Chapter 29

§ 2900 Objectives. (a) The primary objective of the Delaware Real Estate Commission, to which all other objectives and purposes are secondary, is to protect the general public, specifically those persons who are the direct recipients of services regulated by this chapter, from unsafe practices and from occupational practices which tend to reduce competition or fix the price of services rendered. (b) The secondary objectives of the Commission are to maintain minimum standards of licensee competency and to maintain certain standards in the delivery of services to the public. (c) In meeting its objectives, the Commission shall develop standards assuring professional competence; shall monitor complaints brought against licensees regulated by the Commission; shall adjudicate at formal hearings; shall promulgate rules and regulations; and shall impose sanctions where necessary against licensees and nonlicensees engaged in the practice of providing real estate services. 63 Del. Laws, c. 463, §  5 ; 71 Del. Laws, c. 103, §  4 ; 78 Del. Laws, c. 166, §  1 ; § 2901 License requirements; exemptions. (a) No person shall engage in the practice of providing real estate services or hold himself or herself out to the public in this State as being qualified to practice the same; or use in connection with that person’s name, or otherwise assume or use, any title or description conveying or tending to convey the impression that the person is qualified to practice real estate services, unless such person has been duly licensed under this chapter. (b) Any person engaging in the practice of providing real estate services in this State without the proper licensure shall be in violation of this chapter and shall be subject to the provisions of § 10161 of Title 29. (c) No brokerage organization, corporation, partnership or other business entity shall be licensed under this chapter. Nothing in this chapter, however, shall prevent such brokerage organization from providing real estate services provided the individual or business entity has a broker who is responsible for providing real estate services and who may have affiliated associate brokers or salespersons, properly licensed in this State, who provide such services under the supervision of the broker. (d) No person shall directly or indirectly provide real estate services through a licensee of the State without having a license in this State. (e) This chapter shall not apply to: (1) Any person or a subsidiary or division thereof with common ownership or control who, as owner or lessor, buyer or lessee, or equitable owner of an interest in an agreement of sale not engaged in wholesaling as a business, performs any of the acts enumerated in this section with reference to property owned, purchased, or leased by such person or a subsidiary or division thereof with common ownership or control or to the regular employee of such person, with respect to the property so owned, purchased or leased, where such acts are performed in the regular course of or as an incident to the management of such property and the investment therein; or (2) Persons acting as attorney in fact under a duly executed power of attorney from a person engaged in a real estate transaction authorizing the final consummation by performance of any agreement of sale, leasing or exchange of real estate. (3) This chapter shall not be construed to include in any way the services rendered by an attorney-at-law, nor shall it be held to include, while acting as such, the receiver, trustee in bankruptcy, administrator or executor, or any person selling real estate under order of any court, or a trustee acting under a trust agreement, deed of trust or will, or the regular salaried employee thereof. (4) An “auctioneer” as defined in § 2301(a)(3) of Title 30. (5) A provider of property management services as defined in § 2902 of this title excepting that a provider of property management services shall not directly or indirectly sell or offer to sell, buy or offer to buy, negotiate the purchase, sale, or exchange of real estate, lease or rent or offer for lease or rent any real estate, or negotiate leases or rental agreements thereof or of the improvements thereon for others. 35 Del. Laws, c. 63, §  3 ; Code 1935, §§  5475, 5480; 24 Del. C. 1953, §§  2906, 2910; 60 Del. Laws, c. 714, §  3 ; 67 Del. Laws, c. 121, §§  6, 23 ; 67 Del. Laws, c. 381, §  5 ; 70 Del. Laws, c. 186, §  1 ; 78 Del. Laws, c. 166, §  1 ; 84 Del. Laws, c. 42, § 1 ; 85 Del. Laws, c. 274, § 1 ; § 2902 Definitions [Effective until Feb. 26, 2027]. (a) As used in this chapter: (1) “Associate broker” means any individual who holds an associate broker license from the Commission and who is licensed under a broker to sell or offer to sell, or to buy or to offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. (2) “Broker” means any individual who holds a broker license from the Commission and who for a compensation or valuable consideration, is self-employed or is employed directly or indirectly by a brokerage organization to sell or offer to sell, or to buy or offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. The broker is responsible for providing real estate services and is primarily responsible for the day to day management and supervision of a brokerage organization as it relates to this chapter. (3) “Brokerage organization” means that individual or business entity which is not licensed but is acting as a broker under § 2901(c) of this title and is the trade name under which the broker operates. The individual or business entity shall have a broker licensed under this chapter. (4) “Client” means a member of the public who is the principal in the statutory or common law agency relationship. (5) “Commission” means the Delaware Real Estate Commission. (6) “Competitive market analysis” or “CMA” means a service provided by a licensee for the purpose of providing either a potential listing price or use or a potential offering price or use in a real estate services transaction. In this method, licensees compare properties whose characteristics are similar in location, style, size and amenities to provide an estimated market price or a potential use for a target property or area. The CMA usually consists of an evaluation of similar properties that have recently sold, are currently under agreement to sell and are currently listed or offered for sale. A CMA may also be referred to as a comparative market analysis, a comparable market analysis, a broker price opinion or broker’s market analysis. A CMA is not an appraisal. (7) “Consumer information statement” or “CIS” means the disclosure form required by § 2938 of this title. (8) “Conviction” means a verdict of guilty by the trier of fact, whether judge or jury, or a plea of guilty or a plea of nolo contendere accepted by the court. (9) “Customer” means a member of the general public working with a licensee as a potential buyer, seller, exchangor, exchangee, tenant, or landlord of real property or is consulting with a licensee in 1 of these capacities for the purpose of entering into a brokerage agreement or transaction, but who has not yet entered into a statutory or common law agency relationship with