Regulatory Activities Concerning Personal Assistants
The purpose of this memorandum is to describe the nature of the activity to date which we have identified relating to the issue of how personal real estate assistants are being regulated. Twenty-one states have indicated some regulatory activity or State Association attention being devoted to the issue. The information provided by those states is summarized below.
California
The California Department of Real Estate has promulgated "Guidelines" for unlicensed personal assistants that focus on what such unlicensed assistants may and may not do. The California Association of REALTORS® also has established a Task Force to review the issue. Depending on the outcome of that Task Force's efforts, CAR may seek further action regarding these Guidelines or even legislation relating to the issue.
Colorado
The Colorado Real Estate Commission has published a "Position" on the use of personal assistants directed generally at the issue of those activities which require a license and the supervisory responsibilities of the employing broker for the activities of real estate assistants.
Connecticut
The Connecticut Association and the Connecticut Real Estate Commission have engaged in informal discussions on the subject of regulating personal assistants or clarifying the application of existing law to the activities of assistants.
Florida
The Florida Real Estate Commission has developed a policy on the kinds of activities that do and do not require a license.
Illinois
Although the Illinois Department of Professional Regulation has not yet taken any action, IAR is appointing a Task Force to review the issues.
Indiana
The Indiana Real Estate Commission is considering promulgation of a rule clarifying the activities in which unlicensed assistants may and may not engage, and is expected to issue a proposed rule in late 1994.
Kansas
The Kansas Real Estate Commission published an article in its quarterly newsletter which provides guidance about what unlicensed personal assistants may and may not do. The article indicates that it was adopted from similar articles published by the Missouri and North Carolina real estate commissions.
Louisiana
The Louisiana Real Estate Commission has also published an article providing guidance on the permissible and impermissible activities of unlicensed personnel such as real estate assistants.
Michigan
The Michigan Association of REALTORS® and the Michigan Real Estate Commission have met to explore the issues and options for resolution and to consider possible changes in the administrative rules. MAR has also published two articles (one of which was approved by the Licensing Administrator for real estate) on the subject of "Do's and don'ts for unlicensed assistants."
Minnesota
The Minnesota Association of REALTORS® is engaged in ongoing correspondence and communication with the Minnesota Department of Commerce and several other state agencies regarding the nature of the relationship between real estate brokers, salespeople and licensed real estate assistants. The Real Estate Commission has also published an article on the permissible activities of unlicensed assistants, although the Minnesota licensing statute narrowly restricts the activities of unlicensed persons.
Missouri
The Missouri Real Estate Commission published an article in October, 1991 setting forth its position on the permissible and impermissible activities of unlicensed assistants.
Montana
The Montana Board of Realty Regulation has created a list of activities that cannot be conducted by an unlicensed personal assistant. The list is not inclusive and is intended to be a guideline only.
Nebraska
The Nebraska Real Estate Commission created policy regarding the permissible activities of unlicensed assistants, but did not formalize that policy by adopting rules or seeking legislation.
New Mexico
The New Mexico Real Estate Commission appointed a task force to consider the issue, and the task force drafted a proposed regulation. That proposal is expected to be adopted soon.
North Carolina
The North Carolina Real Estate Commission has also published an article describing its view of the permissible and impermissible activities of unlicensed assistants.
Ohio
The Ohio Division of Real Estate has issued a pronouncement on permissible activities of real estate assistants. The Ohio Association of REALTORS® is also studying the feasibility of further role clarification.
Oregon
The Oregon Commissioner of Real Estate has reportedly noted that an increasing number of unlicensed assistants are engaging in activity requiring a license. She has indicated that she does not intend to seek legislation but will concentrate on attempting to educate licensees.
Rhode Island
Although the Rhode Island Real Estate Commission has not taken any action yet, the Rhode Island Association of REALTORS® intends to introduce rules or regulations for guidance on the issue.
South Carolina
The South Carolina Real Estate Commission is working on publishing clear definitions on the question of what may or may not be done by unlicensed persons, and has issued some letters on the subject.
Texas
The rules of the Texas Real Estate Commission address in a general fashion the distinction between activities that may and may not be performed by unlicensed persons, although some areas remain somewhat uncertain. TAR's general counsel has also issued a memorandum providing guidance on the matter.
Utah
The Utah Real Estate Commission has promulgated an administrative rule (R-162-6.2.15) describing the tasks that unlicensed persons may perform, and how they can be compensated.
West Virginia
The Executive Director of the Real Estate Commission issued comments in 1992 providing "rule of thumb" guidance regarding activities which may and may not be performed by unlicensed individuals.
Wyoming
The Wyoming Real Estate Commission is considering the issue of licensing personal assistants, but has not taken action yet.
Copies of various policies, articles, guidance documents and the like cited above are available from Legal Affairs on request.