Georgia Chapter 3 Maintaining A License.txt

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star.strukk
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Georgia Chapter 3 Maintaining A License.txt
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2013-07-01 15:28:21
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Georgia Chapter Maintaining License
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Georgia Chapter 3 Maintaining A License
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  1. What type of Forms exist?
    • Applications for license
    • Renewal of license
    • Transfer of license
    • Change in license status, and
    • Change in the name of a firm
    •    must be filed with the commission on a form approved by the commission
  2. What are Letters used for?
    • Changes in trust accounts
    • Address changes, and
    • Individual name changes
    •   may be done by a letter to the commission
  3. What are the ways to file any application, letter, or fee with the commission?
    • Personal delivery to the commission during regular business hours
    • Mail in a letter postmarked by the USPS
    • Delivery Service
    • Fax transmission (if no fee is required)
  4. All of the following may be done by a letter to the commission EXCEPT?

    A. Change in trust account
    B. Change in the name of a firm
    C. Change in individual name
    D. Change in address
    B. Change  in the name of a firm

    Must be filed with the commission on a form approved by the commission
    (this multiple choice question has been scrambled)
  5. An active Georgia associate broker, sales person, or community association manager must be licensed under ____________.
    only one active Georgia Broker at a time.
  6. An active Georgia licensee, who lives in Georgia, but also holds a license in another state, must be affiliated with an out-of-state broker if ____________
    he has the written permission of his Georgia Broker.
  7. An initial licensee, and a licensee activating an inactive license, and a licensee reinstating a lapsed license, may not practice real estate until _______________
    his affiliated broker has received the wall license.
  8. An active licensee changing affiliation may not practice real estate until ______________________.
    • He affiliates with a new broker,
    • and the Change Application Form has been mailed to the commission
    • (or)
    • The new broker has received the wall license.
  9. Can an inactive licensee perform any acts of real estate brokerage on behalf of any other person?
    No.
  10. Can an inactive licensee work for an owner and perform acts of real estate as the owner's fulltime employee?
    Yes, but he must surrender his license.
  11. It is illegal for inactive licensees to buy, sell, lease and option real estate that is solely owned by them.

    a. True
    b. False
    b. False

    They can.
  12. How to activate an inactive license?
    Licensees must complete 6 hours of approved continuing education for each year the license was inactive.
  13. How long can a licensee remain inactive?
    A licensee may remain on an inactive status indefinitely.
  14. How can one take a legal action against a licensee?
    Any administrative, civil or criminal action against a licensee must be reported in writing to the commission within 10 days of conclusion of the action.
  15. How soon does an address change needs to be reported?
    • A licensee,
    • approved school, or
    • approved instructor
    •   must notify the commission in writing (letter) of any change in mailing address or home address
    • within 1 month of the change.
  16. Individual Licenses lapse every ___ years on ________. To renew, individual licensees must _______________________.
    Individual Licenses lapse every 4 years on the last day of the licensee's birth month.

    To renew, individual licensees must pay a fee and complete all required education.
  17. Firm Licenses lapse every ___ years on ________. To renew, firm must _______________________.
    Firm Licenses lapse every 4 years on the last day of the month the license was issued.

    To renew, firm must pay a renewal fee.
  18. Renewal and Continuing Education
    • Individual Licenses -
    •   lapse every 4 years 
    •   on the last day of the licensee's birth month
    •   must pay a fee and complete all required education.
    • Firm Licenses - 
    •   lapse every 4 years  
    •   on the last day of the month the license was issued
    •   must pay a renewal fee
    • Licenses can also be renewed online -
    •   @ www.grec.state.ga.us
    • Proof of Lawful Presence in the US -
    •   must be provided with each renewal
    • Continuing Education -
    •   All individual licensees must show that they have completed 24 hours (6hrs X every yr) of approved continuing education prior to each 4 yr renewal
    •   = post-license course required of new sales licensees
  19. License lapse and Reinstatement

    What should a licensee do when his license lapses?
    • When a license lapses, the licensee may not practice real estate, and wall license and pocket card must be returned immediately to the commission.
    • A license that lapses because the licensee failed to pay a fee or failed to complete proper education, may be reinstated within 2 years of lapsing by paying all required fees which can be substantial and completing all required continuing education.
    • Alternately, if a licensee does not want to pay the penalties and fees to reinstate his license, he may re-qualify within 2-5 years of lapsing by completing required pre-license education and passing the state licensing exam.
    • After 5 years a lapsed license may not be reinstated, and the person must apply as an original applicant.
  20. A broker must conduct all business under the name of ___________.
    The name of the firm in which the broker's license (the firm license) was issued.
  21. Compensation to licensees


