2023 Illinois Compiled Statutes › Chapter 225 - PROFESSIONS, OCCUPATIONS, AND BUSINESS OPERATIONS › 225 ILCS 454/ - Real Estate License Act of 2000. › Article 5 - Licensing And Education

(225 ILCS 454/Art. 5 heading)
ARTICLE 5.  
		LICENSING AND EDUCATION
(225 ILCS 454/5-5)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-5. Residential leasing agent license.
(a) The purpose of this Section is to provide for a limited scope license to
enable persons who
wish to engage in activities limited to the leasing of residential real
property for which a license is
required under this Act, and only those activities, to do so by obtaining a 
license 
under this Section.
(b) Notwithstanding the other provisions of this Act, there is hereby
created a residential leasing agent
license that shall enable the licensee to engage only in residential leasing
activities for which a
license is required under this Act.  Such activities include leasing or renting
residential real property, or attempting, offering, or negotiating to lease or
rent residential real property, or
supervising the collection, offer, attempt, or agreement to collect rent for
the use of
residential real
property.  Nothing in this
Section shall be construed to require a licensed managing broker or
broker to obtain a residential leasing
agent license in order to perform leasing activities for which a license is
required under this Act. Licensed residential leasing agents, including those operating under subsection (d), may engage in activities enumerated within the definition of "residential leasing agent" in Section 1-10 of this Act and may not engage in any activity that would otherwise require a broker's license, including, but not limited to, selling, offering for sale,  negotiating for sale, listing or showing for sale, or referring for sale or commercial lease real estate.
Licensed residential leasing agents must be sponsored and employed by a sponsoring broker.
(c) The Department, by rule and in accordance with this Act, shall provide for the
licensing of residential leasing
agents, including the issuance, renewal, and administration of licenses.
(d) Notwithstanding any other provisions of this Act to the contrary, a
person may engage in
residential leasing activities for which a license is required under this Act,
for a period of 120
consecutive days without being licensed, so long as the person is acting under
the supervision of a
sponsoring broker, the sponsoring broker has notified the Department that the person is
pursuing licensure
under this Section, and the person has enrolled in the residential leasing agent pre-license education course no later than 60 days after beginning to engage in residential leasing activities.  During the 120-day period all requirements of Sections
5-10
and 5-65 of this Act
with respect to education, successful completion of an examination, and the
payment of all required
fees must be satisfied.  The Department may adopt rules to ensure that the provisions of
this subsection are
not  used in a manner that enables an unlicensed person to repeatedly or
continually engage in
activities for which a license is required under this Act.
(Source: P.A. 100-188, eff. 1-1-18; 101-357, eff. 8-9-19.)
(225 ILCS 454/5-6)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-6. Social Security Number or Individual Taxpayer Identification Number on license application. In addition to any other information required to be contained in the application, every application for an original license under this Act shall include the applicant's Social Security Number or Tax Identification Number, which shall be retained in the agency's records pertaining to the license. An applicant may provide an Individual Taxpayer Identification Number as an alternative to providing a Social Security Number when applying for a license. As soon as practical, the Department shall assign a separate and distinct identification number to each applicant for a license.
Every application for a renewal or restored license shall require the applicant's identification number.
(Source: P.A. 103-236, eff. 1-1-24.)
(225 ILCS 454/5-7)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-7. Application for residential leasing agent license.   Every person who desires to obtain a residential leasing agent license shall apply to the Department in a manner prescribed by the Department which application shall be accompanied by the required non-refundable fee.  Any such application shall require such information as in the judgment of the Department will enable the Department to pass on the qualifications of the applicant for licensure.
(Source: P.A. 101-357, eff. 8-9-19.)
(225 ILCS 454/5-10)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-10. Requirements for license as a residential leasing agent; continuing education.
