Effective Date of Rule: Thirty-one days after filing.
Purpose: Required by RCW 18.85.035. This rule will require designated brokers to establish a written policy for their real estate firms to use when a licensee is referring a home inspector to a client.
Statutory Authority for Adoption: RCW 18.85.041.
Other Authority: RCW 18.85.035.
Adopted under notice filed as WSR 11-23-160 on November 22, 2011.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 1, Repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 1, Repealed 0.
Date Adopted: January 3, 2012.
Damon G. Monroe
AMENDATORY SECTION(Amending WSR 10-20-100, filed 9/30/10, effective 10/31/10)
WAC 308-124C-125 Designated broker responsibilities. Designated broker responsibilities include, but are not limited to:
(1) Assuring all real estate brokerage services in which he/she participated are in accordance with chapters 18.85, 18.86, 18.235 RCW and the rules promulgated thereunder.
(2) Cooperating with the department in an investigation, audit or licensing matter.
(3) Ensuring accessibility of the firm's offices and records to the director's authorized representatives, and ensure that copies of required records are made available upon demand.
(4) Ensuring monthly reconciliation of trust bank accounts are completed, up-to-date and accurate.
(5) Ensuring monthly trial balances are completed, accurate and up-to-date.
(6) Ensuring that the trial balance and the reconciliation show the account(s) are in balance.
(7) Ensuring policies or procedures are in place to account for safe handling of customer or client funds or property.
(8) Maintaining up-to-date written assignments of delegations of managing brokers and branch manager duties. The delegation agreement(s) must be signed by all parties to the agreement. Delegations must:
(a) Only be made to managing brokers licensed to the firm.
(b) Address duties of record maintenance, advertising, trust accounting, safe handling of customer/client funds and property, authority to bind, review of contracts, modify or terminate brokerage service contracts on behalf of the firm, supervision of brokers and managing brokers, and heighten supervision of brokers that are licensed for less than two years.
(c) Address hiring, transferring and releasing licensees to or from the firm.
(9) Maintaining, implementing and following a written policy that addresses:
Referral of home inspectors in compliance with
Washington Administrative Code.)) Procedures for referring a
home inspector to buyers or sellers. The policy will address
the consumer's right to freely pick a home inspector of the
buyer's or seller's choice and prevent any collusion between
the home inspector and a real estate licensee. If a licensee
refers a home inspector to a buyer or seller with whom they
have or have had a relationship including, but not limited to,
a business or familial relationship, then full disclosure of
the relationship must be provided in writing prior to the
buyer or seller using the services of the home inspector.
(b) Levels of supervision of all brokers, managing brokers and branch managers of the firm.
(c) Review of all brokerage service contracts involving any broker of the firm licensed for less than two years. Review must be completed by the designated broker or their delegated managing broker within five business days of mutual acceptance. Documented proof of review shall be maintained at the firm's record locations.
(10) Ensuring that all persons performing real estate brokerage services on behalf of the firm and the firm itself are appropriately licensed.
(11) Ensuring affiliated licensees submit their
transaction documents to the designated broker, branch manager
or delegated managing broker ((
in a)) within
two business days of mutual acceptance.
(12) Being knowledgeable of chapters 18.85, 18.86, and 18.235 RCW and their related rules.
[Statutory Authority: RCW 18.85.041 (1), (7), (12)(a), and 18.85.275. 10-20-100, § 308-124C-125, filed 9/30/10, effective 10/31/10. Statutory Authority: RCW 18.85.040 and 18.85.041. 10-06-078, § 308-124C-125, filed 3/1/10, effective 7/1/10.]