Current through Bulletin 2023-24, December 15, 2023
(1) A principal
broker may not engage in any activity described in Section
61-2f-201
through:
(a) an entity as defined in Section
61-2f-102;
(b) a branch office;
(c) an assumed name; or
(d) a separate property management company;
without first registering the entity, branch office, assumed
name, or separate property management company with the division.
(2) The following
locations may be used to conduct real estate business without being registered
as branch offices:
(a) a model home;
(b) a project sales office; and
(c) a facility established for 12 months or
less as a temporary site for marketing activity, such as an exhibit
booth.
(3) To register
with the division, a principal broker shall:
(a) evidence that the name of the registrant
is registered with the Division of Corporations;
(b) certify that the registrant is affiliated
with a principal broker who:
(i) is authorized
to use the name of the registrant; and
(ii) will actively supervise the activities
of each sales agent, associate broker, branch broker, and unlicensed staff
member;
(c) if
registering a branch office, submit an application that identifies:
(i) the branch broker who will actively
supervise each licensee and unlicensed staff working from the branch
office;
(ii) the physical address
of the branch office;
(iii) the
name and license number of the branch broker;
(iv) the names of associate brokers and sales
agents assigned to the branch office; and
(v) the location and account number of each
real estate and property management trust account in which funds received at
the registered location will be deposited;
(d) if the applicant is not a branch office,
submit an application that identifies:
(i) the
location and account number of each operating account used by the registrant;
and
(ii) the location where
brokerage records will be kept; and
(e) pay a nonrefundable application
fee.
(4) Restrictions.
(a)
(i) The
division may not register a registrant proposing to use a business name that:
(A) is likely to mislead the public into
thinking that the registrant is not a real estate brokerage or property
management company;
(B) closely
resembles the name of another registrant of the division; or
(C) the division determines might otherwise
be confusing or misleading to the public.
(ii) Approval by the division of a
registrant's business name does not ensure or grant to the registrant a legal
right to use or operate under that name.
(b) A branch office shall operate under the
same business name as the principal brokerage.
(c) A registrant may not designate a post
office box as its business address, but may designate a post office box as a
mailing address.
(d) Each trust
account and operating account used by a registrant shall be maintained in a
bank or credit union located in the state.
(5) Registration not transferable.
(a) A registrant may may not transfer the
registration to any other person.
(b) A registrant may not allow an unlicensed
person to use the registrant's registration to perform work for which licensure
is required.
(c) If a change in
structure of a registrant creates a separate and unique legal entity, branch
office, assumed name, or separate property management company, the principal
broker shall obtain a unique registration, and may not operate under an
existing registration.
(d) The
dissolution or termination of an entity, branch office, assumed name, or
separate property management company registered with the division terminates
the registration.
(6)
The division may not bring an action for enforcement of this section after the
expiration of four years following the occurrence of the violation.
Amended by
Utah
State Bulletin Number 2020-21, effective
10/21/2020
Amended by
Utah
State Bulletin Number 2021-12, effective
6/8/2021
Amended by
Utah
State Bulletin Number 2022-11, effective
5/25/2022