    A firm must have a ___________ with each licensee that states ______________________.
    • A firm must have a written agreement with each licensee that states:
    •   how the licensee will be compensated for work during the time he is affiliated with the firm
    •   (and)
    •   how he will be compensated for work started but not finished when the licensee leaves the firm
  22. The commission requires ___________between the firm and the licensee, but the commission does not regulate _________________, nor does the commission __________________ between licensees.
    The commission requires a written agreement between the firm and the licensee, but the commission does not regulate the terms of the compensation, nor does the commission arbitrate disputes between licensees.
  23. Every brokerage firm must have _________.
    A Qualifying Broker
  24. A qualifying broker is responsible for ________________, and must be able to ______________.
    A qualifying broker is responsible for the acts of the firm and all associated licensees, and must be able to sign on all trust accounts of the firm.
  25. Who is the qualifying broker in a sole proprietorship firm?
    The sole proprietor is sole owner and qualifying broker
  26. Who is the qualifying broker in a partnership firm?
    A general partner
  27. Who is the qualifying broker in a corporation?
    Officer of the corporation
  28. The qualifying broker may be held responsible for firm and licensee violations, unless the broker can show that??
    • He had proper procedures in place for training and supervision
    • did not participate in violation, and
    • did not ratify the violation
  29. What are the proper procedures a qualifying broker must have in place?
    • 1. Regular review of the firm's trust account procedures
    • 2. Training for licensees to guarantee understanding of laws and regulations
    • 3. Ensuring advertising complies with the laws and regulations
    • 4. Proper record keeping
    • 5. Review of all offers and contracts
    • 6. Review of the firm's policy and procedure manual
    • 7. The firm's management must be reasonably available to licensees
  30. How long does a firm have to secure a new qualifying broker if the firm loses its qualifying broker?

    What if the firm fails to acquire a broker within that time period?
    A firm has 60 days to secure a new qualifying broker.

    Else, it must halt all brokerage activity until a broker is secured.
  31. A qualifying broker ____ serve as a qualifying broker for more than one firm.

    a. can
    b. cannot
    a. can
  32. Associate broker with one firm, ______ serve as a qualifying broker for one or more other firms.

    a. can
    b. cannot
    CAN!

    BUT, he must give a written notice to the firm that holds his associate broker's license.
  33. When a licensee wants to leave the firm, what should the releasing broker do?
    • The licensee and the licensee's releasing broker, or authorized associate broker, must sign a release form, and the releasing broker
    • > sends the commission the form and the licensee's wall license,
    •    (or)
    • sends the commission the form and written notification that he has sent the wall license to a new broker
  34. What must a licensee do, if he wants to transfer his license to a new firm?
    • Must sign a release form, along with his releasing broker,
    • who sends the form and wall license to the commission.
    • The licensee has 1 month from the time the commission receives the release form to
    •    transfer his license to another broker,
    •    place his license on inactive status
    • He must return all property belonging to the releasing broker.
    • The departing licensee may not have any contact with any of the firm's clients until the client's brokerage engagement agreement has expired, or the departing licensee receives written permission from his old firm to contact the client.
  35. What all property belonging to the releasing broker, must a departing licensee return?
    • Keys
    • 'For Sale' signs
    • All written engagements
    • Any item that carries the releasing broker's name
    • Lists of names of prospective customers and clients
    • Records of any kind that were used in connection with listing or selling or managing properties
  36. What if a broker wants to release a licensee and he can't get the licensee's signature on the release form?
    He can send the licensee's wall license to the commission with a copy of a letter mailed to the licensee's last known address informing the licensee he has 1 month to transfer to another broker or place his license on inactive status.
  37. A broker has a dispute with the licensee (such as the claim that the licensee owes him money), he refuses to sign a release form until the money is paid.

