Rule 520-1-.11 Licensees Acting as Principals +5Georgia · Real Estate · English

No licensee may list, sell, buy, exchange, rent, lease, or option real estate in their own name or in an entity where they are an officer, employee, beneficiary, or member acting as principal without first advising their broker in writing.

• ✓Must advise broker in writing before acting as principal in real estate
• ✓Applies to individual and entity transactions where licensee is a principal
• ✓Covers all acts: list, sell, buy, exchange, rent, lease, or option

When a licensee offers to purchase a property as a condition of obtaining/extending a brokerage engagement, or to enable a party to transact another property, the licensee must enter a written contract expressing all terms of their purchase before or at the time of the engagement/other contract.

• ✓Written purchase contract required expressing all terms before/at engagement
• ✓Applies when offer conditions a brokerage engagement or its extension
• ✓Applies when the licensee's purchase enables a party's other transaction

Licensees advertising to buy, sell, or exchange real property for their own accounts must comply with the advertising requirements of Rule 520-1-.09.

• ✓Principal advertising must comply with Rule 520-1-.09
• ✓Applies to buying, selling, or exchanging property for own account
• ✓Advertising rules apply regardless of principal status

A licensee may not list, sell, buy, exchange, rent, lease, or option real estate as principal (in their own name or a firm/entity in which they have an interest) without first advising, in writing, the broker for whom they act.

• ✓Must advise broker in writing before acting as principal
• ✓Applies to individual or multiple parcels
• ✓Applies to entities in which the licensee is an officer, employee, beneficiary, or member

When a licensee offers to purchase as a condition to obtaining or extending a brokerage engagement, or to enable another party's transaction, the licensee must enter into a written purchase contract expressing all terms prior to or at the time of the engagement or the other party's contract.

• ✓Written purchase contract required expressing all terms
• ✓Required when purchase is a condition to obtaining or extending an engagement
• ✓Required when enabling another party's transaction
• ✓Must be executed prior to or at the time of the related agreement

Licensees advertising to buy, sell, or exchange real property for their own accounts must comply with the advertising requirements of Rule 520-1-.09.

• ✓Principal advertising must comply with Rule 520-1-.09
• ✓Applies to buying, selling, or exchanging for own account

A person brokering the sale of a business must hold an appropriate Commission license if the sale involves the transfer of any interest in real property. Unlicensed business brokers and associates may not negotiate or procure prospects where the sale involves a real property interest transfer or where commission is contingent on such transfer.

• ✓License required if business sale involves transfer of any interest in real property
• ✓Unlicensed brokers cannot negotiate business sales involving real property interests
• ✓Cannot circumvent by having a licensee approve the transaction after the fact

A person brokering the sale of a business must hold an appropriate Commission license if the sale involves transfer of any interest in real property. Unlicensed business brokers and associates may not negotiate or procure prospects where real property transfers or where compensation is contingent on the real estate transfer.

• ✓License required when business sale involves any real property interest
• ✓Unlicensed brokers may not negotiate where real property is transferred
• ✓Unlicensed brokers may not act where compensation is contingent on real estate transfer
• ✓Cannot perform unlicensed acts then secure a licensee to approve the transaction

No licensee or their agent/employee may represent, to induce or discourage a transaction or listing, that a neighborhood's composition has or will change based on a protected class, or that the presence of protected-class persons will lower property values, materially change composition, increase crime, or decline school quality.

• ✓Cannot represent that neighborhood composition will change based on protected class
• ✓Cannot claim protected-class presence lowers values or increases crime
• ✓Applies to inducing or discouraging any transaction or listing

No licensee or their employee/agent may refuse to sell, rent, or lease; discriminate in terms; refuse to receive/transmit bona fide offers; refuse to negotiate; or misrepresent availability of housing accommodations because of a person's race, color, religion, sex, handicap, familial status, or national origin.

• ✓Cannot refuse or deny housing based on a protected class
• ✓Cannot discriminate in terms or refuse to transmit bona fide offers based on protected class
• ✓Cannot misrepresent availability of housing based on a protected class

No licensee or their agent/employee may represent, explicitly or implicitly, to induce or discourage transactions, that neighborhood composition has or will change based on protected classes or that the presence of protected-class persons will lower values, change composition, increase crime, or decline school quality.

• ✓No representations of composition change based on protected classes
• ✓No claims that protected-class presence lowers property values
• ✓No claims of increased crime or antisocial behavior
• ✓No claims of declining school quality based on protected classes

No licensee or their employee/agent may refuse to sell, rent, or lease, discriminate in terms, refuse to receive/transmit bona fide offers, refuse to negotiate, or misrepresent availability based on race, color, religion, sex, handicap, familial status, or national origin.

• ✓No refusal to sell, rent, or lease based on protected class
• ✓No discrimination in terms or furnishing of facilities/services
• ✓No refusal to receive/transmit offers or to negotiate based on protected class
• ✓No misrepresenting availability or refusing inspection based on protected class