Current through Bulletin 2024-18, September 15, 2024
(1) "Active license" means a license granted
to an applicant who:
(a) qualifies for
licensure under Section
61-2f-203
and this rule;
(b) pays applicable
nonrefundable license fees; and
(c)
affiliates with a principal brokerage.
(2) "Advertising" means a commercial message
through:
(a) newspaper;
(b) magazine;
(c) Internet;
(d) email;
(e) radio;
(f) television;
(g) direct mail promotions;
(h) business cards;
(i) door hangers;
(j) signs;
(k) other electronic communication;
or
(l) any other medium.
(3) "Affiliate:"
(a) when used in reference to licensure,
means to form, for the purpose of providing a real estate service, an
employment or non-employment association with another individual or entity
licensed or registered under Title 61, Chapter 2f, Real Estate Licensing and
Practices Act, and this rule; and
(b) when used in reference to an undivided
fractionalize long-term estate, means an individual or entity that directly or
indirectly, through one or more intermediaries, controls or is controlled by,
or is under common control with, a specified individual or entity.
(4) "Branch broker" means an
associate broker who manages a branch office under the supervision of the
principal broker.
(5) "Branch
office" means a principal broker's real estate brokerage office other than the
principal broker's main office.
(6)
"Brokerage" means a real estate sales or a property management
company.
(7) "Brokerage record"
means any record related to the business of a principal broker, including:
(a) record of an offer to purchase real
estate;
(b) record of a real estate
transaction, regardless of whether the transaction closed;
(c) licensing records;
(d) banking and other financial
records;
(e) independent contractor
agreements;
(f) trust account
records, including:
(i) deposit records in the
form of a duplicate deposit slip, deposit advice, or equivalent document;
and
(ii) conveyance records in the
form of a check image, wire transfer verification, or equivalent document;
and
(g) records of the
brokerage's contractual obligations.
(8) "Business day" is defined in Section
61-2f-102.
(9) "Certification" means authorization from
the division to:
(a) establish and operate a
school that provides courses approved for prelicensing education or continuing
education; or
(b) function as an
instructor for courses approved for prelicensing education or continuing
education.
(10) "Closing
gift" means any gift given by a principal broker, or a licensee affiliated with
the principal broker, to a buyer or seller, lessor or lessee, in appreciation
for having used the services of a real estate brokerage.
(11) "Commission" means the Utah Real Estate
Commission.
(12) "Continuing
education" means professional education required as a condition of renewal in
accordance with Section
R162-2f-204 and may be:
(a) core topics identified in
Subsection
R162-2f-206c(6)(c);
(b) elective topics identified in Subsection
R162-2f-206c(6)(e);
or
(c) mandatory courses identified
in Subsection
R162-2f-206c(6)(f).
(13) "Correspondence course" means
a self-paced real estate course that:
(a) is
not distance or traditional education; and
(b) fails to meet real estate educational
course certification standards because:
(i) it
is primarily student initiated; and
(ii) the interaction between the instructor
and student lacks substance and/or is irregular.
(14) "Day" means calendar day
unless specified as business day.
(15)
(a)
"Distance education" means education in which the instruction does not take
place in a traditional classroom setting, but occurs through other interactive
instructional methods where teacher and student are separated by distance and
sometimes by time, including the following:
(i) computer conferencing;
(ii) satellite teleconferencing;
(iii) interactive audio;
(iv) interactive computer software;
(v) Internet-based instruction; and
(vi) other interactive online
courses.
(b) "Distance
education" does not include home study and correspondence courses.
(16) "Division" means the Utah
Division of Real Estate.
(17)
"Double contract" means executing two or more purchase agreements, one of which
is not made known to the prospective lender or loan funding entity.
(18) "Expired license" means a license that
is not renewed pursuant to Section
61-2f-204
and Section
R162-2f-204 by:
(a) the close of business on the
expiration date, if the expiration date falls on a day when the division is
open for business; or
(b) the next
business day following the expiration date, if the expiration date falls on a
day when the division is closed.
(19) "Guaranteed sales plan" means:
(a) a plan in which a seller's real estate is
guaranteed to be sold; or
(b) a
plan whereby a licensee or anyone affiliated with a licensee agrees to purchase
a seller's real estate if it is not purchased by a third party:
(i) in the specified period of a listing;
or
(ii) within some other specified
period of time.
