IT IS ALWAYS A GOOD IDEA TO CHECK LICENSING STATUS OF COOPERATING BROKER
We all know how hectic our day-to-day real estate practices can be, and that we live in a very fast paced and modern world. Regardless of that, as professionals, we need to adhere to certain professional practices and habits. One simple practice, which I find many agents forget to embrace, is following up and checking licensing status of cooperating Agents and/or their Brokers who are representing the Offeror/Buyer, and submitting offers on one of your listings.
As an attorney, licensed broker, and In House counsel for a prominent southern CA brokerage, I definitely understand the time pressures and expectations that clients, agents, and the market place on us, but with the advent of the Internet, knowledge and access to important information has never been cheaper, and is truly at our fingertips. 
Whenever you receive an offer, you should immediately do the following:
1. Check page 8 of the RPA to make sure that the Broker Agency section has been properly filled out, and that both Sales Associate and Brokerage DRE License information is properly stated and listed in the agreement.
2. Once you confirm, you should go to the DRE licensing status weblink:
a. This is listed as the Real Estate License Look Up on the DRE HOMEPAGE:
3. Once on the page, you can search licensing status via Licensee Name or Company.
4. You should check to make sure the license status is current, address, is correct, and broker information is correct, and current.
5. It is also a good idea to print out for your file, especially if issues arise, and you need to get the broker or office management involved.
These are a couple simple steps and habits that can ultimately protect you, your Principal, your Broker, and even Parties to the cooperating side!
It It is definitely unlawful for any individual to act as a broker or salesperson if they do not have a current and active license with the Department of Real Estate:
o Any individuals who violate these licensing requirements can be prosecuted for such actions
o Fines can be as high as $20,000.00 for individuals and $60,000.00 for corporations, and if prosecuted, individuals can be mandated to serve a jail term for up to 6 months
o In addition to this, any individual who is seeking to obtain compensation or commission recovery has the legal responsibility of proving that they do in fact hold a valid and active license from the Department of Real Estate at the time the services were rendered
§ This information can be found codified in the Business and Professions Code Section(s): §§10130-10139
Comments(0)