1. Florida Real Estate Principles, Practices & Law 38th Edition
Linda L. Crawford
Copyright © 2015 Kaplan, Inc.
All rights reserved.

2. License Law Administration
Chapter 3
License Law Administration

3. Florida Real Estate Commission
Regulatory body charged by Florida Legislature
Protect the public (consumer protection)
Regulate real estate brokers, broker associates, sales associates, brokerage firms, and real estate schools and instructors
Foster education of licensees
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4. Composition and Qualifications
Five members are professional (licensed) members
Four must have held active licenses for five years
One must be a licensed broker or sales associate who has been active two years
Two consumer members never been licensed
Exempt from civil liability
One must be 60 years of age or older
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5. The FREC Appointed to four-year terms by Governor No salary to serve
Confirmed by Florida Senate
No more than two consecutive terms
Accountable to the Governor
No salary to serve
$50 per day for each day official business
Monthly meetings
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6. Commission General Powers and Duties
Executive
Power to regulate and enforce license law
Quasi-legislative
Power to enact rules and regulations
Interpret license law questions
Quasi-judicial
Grant or deny applications, administer penalties
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7. FREC’s Duties Adopt a seal Foster education
Make determinations of violations
Regulate professional practices
Create and pass (promulgate) rules and regulations
Establish fees
Grant and deny applications for licensure
Discipline licensees
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8. Department of Business and Professional Regulation (DBPR)
Under the executive branch
Secretary of Department
Licenses and regulates
Businesses
Professionals
Granted legal powers by legislature
Investigate complaints
Issue subpoenas
Issue cease and desist orders
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9. DBPR Division of Professions Division of Service Operations
Division of Florida Condominiums, Timeshares, and Mobile Homes
Division of Real Estate (DRE)
Division Director
Employees of DBPR
Provide services needed to administer law
Administrative and ministerial duties
Office is located in Orlando
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10. License Fees Established by the FREC Used to regulate real estate
Include an unlicensed activity fee
Fee waiver for military veterans
Initial, renewal, and unlicensed activity fees are waived for veterans who apply within 60 months of honorable discharge
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11. Current Mailing Address
The current residential address a licensee uses to receive mail
10 days to notify the DBPR of change of address ($500 fine for failing to timely notify)
P O box is acceptable mailing address
Address of record
Where DBPR sends official communication
Mailing or address
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12. License Renewal Periods
Renewal period is two years
Licenses expire on March 31 or September 30
Must renew prior to expiration date
Post-license or continuing education requirement must be completed
Late fee charged if renewed after expiration date
Unlicensed practice of real estate following expiration of license
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13. Armed Forces Exemption
A licensee in good standing who is a member of the U.S. Armed Forces is exempt from renewal requirements during active duty and for six months after discharge from active duty
If the military duty is out of state, the exemption also applies to a licensed spouse
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14. Temporary License
DBPR may issue a temporary license to spouse of an active duty member of the Armed Forces assigned to duty in Florida
Spouse must hold valid real estate license in another state
Temporary license expires six months after the date of issue and is not renewable
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15. Active vs. Inactive Status
Active license is required to perform services of real estate for compensation
Voluntary Inactive Status
Licensee requests inactive status
Voluntary inactive licensees must complete all education and renewal requirements
Involuntary Inactive Status
Licensee fails to renew the license before the expiration date
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16. Involuntary Inactive License Reactivation
Involuntary inactive for 12 months or less
Complete 14 hour continuing education course
Involuntary inactive for more than 12 months but less than 24 months
Complete 28 hours of a Commission-prescribed education course
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17. Null and Void License
A license is null and void when it no longer exists
License has been involuntary inactive for more than two years
Revoked following disciplinary proceedings; two exceptions to permanent
Renewed without completing education
Application contained false information
Voluntarily relinquish (does not involve disciplinary action)
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18. Ineffective License
When a license is ineffective, license exists but licensee cannot use it
Inactive
Voluntary – Licensee has met all license requirements but chooses not to work in real estate
Involuntary - A licensee who fails to renew prior to expiration date
Suspended
Disciplinary action
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19. Involuntary Inactive License
When a broker’s license is suspended or revoked for discipline
The licenses of sales associates and broker associates employed by the broker are automatically placed in involuntary inactive status
Associates may become active again under a new employer
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20. Cease To Be In Force Licensee cannot conduct business Two causes
Broker or school changes business address
Sales associate or instructor changes employer
DBPR must be notified within 10 days of either change
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21. Multiple Licenses
Multiple licenses are issued to a broker who qualifies as the broker for more than one business entity
For each business that a person is a broker, a separate broker license must be obtained
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22. Group License
Group licenses are issued to sales associates and broker associates who register under an owner-developer (real estate developer)
Owner-developer sends DBPR list of legal company names
Sales associate or broker associate has
One license
One employer
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