REAL ESTATE BROKER RESPONSIBILITIES H.B. 4849 (H-1) & 4850 (H-1):
FLOOR ANALYSIS
House Bill 4849 (Substitute H-1 as reported without amendment)
House Bill 4850 (Substitute H-1 as reported without amendment)
Sponsors: Representative Tonya Schuitmaker (H.B. 4849)
Representative Kevin Green (H.B. 4850)
House Committee: Regulatory Reform
Senate Committee: Economic Development, Small Business and Regulatory Reform
CONTENT
House Bill 4849 (H-1) would amend the Occupational Code to provide that a real estate broker acting pursuant to a service provision agreement creating an exclusive agency relationship would be required, at minimum, to provide the following services to his or her client:
-- When the real estate broker was representing a seller or lessor, the marketing of the client's property in the manner agreed upon in the service provision agreement.
-- Acceptance of delivery and presentation of offers and counteroffers to buy, sell, or lease the client's property or the property the client sought to purchase or lease.
-- Assistance in developing, communicating, negotiating, and presenting offers, counteroffers, and related documents or notices until a purchase or lease agreement was executed by all parties and all contingencies were satisfied or waived.
-- After execution of a purchase agreement by all parties, assistance as necessary to complete the transaction under the terms specified in the purchase agreement.
-- Furnishing, or causing to be furnished, a complete and detailed closing statement, as required by R 339.22311 of the Michigan Administrative Code.
A failure to provide the minimum services would be a violation of the Code subject to the penalties set forth in Article 6 of the Code.
House Bill 4850 (H-1) would amend the Code to require the disclosure regarding real estate agency relationships to include a description of the duties an agent providing services under an exclusive service provision agreement would owe to a client.
The two bills are tie-barred to each other.
MCL 339.2512 et al. (H.B. 4849) Legislative Analyst: J.P. Finet
339.2517 (H.B. 4850)
FISCAL IMPACT
The bills would have no fiscal impact on State or local government.
Date Completed: 6-2-06 Fiscal Analyst: Elizabeth Pratt/Maria Tysckiweicz
floor\hb4849 Analysis available @ http://www.michiganlegislature.org
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.
Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. 4849/0506