Real Estate Commission
N E W S L E T T E R
rom the De
F the Desk of ...
JULY 2001 The Executive Director
Execu Directo tor
Arkansas Real Estate Commission
612 South Summit Street 2001 LEGISLATION
Little Rock AR 72201-4740
Phone: 501-683-8010 The following legislation estate contracts, and closing compensation provided the
FAX: 501-683-8020 was passed by the Legisla- the transaction. Additional real estate acts were
ture and signed into law by topics for new brokers will performed through a
E-mail: firstname.lastname@example.org Governor Huckabee. If you include management and Principal Broker. Lastly, it
Investigations: would like a copy please supervision responsibilities provides for the temporary
email@example.com send your written request to as well as record keeping operation of a real estate
Licensing: AREC. and trust accounts. This firm by a person approved
education will focus on by AREC in the event of
Web Site: Post-Licensure Education. problems that cause com- death, resignation, termina-
www.state.ar.us/arec/arecweb.html Act 748 authorizes the plaints and hearings. If you tion, or incapacity of the
Commission to establish a have ideas or suggestions of Principal Broker, or closing
post-licensure education content to include in the of the real estate firm.
requirement for individuals post licensure education These changes were a
Members of the Commission in their first year of licen- courses please let us know. result of input from the real
sure as a salesperson or estate industry since the
Mary Bassett, Chairman broker. Beginning January 1, Ownership of a Real current law was not clear
Fayetteville 2002, new salespersons and Estate Firm, Listings, & regarding whether a firm
brokers will complete post- Temporary Operation. could contract and own
Tom D. Baxley, Vice Chairman
licensure education, not to Act 1172 reduces current agency contracts as a legal
exceed thirty (30) class- practice to law. It clarifies entity.
P. Q. Gardner room hours within twelve that a person or other legal
Monticello (12) months after the entity not licensed by the License Fees. Act 535
Ina Martin license is issued. If the Commission may own a real authorizes the Commission
Russellville education is not completed estate firm provided the real to increase license fees by
within that twelve (12) estate activities are $10.00 if necessary. The
Virgil L. Miller, Jr.
month period, the license performed by employees or Commission requested this
will be placed on inactive agents employed by or authorization since current
status until completed. This associated with the firm fees were at the maximum
legislation was industry who hold Arkansas Real allowed by law. This
Commission Staff driven to help train new Estate Licenses. It clarifies increase would be necessary
licensees entering the real that a real estate firm may in the event that additional
Bill J. Williamson
estate business and new enter into contracts only revenue was needed for
brokers. The post licensure through a Principal Broker unanticipated expenses that
Gary C. Isom education will be practical and any licensee employed may occur in the future.
Deputy Executive Director and job-related. Topics to by or associated with the However no fee increase is
be included for both new Principal Broker. That the planned for the immediate
salespersons and brokers owner or legal entity of a time.
July 2001 will include agency, real real estate firm may sue for 1
FORMAL Martin’s broker’s license is revoked
dishonesty, untruthfulness, or
Hearing The Commission found Ms. Martin
guilty of violating Arkansas Code Ann.
Brian Keith Metcalf, Salesperson,
Mena: In Formal Hearing #2022
DECISIONS §17-42-309(a) & §17-42-311(a)(11)
and Regulations 7.5(c) and 10.7(c).
the Commissioners ordered that
“…Respondent Brian Metcalf’s
salesperson’s license be revoked
The following information is Ms. Martin failed to maintain a place
extracted from Findings of of business and display a permanently
attached sign bearing the name under The Commission found Mr. Metcalf
Fact, Conclusions of Law and
which she conducted her business. guilty of violating Arkansas Code Ann.
Order which were issued for
§17-42-302(a)(5) & (6), §17-42-
Hearings conducted by the Upon closing her office and ceasing
311(a)(1), (2) & (7), and Regulation
Commission from January to do business as a real estate broker,
through April 2001. Formal Ms. Martin failed to notify the
Hearing Decisions that have Commission of the address and phone As a result of Mr. Metcalf’s
been appealed are not listed. number of the place where trust conduct, at the time of his application
account and transaction records were for a real estate license he did not
being maintained. possess a good reputation for honesty,
Chandra L. Bullock, Principal truthfulness or integrity sufficient to
Broker, Little Rock: In Formal Ms. Martin failed to return her
safeguard the interests of the public
Hearing #2017 the Commissioners license and pocket card upon closing
and could not demonstrate that he had
ordered that “…Respondent Chandra her office.
no record of unprofessional conduct.
L. Bullock’s license is revoked Grandle Gene Lair, Principal
immediately.” As a result of his false answer to
Broker, Harrison: In Formal Hearing
question 5 on his real estate license
The Commission found Ms. Bullock #2019 the Commissioners ordered that
application and the Commission’s
guilty of violating Arkansas Code Ann. “…Respondent Grandle Lair’s
issuing a license to him in reliance
§17-42-309(a) & 17-42-311(a)(11) and broker’s license is revoked immedi-
thereon without knowledge and
Regulations 7.5(c), 9.2(b) and 10.7(c). ately.”
investigation of his conduct, he
Ms. Bullock failed to maintain a The Commission found Mr. Lair obtained a real estate license by means
place of business and display a guilty of violating Arkansas Code Ann. of fraud, misrepresentation or conceal-
permanently attached sign bearing the §17-42-311(a)(3) & (11) and Regulation ment.
name under which she conducted her 10.16(a).