a licensee. A customer is sometimes referred to as a prospect. (10) “Designated agent” means a licensee appointed by the broker working with a customer or client as a statutory agent. (11) “Designated on-site supervisor” means a licensee who has at least 5 years of continuous real estate services experience and who has been appointed as the full-time supervisor of a branch office by the broker. (12) “Division” means the Delaware Division of Professional Regulation. (13) “Dual agent” means a salesperson, associate broker, broker and/or brokerage organization which represents both buyer and seller or tenant and landlord as clients in a real estate services transaction. (14) “Escrow account” means a separate account established by the brokerage organization used solely for moneys in which a broker’s customers or clients have an interest in accordance with the terms of a real estate services transaction. (15) “Licensee” means an individual licensed under this chapter as a broker, associate broker or salesperson without implying what legal relationship they have with a customer or client. (16) “Ministerial task” means a task that does not involve discretion or the exercise of the licensee’s own judgment, for example: a. Performing tasks for a client or customer according to the brokerage agreement or other form of consent before or after the signing of an agreement of sale or lease such as arranging an inspection; or b. Assisting other persons to perform their part of the transaction such as providing information to the mortgage lender. (17) “Person” means an individual, firm, partnership, corporation, association, joint stock company, limited partnership, limited liability company and any other legal entity and includes a legal successor of those entities. (18) “Property management services” means those actions taken for others, pursuant to an agreement, in exchange for a fee, commission, compensation or other valuable consideration which include the supervision and the administration of the physical maintenance and/or the financial matters of real property. These supervision services may include assisting the owner in decisions in the selection of tenants, budgeting for the operation of property or properties, collecting of rent or rents, or maintaining security deposits. (19) “Psychologically impacted” and “psychological impacts” mean that the property was, or was at any time suspected to have been the site of a homicide, suicide or other felony except arson or that an occupant of real property is or was at any time suspected to be infected or has been infected with human immunodeficiency virus (HIV) or diagnosed with acquired immune deficiency syndrome (AIDS), or any other disease which has been determined by medical evidence to be highly unlikely to be transmitted through the occupancy of a dwelling place. (20) “Real estate service provider” means a licensee who is providing real estate services. (21) “Real estate services” means those activities performed by a licensee as defined in this chapter. As promulgated under the rules and regulations, real estate services shall also include the marketing and advertising of properties for sale or lease. (22) “Rules and regulations” mean those rules and regulations as promulgated by the Commission. (23) “Salesperson” means any individual who holds a salesperson license from the Commission and who is licensed under a broker to sell or offer to sell, or to buy or to offer to buy, or to negotiate the purchase, sale, auction or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. (24) “State” means the State of Delaware. (25) “Statutory agent” or “agent” means a licensee functioning as a party in an agency relationship created according to subchapter II of this chapter as an independent contractor and not as a fiduciary. The agent offers real estate services to the public to make a market in real estate by bringing buyer and seller, or landlord and tenant together for the transaction and assisting the parties with advice and negotiations, and performing ministerial tasks to complete the transaction. Every licensee shall be presumed to be a statutory agent and may refer to themselves as agent or statutory agent unless specifically identified as a common law agent in their brokerage agreement. (26) “Substantially related” means the nature of the criminal conduct, for which the individual was convicted, has a direct bearing on the fitness or ability to perform 1 or more of the duties or responsibilities necessarily related to the practice of providing real estate services. (27) a. “Wholesaling” or “wholesale” means any of the following activities: 1. The business of seeking to enter into a contract with an owner of real estate with an intent to make a profit by marketing and advertising for the assignment of an equitable interest in an agreement of sale as the buyer. 2. The business of marketing and advertising for the assignment of an equitable interest in an agreement of sale as the buyer. b. “Wholesaling” applies only to property with the primary use as a 1-to-4 family residential property prior to taking legal ownership or a single lot of land zoned as residential available for development for a 1-to-4 family residence and does not apply to the assignment of a bid made at an auction by a sheriff, bankruptcy trustee, or partition auction sale. (b) In applying this chapter to leasing transactions, the word “landlord” may be substituted for “seller”, the word “tenant” may be substituted for “buyer”, and the word “lease” may be substituted for “agreement of sale” where applicable. The terms “rental agreement” and “lease” may be used interchangeably. 35 Del. Laws, c. 63, §  4 ; Code 1935, §  5476; 24 Del. C. 1953, §  2901; 57 Del. Laws, c. 151 ; 59 Del. Laws, c. 468, §  2 ; 67 Del. Laws, c. 121, §§  1, 2, 23 ; 67 Del. Laws, c. 381, §§  2, 9 ; 67 Del. Laws, c. 438, §§  1, 2 ; 74 Del. Laws, c. 262, §  54 ; 75 Del. Laws, c. 277, §§  3-5 ; 76 Del. Laws, c. 258, §§  1, 2 ; 78 Del. Laws, c. 166, §  1 ; 85 Del. Laws, c. 274, § 3 ; § 2902 Definitions [Effective Feb. 26, 2027]. (a) As used in this chapter: (1) “Associate broker” means any individual who holds an associate broker license from the Commission and who is licensed under a broker to sell or offer to sell, or to buy or to offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. (2) “Broker” means any individual who holds a broker license from the Commission and who for a compensation or valuable consideration, is self-employed or is employed directly or indirectly by a brokerage organization to sell or offer to sell, or to buy or offer to buy, or to negotiate the purchase, sale, or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. The broker is responsible for providing real estate services and is primarily responsible for the day to day management and supervision of a brokerage organization as it relates to this chapter. (3) “Brokerage organization” means that individual or business entity which is not licensed but is acting as a broker under § 2901(c) of this title and is the trade name under which the broker operates. The individual or business entity shall have a broker licensed under this chapter. (4) “Client” means