(a) Every applicant for licensure as a residential leasing agent must meet the following qualifications:
(1) be at least 18 years of age;
(2) be of good moral
character;
(3) successfully complete  a 4-year course of study     in a high school or secondary school or an equivalent course of study approved by the state in which the school is located, or possess a State of Illinois High School Diploma, which shall be verified under oath by the applicant;
(4) personally take and pass a written examination     authorized by the Department sufficient to demonstrate the applicant's knowledge of the provisions of this Act relating to residential leasing agents and the applicant's competence to engage in the activities of a licensed residential leasing agent;
(5) provide satisfactory evidence of having completed     15 hours of instruction in an approved course of study relating to the leasing of residential real property.  The Board may recommend to the Department the number of hours each topic of study shall require. The course of study shall, among other topics, cover the provisions of this Act applicable to residential leasing agents; fair housing and human rights issues relating to residential leasing; advertising and marketing issues; leases, applications, and credit and criminal background reports; owner-tenant relationships and owner-tenant laws; the handling of funds; and environmental issues relating to residential real property;
(6) complete any other requirements as set forth by     rule; and
(7) present a valid application for issuance of an     initial license accompanied by fees specified by rule.
(b) No applicant shall engage in any of the activities covered by this Act without a valid license and until a valid sponsorship has been registered with the Department.
(c)  The Board may
recommend to the Department and the Department may adopt requirements for approved courses, course
content, and the
approval of courses, instructors, and education providers, as well as education provider and instructor
fees. The Department may
establish continuing education requirements for residential licensed leasing agents, by
rule, consistent with the language and intent of this Act, with the advice of
the Board.
(d) The continuing education requirement for residential leasing agents shall consist of a single core curriculum to be prescribed by the Department as recommended by the Board. Leasing agents shall be required to complete no less than 8 hours of continuing education in the core curriculum during the current term of the license. The curriculum shall, at a minimum, consist of a single course or courses on the subjects of fair housing and human rights issues related to residential leasing, advertising and marketing issues, leases, applications, credit reports, and criminal history, the handling of funds, owner-tenant relationships and owner-tenant laws, and environmental issues relating to residential real estate.
(Source: P.A. 102-970, eff. 5-27-22; 102-1100, eff. 1-1-23; 103-154, eff. 6-30-23; 103-236, eff. 1-1-24.)
(225 ILCS 454/5-15)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-15. Necessity of managing broker, broker, or residential leasing agent license; ownership
restrictions.
(a) It is unlawful for any person, as defined in Section 1-10, to act as
a managing broker, broker, or residential leasing agent or to advertise
or assume to act as such
managing broker, broker or residential leasing agent without a license issued in accordance with
 this Act and a valid sponsorship registered with the Department, either directly or through its authorized designee.
(b) No corporation shall be granted a license or engage in the business or
capacity, either
directly or indirectly, of a broker, unless every officer of the
corporation who actively
participates in the real estate activities of the corporation holds a license
as a managing broker or broker
and unless every employee who acts as a managing broker, broker, or residential leasing agent for the
corporation holds a
license as a managing broker, broker, or residential leasing agent. All nonparticipating owners or officers shall submit affidavits of nonparticipation as required by the Department. No corporation shall be granted a license if any nonparticipating owner or officer has previously been publicly disciplined by the Department resulting in that licensee being currently barred from real estate practice because of a suspension or revocation.
(c) No partnership shall be granted a license or engage in the business or
serve in the capacity,
either directly or indirectly, of a broker, unless every
partner in the partnership who actively participates in the real estate activities of the partnership
holds a license as a managing broker or broker and unless every employee who acts as a
managing broker, broker, or residential
leasing agent for the partnership holds a license as a managing broker, broker,
 or residential leasing
agent. All nonparticipating partners shall submit affidavits of nonparticipation as required by the Department.  In the case of a registered limited liability partnership (LLP), every
partner in the LLP that actively participates in the real estate activities of the limited liability partnership
must hold a license as a managing broker or broker and every employee who acts as a
managing broker, broker, or residential leasing
agent must hold a license as a managing broker, broker, or residential leasing
agent. All nonparticipating limited liability partners shall submit affidavits of nonparticipation as required by the Department. No partnership shall be granted a license if any nonparticipating partner has previously been publicly disciplined by the Department resulting in that licensee being currently barred from real estate practice because of a suspension or revocation.
(d) No limited liability company shall be granted a license or engage in the
business or serve in
the capacity, either directly or indirectly, of a broker unless
every member or manager in
the limited liability company that actively participates in the real estate activities of the limited liability company holds a license as a managing broker or broker and
unless every other member and employee who
acts as a managing broker, broker, or residential leasing agent for the limited liability company holds
a license as a managing broker, broker, or residential leasing agent. All nonparticipating members or managers shall submit affidavits of nonparticipation as required by the Department. No limited liability company shall be granted a license if any nonparticipating member or manager has previously been publicly disciplined by the Department resulting in that licensee being currently barred from real estate practice because of a suspension or revocation.
