Relates to the expiration of real estate licenses and service of a real estate salesman with a broker.
Ayes (59): Adams, Addabbo, Alesi, Avella, Ball, Bonacic, Breslin, Carlucci, DeFrancisco, Diaz, Dilan, Duane, Espaillat, Farley, Flanagan, Fuschillo, Gallivan, Gianaris, Golden, Griffo, Grisanti, Hannon, Hassell-Thomps, Johnson, Kennedy, Klein, Krueger, Lanza, Larkin, LaValle, Libous, Little, Marcellino, Martins, Maziarz, Montgomery, Nozzolio, O'Mara, Oppenheimer, Parker, Peralta, Perkins, Ranzenhofer, Ritchie, Rivera, Robach, Saland, Sampson, Savino, Serrano, Seward, Skelos, Smith, Squadron, Stavisky, Stewart-Cousin, Valesky, Young, Zeldin
Excused (2): Huntley, McDonald
TITLE OF BILL: An act to amend the real property law, in relation to real estate license terms and service with a real estate broker
PURPOSE: The bill amends the real property law to make a technical amendment to the real estate license term and expiration, and streamlines the process by which real estate brokers and salespersons terminate and establish new records of association.
SUMMARY OF PROVISIONS: Subdivision 2 of section 441-a of the real property law is amended to make the "Term" of a real estate license the two year term up to and including the date specified on the real estate license.
Subdivision 11 of section 441-a of the real property law is amended to require a real estate broker to the termination of association with the Secretary of State if a real estate salesperson leaves the service of the real estate broker to pay a $20 fee to the Department of State upon the establishment of a new record of association with a broker.
Section 2 This act shall take effect on January 1, 2013.
JUSTIFICATION: Real estate practitioners are licensed in New York by the Department of State for a period of two years beginning at the application approval date. Subdivision 2 of Section 441-a of the real property law relating to real estate license terms however still refers to a universal license expiration date of the "thirty-first day of October of the year in which the license by its terms expires." This bill provides a technical amendment to bring the text of subdivision 2 of Section 441-a of the Real Property Law in line with the actual licensing renewal in practice in New York State.
Subdivision 11 of Section 441-a of the Real Property Law currently requires real estate brokers to file a termination of association with the Secretary of State and pay a $10 fee when a real estate salesperson disassociates with their brokerage. The real estate salesperson or sponsoring broker is then also required to pay a $10 fee when the salesperson re-associates or joins with a new broker. The disassociation fees provide an opportunity for contention and therefore could delay the real estate salesperson from actively participating under their license. This bill would amend Subdivision 11 of Section 441-a of the Real Property Law to streamline this process by requiring a real estate broker to file only the termination of association with the Secretary of State when a real estate salesperson leaves the service of the real estate broker, and requiring the salesperson or their new sponsoring broker, to pay a $20 fee upon the establishment of a new record of association with the department of state.
LEGISLATIVE HISTORY: New Bill.
FISCAL IMPLICATIONS: None.
EFFECTIVE DATE: Effective January 1, 2013.
STATE OF NEW YORK ________________________________________________________________________ 6988--A IN SENATE April 19, 2012 ___________Introduced by Sens. O'MARA, LIBOUS -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the real property law, in relation to real estate license terms and service with a real estate broker THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivisions 2 and 11 of section 441-a of the real property law, subdivision 2 as amended by chapter 324 of the laws of 1998 and subdivision 11 as added by chapter 61 of the laws of 1989, are amended to read as follows: 2. Terms. A license issued or reissued under the provisions of this article shall entitle the person, co-partnership, limited liability company or corporation to act as a real estate broker, or, if the appli- cation is for a real estate salesman's license, to act as a real estate salesman in this state up to and including the
[thirty-first day of October of the year]DATE in which the license by its terms expires. 11. If a real estate salesperson shall leave the service of a real estate broker, the real estate broker shall file a termination of asso- ciation notice on such form as secretary may designate. [The fee for terminating the record of association shall be ten dollars.]The salesperson's license may be endorsed to a new sponsoring broker upon the establishment of a new record of association filed with the depart- ment of state. The fee for filing a record of association shall be [ten]TWENTY dollars. S 2. This act shall take effect January 1, 2013.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD15154-03-2