a member of the public who is the principal in the statutory or common law agency relationship. (5) “Commission” means the Delaware Real Estate Commission. (6) “Competitive market analysis” or “CMA” means a service provided by a licensee for the purpose of providing either a potential listing price or use or a potential offering price or use in a real estate services transaction. In this method, licensees compare properties whose characteristics are similar in location, style, size and amenities to provide an estimated market price or a potential use for a target property or area. The CMA usually consists of an evaluation of similar properties that have recently sold, are currently under agreement to sell and are currently listed or offered for sale. A CMA may also be referred to as a comparative market analysis, a comparable market analysis, a broker price opinion or broker’s market analysis. A CMA is not an appraisal. (7) “Consumer information statement” or “CIS” means the disclosure form required by § 2938 of this title. (8) “Conviction” means a verdict of guilty by the trier of fact, whether judge or jury, or a plea of guilty or a plea of nolo contendere accepted by the court. (9) “Customer” means a member of the general public working with a licensee as a potential buyer, seller, exchangor, exchangee, tenant, or landlord of real property or is consulting with a licensee in 1 of these capacities for the purpose of entering into a brokerage agreement or transaction, but who has not yet entered into a statutory or common law agency relationship with a licensee. A customer is sometimes referred to as a prospect. (10) “Designated agent” means a licensee appointed by the broker working with a customer or client as a statutory agent. (11) “Designated on-site supervisor” means a licensee who has at least 5 years of continuous real estate services experience and who has been appointed as the full-time supervisor of a branch office by the broker. (12) “Division” means the Delaware Division of Professional Regulation. (13) “Dual agent” means a salesperson, associate broker, broker and/or brokerage organization which represents both buyer and seller or tenant and landlord as clients in a real estate services transaction. (14) “Escrow account” means a separate account established by the brokerage organization used solely for moneys in which a broker’s customers or clients have an interest in accordance with the terms of a real estate services transaction. (15) “Licensee” means an individual licensed under this chapter as a broker, associate broker or salesperson without implying what legal relationship they have with a customer or client. (16) “Ministerial task” means a task that does not involve discretion or the exercise of the licensee’s own judgment, for example: a. Performing tasks for a client or customer according to the brokerage agreement or other form of consent before or after the signing of an agreement of sale or lease such as arranging an inspection; or b. Assisting other persons to perform their part of the transaction such as providing information to the mortgage lender. (17) “Person” means an individual, firm, partnership, corporation, association, joint stock company, limited partnership, limited liability company and any other legal entity and includes a legal successor of those entities. (18) “Property management services” means those actions taken for others, pursuant to an agreement, in exchange for a fee, commission, compensation or other valuable consideration which include the supervision and the administration of the physical maintenance and/or the financial matters of real property. These supervision services may include assisting the owner in decisions in the selection of tenants, budgeting for the operation of property or properties, collecting of rent or rents, or maintaining security deposits. (19) “Psychologically impacted” and “psychological impacts” mean that the property was, or was at any time suspected to have been the site of a homicide, suicide or other felony except arson or that an occupant of real property is or was at any time suspected to be infected or has been infected with human immunodeficiency virus (HIV) or diagnosed with acquired immune deficiency syndrome (AIDS), or any other disease which has been determined by medical evidence to be highly unlikely to be transmitted through the occupancy of a dwelling place. (20) “Real estate service provider” means a licensee who is providing real estate services. (21) “Real estate services” means those activities performed by a licensee as defined in this chapter. As promulgated under the rules and regulations, real estate services shall also include the marketing and advertising of properties for sale or lease. Real estate services also include wholesaling or attempts to engage in a wholesale transaction as defined in this chapter whether for the person or for others. (22) “Rules and regulations” mean those rules and regulations as promulgated by the Commission. (23) “Salesperson” means any individual who holds a salesperson license from the Commission and who is licensed under a broker to sell or offer to sell, or to buy or to offer to buy, or to negotiate the purchase, sale, auction or exchange of real estate, or to lease or rent or offer for rent any real estate, or to negotiate leases or rental agreements thereof or of the improvements thereon for others. (24) “State” means the State of Delaware. (25) “Statutory agent” or “agent” means a licensee functioning as a party in an agency relationship created according to subchapter II of this chapter as an independent contractor and not as a fiduciary. The agent offers real estate services to the public to make a market in real estate by bringing buyer and seller, or landlord and tenant together for the transaction and assisting the parties with advice and negotiations, and performing ministerial tasks to complete the transaction. Every licensee shall be presumed to be a statutory agent and may refer to themselves as agent or statutory agent unless specifically identified as a common law agent in their brokerage agreement. (26) “Substantially related” means the nature of the criminal conduct, for which the individual was convicted, has a direct bearing on the fitness or ability to perform 1 or more of the duties or responsibilities necessarily related to the practice of providing real estate services. (27) a. “Wholesaling” or “wholesale” means any of the following activities: 1. The business of seeking to enter into a contract with an owner of real estate with an intent to make a profit by marketing and advertising for the assignment of an equitable interest in an agreement of sale as the buyer. 2. The business of marketing and advertising for the assignment of an equitable interest in an agreement of sale as the buyer. b. “Wholesaling” applies only to property with the primary use as a 1-to-4 family residential property prior to taking legal ownership or a single lot of land zoned as residential available for development for a 1-to-4 family residence and does not apply to the assignment of a bid made at an auction by a sheriff, bankruptcy trustee, or partition auction sale. (b) In applying this chapter to leasing transactions, the word “landlord” may be substituted for “seller”, the word “tenant” may be substituted for “buyer”, and the word “lease” may be substituted for “agreement of sale” where applicable. The terms “rental agreement” and “lease” may be used interchangeably. 