(e) (Blank).
(f) No person, partnership, or business entity shall be granted a license if any owner, officer, director, partner, limited liability partner, member, or manager has been denied a real estate license by the Department in the previous 5 years or is otherwise currently barred from real estate practice because of a suspension or revocation.
(Source: P.A. 100-831, eff. 1-1-19; 101-357, eff. 8-9-19.)
(225 ILCS 454/5-20)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-20. Exemptions from managing broker, broker, or residential leasing agent license
requirement; Department exemption from education provider and related licenses.  The requirement for holding a license under this Article 5 shall
not apply to:
(1) Any person, as defined in Section 1-10, that as     owner or lessor performs any of the acts described in the definition of "broker" under Section 1-10 of this Act with reference to property owned or leased by it, or to the regular employees thereof with respect to the property so owned or leased, where such acts are performed in the regular course of or as an incident to the management, sale, or other disposition of such property and the investment therein, if such regular employees do not perform any of the acts described in the definition of "broker" under Section 1-10 of this Act in connection with a vocation of selling or leasing any real estate or the improvements thereon not so owned or leased.
(2) An attorney in fact acting under a duly executed     and recorded power of attorney to convey real estate from the owner or lessor or the services rendered by an attorney at law in the performance of the attorney's duty as an attorney at law.
(3) Any person acting as receiver, trustee in     bankruptcy, administrator, executor, or guardian or while acting under a court order or under the authority of a will or testamentary trust.
(4) Any person acting as a resident manager for the     owner or any employee acting as the resident manager for a broker managing an apartment building, duplex, or apartment complex, when the resident manager resides on the premises, the premises is the primary residence of the resident manager, and the resident manager is engaged in the leasing of that property.
(5) Any officer or employee of a federal agency in     the conduct of official duties.
(6) Any officer or employee of the State government     or any political subdivision thereof performing official duties.
(7) Any multiple listing service or other similar     information exchange that is engaged in the collection and dissemination of information concerning real estate available for sale, purchase, lease, or exchange for the purpose of providing licensees with a system by which licensees may cooperatively share information along with which no other licensed activities, as defined in Section 1-10 of this Act, are provided.
(8) Railroads and other public utilities regulated by     the State of Illinois, or the officers or full-time employees thereof, unless the performance of any licensed activities is in connection with the sale, purchase, lease, or other disposition of real estate or investment therein that does not require the approval of the appropriate State regulatory authority.
(9) Any medium of advertising in the routine course     of selling or publishing advertising along with which no other licensed activities, as defined in Section 1-10 of this Act,  are provided.
(10) Any resident lessee of a residential dwelling     unit who refers for compensation to the owner of the dwelling unit, or to the owner's agent, prospective lessees of dwelling units in the same building or complex as the resident lessee's unit, but only if the resident lessee (i) refers no more than 3 prospective lessees in any 12-month period, (ii) receives compensation of no more than $5,000 or the equivalent of 2 months' rent, whichever is less, in any 12-month period, and (iii) limits activities to referring prospective lessees to the owner, or the owner's agent, and does not show a residential dwelling unit to a prospective lessee, discuss terms or conditions of leasing a dwelling unit with a prospective lessee, or otherwise participate in the negotiation of the leasing of a dwelling unit.
(11) The purchase, sale, or transfer of a timeshare     or similar vacation item or interest, vacation club membership, or other activity formerly regulated under the Real Estate Timeshare Act of 1999 (repealed).
(12) (Blank).
(13) Any person who is licensed without examination     under Section 10-25 (now repealed) of the Auction License Act is exempt from holding a managing broker's or broker's license under this Act for the limited purpose of selling or leasing real estate at auction, so long as:
(A) that person has made application for said         exemption by July 1, 2000;
(B) that person verifies to the Department that         the person has sold real estate at auction for a period of 5 years prior to licensure as an auctioneer;
(C) the person has had no lapse in the licensure         as an auctioneer; and
(D) the license issued under the Auction License         Act has not been disciplined for violation of those provisions of Article 20 of the Auction License Act dealing with or related to the sale or lease of real estate at auction.
(14) A person who holds a valid license under the     Auction License Act and a valid real estate auction certification and conducts auctions for the sale of real estate under Section 5-32 of this Act.
