ENGROSSED

COMMITTEE SUBSTITUTE

FOR

Senate Bill No. 343

(By Senators Helmick, Ross, Plymale, Bowman, Miller, Wiedebusch, Buckalew, Deem, Wooton, Blatnik, Wagner, Sharpe, Bailey, Chafin, Grubb, Dittmar, Dugan, Scott, Anderson, Manchin, Jackson, Craigo, Schoonover, White, Love, Yoder, Tomblin, Mr. President, Kimble and Oliverio)

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[Originating in the Committee on Labor;

reported February 27, 1995.]

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A BILL to amend and reenact section two, article twelve, chapter forty-seven of the code of West Virginia, one thousand nine hundred thirty-one, as amended, relating to excluding auctioneers from the definition of real estate broker and real estate salesperson; and exempting auctioneers who sell real estate from the requirement of having a license to sell real estate.

Be it enacted by the Legislature of West Virginia:
That section two, article twelve, chapter forty-seven of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted to read as follows:
ARTICLE 12. REAL ESTATE COMMISSION, BROKERS AND SALESPERSONS.

ยง47-12-2. Definitions and exceptions.

(a) The term "real estate broker" within the meaning of this article includes all persons, partnerships, associations and corporations, foreign and domestic, who for a fee, commission or other valuable consideration or who with the intention or expectation of receiving or collecting a fee, commission or other valuable consideration, lists, sells, purchases, exchanges, rents, manages or leases any real estate or the improvements thereon, including options, or who negotiates or attempts to negotiate any such activity; or who advertises or holds himself, herself, itself or themselves out as engaged in such activities; or who directs or assists in the procuring of a purchaser or prospect calculated or intended to result in a real estate transaction. The term "real estate broker" shall also include any person, partnership, association or corporation employed by or on behalf of the owner or owners of lots, or other parcels of real estate, at a stated salary or upon a fee, commission or otherwise to sell such real estate, or any parts thereof, in lots or other parcels, and who shall sell, manage, exchange, lease, offer, attempt or agree to negotiate the sale, exchange or lease of any such lot or parcel of real estate.
(b) The term "real estate" as used in this article includes leaseholds as well as any and every interest or estate in land, whether corporeal or incorporeal, freehold or nonfreehold, and whether the property is situated in this state or elsewhere.
(c) The term "associate broker" means any person who for compensation or other valuable consideration is employed by a broker to perform all the functions authorized by a broker's license only for and on behalf of the employing broker including, but not limited to, authority to supervise other salespersons employed by a broker and manage an office on behalf of a broker.
(d) The term "real estate salesperson" means and includes any person employed or engaged by or on behalf of a licensed real estate broker to do or deal in any activity as included in this section, for compensation or otherwise.
(e) Any person, partnership, association or corporation which performs any act or activity set forth in subsection (a) of this section in consideration of or with the expectation or intention of or upon the promise of receiving compensation by fee, commission or other valuable consideration, is a real estate broker and is subject to the provisions and requirements of this article.
(f) The term "real estate broker" or "real estate salesperson" shall not include:
(1) Any person, partnership, association or corporation, who, as a bona fide owner or lessor, performs any act set forth in subsection (a) of this section with reference to property owned or leased by him or her to the regular employees thereof, where the acts are performed in the regular course of or as an incident to the management of, the property and the investment in the property;
(2) Attorneys-at-law, except that attorneys-at-law shall submit to the written examination required under section seven of this article in order to qualify for a broker's license: Provided, That an attorney-at-law who is licensed as a real estate broker prior to the effective date of this section is exempt from the written examination required under section seven of this article;
(3) Any person holding in good faith a duly executed power of attorney from the owner authorizing the final consummation and execution for the sale, purchase, lease or exchange of real estate;
(4) Any person while acting as a receiver, trustee, administrator, executor, guardian or under the order of any court or while acting under authority of a deed of trust or will;
(5) Public officers while performing their duties as such;
(6) Persons acquiring or disposing of coal, oil or gas leasehold or coal, oil or gas interests; or
(7) Auctioneers licensed pursuant to article two-c, chapter nineteen of this code who sell any real estate or the improvements thereon at an auction: Provided, That nothing contained in this article prohibits an auctioneer from selling any real estate or the improvements thereon at an auction.