Text: HF00097 Text: HF00099 Text: HF00000 - HF00099 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 543B.5, Code 1997, is amended by adding 1 2 the following new subsection: 1 3 NEW SUBSECTION. 18A. "Residential property" means real 1 4 property located in this state which is occupied, used, or 1 5 intended to be occupied or used, for residential purposes, and 1 6 having four or fewer dwelling units. 1 7 Sec. 2. Section 543B.56, subsection 1, unnumbered 1 8 paragraph 1, Code 1997, is amended to read as follows: 1 9 In providing brokerage services to all parties to a 1 10 residential property transaction, a licensee shall do all of 1 11 the following: 1 12 Sec. 3. Section 543B.56, subsection 2, unnumbered 1 13 paragraph 1, Code 1997, is amended to read as follows: 1 14 In addition to the licensee's duties under subsection 1, a 1 15 licensee providing brokerage services to a client with respect 1 16 to a residential property transaction shall do all of the 1 17 following: 1 18 Sec. 4. Section 543B.56, subsection 3, unnumbered 1 19 paragraph 1, Code 1997, is amended to read as follows: 1 20 In providing brokerage services with respect to a 1 21 residential property transaction, a licensee shall not do 1 22 either of the following: 1 23 Sec. 5. Section 543B.57, subsections 1 and 2, Code 1997, 1 24 are amended to read as follows: 1 25 1. A licensee shall not represent any party or parties to 1 26 a residential property transaction or otherwise as a licensee 1 27 unless that licensee makes an affirmative written disclosure 1 28 to all parties to the transaction identifying which party that 1 29 person represents in the transaction. The disclosure shall be 1 30 acknowledged by separate signatures of all parties to the 1 31 transaction. 1 32 2. a. The disclosure required in subsection 1 shall be 1 33 made by the licensee at the time the licensee provides 1 34 specific assistance to the client, or prior to any offer being 1 35 made or accepted by any party toathe residential property 2 1 transaction, whichever is sooner. A change in a licensee's 2 2 representation that makes the initial disclosure incomplete, 2 3 misleading, or inaccurate requires that a new disclosure be 2 4 made immediately. 2 5 b. For purposes of this section, "specific assistance" 2 6 means eliciting or accepting confidential information about a 2 7 party's real estate needs, motivation, or financial 2 8 qualifications. "Specific assistance" does not mean an open 2 9 house showing, preliminary conversations concerning price 2 10 range, location, and property styles, or responding to general 2 11 factual questions concerning properties which have been 2 12 advertised for sale or lease. 2 13 Sec. 6. Section 543B.58, Code 1997, is amended to read as 2 14 follows: 2 15 543B.58 LICENSEES REPRESENTING MORE THAN ONE CLIENT IN A 2 16 RESIDENTIAL PROPERTY TRANSACTION. 2 17 1. A licensee shall not be the agent for both a buyer and 2 18 a seller to a residential property transaction without 2 19 obtaining the written consent of both the buyer and the 2 20 seller. The written consent shall state that the licensee has 2 21 made a full disclosure of the type of representation the 2 22 licensee will provide. The consent to multiple representation 2 23 shall contain a statement of the licensee's duties under 2 24 section 543B.56, subsection 1, a statement of the licensee's 2 25 duties to the client under section 543B.56, subsection 2, 2 26 paragraphs "b" and "c", and a statement that the clients 2 27 understand the licensee's duties and consent to the licensee's 2 28 providing brokerage services to more than one client. 2 29 2. A consent to multiple representation may contain 2 30 additional disclosures by the licensee or additional 2 31 agreements between the licensee and the clients that do not 2 32 violate any duty of a licensee under this chapter. 2 33 Sec. 7. Section 543B.59, Code 1997, is amended to read as 2 34 follows: 2 35 543B.59 APPOINTED AGENTS WITHIN A FIRM. 3 1 1. APPOINTED AGENTS. A real estate brokerage agency 3 2 entering into a residential property brokerage agreement, 3 3 through a designated broker, may notify a client in writing of 3 4 those affiliated licensees within the real estate brokerage 3 5 agency who will be acting as appointed agents of that client 3 6 to the exclusion of all other affiliated licensees within the 3 7 real estate brokerage agency. 3 8 2. DUAL AGENT. A real estate brokerage agency and a 3 9 designated broker are not considered to be dual agents solely 3 10 because of an appointment under the provisions of this 3 11 section. However, an affiliated licensee who personally 3 12 represents both the seller and the buyer in a particular 3 13 residential property transaction is considered to be a 3 14 disclosed dual agent and is required to comply with the 3 15 provisions of this subchapter governing disclosed dual agents. 3 16 3. ACTUAL KNOWLEDGE – INFORMATION. A client, a real 3 17 estate brokerage agency, and its appointed agents are deemed 3 18 to possess only actual knowledge and information at the time 3 19 the appointed agents are appointed. Knowledge or information 3 20 is not imparted by operation of law among the clients, the 3 21 real estate brokerage agency, and its appointed agents. 3 22 4. APPOINTMENTS – ROLES. The commission shall define by 3 23 rule the methods of appointment and the role of the real 3 24 estate brokerage agency and the designated broker. The rules 3 25 must include a requirement that clients be informed as to the 3 26 real estate brokerage agency's appointed agent policy and be 3 27 given written notice of that policy in advance of entering 3 28 into a residential property brokerage agreement. 3 29 Sec. 8. Section 543B.60, Code 1997, is amended to read as 3 30 follows: 3 31 543B.60 LICENSEES PROVIDING SERVICES IN MORE THAN ONE 3 32 RESIDENTIAL PROPERTY TRANSACTION. 3 33 A licensee may provide brokerage services simultaneously to 3 34 more than one party in different residential property 3 35 transactions unless the licensee agrees with a client that the 4 1 licensee is to provide brokerage services only to that client. 4 2 If the licensee and a client agree that the licensee is to 4 3 provide brokerage services only to that client, the agency 4 4 agreement disclosure required under section 543B.57, 4 5 subsection 1, shall contain a statement of that agreement. 4 6 EXPLANATION 4 7 This bill provides that certain sections of Code chapter 4 8 543B regarding the relationship between a real estate broker 4 9 or salesperson (licensee) and the parties to a transaction are 4 10 only applicable where the real estate transaction involves 4 11 residential property. Those Code sections include section 4 12 543B.56, which establishes certain duties owed by the licensee 4 13 to all parties to the transaction and to the licensee's 4 14 client; section 543B.57, which requires the licensee to make 4 15 written disclosure to all parties to the transaction 4 16 identifying which party the licensee represents; section 4 17 543B.58, which requires the licensee to obtain the written 4 18 consent of the buyer and seller in the transaction if the 4 19 licensee intends to represent both parties; section 543B.59, 4 20 relating to appointed agents; and section 543B.60, which 4 21 provides that a licensee may provide brokerage services 4 22 simultaneously to more than one party in different 4 23 transactions unless the licensee is under agreement with a 4 24 client to provide such services only to that client. 4 25 The bill defines residential property as real property 4 26 occupied, used, or intended to be occupied or used, for 4 27 residential purposes, and having four or fewer dwelling units. 4 28 LSB 1505HH 77 4 29 mj/cf/24
Text: HF00097 Text: HF00099 Text: HF00000 - HF00099 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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