CAR urges Gov. Brown to strengthen real estate office licensing

The California Association of Realtors wants Gov. Jerry Brown to sign a bill that would increase accountability of licensees managing real estate sales offices. The California Department of Real Estate currently cannot hold an office manager responsible for failing to supervise licensees in the office. Current law only allows the state regulator to hold the principal broker responsible, even in situations where that broker has delegated supervisorial responsibilities to an office manager. “This bill will ensure that California consumers receive the protections to which they’re entitled when they walk into a real estate sales office,” the CAR said. Senate Bill 510, written by Sen. Lou Correa (D-Santa Ana), increases the responsibility and accountability of licensees managing real estate offices. Under the bill, a broker of record would be permitted to appoint an eligible real estate broker or salesperson to supervise branch office operations, provided a contract detailing the duties and responsibilities to be performed by the office manager is in writing and the state regulator is notified. Principal brokers would remain accountable for their own supervisory responsibilities, but the bill would allow the DRE to discipline office managers for failure to supervise. It also allows the state’s real estate commissioner to suspend or revoke the license of an appointed licensee for failure to properly oversee and supervise operations. The bill “will make office managers accountable if they fail to properly supervise their sales agents,” according to CAR President Beth Peerce. The bill passed the assembly floor Thursday by a vote of 57-11 and now goes to Gov. Brown. Write to Kerry Curry. Follow her on Twitter @communicatorKLC.

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