35 Del. Laws, c. 63, §  4 ; Code 1935, §  5476; 24 Del. C. 1953, §  2901; 57 Del. Laws, c. 151 ; 59 Del. Laws, c. 468, §  2 ; 67 Del. Laws, c. 121, §§  1, 2, 23 ; 67 Del. Laws, c. 381, §§  2, 9 ; 67 Del. Laws, c. 438, §§  1, 2 ; 74 Del. Laws, c. 262, §  54 ; 75 Del. Laws, c. 277, §§  3-5 ; 76 Del. Laws, c. 258, §§  1, 2 ; 78 Del. Laws, c. 166, §  1 ; 85 Del. Laws, c. 274, § 3 ; 85 Del. Laws, c. 274, § 2 ; § 2903 Real Estate Commission; appointments; qualifications; terms of office; vacancies; suspension or removal; unexcused absences; compensation. (a) There is created the Delaware Real Estate Commission, which shall administer and enforce this chapter. (b) The Commission shall consist of 9 members appointed by the Governor: 5 professional members, 3 of whom shall be licensed brokers, 1 associate broker, and 1 salesperson; and 4 public members. All members shall have been residents of the State for at least 5 years immediately prior to such appointment. (1) Three of the professional members shall be brokers: 1 shall be a resident of New Castle County; 1 shall be a resident of Kent County; and 1 shall be a resident of Sussex County. Broker members of the Commission shall have been active licensees for at least 5 years immediately prior to their appointment. (2) One of the professional members shall be an associate broker. The associate broker member shall have been an active licensee for at least 5 years immediately prior to that associate broker’s appointment. (3) One of the professional members shall be a salesperson. The salesperson member shall have been an active licensee for at least 4 years immediately prior to that salesperson’s appointment. (4) Of the 4 public members, 1 public member shall be from each county and 1 public member shall be from the City of Wilmington. To serve on the Commission, a public member shall not be, nor have been within the last 8 years prior to the effective date of appointment, a licensee, nor a member of the immediate family of a licensee; shall not be, nor have been with the last 8 years prior to the effective date of appointment, employed by a broker or brokerage organization; shall not have had a financial interest in the providing of goods and services to a licensee; and shall not be, nor have been within the last 8 years prior to the effective date of appointment, engaged in an activity directly related to providing real estate services. (c) Each member shall serve for a term of 3 years, unless otherwise specified in this chapter; and may succeed himself or herself for 1 additional term; provided, however, that where a member was initially appointed to fill a vacancy, such member may succeed himself or herself for only 1 additional full term. Any person appointed to fill a vacancy on the Commission shall hold office for the remainder of the unexpired term of the former member. (d) No member, while serving on the Commission, shall be a president, president-elect, vice-president, secretary, treasurer, director or other elected official of a professional association for real estate service providers. (e) Any act or vote by a member appointed in violation of subsection (b) of this section shall be invalid. An amendment or revision of this chapter is not sufficient cause for any appointment or attempted appointment in violation of subsection (b) of this section, unless such amendment or revision amends this section to permit such an appointment. (f) A member of the Commission shall be suspended or removed by the Governor for misfeasance, nonfeasance, malfeasance, misconduct, incompetence or neglect of duty or for unprofessional or dishonorable conduct. A member subject to disciplinary hearing shall be disqualified from Commission business until the charge is adjudicated or the matter is otherwise concluded. A Commission member may appeal any suspension or removal to the Superior Court. (g) Any member who is absent without adequate reason for 3 consecutive meetings or fails to attend at least 1 / 2 of all regular business meetings during any calendar year shall be guilty of neglect of duty. (h) The provisions set forth for “employees” in Chapter 58 of Title 29 shall apply to all members of the Commission and to all agents appointed, or otherwise employed by the Commission. (i) Each member of the Board shall be reimbursed for all expenses involved in each meeting, including travel, and in addition shall receive compensation per meeting attended in an amount determined by the Division in accordance with Del. Const. art. III, §  9. 35 Del. Laws, c. 63, §  1 ; Code 1935, §  5473; 24 Del. C. 1953, §  2902; 57 Del. Laws, c. 151 ; 60 Del. Laws, c. 714, §  1 ; 63 Del. Laws, c. 463, §§  1-4 ; 67 Del. Laws, c. 366, §  11 ; 67 Del. Laws, c. 368, §  18 ; 70 Del. Laws, c. 186, §  1 ; 70 Del. Laws, c. 603, §§  1-6 ; 78 Del. Laws, c. 166, §  1 ; 81 Del. Laws, c. 85, § 15 ; § 2904 Organization; meetings; officers; quorum. (a) In the same month of each year, the members shall elect from among their number a Chairperson, Vice-Chairperson and Secretary. Each officer shall serve for 1 year, and shall not succeed himself or herself in the same office. (b) The Commission shall hold regularly scheduled business meetings at least once in each quarter of a calendar year and at such other times as the Chairperson deems necessary, or at the request of a majority of Commission members. Special or emergency meetings may be held, provided a quorum is present. (c) A majority of members shall constitute a quorum, and no licensee shall be disciplined without the affirmative vote of at least 5 members. (d) Minutes of all meetings shall be recorded and copies shall be maintained by the Division. At any hearing where evidence is presented, a record from which a verbatim transcript can be prepared shall be made. The person requesting it shall incur the expense of preparing any transcript. 35 Del. Laws, c. 63, §  2 ; Code 1935, §  5474; 41 Del. Laws, c. 218, §  1 ; 24 Del. C. 1953, §  2903; 57 Del. Laws, c. 151 ; 63 Del. Laws, c. 463, §§  6, 7 ; 70 Del. Laws, c. 186, §  1 ; 70 Del. Laws, c. 603, §  7 ; 71 Del. Laws, c. 103, §  1 ; 78 Del. Laws, c. 166, §  1 ; § 2905 Records. The Division shall keep a register of all approved applications for licensure and complete records relating to meetings of the Commission, examinations, rosters, changes and additions to the Commission’s rules and regulations, complaints, hearings and such other matters as the Commission shall determine. Such records shall be prima facie evidence of the proceedings of the Commission. 