does NOT Determine what brokerage relationship exists?
The associated broker associates, sales associates, or provisional sales associates
Who is not authorized to accept delivery of a contract between the parties unless the contract authorizes such action and this broker agrees to do so?
Transaction broker
What suggestions may a transaction broker make?
Provide market information and data which may indicate value and may make a suggestion regarding value 
What may a transaction broker not do
Advocate for either party
What is the procedure for disclosure with regards to psychologically impacted property?
- Purchaser/lessee must be in the process of making a bona fide offer.
- Licensee must receive request in writing from Purchaser/lessee
- Purchaser/lessee’s written request must state that such factor is important to the decision of the Purchaser/lessee
- Licensee shall make inquiry of the owner by submitting the written request to the owner.
- Licenses shall report any findings to the purchaser/lessee
- If the owner refuses to furnish information requested, the licenses shall advise the purchaser/lessee
- Further if a purchaser/lessee is requesting information as to whether or not an occupant of the real estate is, or was at any time suspected to be infected, or has been infected with acquired immune deficiency syndrome, or any other disease which falls under the privacy laws, the information can only be obtained in accordance with the Public Health and Safety Statute
What happens if a purchaser asks about a property occupant and aids?
The information can only be obtained in accordance with the public health and safety statute
Does OREC establish the commission rate for Real Estate services?
No
What must happen before OREC will entertain a complaint, charging a broker with failure to pay an earned commission
The complaining licensee submits with his or her complaint evidence that a court of competent jurisdiction has ruled in his or her favor relative to the subject and awarded judgment against the broker 
What must happen before OREC will entertain a complaint, charging a broker with failure to pay an earned commission
The complaining licensee submits with his or her complaint evidence that a court of competent jurisdiction has ruled in his or her favor relative to the subject and awarded judgment against the broker 
Who may file a complaint alleging misconduct against a licensee?
Any person
Who may file a complaint alleging misconduct against a licensee?
Any person
If an OREC form is not used to file a complaint, what must the document have?
Form must be notarized by a notary public
***important
In how many days and and what form does a licensee have to respond to the complaint?
File an adequate written response within 15 days of the notice
What is the minimum number of days notice for an OREC format hearing
At least 15 days written notice
Where do OREC form hearing take place?
Shelby set at such time and place as the commission through its secretary- treasurer may prescribe
What is the time limit to request a formal hearing postponement?
72 hours prior to the hearing
When shall a formal hearing not be in public?
Except that upon motion of either party
When shall a formal hearing not be in public?
Except that upon motion of either party
Who documented the procedure of an OREC formal hearing?
A court reporter
What is substantial misrepresentation?
- The recommendation or use by a licensee of a fictitious or false instrument for the purpose of inducing any lender or government agency to loan or ensure any sum of money.
- Failure to disclose to a buyer or other cooperative, licensee or company a known material defect regarding the condition of a parcel of real estate of which a broker or associate has knowledge.
- Use by a real estate broker of the name or name of a licensee whose license has been revoked or currently on suspension.