(15) A hotel operator who is registered with the     Illinois Department of Revenue and pays taxes under the Hotel Operators' Occupation Tax Act and rents a room or rooms in a hotel as defined in the Hotel Operators' Occupation Tax Act for a period of not more than 30 consecutive days and not more than 60 days in a calendar year or a person who participates in an online marketplace enabling persons to rent out all or part of the person's owned residence.
(16)   Notwithstanding any provisions to the     contrary, the Department and its employees shall be exempt from education, course provider, instructor, and course license requirements and fees while acting in an official capacity on behalf of the Department.  Courses offered by the Department shall be eligible for continuing education credit. (Source: P.A. 103-236, eff. 1-1-24.)
(225 ILCS 454/5-25)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-25. Good moral character.
(a) When an applicant has had a license revoked on a prior occasion
or when an
applicant is found to have committed any of the practices enumerated in Section
20-20 of this Act or when an
applicant has been convicted of or enters a plea of guilty or nolo contendere to forgery, embezzlement, obtaining money under
false pretenses,
larceny, extortion, conspiracy to defraud, or any other similar offense or
offenses or has been
convicted of a felony involving moral turpitude in any court of competent
jurisdiction in this or any
other state, district, or territory of the United States or of a foreign
country, the Board may consider
the prior revocation, conduct, or conviction in its determination of the
applicant's moral character
and whether to grant the applicant a license.
(b)   In its consideration of the prior revocation, conduct, or conviction, the Board shall take into account the nature of the conduct, any aggravating or extenuating circumstances, the time elapsed since the revocation, conduct, or conviction, the rehabilitation or restitution performed by the applicant, mitigating factors, and any other factors that the Board deems relevant, including, but not limited to:
(1)   the lack of direct relation of the offense for     which the applicant was previously convicted to the duties, functions, and responsibilities of the position for which a license is sought;
(2)   unless otherwise specified, whether 5 years     since a felony conviction or 3 years since release from confinement for the conviction, whichever is later, have passed without a subsequent conviction;
(3)   if the applicant was previously licensed or     employed in this State or other states or jurisdictions, the lack of prior misconduct arising from or related to the licensed position or position of employment;
(4)   the age of the person at the time of the     criminal offense;
(5)   if, due to the applicant's criminal conviction     history, the applicant would be explicitly prohibited by federal rules or regulations from working in the position for which a license is sought;
(6)   successful completion of sentence and, for     applicants serving a term of parole or probation, a progress report provided by the applicant's probation or parole officer that documents the applicant's compliance with conditions of supervision;
(7)   evidence of the applicant's present fitness and     professional character;
(8)   evidence of rehabilitation or rehabilitative     effort during or after incarceration, or during or after a term of supervision, including, but not limited to, a certificate of good conduct under Section 5-5.5-25 of the Unified Code of Corrections or a certificate of relief from disabilities under Section 5-5.5-10 of the Unified Code of Corrections; and
(9)   any other mitigating factors that contribute to     the person's potential and current ability to perform the job duties.
(c)   The Department shall not require applicants to report the following information and shall not consider the following criminal history records in connection with an application for licensure or registration:
(1)   juvenile adjudications of delinquent minors as     defined in Section 5-105 of the Juvenile Court Act of 1987 subject to the restrictions set forth in Section 5-130 of that Act;
(2)   law enforcement records, court records, and     conviction records of an individual who was 17 years old at the time of the offense and before January 1, 2014, unless the nature of the offense required the individual to be tried as an adult;
(3)   records of arrests not followed by a charge or     conviction;
(4)   records of arrests where the charges were     dismissed unless related to the practice of the profession; however, applicants shall not be asked to report any arrests, and an arrest not followed by a conviction shall not be the basis of a denial and may be used only to assess an applicant's rehabilitation;
(5)   convictions overturned by a higher court; or
(6)   convictions or arrests that have been sealed or     expunged.
(d)   If an applicant makes a false statement of material fact on the application, the false statement may in itself be sufficient grounds to revoke or refuse to issue a license.
