AB456: Bill Text

AB456,172 Section 172. 452.30 (7) (b) of the statutes, as created by 2015 Wisconsin Act .... (this act), is amended to read:

AB456,57,9 452.30 (7) (b) A salesperson or time-share salesperson may not engage in independent real estate practice and may engage in real estate practice only when associated with a firm.

AB456,173 Section 173. 452.34 of the statutes is created to read:

AB456,57,14 452.34 Unlicensed personal assistants. (1) In this subsection, "unlicensed personal assistant" means an individual, including an individual who is licensed under this chapter, who is employed only to provide services for which a license is not required under this chapter as provided in s. 452.03 (2).

AB456,57,20 (2) A licensee associated with a firm, prior to retaining an individual to serve as an unlicensed personal assistant, shall enter into a written agreement with the licensee's firm, setting forth the duties of the unlicensed personal assistant, the manner in which the unlicensed personal assistant will be compensated for his or her services, and the responsibilities of the licensee and the firm with respect to supervision of the unlicensed personal assistant's activities.

AB456,57,22 (3) (a) In this subsection, "open house" means a showing of real estate open to the public for viewing without an individual appointment.

AB456,58,2 (b) An unlicensed personal assistant may not assist a licensee at an open house for the sale of real estate or a business without the direct, on-premises supervision and presence of a licensee, and may not provide any services at an open house for which a license is required under this chapter.

AB456,174 Section 174. 452.38 of the statutes is created to read:

AB456,58,10 452.38 Independent contractor relationship. (1) Notwithstanding the applicable definitions or meanings of employee under chs. 102, 103, 104, 108, and 109, under subch. X of ch. 71 and subch. II of ch. 111, under any rule, and under any other law, and in any action or proceeding under the common law, a licensee shall not, under ch. 102, 103, 104, 108, or 109, under subch. X of ch. 71 or subch. II of ch. 111, under any rule, or under any other law, or in any action or proceeding under the common law, be considered an employee of a firm if all of the following are satisfied:

AB456,58,12 (a) A written agreement has been entered into with the firm that provides that the licensee shall not be treated as an employee for federal and state tax purposes.

AB456,58,16 (b) Seventy-five percent or more of the compensation related to sales or other output, as measured on a calendar year basis, paid to the licensee pursuant to the written agreement referenced under par. (a) is directly related to the brokerage services performed by the licensee on behalf of the firm.

AB456,58,18 (2) (a) Subsection (1) applies notwithstanding the requirements and responsibilities of a firm under s. 452.132 and any rules promulgated by the board.

AB456,58,21 (b) Subsection (1) applies regardless of the licensee's status as a supervising broker under s. 452.132 and any actions taken by the licensee as a supervising broker under s. 452.132.

AB456,58,24 (3) In the case of an individual who is engaged as both an independent contractor and an employee for the same firm, sub. (1) applies only with respect to activities covered under the written agreement referenced under sub. (1) (a).

AB456,175 Section 175. 452.40 of the statutes is created to read:

AB456,59,4 452.40 Use of forms; provision of legal advice. (1) (a) In this subsection, "use a form" means to complete a form by filling in blanks or modifying printed provisions on the form at the instruction of one or more parties with whom a licensee is working or representing in a specific transaction.

AB456,59,6 (b) A firm and any licensee associated with the firm may use a form approved by the board under s. 452.05 (1) (b) in real estate practice.

AB456,59,14 (2) A licensee may not provide advice or opinions concerning the legal rights or obligations of parties to a transaction, the legal effect of a specific contract or conveyance, or the state of title to real estate. A licensee may provide a general explanation of the provisions in a form approved by the board under s. 452.05 (1) (b) to the parties to a transaction at the time of completing the form or when delivering an approved form for the seller's or buyer's acceptance. Reviews conducted by a supervising broker under s. 452.132 (4) shall not be considered to be the provision of legal advice or opinion.

AB456,176 Section 176. 452.42 of the statutes is created to read:

AB456,59,17 452.42 Records retention. (1) In this section, "electronic" has the meaning given in s. 137.11 (5).