35 Del. Laws, c. 63, §§  2, 13 ; 37 Del. Laws, c. 44, §  1 ; Code 1935, §  5485; 24 Del. C. 1953, §  2905; 57 Del. Laws, c. 151 ; 57 Del. Laws, c. 741, §  28A ; 67 Del. Laws, c. 121, §§  4, 5 ; 67 Del. Laws, c. 144, §  5 ; 67 Del. Laws, c. 381, §§  3, 4 ; 74 Del. Laws, c. 262, §  55 ; 78 Del. Laws, c. 166, §  1 ; § 2906 Powers and duties [For application of this section, see 85 Del. Laws, c. 277, § 5]. (a) The Commission shall have the authority to: (1) Formulate rules and regulations, with appropriate notice to those affected; all rules and regulations shall be promulgated in accordance with the procedures specified in the Administrative Procedures Act, Chapter 101 of Title 29. Each rule or regulation shall implement or clarify a specific section of this chapter. (2) Approve the forms to be used under this chapter or as directed by other statutory provisions. (3) Establish the qualifications for licensure and evaluate the credentials of all applicants for a license to practice real estate services, in order to determine whether such applicants meet the qualifications set forth in this chapter. (4) Grant licenses to, and renew licenses of, all individuals who meet the qualifications for licensure and renewal. (5) Establish and administer the criteria and standards by rule and regulation for instructors, schools of real estate and course providers. (6) Establish by rule and regulation prelicensing and continuing education standards required for licensure and license renewal. (7) Perform random audits of continuing education credits submitted by licensees for license renewal. (8) Evaluate certified records to determine whether an applicant for licensure who previously has been licensed, certified or registered in another jurisdiction to practice real estate services has engaged in any act or offense that would be grounds for disciplinary action under this chapter and whether there are disciplinary proceedings or unresolved complaints pending against such applicant for such acts or offenses. (9) Refer all complaints from licensees and the general public concerning individuals licensed in this chapter or concerning practices of the Commission or of the profession, to the Division for investigation pursuant to § 8735 of Title 29 and assign a member of the Commission to assist the Division in an advisory capacity with the investigation of the technical aspects of the complaint. (10) Conduct hearings and issue orders in accordance with procedures established pursuant to Chapter 101 of Title 29. (11) Designate and impose the appropriate sanction or penalty where it has been determined after a hearing that penalties or sanctions should be imposed. (12) Order compensation from the Real Estate Guaranty Fund, when, after a hearing, the Commission finds in favor of an aggrieved party, pursuant to § 2922 of this title. (13) Issue cease and desist orders and impose fines for unlicensed practice, as specified in the rules and regulations and in accordance with the Administrative Procedures Act, Chapter 101 of Title 29. (b) The Division shall contract with a nationally recognized testing service for the preparation and grading of a written examination for the licensing of real estate service providers. The Commission may appoint a committee to review the written examination to establish its relevancy and accuracy for licensure in this State. (c) The Commission shall promulgate regulations specifically identifying those crimes which are substantially related to the practice of providing real estate services. (d) The Commission shall draft, maintain, and distribute a rights and responsibilities guide for landlords and tenants that contains the information required under § 2925A of this title and must be distributed under § 5124 of Title 25. 35 Del. Laws, c. 63, §§  2, 13 ; 37 Del. Laws, c. 44, §  1 ; Code 1935, §  5485; 24 Del. C. 1953, §  2905; 57 Del. Laws, c. 151 ; 57 Del. Laws, c. 741, §  28A ; 67 Del. Laws, c. 121, §§  4, 5 ; 67 Del. Laws, c. 144, §  5 ; 67 Del. Laws, c. 381, §§  3, 4 ; 74 Del. Laws, c. 262, §  55 ; 78 Del. Laws, c. 166, §  1 ; 85 Del. Laws, c. 277, § 1 ; § 2907 Qualifications of applicant; application; examination; report to Attorney General; judicial review. (a) All applicants shall meet the following conditions: (1) Shall be competent to transact real estate services by meeting the requirements of this section and the rules and regulations; (2) Shall not have been the recipient of any administrative penalties regarding real estate services, in this or any other jurisdiction, including but not limited to fines, formal reprimands, license suspensions or revocation (except for license revocations for nonpayment of license renewal fees), probationary limitations, and/or has not entered into any “consent agreements” which contain conditions placed by a licensing commission or board on that applicant’s professional conduct and practice, including any voluntary surrender of a license. Notwithstanding the foregoing, the Commission, after a hearing, may determine whether such administrative penalty is grounds to deny licensure. (3) Shall not have any impairment related to drugs, alcohol or a finding of mental incompetence by a physician that would limit the applicant’s ability to undertake that applicant’s practice in a manner consistent with the safety of the public. (4) May not have a criminal conviction record, nor pending criminal charge relating to an offense that is substantially related to the practice of providing real estate services. Applicants who have criminal conviction records or pending criminal charges shall request appropriate authorities to provide information about the conviction or charge directly to the Commission. However, if after consideration of the factors set forth under § 8735(x)(3) of Title 29 through a hearing or review of documentation the Commission determines that granting a waiver would not create an unreasonable risk to public safety, the Commission, by an affirmative vote of a majority of the quorum, shall waive this paragraph (a)(4). a.-d. [Repealed.] (b) Salesperson. — An applicant who is applying for licensure as a salesperson under this chapter shall submit evidence, verified by oath and satisfactory to the Commission, that such applicant: (1) Meets the requirements of subsection (a) of this section. (2) Is at least 18 years of age. (3) Has successfully completed a prescribed prelicensing course of instruction including real estate principles and practices and Delaware real estate law. (4) Has passed a uniform national and state examination for salespersons, as is contractually arranged for, with a nationally recognized independent testing service, by the Division; and (5) Has provided such information as may be required on an application form designed and furnished by the Commission with the approval of the Division. No application form shall require information relating to citizenship, place of birth or length of state residency; nor require personal references. (c) Associate broker. — An applicant who is applying for licensure as an associate broker under this chapter shall submit evidence, verified by oath and satisfactory to the Commission, that such applicant: (1) Meets the requirements of subsection (a) of this section. (2) Is at least 23 years of age. (3) Has the experience requirements as specified under the rules and regulations. (4) Has the financial prerequisites set forth in the rules and regulations. (5) Has successfully completed a prescribed prelicensing course of instruction for brokers including real estate principles and