(e)   A licensee shall report to the Department, in a manner prescribed by the Department and within 30 days after the occurrence of: (1) any conviction of or plea of guilty, or nolo contendere to forgery, embezzlement, obtaining money under false pretenses, larceny, extortion, conspiracy to defraud, or any similar offense or offenses or any conviction of a felony involving moral turpitude; (2) the entry of an administrative sanction by a government agency in this State or any other jurisdiction that has as an essential element dishonesty or fraud or involves larceny, embezzlement, or obtaining money, property, or credit by false pretenses; or (3) any crime that subjects the licensee to compliance with the requirements of the Sex Offender Registration Act.
(Source: P.A. 101-357, eff. 8-9-19; 102-970, eff. 5-27-22.)
(225 ILCS 454/5-26)
Sec. 5-26. (Repealed).
(Source: P.A. 99-227, eff. 8-3-15. Repealed by P.A. 100-188, eff. 1-1-18.)
(225 ILCS 454/5-27)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-27. Requirements for licensure as a broker.
(a) Every applicant for licensure as a broker must meet the following qualifications:
(1) Be at least 18 years of age;
(2) Be of good moral character;
(3) Successfully complete a 4-year course of study in     a high school or secondary school approved by the state in which the school is located, or possess a State of Illinois High School Diploma, which shall be verified under oath by the applicant;
(4) (Blank);
(5) Provide satisfactory evidence of having completed     75 hours of instruction in real estate courses approved by the Department, 15 hours of which must consist of situational and case studies presented in the classroom or by live, interactive webinar or online distance education courses;
(6) Personally take and pass a written examination     authorized by the Department;
(7) Present a valid application for issuance of a     license accompanied by the fees specified by rule.
(b) The requirements specified in items (3) and (5) of subsection (a) of this Section do not apply to applicants who are currently admitted to practice law by the Supreme Court of Illinois and are currently in active standing.
(c) No applicant shall engage in any of the activities covered by this Act until a valid sponsorship has been registered with the Department.
(d) All licenses should be readily available to the public at the licensee's place of business.
(e) An individual holding an active license as a managing broker may, upon written request to the Department, permanently and irrevocably place his or her managing broker license on inactive status and shall be issued a broker's license in exchange. Any individual obtaining a broker's license under this subsection (e) shall be considered as having obtained a broker's license by education and passing the required test and shall be treated as such in determining compliance with this Act.
(Source: P.A. 101-357, eff. 8-9-19; 102-1100, eff. 1-1-23.)
(225 ILCS 454/5-28)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-28. Requirements for licensure as a managing broker.
(a) Every applicant for licensure as a managing broker must meet the following qualifications:
(1) be at least 20 years of age;
(2) be of good moral character;
(3) have been licensed at least 2 consecutive years     out of the preceding 3 years as a broker;
(4) successfully complete a 4-year course of study in     high school or secondary school approved by the state in which the school is located, or a State of Illinois High School Diploma, which shall be verified under oath by the applicant;
(5) provide satisfactory evidence of having completed     at least 165 hours, 120 of which shall be those hours required pre-licensure and post-licensure to obtain a broker's license, and 45 additional hours completed within the year immediately preceding the filing of an application for a managing broker's license, which hours shall focus on brokerage administration and management and residential leasing agent management and include at least 15 hours in the classroom or by live, interactive webinar or online distance education courses;
(6) personally take and pass a written examination     authorized by the Department; and
(7) submit a valid application for issuance of a     license accompanied by the fees specified by rule.
(b) The requirements specified in item (5) of subsection (a) of this Section do not apply to applicants who are currently admitted to practice law by the Supreme Court of Illinois and are currently in active standing.
(Source: P.A. 101-357, eff. 8-9-19; 102-1100, eff. 1-1-23.)
(225 ILCS 454/5-29)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-29. Temporary practice as a designated managing broker. Upon the loss of a designated managing broker who is not replaced by the sponsoring broker or in the event of the death or disability of a self-sponsored managing broker, a written request for authorization allowing the continued operation of the office may be submitted to the Department within 15 days of the loss. The Department may issue a written authorization allowing the continued operation, provided that a licensed managing broker or, in the case of the death or disability of a self-sponsored managing broker, the representative of the estate, assumes responsibility, in writing, for the operation of the office and agrees to personally supervise the operation of the office.  No such written authorization shall be valid for more than 60 days unless extended by the Department for good cause shown and upon written request by the broker or representative.
(Source: P.A. 103-236, eff. 1-1-24.)
(225 ILCS 454/5-30)
Sec. 5-30. (Repealed).
