STATE OF WISCONSIN
REAL ESTATE EXAMINING BOARD
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IN THE MATTER OF RULE-MAKING : ORDER OF THE
PROCEEDINGS BEFORE THE : REAL ESTATE EXAMINING BOARD
REAL ESTATE EXAMINING BOARD : ADOPTING RULES
: (CLEARINGHOUSE RULE 21-043)
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ORDER
An order of the Real Estate Examining Board to repeal REEB 24.07 (8) (a) 1g., 24.13 (2) (b), 24.16, and 24.13 (2) (b); to renumber and amend REEB 24.13 (2) (a) and 24.13 (2); to amend REEB 24.01 (2), 24.02 (13m), (14), (16), 24.02 (18) and (19), 24.03 (2) (a) and (c), 24.05 (5) (a) 3., 24.07 (1) (a) and (c), (3), and (5), 24.07 (8) (a) and (d) (title), 1., 2., 3. and (8) (e) 1., 24.075 (3) (a), (b), and (c), 24.08, 24.085, 24.09, 24.12 (1) and (2), 24.13 (1) and (2) (title), 24.13 (3) (b), and (5), 24.15, 24.17 (1), (2m), and (3); to repeal and recreate REEB 24.04, 24.05 (1) and (2), and 24.07 (8)(a)(1); and to create REEB 24.02 (16m) and 24.13 (3) (c), relating to the conduct and ethical practices of licensees.
Analysis prepared by the Department of Safety and Professional Services.
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ANALYSIS
Explanation of agency authority:
Each examining board shall promulgate rules for its own guidance and for the guidance of the profession to which it pertains and define and enforce professional conduct and unethical practices not inconsistent with the law relating to the particular profession. [s. 15.08 (5) (b), Stats.] The board shall promulgate rules for the guidance of the real estate profession and define professional conduct and unethical practice. [s. 452.07 (1), Stats.] Related statute or rule: Chapter REEB 24 Plain language analysis:
The proposed rule includes a comprehensive review of the chapter to ensure statutory compliance and to ensure it is current with professional standards and practices.
Section 1. is revised to improve grammatical clarity.
Section 2. is revised for updates to the practice and grammatical clarity.
Section 3. is created to define right of first refusal.
Section 4. is revised for clarity and current practices.
Section 5. is revised to clarify that the role of an assisting licensee.
Section 6. is repeals and recreates provisions to refer to the statutes related to advertising standards of practice.
Section 7. repeals provisions and revises codes related to compensation and disclosure of interest requirements.
Section 8. revises code provisions to include other parties representing a seller as it relates to disclosure requirements.
Section 9. clarifies that if a licensee is granted access to a property, the licensee shall inspect the real estate, is revised for corrected statutory references, and amends the section to include all parties in the delivery of a copy of the written report.
Section 10 and 11. delete the provisions related to negotiations and disclosure and is partially recreated to improve consistency with s. 452.135, Stats. regarding licensees providing a written disclosure statement to customers. Section 12. is revised to reflect negotiating practice and statutory requirements.
Section 13. is revised to improve the title to reflect provisions in the section and add language to clarify disclosure statement requirements when a buyer’s firm has exclusive right to locate and a seller’s limited service listing with the seller’s firm.
Section 14. is revised to include statutory requirements and clarify the intent includes the agreement with a home builder and a licensee, not a contractor. The current language can be confused with contractor for improvements rather than new home construction.
Section 15. revises rule language to update for current practices and statutory compliance.
