BROKER MANAGEMENT CLINIC #1-Statutes and Rules
BMC #1 – Statutes and Rules
The objectives of this course is to provide the student with an understanding of the Commissioner’s Rules, Substantive Policy Statements, Arizona Revised Statues, contracts, employment agreements, record keeping requirements, fiduciary duties, trust fund accounts, material disclosures, advertising and promotions, ADRE investigations, ADRE broker audits, and other related statutes and rules.
BROKER MANAGEMENT CLINIC
BMC #1 – Statutes and Rules (3 HOUR CREDITS) Commissioner’s Standards
Who is required to take BMC Courses?
DESIGNATED BROKER & DELEGATED ASSOCIATE BROKER
The 9-hour BMC is required for:
- A renewing Designated Broker.
- A renewing Delegated Associate Broker, that is one who is delegated the authority to act on the Designated Broker’s behalf pursuant to A.R.S §32-2151.01(G).
- An original broker applicant, who must complete the BMC before the applicant’s broker’s license may be activated.
Who is not required to take the new BMC?
- A salesperson or broker acting as the Designated Broker in the Designated Broker’s temporary absence pursuant to A.R.S §32-2127(D).
- A salesperson or associate broker acting as a branch manager pursuant to A.R.S §32-2127(B) &(C), except for a Delegated Associate Broker acting under a delegation authority pursuant to A.R.S §32-2151.01(G) who is acting as a branch manager.
- A “temporary broker” licensed for the purpose of winding up the business of a deceased designated broker pursuant to A.R.S §32-2133.
- Either a Designated Broker or Delegated Associate Broker who, during the current license period and prior to January 1, 2013, completed the 3-hour BMC.
Lessons
1. Start Here – Broker Supervision & Control Audit Declaration
2. General Records Compliance
Each of the following headings in bold text are the questions in the Broker Audit Declaration that must be answered with a YES, NO or N/A, with the appropriate Statute…
3. General Records Compliance & Broker Review
Transaction records are kept for five years after termination of a transaction. A.R.S. §§ 32-2151.01(A) and 32-2153(A)(18) 32-2151.01: Broker requirements; record-keeping requirements; definition A. Each licensed employing broker shall keep records…
4. Section 1 Exam – BMC # 1 Statutes and Rules
You will need to wait for the timer to run out before you can submit the Exam.
5. Employment & Compensation
6. Employment & Compensation – Part 2
The agents of the brokerage work exclusively for this brokerage and, absent an agreement between the brokerages, do not represent another brokerage, either through substituting for a vacationing agent of another brokerage, the…
7. Disclosures – Broker Supervision
The broker or the broker’s agents have disclosed their status as licensees in their ads and signage. A.A.C. R4-28-502(B) R4-28-502: Advertising by a Licensee B: Any salesperson or broker advertising the salesperson’s…
8. Disclosures – Broker Supervision – Part 2
The broker or broker’s agents obtain written permission prior to acting outside of their area of expertise. A.A.C. R4-28-1101(H) R4-28-1101. Duties to Client H. The services that a salesperson or broker…
9. Section 2 Exam – BMC # 1 Statutes and Rules
You will need to wait for the timer to run out before you can submit the Exam.
10. Sale/Lease Transaction Records
The broker maintains legible copies of transaction documents required by law to be kept for 5 years after termination (close) of a transaction. A.R.S. §§ 32-2151.01(A) and 32-2153(A)(18) 32-2151.01: Broker requirements; record-keeping requirements;…
11. Earnest Deposits
Agents of the brokerage promptly place all cash, checks, or other items received as payment in connection with a real estate transaction, in the care of the designated broker. A.R.S. § 32-2151.01(D)…
12. Delegation of Authority
If applicable, there is a current and properly detailed delegation letter in the broker’s files for each appropriate person, acting on behalf of the Broker, to: Review, date, and initial employment…
13. Section 3 Exam – BMC # 1 Statutes and Rules
You will need to wait for the timer to run out before you can submit the Exam.
14. Broker Supervision & Control
Broker has a Written Supervision Policy. A.A.C. R4-28-1103 R4-28-1103. Broker Supervision and Control A. An employing broker and a designated broker shall exercise reasonable supervision and control over the activities…
15. Property Management & Agreements
The brokerage conducts property management? If you answered NO, skip to the “Additional Explanation“ section on Page 8. If you answered YES, continue with this section and list the number…
16. Property Management Records
All financial records are kept for three years from their date. A.R.S. § 32-2175(C) 32-2175. Property management records; requirements; audits C. Property management firms shall keep all financial records pertaining…
17. Property Management Trust Account
The broker maintains one or more property management trust accounts. If you answered YES, please identify them on Page 9. If you answered NO, skip to the “Additional Explanation” section on Page…
18. Section 4 Exam – BMC # 1 Statutes and Rules
You will need to wait for the timer to run out before you can submit the Exam.
19. Substantive Policy Statements
This Substantive Policy Statement is intended to inform the regulated real estate education industry of the Department’s interpretation and implementation of the education statutes and rules under the Department’s original…
20. Unlicensed Assistants
Arizona Department of Real Estate SUBSTANTIVE POLICY STATEMENT No. 2017.01 Short Title: Unlicensed Assistants This substantive policy statement is advisory only. A substantive policy statement does not include internal procedural…
21. Real Estate Advertising Rules & Guidance
The Advertising of Real Property is Regulated by Law: Arizona real estate law defines “advertising” as: The attempt by publication, dissemination, exhibition, solicitation or circulation, oral or written, or for…
22. ADRE Rules And Policy Regarding Providing Information To A Client
ADRE RULES AND POLICY STATEMENTS The Arizona Department of Real Estate (“ADRE”) has the authority to promulgate Administrative Rules, which are often referred to as “Commissioner’s Rules” and Substantive Policy…
23. Section 5 Exam – BMC # 1 Statutes and Rules
You will need to wait for the timer to run out before you can submit the Exam.
24. Place of Business Required & Broker’s Temporary Absence
32-2127. Licenses for additional places of business; branch office manager; broker’s temporary absence A. When a broker maintains more than one place of business within the state, he shall be…
25. Unlawful Acts
32-2163: Unlawful acts; out-of-state broker; cooperation agreement A. It is unlawful for any licensed broker in this state to employ or compensate, directly or indirectly, any person for performing any of…
26. Real Estate Sales and Leases Disclosure
32-2156: Real estate sales and leases; disclosure A. No criminal, civil or administrative action may be brought against a transferor or lessor of real property or a licensee for failing to…
27. Section 6 Exam – BMC # 1 Statutes and Rules
You will need to wait for the timer to run out before you can submit the Exam.
28. Final Exam – BMC #1-Statutes and Rules
The Final is not timed. Once you have passed this final… For The BROKER MANAGEMENT CLINIC #1-Statutes and Rules Remember to PRINT OUT YOUR CERTIFICATE, and then you may move on…
