New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1922-08-13
License Law
Explained by
Commission
r,y,,ssrates Provisions of Act
hy Means of Answers TO
Cuessions Framed to
Clarity Dubious Points


!, the form of questions and answers,
-..;nv Official information on various
....;Is Of the new law which goes into
~. this fall, requiring licenses for
j, real estate brokers and statesmen
! all The cities of the state and Nassau
IA yestchester counties. The state
sns which interprets many important
49, ...s ~ the law, is based on informa-
80 ~ soeured by the Tax Commission
srono the Attorney General. II follows;
Nv f,restion-In case broker main
nrincipaI Office in a third-class
.ss.s.--fee Of S1o-and branch Office
s.@ 6rst.class city-fee of S25-is he
titled under paragraph 3 OF Section
sa3.a an payment of $40 fee for his
,..arss in the third-class city to receive
s,nnleucntal license to maintain a
tk os;co in 2 first-class city with
eat additional fee?
tnswer-~Under Section AHA of the
4 applies to all cities of the state
Ito Westchester and Nassau coun-
II Hinder Section ALB. license for
hroker is s25 in frst-elass cities, S1o
IN sacond-class cities, and $40 in third
lass cities: for statesmen, the license
l. s. in frst-class cities. S3 in second
lass cities and 81 in third-class cities.
Ijnder Section AL, broker is re-
cuired to state in his application,
amone other things, the kind of license
desired his residence address. and the
Mace or places where the business is
Il he conducted. Upon the allowance
Of his application, a license is issued
nernitting the broker to act as real
estate broker ''in this state" 1t IS
further provided under Section AL,
subdivision A. that where real estate
broker maintains more than one place
AZ business he may obtain a supple
mental license for each branch office
free of charge. Now. it is gathered
from all of this that the broker in
spplying for his license and the Tax
Commission in allowing it shall de-
ternline in good faith the principal
place OF business of the broker II
That. be say, in Watertown, then the
broker NAV have his license for $40
and maintain branch Offices in SYRIA
euse. city OF the second class, and in
Rochester. q city of the first class
OF course, in such an extreme instance
as described the Tax Commission will
DO careful to determine that he prin-
einal place is not really III Rochester
CT Syracuse.
.ouestion-If a salesman IS licensed
Il transact business il 4 third-clas'
cty, may he effect sale in any part OF
he state, including a first-class city?
Answer-A salesman. under Sector
Ala, subdivision 3. is not required
70 have supplemental license, but
under subdivision Of that section.
nuce he is licensed, be is entitled to do
business anywhere in the state. His
node of application is much the same
as that required of brokers. Again, il
becomes question of good faith. If
lie is actually employed mostly in .
third-class city he is entitled to n
third-class city license, and may do
business incidentallv n \ first or sec
cad-class city, or in Wcstchester O.
Nassau counties.
Question-In case nonresident
Lyoker or salesman desires license to
transact business in this state, should
he be charged the highest Zee provided
Tor broker or salesman. as the case
may be. in view of the fact that his
license will authorize him to transac'
business in any part of the state?
A1swer-Non-r resident licenses are
granted under Section 442-H, and thai
fequires in part that NONRESIDENT
nav become real estate broker or
salesman Sin any place in which the
provisions Of this article are an
plicable" In the case of non-resl-
dent broker or salesman, inasmuch as
his license permits him to transact
business in any part of the state, in
lid, IN a :
much as he is not attached to any
locality by maintaining an Office there
in, it is believed the Tax Commission
would be justified in eXacting the max
mum fec.
Question-A broker or salesman
whose principal office is located in
village or town which is not in Nassau
or Westchester County, and VINO,
therefore, does not require license 70
transact business in his home village
or town, is such broker or salesman
\ authorized to transact business in
Neity without license?
3 answer-This question would be
S Il. >trated by the typical instance of
Mrs;,f or salesman actually residing
fd doing business in Valatie, who de-
<>s!fes also to carry on business in the
city OF Albany. 1t seems a reading of
she entire act requires that such
broker or salesman should obtain a
license tor the city of Albany.
Queston-A is trust company per-
lofmlng the usual duties of such, but
conducting a real estate departm ent
ana frequently or incidentally buy, sell
or lease real estate for others and for
compensation. Must it take out a
brokers' license?
Ahswer--A trust company transact
.ng real estate business in way that
you'd bring it within the meaning of
Seellon 44O, when not included in the
s.As e provided for in Section
~. ~, IS required to obtain a real es-
ste brokers' license.
euestion-A is real estate broker.
- ts absence on vacation a member
:. ms family, B, comes to the Office for
w OF three weeks in the year and as
~ hes MS responsibilities He received
y. compensation from A. Must B take
l. incense? If so, should the license
broker or as q salesman?
nnswer--b is required to obtain a
~ .sshse when performing any of the
s as provided for in Section $40. 1t
ns ~ appear from the question that
ncehsed broker, an individual, has
sing as ms agent or salesman, and
Gu snouia have salesman's license.
Az susstion--under the licensing law
II, directors officers of the corpora
lsn ana as such entitled to take out a
crefaa license? Gould they, if they
b..siea, take out salesman's
asswer - Directors are considered
nssa! or corporation within the
sn.;.,hg OF the license act. They are
t,"stkiHG tn 10 ~, n d. l.~Ie e.. q.