practices and Delaware real estate law. (6) Has passed a uniform national and state examination for brokers, as is contractually arranged for, with a nationally recognized independent testing service, by the Division; and (7) Has provided such information as may be required on an application form designed and furnished by the Commission with the approval of the Division. No application form shall require a picture of the applicant; require information relating to citizenship, place of birth or length of State residency; nor require personal references. (d) Broker. — In addition to the requirements of subsection (c) of this section, an applicant who is applying for licensure as a broker under this chapter shall submit verification of the applicant’s responsibility for the day to day management and supervision of a brokerage organization and meet the experience and education requirements as defined in the rules and regulations. (e) Where the Commission has found to its satisfaction that an applicant has been intentionally fraudulent or that false information has been intentionally supplied, it shall report its findings to the Attorney General for further action. (f) Where the applicant has been refused or rejected and such applicant feels that the Commission has acted without justification; has imposed higher or different standards than for other applicants or licensees; or has in some other manner contributed to or caused the failure of such application, the applicant may appeal to the Superior Court. (g) Every application for a license under this chapter shall be accompanied by the fee prescribed by § 2908 of this title and payment of a Guaranty Fund fee. 35 Del. Laws, c. 63, §§  5, 6 ; Code 1935, §§  5477, 5478; 24 Del. C. 1953, §  2907; 63 Del. Laws, c. 463, §  8 ; 67 Del. Laws, c. 121, §§  7, 23 ; 67 Del. Laws, c. 381, §  6 ; 70 Del. Laws, c. 186, §  1 ; 70 Del. Laws, c. 603, §  8 ; 74 Del. Laws, c. 262, §  56 ; 75 Del. Laws, c. 436, §  31 ; 77 Del. Laws, c. 199, §§  21, 22 ; 78 Del. Laws, c. 44, §§  42, 43 ; 78 Del. Laws, c. 166, §  1 ; 83 Del. Laws, c. 433, § 19 ; § 2908 Fees. The amount to be charged for each fee imposed under this chapter shall approximate and reasonably reflect all costs necessary to defray the expenses of the Commission, as well as the proportional expenses incurred by the Division in its services on behalf of the Commission. There shall be a separate fee charged for each service or activity, but no fee shall be charged for an activity not specified in this chapter. The application fee shall not be combined with any other fee or charge. At the beginning of each biennium year the Division, or any other state agency acting in its behalf, shall compute for each separate service or activity, the appropriate fee for the coming year. 35 Del. Laws, c. 63, §§  6, 13 ; Code 1935, §§  5478, 5485; 48 Del. Laws, c. 161, §  1 ; 24 Del. C. 1953, §  2908; 57 Del. Laws, c. 151 ; 57 Del. Laws, c. 741, §  28B ; 63 Del. Laws, c. 463, §  10 ; 65 Del. Laws, c. 380, §  4 ; 67 Del. Laws, c. 121, §  8 ; 78 Del. Laws, c. 166, §  1 ; § 2909 Reciprocal licensure. (a) Upon payment of the appropriate fee and submission and acceptance of a written application on forms provided by the Commission, and subject to the further requirements set forth in this section, the Commission shall grant a license to an applicant who shall present proof of current licensure in “good standing” in another state, the District of Columbia, or territory of the United States and the license shall be in “good standing” as defined in § 2907(a)(2), (3) and (4) of this title. (b) A salesperson applicant shall also meet one of the following criteria: (1) Presents proof of at least 3 years of continuous licensure, preceding the date of application, in another state, District of Columbia or territory of the United States and completion of real estate services transactions during those 3 years as specified in the rules and regulations; and has passed the state portion of the Delaware licensing examination; or (2) Has successfully completed the Delaware law portion of the prelicensing course and passed the state portion of the Delaware licensing examination; or (3) Has successfully completed the equivalent of the prescribed prelicensing education for the State in the other state, the District of Columbia, or territory of the United States and has passed the state portion of the Delaware licensing examination. (c) An associate broker applicant shall, in addition to the requirements set forth in subsection (a) of this section, meet the following requirements: (1) Shall be at least 23 years of age. (2) Has the experience requirements as specified under the rules and regulations; and (3) Has the financial prerequisites set forth in the rules and regulations; and (4) Has passed the state portion of the examination for brokers. (d) An applicant for a broker’s license shall meet the requirements set forth in subsection (c) of this section, shall submit verification of his or her responsibility for the day to day management and supervision of a brokerage organization, and shall meet the experience and education requirements as defined in the rules and regulations. (e) In the event there is a disciplinary proceeding or unresolved complaint pending, the applicant shall not be licensed until the proceeding or complaint has been resolved. Applicants for licensure in this State shall be deemed to have given consent to the release of information pertaining to the disciplinary proceeding or unresolved complaint and to waive all objections to the admissibility of such information as evidence at any hearing or other proceeding to which the applicant may be subject. (f) Every applicant who is applying for licensure in an office located outside of this State, prior to being licensed, shall give irrevocable consent that legal action may be commenced against the applicant in the proper court of any county of this State in which a cause of action may arise or in which the plaintiff may reside, by service of any process or pleading authorized by the laws of this State upon any member of the Commission. In case any processes or pleadings are served upon any member of the Commission, a copy thereof shall be immediately forwarded by certified or registered mail to the main office of the licensee against which process or pleadings are directed. 