(20) "Inactive license" means a license that
has been issued pursuant to Sections
R162-2f-202a through 202c or renewed pursuant to Section
R162-2f-204,
but that may not be used to conduct the business of real estate because the
license holder is not affiliated with a principal broker. Pursuant to Section
R162-2f-203,
a license may be inactivated:
(a) voluntarily,
with the assent of the license holder; or
(b) involuntarily, without the assent of the
license holder.
(21)
"Inducement gift" means any gift given by a principal broker, or a licensee
affiliated with the principal broker, to a buyer or seller, lessor or lessee,
in a real estate transaction as an incentive to use the services of a real
estate brokerage.
(22) "Informed
consent" means written authorization, obtained from both principals to a single
transaction, to allow a licensee to act as a limited agent.
(23) "Limited agency" means the
representation of each of the principals in the same transaction to negotiate a
mutually acceptable agreement:
(a) subject to
the terms of a limited agency agreement; and
(b) with the informed consent of each
principal to the transaction.
(24) "Net listing" means a listing agreement
under which the real estate commission is the difference between the actual
selling price of the property and a minimum selling price as set by the
seller.
(25)
(a) "Non-certified education" means a
continuing education course offered outside of Utah, but for which a licensee
may apply for credit pursuant to Subsection
R162-2f-206c(1)(b).
(b) "Non-certified education" does not
include:
(i) home study courses; or
(ii) correspondence courses.
(26) "Nonresident
applicant" means a person:
(a) whose primary
residence is not in Utah; and
(b)
who qualifies under Title 61, Chapter 2f, Real Estate Licensing and Practices
Act, and this rule for licensure as a principal broker, associate broker, or
sales agent.
(27)
"Principal brokerage" means the main real estate or property management office
of a principal broker.
(28)
"Principal" in a transaction means an individual who is represented by a
licensee and may be:
(a) the buyer or
lessee;
(b) an individual having an
ownership interest in the property;
(c) an individual having an ownership
interest in the entity that is the buyer, seller, lessor, or lessee;
or
(d) an individual who is an
officer, director, partner, member, manager, or employee of the entity that is
the buyer, seller, lessor, or lessee.
(29) "Provider" means an individual or
business that is approved by the division to offer continuing
education.
(30) "Property
management" is defined in Section
61-2f-102.
(31) "Registration" means authorization from
the division to engage in the business of real estate as:
(a) a corporation;
(b) a partnership;
(c) a limited liability company;
(d) an association;
(e) a dba;
(f) a professional corporation;
(g) a sole proprietorship; or
(h) another legal entity of a real estate
brokerage.
(32)
"Reinstatement" is defined in Section
61-2f-102.
(33) "Reissuance" is defined in Section
61-2f-102.
(34) The acronym RELMS
means "real estate licensing and management system," which is the online
database through which licensees shall submit licensing information to the
division.
(35) "Renewal" is defined
in Section 61-2f-102.
(36)
"Residential property" means real property consisting of, or improved by, a
single-family one- to four-unit dwelling.
(37) "School" means:
(a) any college or university accredited by a
regional accrediting agency that is recognized by the United States Department
of Education;
(b) any community
college or vocational-technical school;
(c) any local real estate organization that
has been approved by the division as a school; or
(d) any proprietary real estate
school.
(38) "Sponsor"
means:
(a) a person who is the original seller
of an undivided fractionalized long-term estate.
(b) sponsor includes, if the seller is an
entity, any individual who exercises managerial responsibility in the
sponsoring entity.
(39)
"Third party service provider" means an individual or entity that provides a
service necessary to the closing of a specific transaction and includes:
(a) mortgage brokers;
(b) mortgage lenders;
(c) loan originators;
(d) title service providers;
(e) attorneys;
(f) appraisers;
(g) providers of document preparation
services;
(h) providers of credit
reports;
(i) property condition
inspectors;
(j) settlement
agents;
(k) real estate
brokers;
(l) marketing
agents;
(m) insurance providers;
and
(n) providers of any other
services for which a principal or investor will be charged.
(40) "Traditional education" means
education in which instruction takes place between an instructor and students
where both the instructor and students are physically present in the same
classroom.
(41) "Undivided
fractionalized long-term estate" is defined in Section
57-29-102.
(42) "Virtual-live continuing education"
means continuing education that is presented in a live, video conferencing
format, using interactive instructional methods where teacher and student may
be separated by distance but not by time. The teacher can is able to interact,
and does interact in real time with the students.