AB456,59,20 (2) A licensee shall retain documents or records related to a transaction, as determined by the board, in accordance with any rules promulgated by the board. Records described in this section may be retained in an electronic file format.

AB456,177 Section 177. 707.55 (5) of the statutes is amended to read:

AB456,59,24 707.55 (5) Salespersons. Misrepresenting the identity, function, or authority of a salesperson, including a time-share salesperson, as defined in s. 452.01 (9), or team of salespersons.

AB456,178 Section 178. 707.55 (7) of the statutes is amended to read:

AB456,60,3 707.55 (7) Length of sales presentation. Misrepresenting the reasonably estimated length of any sales presentation by a salesperson, including a time-share salesperson, as defined in s. 452.01 (9), or team of salespersons.

AB456,179 Section 179. Nonstatutory provisions.

AB456,60,14 (1) Emergency rule authority. Using the procedure under section 227.24 of the statutes, the real estate examining board may promulgate rules under chapter 452 of the statutes that are necessary to implement the changes in this act for the period before the effective date of any corresponding permanent rules, but not to exceed the period authorized under section 227.24 (1) (c) of the statutes, subject to extension under section 227.24 (2) of the statutes. Notwithstanding section 227.24 (1) (a), (2) (b), and (3) of the statutes, the board is not required to provide evidence that promulgating a rule under this subsection as an emergency rule is necessary for the preservation of the public peace, health, safety, or welfare and is not required to provide a finding of emergency for a rule promulgated under this subsection.

AB456,60,22 (2) Elimination of time-share salesperson registrations. Notwithstanding sections 440.08 and 452.025 (5) of the statutes, the department of safety and professional services and the real estate examining board shall not renew any time-share salesperson's certificate of registration issued under section 452.025 of the statutes. The department of safety and professional services shall, instead of giving a notice of renewal to each holder of a time-share salesperson's certificate of registration under section 440.08 (1) of the statutes, give notice of the elimination of such registration by this act.

AB456,180 Section 180 . Initial applicability.

AB456,60,25 (1) Actions against licensees. The treatment of section 452.142 of the statutes first applies to an action that accrues on the effective date of this subsection.

AB456,181 Section 181. Effective dates. This act takes effect on July 1, 2016, or on the day after publication, whichever is later, except as follows:

AB456,61,14 (1) Elimination of time-share salesperson registrations. The repeal of sections 440.03 (13) (b) 72., 440.08 (2) (a) 69., 452.01 (9), 452.025 (by Section 42), 452.137 (1) (d), and 452.17 (2) of the statutes and the amendment of sections 452.01 (4), 452.01 (5) (by Section 30 ), 452.01 (5p) (by Section 35 ), 452.01 (7) (by Section 38 ), 452.05 (1) (a) (by Section 50 ), 452.05 (1) (i) (intro.), 452.05 (1) (i) 1., 452.05 (1) (i) 3. b., 452.07 (2) (by Section 57 ), 452.11 (1), 452.132 (2) (c), 452.137 (3) (intro.), 452.137 (3) (c) (by Section 117 ), 452.14 (1), 452.14 (2), 452.14 (3) (intro.), 452.14 (3) (a), 452.14 (3) (i), 452.14 (3) (p), 452.14 (4m) (intro.), 452.14 (4m) (b), 452.15 (1) and (2), 452.17 (4) (a) 1. and 2. (by Section 151 ), 452.19 (1) (by Section 154 ), 452.20, 452.21, 452.22 (2), 452.25 (1) (a), 452.25 (1) (b), 452.25 (1) (c) 2., 452.25 (1) (d), 452.25 (1) (e), 452.25 (2) (b), 452.30 (7) (b), 707.55 (5), and 707.55 (7) of the statutes take effect on December 14, 2016.

AB456,61,16 (2) Actions against licensees. The treatment of section 452.142 of the statutes and Section 180 (1) of this act take effect on the day after publication.

AB456,61,17 (End)