Mr. Metcalf’s conduct involves
business. Mr. Lair did not report in writing to moral turpitude, fraud, dishonesty, or
Upon closing her office and ceasing the Arkansas Real Estate Commission untruthfulness.
to do business as a real estate broker, within thirty (30) days of his plea that
He failed to submit a report of his
Ms. Bullock failed to notify the he had plead guilty to a crime.
guilty pleas to the Commission in
Commission of the address and phone Mr. Lair plead guilty to a crime conjunction with his license application.
number of the place where trust involving moral turpitude, fraud,
account and transaction records are
Ms. Bullock failed to return her Oops I Did It Again!
license and pocket card upon closing Problems Investigators see again and again that cause Complaints:
her office. 1. Lack of communication with 6. Changes to contract not initialed
She failed to file a written answer to buyers & sellers 7. Contract requirements not
a Complaint filed by an individual. 2. Surprises during the transaction followed-up
3. Agreements not reduced to 8. Terms of contract not explained
Burma Martin, Principal Broker,
writing 9. Property condition misrepre-
North Little Rock: In Formal
4. Copies of signed contracts not sented
Hearing #2018 the Commissioners
provided 10. Self-dealing with no written
ordered that “…Respondent Burma
5. Client’s interest not protected disclosure
2 July 2001
The AREC Scholarship program offered from January - June 2001 was a tremendous success. All available Scholarships
were utilized and licensees’ comments indicated that very high-quality real estate education was being presented. AREC is
pleased to tell you that education Scholarships will once again be available.
As an Active Arkansas Real Estate Licensee you can receive an educational Scholarship for up to $35.00 to apply to the
cost of any one of the six (6) classroom hour AREC Basic Broker or Salesperson Courses taken between July 1 and
September 30, 2001 from an approved Scholarship course provider.
An application form to apply for Scholarship eligibility is included with this Newsletter. Schools that have been approved
to teach the Scholarship courses are listed on the back side of the application form. Apply for a Scholarship as follows:
1. Immediately fill out the application form and return to AREC. FAX
copies will not be accepted. Only a limited number of Scholar-
ships are available and will be awarded on a first-come first-served
COURSE TOPICS MAY
2. After AREC returns your Scholarship eligibility, complete a quali-
fied course between July 1 and September 30, 2001. Your Real Estate Contracts
Instructor will have forms available to redeem your Scholar-
From Contract to Closing
ship payment from AREC.
These classes are expected to fill quickly as class size is limited to approxi- Policy & Procedures
mately 45 students.
To obtain information about course offerings and schedules, contact the school
directly. You can visit each school’s website by clicking on “Educators’ Links”
at www.state.ar.us/arec/arecweb.html. Correspondence courses are not Broker/Agent
eligible for Scholarship. Responsibilities
If you have any questions please call Gary Isom or Nancy Nielsen at the Agency Relationships &
Arkansas Real Estate Commission, or contact the approved school of your Disclosure
Number of Arkansas Licensees as of June 1, 2001
Active -------------------------------------------------------------- 8,267
Inactive ------------------------------------------------------------ 2,765
Total --------------------------------------------------------------- 11,032
July 2001 3
ARKANSAS REAL ESTATE COMMISSION PRSRT STD
612 SOUTH SUMMIT STREET US POSTAGE
LITTLE ROCK AR 72201-4740 PAID
If you wish to have your name removed from this mailing PERMIT #75
list please write the Commission at the address above. LITTLE ROCK AR
Principal Broker’s License Renewal Reminder
Self-Evaluation Guide Renewal notices for 2002 Arkansas Real Estate
Licenses will be in the mail soon. The deadline to
renew your license for 2002 without penalty is
Drawing upon their years of experi-
September 30, 2001.
ence in conducting office visits and
reviews, theAREC Investigative staff
is developing a self-evaluation guide
for Principal Brokers and other
persons with office oversight respon-
sibilities. The guide will include items
that are often reviewed and discussed Happy Retirement
during an office visit by an AREC
Investigator. to You!
If you have suggestions for content licensees and the public over the
or if you would like to be on the years. Her knowledge and practical
mailing list to receive a copy when it experience about Arkansas Real
is finished, please send a written Estate License Law and Regulations
request to Claudia Howard, Investi- and how it applies to real estate
gations Secretary, at the Commission licensing will be missed by licensees
office. and by the Commission.
Bea has many varied interests and
Inside T his Issue is looking forward to spending a lot of
Bea Williams, Assistant Secretary time with her first grandchild, Lane
Executive Director’s Comments ......... 1
for Licensing, will retire June 30, 2001 Cochran, during her retirement.
Formal Hearing Decisions ................. 2
after 28 years with the Commission. Thank you Bea for your contribution
Scholarships ...................................... 3
PB Self-Evaluation Guide .................. 4 She joined the Commission in 1973 to the AREC, the real estate industry,
License Renewal Reminder ............... 4 as Secretary to the Director and and the state. The Commissioners
Bea Williams Retires .......................... 4 backup to the Receptionist. She has and staff of AREC wish you a long
answered many, many questions from and happy retirement.
4 July 2001