SENATE BILL REPORT

EHB 1646

BYRepresentatives Dellwo and Winsley

Regarding disciplinary action against realtors.

House Committe on Financial Institutions & Insurance

Senate Committee on Financial Institution & Insurance

Senate Hearing Date(s):February 15, 1990

Senate Staff:Benson Porter (786-7470)

AS OF FEBRUARY 13, 1990

BACKGROUND:

Real estate brokers, associate brokers, and salespersons are prohibited from directing a customer to a particular lending institution or escrow company in expectation of a kickback or rebate for the referral unless the broker or salesperson discloses to the customer the existence of the kickback.

SUMMARY:

Real estate brokers, associate brokers, and salespersons may not direct any transaction to a lending institution, title insurer,  or escrow company in expectation of a referral fee, kickback, or rebate from any party to the transaction or from any lending institution, title insurer, or escrow company.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested

Effective Date:The bill contains an emergency clause and takes effect immediately.