    Is this legal?
    No. A broker cannot refuse to sign a release form. He must pursue the dispute separately, but he must sign the release form.
  38. When a licensee employees an unlicensed person to help him conduct his business, who can be held responsible for the employee's actions?
    Both the firm and the affiliated licensee
  39. What must the firm do if a licensee employs an unlicensed person to help him conduct his business?
    • Have a written agreement with the affiliated licensee as to the compensation and duties of the support person
    • Have a written agreement with the support person specifying the duties
    • Make sure the licensee and the support person also have a written agreement specifying the compensation and duties of the support person
  40. What type of tasks can an unlicensed support person form?
    • Only ministerial tasks (tasks that do not required discretion or judgment).
    • Duties may include but are not limited to such things as:
    •    Answering and forwarding phone calls
    •    Submitting data to an MLS
    •    Assembling documents
    •    Scheduling meetings and events
    •    Checking status of loan commitments
    •    Placing signs on property
    •    Recording and depositing monies
    •    Computing commission checks
    •    Ordering routine repairs as directed by the licensee
    •    Performing physical maintenance on a property
  41. What type of tasks can an unlicensed support person cannot do?
    • Make cold calls
    • Host open houses
    • Show property
    • Discuss or explain any real estate document with anyone outside the firm
    • Negotiate or agree to any fee or commission
    • Collect or hold any monies
    • Provide advice or suggestions to any client or customer
    • Pretend to be licensed
  42. Can a county or municipal taxing authority charge a license, occupational, or professional tax on real estate brokers?
    Tax One Tax All

    No county or municipal taxing authority may charge a license, occupational, or professional tax on real estate brokers unless they charge the same tax on other entities doing business in the same geographical area.  This prevents real estate from being singled out for a business license tax.
  43. John lives in Atlanta and has an active salesperson's license with Atlanta Realty.  John owns a second home in Brunswick and wants to spend more time there.  Since Atlanta Realty does not have an office in Brunswick John would like to associate with Brunswick Realty as well.

    A. John can do this if he spends 6 months in each place.
    B. John can do this if he has the permission of his Atlanta broker
    C. John cannot do this unless he gets his associate broker's license
    D. John cannot do this because he can only be associated with 1 Georgia broker at a time
    D. John cannot do this because he can only be associated with 1 Georgia broker at a time
    (this multiple choice question has been scrambled)
  44. Ann is a top salesperson that ABC Realty.  Mickey Properties owns and develops large condominium projects.  The firm is not a broker and handles all sales in-house.  Mickey wants Ann to manage their sales department.

    A. Ann can do this if she is a full-time Mickey employee.
    B. Ann can do this if she surrenders her license.
    C. Ann can do this if she has the permission of her broker.
    D. Ann can do this if she places her license on inactive status.
    B. Ann can do this if she surrenders her license.
    (this multiple choice question has been scrambled)
  45. If a licensed salesperson or broker fails to pay the fee to renew within the prescribed time

    A. He must reapply as an original applicant
    B. He may renew within 1 year of lapse by paying the reactivation fee
    C. He may renew within 2 years of lapse by paying all required fees and charges, and completing required continuing education
    D. He  may renew within 5 years of lapse by paying all required fees and charges, and completing pre-license education
    C. He may renew within 2 years of lapse by paying all required fees and charges, and completing required continuing education
    (this multiple choice question has been scrambled)
  46. What is the maximum period a licensee may remain inactive?

    A. 10 years
    B. 2 years
    C. 5 years
    D. Indefinitely
    D. Indefinitely
    (this multiple choice question has been scrambled)
  47. Which of the following statements about a qualifying broker is FALSE?

    A. The qualifying broker can be associated with only one Georgia broker at a time.
    B. The owner of a sole proprietorship must be the qualifying broker.
    C. The qualifying broker is responsible for training.
    D. The qualifying broker must be able to sign on trust account transactions.
    A. The qualifying broker can be associated with only one Georgia broker at a time.
    (this multiple choice question has been scrambled)
  48. Mark is the qualifying broker for a ABC Realty. Sam is an ABC associate broker.  Mark has not received complete records from Sam's last transaction. Sam  asks Mark to sign a release form so he can move his license to another firm. Mark tells Sam that he will sign the form immediately upon receiving Sam's missing paperwork. Mark's actions are legal.

    a. True
    b. False
    b. False
  49. Lisa hires an unlicensed assistant to help with her office work. Which of the following statements is NOT true?

    A. The firm and Lisa are both responsible for the actions of the assistant
    B. Lisa must have a written agreement with her firm concerning the duties of her assistant
    C. The assistant must have a written agreement with the firm concerning his duties
    D. The broker is responsible for paying the assistant's salary
    D. The broker is responsible for paying the assistant's salary
    (this multiple choice question has been scrambled)
  50. An unlicensed assistant cannot

    A. Check on loan commitments
    B. Host open houses
    C. Assemble contracts and other documents
    D. Locate signs on property
    B. Host open houses
    (this multiple choice question has been scrambled)

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