(Source: P.A. 93-957, eff. 8-19-04. Repealed by P.A. 96-856, eff. 12-31-09.)
(225 ILCS 454/5-32)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-32. Real estate auction certification.
(a)  An auctioneer licensed under the Auction License Act who does not possess a valid and active broker's or managing broker's license under this Act, or who is not otherwise exempt from licensure, may not engage in the practice of auctioning real estate, except as provided in this Section.
(b)  The Department shall issue a real estate auction certification to applicants who:
(1)  possess a valid auctioneer's license under the     Auction License Act;
(2)  successfully complete a real estate auction     course of at least 30 hours approved by the Department, which shall cover the scope of activities that may be engaged in by a person holding a real estate auction certification and the activities for which a person must hold a real estate license, as well as other material as provided by the Department;
(3)  provide documentation of the completion of the     real estate auction course; and
(4) successfully complete any  other reasonable     requirements as provided by rule.
(c) The auctioneer's role shall be limited to establishing the time, place, and method of the real estate auction, placing advertisements regarding the auction, and crying or calling the auction; any other real estate brokerage activities must be performed by a person holding a valid and active broker's or managing broker's license under the provisions of this Act or by a person who is exempt from holding a license under paragraph (13) of Section 5-20 who has a certificate under this Section.
(d) An auctioneer who conducts any real estate auction activities in violation of this Section is guilty of unlicensed practice under Section 20-10 of this Act.
(e) The Department may revoke, suspend, or otherwise discipline the real estate auction certification of an auctioneer who is adjudicated to be in violation of the provisions of this Section or Section 20-15 of the Auction License Act.
(f) Advertising for the real estate auction must contain the name and address of the licensed broker, managing broker, or a licensed auctioneer under paragraph (13) of Section 5-20 of this Act who is providing brokerage services for the transaction.
(g)   The requirement to hold a real estate auction certification shall not apply to a person exempt from this Act under the provisions of paragraph (13) of Section 5-20 of this Act, unless that person is performing licensed activities in a transaction in which a licensed auctioneer with a real estate certification is providing the limited services provided for in subsection (c) of this Section.
(h)   Nothing in this Section shall require a person licensed under this Act as a broker or managing broker to obtain a real estate auction certification in order to auction real estate.
(i)   The Department may adopt rules to implement this Section.
(Source: P.A. 98-553, eff. 1-1-14; 98-756, eff. 7-16-14; 99-227, eff. 8-3-15.)
(225 ILCS 454/5-35)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-35. Examination; managing broker, broker, or residential leasing agent.
(a) The Department shall authorize examinations at such
times and places as it may designate.  The examination shall be of a character to give a fair test of the qualifications of the applicant to practice as a managing broker, broker, or residential leasing agent.   Applicants for examination as a managing broker, broker, or residential leasing agent shall be required to pay, either to the Department or the designated testing service, a  fee covering the cost of providing the examination.  Failure to appear for the examination on the scheduled date, at the time and place specified, after the applicant's application for examination has been received and acknowledged by the Department or its designated testing service, shall result in the forfeiture of the examination fee.
  An applicant shall be eligible to take the
examination only after
successfully completing the education requirements
and
attaining the
minimum age provided for in Article 5 of this Act.  Each applicant shall be required to
establish compliance with
the eligibility requirements in the manner provided by the rules
promulgated for
the administration of this Act.
(b) If a person who has received a passing score on the written examination
described in this Section fails to submit an application and meet all
requirements for a license
under this Act within
one year after receiving a passing score on the examination, credit for the
examination shall
terminate.  The person thereafter may make a new application for examination.
(c) If an applicant has failed an examination 4 consecutive times, the applicant must
repeat the pre-license
education required to sit for that examination.  For the purposes of this
Section, the fifth attempt
shall be the same as the first.  Approved education, as prescribed by this Act
for licensure as a
managing broker, broker, or residential leasing agent, shall be valid for 2
 years after the date of satisfactory completion of the education.
(d) The Department may employ consultants for the purposes of preparing and conducting examinations.
(Source: P.A. 101-357, eff. 8-9-19.)
(225 ILCS 454/5-40)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-40. Sponsorship; establishing and terminating sponsorship.
(a) The sponsoring broker shall notify the Department, in a manner prescribed by the Department, of each licensee employed by or associated with the sponsoring broker within 24 hours after establishing a sponsorship.
