Evening star., 1933-11-18
LAW TO ERADICATE
DOUBLE BILLING"
URGED FOR DISTRICT
Need for Real Estate Broker
aue License Act Shown in
Ring Report.
REAL ESTATE BOARD
PLEDGES COOPERATION
Legislation Would Make 1t Pos
sible for Officials to Punish
Violators.
BY VINCENT TUTCHING.

BY VINCENT TUTCHING.
The need for real estate brokerage
license law in the District is demon
strated again in the revelation by
James Ring, rent research agent of the
Public Utilities Commission, of the eX-
lstence here of the unscrupulous prac-
tice known as double billing"
The Washington Real Estate Board
In response to communication from
the commission, today pledged its full
cooperation in eliminating the prac-
tice, which is contrary to its code of
ethics, and consistently opposed by it.
The practice consists of contractors
for repair work on rented properties
submitting two bills to the agent, one
carrying a higher cost figure than the
bther. The agent pays the lower bill
and submits the other to the owner
for reimbursement, thereby realizing a
commission on the work.
King introduced Bill.
A real estate license law here would
make 1t possible for District officials
to revoke the license of any real estate
or unethical practice. During the last
session of Congress, a bill contemplat-
ing such legislation for the Capital
was introduced by Senator King,
chairman of the Senate District Com
tnittee. Tt had the unqualified indorse-
ment of the Washington Real Estate
Board and other groups.
Replying to the Public Utilities Com
missions request for cooperation in
stamping out the dishonest double
billing" practice. Charles ]. Rush,
executive secretary of the board said !:
1.-THE Washington Real Estate Board
20 "a faPt
that its code of ethics prohibits any
member from indulging in this prac-
ttice, even If he were so inclined. If
the commission has any knowledge OF
violations on the part of any member
of the Washington Real Estate Board
It is requested that this information
be transmitted to the board SO that 1t
may take proper action in uphold1ng
its code of ethics.
Throughout the years the board has
always fought for high standard OF
business practice betw>n the pubic
and the real estate brek,si of the Dis
trict of Columbia and has consistently
froWned upon any method, plan or
scheme that would in any way lower the
high ethical standards of the business.
I'm its efforts to stamp out unfair
and unethical practices the Washing
ton Real Estate Board has consistently
appeared before the Congress for more
than 10 years urging the adoption OF
q real estate license law"
Recent newspaper reports carried in
formation to the effect that a promoter
and his statesmen were indicted by the
bistrict grand jury for misrepresenta-
aion and also for promising to resell
property, which promises were not full
filed. Had a real estate license law
been n operation in the District 1t
would not have been necessary to walt
until this group Of INSCRIPTIONS pro-
rnoters had gotten in their work before
action to protect the real estate buyers
could have been taken
Rings Recommendation.
The following is the communication
from James c. Martin, executive secre-
kary of the Public Utilities Commission
THE Public Utilities Commission has
&eceived from James Ring, its rent sur
hey research assistant, recommenda-
Stion that the Washington Real Estate
sBoard be requested to cooperate in
4stamping out the unfair and dishonest
&practice known as double billing
Mr.. Ring has called to our attention
&ection of the code of ethics Of your
Hboard, which provides, in paragraph S,
U1l2L DIOkeIS IlOI dCCCpb CO1L-
Emission on cost of repairs or other ex-
Spenses in connection with properties
Elnder their control without the knowl-
ledge and consent of the owner
"Mr. Ring has assured the commits
sion that through frequent conversa-
,tions with owners and agents of rental
property he has been informed that
agents have accepted such commissions
without the knowledge of the owner, to
the extent that in a number of cases the
owner has removed from the agent the
control of repairs. The commission is
interested in this subject because Of its
undoubted relationship in prevailing
rents in Washington and asks the board
20 exert its best efforts to inform the
property owners of Washington of the
financial hazards involved in this prac-
tice. The commission is gratified to
know that the Washington Real Estate
Board is opposed to such dealings ex-
cept in cases where the owner is in
formed and has given his approval.
1.-THE commission will be glad to
receive from the board any information
or comment it may desire to present
concerning double billing" including
data on any specific cases that may b:
called to the attention of the board u
There are 27 States now operating
under real estate license laws. as fol-
lows: Alabama. Arizona, Arkansas
California, Colorado, Delaware. Florida
Georgia. Idaho, Illinois, Iowa, Louisi-
ana, Michigan Montana, Nevada, New
Jersey, New York, North Carolina
Ohio, Oregon, Pennsylvania, Utah, Ver-
mont, Virginia, Washington. Wisconsin
and Wyoming In the main thest
States provide for the revocation OF
licenses in the case of substantial mis-
representations. continued misrepre-
sentation. false promise, acting fol
more than one party without knowledge
of other parties, failure to account fol
moneys of others, paying commission fol-
services in violation of act, demonstrat.
ed incompetence or unworthiness ano
dishonesty.