35 Del. Laws, c. 63, §  11 ; Code 1935, §  5483; 24 Del. C. 1953, §  2909; 60 Del. Laws, c. 714, §  2 ; 67 Del. Laws, c. 121, §§  9, 23 ; 67 Del. Laws, c. 171, §  1 ; 67 Del. Laws, c. 381, §§  11, 12 ; 70 Del. Laws, c. 186, §  1 ; 78 Del. Laws, c. 166, §  1 ; § 2910 Issuance and renewal of licenses; additional licenses; reinstatement. (a) The Commission shall issue a license to each applicant who meets the requirements of this chapter for licensure as a real estate service provider and who pays the fees prescribed by the Division. (b) A licensee may obtain an additional license and become affiliated with an additional broker if the licensee: (1) Obtains, from an additional broker, a written commitment providing that the licensee shall become affiliated with the broker on the granting of an additional license to the licensee; (2) Gives each broker with whom the licensee is currently affiliated written notice that the licensee intends to affiliate with an additional broker; (3) Obtains from the broker with whom the licensee is currently affiliated, and from the additional broker, written approval of the licensee’s intent to affiliate with an additional broker; and (4) Complies with the application procedures applicable to additional licenses set forth in the rules and regulations. (c) On or before the biennial date established by the Division, each licensee shall make application to the Commission for a renewal of license and make payment of the fees prescribed by the Division. The renewal application shall be made online, pursuant to the Commission’s rules and regulations. (d) In addition to the other provisions of this section, each licensee applying for renewal shall be required to successfully complete in the 2-year period prior to the established renewal date continuing education hours in an amount and subject matter as prescribed by the rules and regulations of the Commission. Each licensee at the time of license renewal shall be required to certify to the Commission that he or she has completed the required number of hours in approved courses, seminars and lectures. The Commission shall publish guidelines as to acceptable courses of instruction, seminars and lectures, and shall keep the guidelines current. (e) At the time of renewal, each licensee shall disclose whether he or she has had any criminal convictions since the last license renewal. (f) The Commission shall, in its rules and regulations, determine the period of time a licensee may still renew a license if the licensee has failed to renew on or before the established renewal date. (g) An individual whose license has lapsed may apply to the Commission for reinstatement pursuant to the rules and regulations. 35 Del. Laws, c. 63, §  12 ; Code 1935, §  5484; 24 Del. C. 1953, §  2911; 63 Del. Laws, c. 463, §  9 ; 64 Del. Laws, c. 208, §  1 ; 70 Del. Laws, c. 186, §  1 ; 70 Del. Laws, c. 603, §  9 ; 78 Del. Laws, c. 166, §  1 ; § 2911 Complaints. All complaints shall be received and investigated by the Division in accordance with § 8735 of Title 29, and the Division shall be responsible for issuing a final written report at the conclusion of its investigation. 35 Del. Laws, c. 63, §  9 ; Code 1935, §  5481; 41 Del. Laws, c. 218, §  2 ; 24 Del. C. 1953, §  2912; 60 Del. Laws, c. 714, §§  4, 5 ; 67 Del. Laws, c. 121, §§  10-12, 23 ; 67 Del. Laws, c. 171, §  2 ; 67 Del. Laws, c. 256, §  1 ; 67 Del. Laws, c. 381, §  13 ; 68 Del. Laws, c. 166, §  2 ; 69 Del. Laws, c. 86, §  1 ; 70 Del. Laws, c. 186, §  1 ; 71 Del. Laws, c. 103, §  2 ; 75 Del. Laws, c. 88, §  17(2) ; 78 Del. Laws, c. 166, §  1 ; § 2912 Grounds for discipline. (a) A licensee shall be subject to disciplinary sanctions set forth in § 2914 of this title if after a hearing, the Commission finds that the licensee: (1) Has made any substantial misrepresentation; or (2) Has made any false promise of a character likely to influence, persuade or induce; or (3) Has pursued a continued and flagrant course of misrepresentation or the making of false promises through licensees or advertising or otherwise; or (4) Has failed, within a reasonable time, to account for or to remit any money coming into the licensee’s possession which belongs to others; or (5) Has illegally practiced real estate services; or (6) Has incompetently or negligently practiced real estate services in such manner as to not safeguard the interest of the public; or (7) Has paid a commission or valuable consideration to any person for acts or services performed in violation of this chapter; or (8) Has assisted a person in providing real estate services who does not hold a license to provide real estate services in this State. (9) Has violated a provision of this chapter, any of the rules and regulations established thereunder, or any order of the Commission; or (10) Has received or made an arrangement or agreement to receive, directly or indirectly, any form of valuable consideration for products or services relating to a real estate services transaction without prior written disclosure by the licensee to the customer or client of the licensee and the payor for the product or service; or (11) Has misrepresented the availability of or the content of any statutorily required form such as the seller’s disclosure of real property condition report form and/or the radon disclosure as provided in Chapter 25 of Title 6; or (12) Has employed or knowingly cooperated in fraud or material deception in order to acquire a license or renew a license as a real estate service provider; has impersonated another individual holding a license, or has allowed another individual to use that licensee’s license, or has aided or abetted an individual not licensed as a real estate service provider to represent himself or herself as a real estate service provider; or (13) Has been convicted of a crime that is substantially related to the practice of real estate services. A copy of the record of conviction certified by the clerk of the court entering the conviction shall be conclusive evidence therefore; or (14) Has had a license as a real estate service provider suspended or revoked, or other disciplinary action taken by the appropriate licensing authority in another jurisdiction; provided, however, that the underlying grounds for such action in another jurisdiction have been presented to the Commission by certified record and the Commission has determined that the facts found by the appropriate authority in the other jurisdiction constitute 1 or more of the acts defined in this chapter. Every individual licensed as a real estate service provider in this State shall be deemed to have given consent to the release of this information by the Commission or other comparable agencies in another jurisdiction and to waive all objections to the admissibility of previously adjudicated evidence of such acts or offenses; or (15) Has failed to notify the Commission that the licensee’s license as a real estate service provider in another jurisdiction has been subject to discipline, or has been surrendered, suspended or revoked. A certified copy of the record of disciplinary action, surrender, suspension or revocation shall be conclusive evidence thereof. (b) Any unlawful act or violation of this chapter by any real estate service provider, employee, partner, or associate of a licensed broker shall not be cause for the revocation of a license of any broker, unless it appears to the satisfaction of the Commission that such broker had knowledge thereof. (c) The Commission may suspend or revoke any license issued under this chapter at any time where the licensee has been convicted in a court of competent jurisdiction of the crime of forgery, embezzlement, obtaining money under false pretenses, bribery, larceny, extortion, conspiracy to defraud or any similar offense or has had entered a plea of guilty or nolo contendere to any similar offense. (d) Subject to the provisions of this chapter and subchapter IV of Chapter 101 of Title 29, no license shall be restricted, suspended or revoked by the Commission, and no licensee’s right to practice real estate services shall be limited by the Commission until such licensee has been given notice, and an opportunity to be heard, in accordance with the Administrative Procedures Act, Chapter 101 of Title 29. (e) A licensee acting or providing service under an exemption as defined in § 2901 of this title and through the course of delivery of the exempted service is, after a hearing, found to be guilty of paragraphs (a)(1) through (11) of this section shall be subject to discipline pursuant to § 2914 of this title. 35 Del. Laws, c. 63, §  9 ; Code 1935, §  5481; 41 Del. Laws, c. 218, §  2 ; 24 Del. C. 1953, §  2912; 60 Del. Laws, c. 714, §§  4, 5 ; 67 Del. Laws, c. 121, §§  10-12, 23 ; 67 Del. Laws, c. 171, §  2 ; 67 Del. Laws, c. 256, §  1 ; 67 Del. Laws, c. 381, §  13 ; 68 Del. Laws, c. 166, §  2 ; 69 Del. Laws, c. 86, §  1 ; 70 Del. Laws, c. 186, §  1 ; 71 Del. Laws, c. 103, §  2 ; 75 Del. Laws, c. 88, §  17(2) ; 78 Del. Laws, c. 166, §  1 ; § 2913 Hearing procedures. (a) If a complaint is filed with the Commission pursuant to § 8735 of Title 29 alleging violation of § 2912 of this title, the Commission shall set a time and place to conduct a hearing on the complaint. Notice of the hearing shall be given and the hearing shall be conducted in accordance with the Administrative Procedures Act, Chapter 101 of Title 29. (b) Where the licensee is in disagreement with the action of the Commission, the licensee may appeal the Commission’s decision to the Superior Court within 30 days of the day that notice of the decision is mailed. Upon such appeal the Court shall hear the evidence on the record. Stays shall be granted in accordance with § 10144 of Title 29. 35 Del. Laws, c. 63, §  10 ; Code 1935, §  5482; 24 Del. C. 1953, §  2913 2914; 67 Del. Laws, c. 121, §  23 ; 70 Del. Laws, c. 186, §  1 ; 71 Del. Laws, c. 103, §§  3, 4 ; 78 Del. Laws, c. 166, §  1 ; § 2914 Disciplinary sanctions. (a) The Commission may impose any of the following sanctions, singly or in combination, when it finds that 1 or more of the conditions or violations set forth in § 2912 of this title applies to a licensee: (1) Issue a letter of reprimand; (2) Place the licensee on probationary status and require the licensee to: a. Report regularly to the Commission upon the matters which are the basis for the probation; and/or b. Limit real estate services activities to those areas prescribed by the Commission. (3) Impose a monetary penalty not to exceed $5,000 for each violation; (4) Suspend any licensee’s license. (5) Revoke or permanently revoke any licensee’s license. (b) In addition to sanctions imposed under paragraphs (a)(1)-(4) of this section, the Commission may require a licensee to complete continuing education courses in subjects specified by the Commission in addition to those required for licensure renewal. (c) The Commission may withdraw or reduce conditions of probation when it finds that deficiencies requiring such action have been remedied. (d) Where the Commission has placed a licensee on probationary status under certain restrictions or conditions and the Commission has determined that such restrictions or conditions are being or have been violated by the licensee, it may, after a hearing on the matter, suspend or revoke the licensee’s license. 35 Del. Laws, c. 63, §  9 ; Code 1935, §  5481; 41 Del. Laws, c. 218, §  2 ; 24 Del. C. 1953, §  2912; 60 Del. Laws, c. 714, §§  4, 5 ; 67 Del. Laws, c. 121, §§  10-12, 23 ; 67 Del. Laws, c. 171, §  2 ; 67 Del. Laws, c. 256, §  1 ; 67 Del. Laws, c. 381, §  13 ; 68 Del. Laws, c. 166, §  2 ; 69 Del. Laws, c. 86, §  1 ; 70 Del. Laws, c. 186, §  1 ; 71 Del. Laws, c. 103, §  2 ; 75 Del. Laws, c. 88, §  17(2) ; 78 Del. Laws, c. 166, §  1 ; § 2915 Temporary suspension pending hearing. (a) In the event of a formal or informal complaint concerning the activity of a licensee that presents a clear and immediate danger to the public health, welfare or safety, the Commission may temporarily suspend the licensee’s license, pending a hearing, upon the written order of the Secretary of State or the Secretary’s designee, with the concurrence of the Commission Chairperson or the Commission Chairperson’s designee. An order temporarily suspending a license may not be issued unless the licensee or the licensee’s attorney received at least 24 hours’ written or oral notice before the temporary suspension so that the licensee or the licensee’s attorney can file a written response to the proposed suspension. The decision as to whether to issue the temporary order of suspension will be decided on the written submissions. An order of temporary suspension pending a hearing may remain in effect for no longer than 60 days from the date of the issuance of the order unless the temporarily suspended licensee requests a continuance of the hearing date. If the temporarily suspended licensee requests a continuance, the order of temporary suspension remains in effect until the Commission convenes and a decision is rendered. (b) A licensee whose license has been temporarily suspended pursuant to this section must be notified of the temporary suspension immediately and in writing. Notification consists of a copy of the complaint and the order of temporary suspension pending a hearing personally served upon the licensee or sent by certified mail, return receipt requested, to the licensee’s last known address. (c) A licensee whose license has been temporarily suspended pursuant to this section may request an expedited hearing. The Commission shall schedule the hearing on an expedited basis, provided that the Commission receives the request within 5 calendar days from the date on which the licensee received notification of the decision to temporarily suspend the license. (d) The case may be heard by the Commission, a hearing officer or a hearing panel, nominated pursuant to the Administrative Procedure Act, § 10161(d)-(f) of Title 29. (e) After notice to the licensee pursuant to subsection (b) of this section, the Commission, or the hearing officer or the hearing panel, shall convene within 60 days of the date of the issuance of the order of temporary suspension to consider the evidence regarding the matters alleged in the complaint. If the licensee requests in a timely manner an expedited hearing, the Commission, or the hearing officer or hearing panel, shall convene within 15 days of the receipt of the request by the Commission. The Commission, or hearing officer or hearing panel, shall proceed to a hearing in accordance with the Administrative Procedure Act, Chapter 101 of Title 29, and shall render a decision within 30 days of the hearing. (f) An order of temporary suspension may not remain in effect for longer than 60 days from the date of the decision rendered by the Commission unless the suspended licensee requests an extension of the order pending a final decision of the Commission. Upon the final decision of the Commission, an order of temporary suspension is vacated as a matter of law and is replaced by the disciplinary action, if any, ordered by the Commission. 71 Del. Laws, c. 103, §  5 ; 70 Del. Laws, c. 186, §  1 ; 78 Del. Laws, c. 166, §  1 ; 79 Del. Laws, c. 168, §  2 ; § 2916 Reinstatement