(b) When a licensee terminates his or her employment or association with a
sponsoring broker
or the employment is terminated by the sponsoring broker, the person or entity initiating the termination shall notify the Department, in a manner prescribed by the Department, of the termination within 24 hours.  Failure to timely notify the Department of the termination shall subject the person or entity initiating the termination to discipline under Section 20-20 of this Act.
The
license of any licensee
whose association with a sponsoring broker is terminated shall automatically
become inactive 
immediately upon the termination, and the licensee shall not be authorized to practice until a new valid sponsorship is registered with the Department.
(Source: P.A. 101-357, eff. 8-9-19.)
(225 ILCS 454/5-41)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-41. Licensee contact information. An applicant or licensee shall inform the Department of any change of address, email address, telephone number, or office location within 24 hours after any such change.  A licensee shall notify the Department of any such change either through the Department's website or by other means prescribed by the Department.
(Source: P.A. 101-357, eff. 8-9-19.)
(225 ILCS 454/5-45)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-45. Offices.
(a) If a sponsoring broker maintains more than one office within the State,
the sponsoring
broker shall notify the Department in a manner prescribed by the Department for each office other than the
sponsoring broker's
principal place of business.  The brokerage license shall be displayed
conspicuously in each
 office.  The name of each branch office shall be the same as that of the
sponsoring broker's
principal office or shall clearly delineate the office's relationship
with the principal office.
(b) The sponsoring broker shall name a designated managing broker for each
office and the
sponsoring broker shall be responsible for supervising all designated managing brokers.
The sponsoring
broker shall notify the Department in a manner prescribed by the Department of the name of all designated managing brokers of the
sponsoring broker and the office or offices they manage.
Any changes in designated managing brokers shall be reported to the Department in a manner prescribed by the Department within 15
days of the
change.  Failure to do so shall subject the sponsoring broker to discipline
under
Section 20-20 of this Act.
(c) The sponsoring broker shall, within 24 hours, notify the Department in a manner prescribed by the Department of any
opening, closing, or
change in location of any office.
(d) Except as provided in this Section, each sponsoring broker shall
maintain an office,
or place of business within this State for the transaction of real estate
business, shall conspicuously
display an identification sign on the outside of the physical office of adequate
size and visibility. Any record required by this Act to be created or maintained shall be, in the case of a physical record, securely stored and accessible for inspection by the Department at the sponsoring broker's principal office and, in the case of an electronic record, securely stored in the format in which it was originally generated, sent, or received and accessible for inspection by the Department by secure electronic access to the record. Any record relating to a transaction of a special account shall be maintained for a minimum of 5 years, and any electronic record shall be backed up at least monthly.  The office or place of business shall not be located in any
retail or financial business
establishment unless it is clearly separated from the other business and is situated within a
distinct area within
the establishment.
(e) A broker who is licensed in this State by examination or
pursuant to the
provisions of Section 5-60 of this Act shall not be required to maintain a
definite office or place of
business in this State provided all of the following conditions are met:
(1) the broker maintains an active broker's license     in the broker's state of domicile;
(2) the broker maintains an office in the broker's     state of domicile; and
(3) the broker has filed with the Department written     statements appointing the Secretary to act as the broker's agent upon whom all judicial and other process or legal notices directed to the licensee may be served and agreeing to abide by all of the provisions of this Act with respect to the broker's real estate activities within the State of Illinois and submitting to the jurisdiction of the Department.
The statements under subdivision (3) of this Section shall be in form and
substance the same as those
statements required
under Section 5-60 of this Act and shall operate to the same extent.
(f) The Department may adopt rules to regulate the operation of virtual offices that do not have a fixed location.
(Source: P.A. 101-357, eff. 8-9-19; 102-970, eff. 5-27-22.)
(225 ILCS 454/5-46)
Sec. 5-46. (Repealed).
(Source: P.A. 97-333, eff. 8-12-11. Repealed by P.A. 99-227, eff. 8-3-15.)
(225 ILCS 454/5-47)
Sec. 5-47. (Repealed).
(Source: P.A. 96-856, eff. 12-31-09. Repealed by P.A. 99-227, eff. 8-3-15.)
(225 ILCS 454/5-50)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-50. Expiration and renewal of managing broker, broker, or residential
leasing agent license; sponsoring broker;
register of licensees.
(a) The expiration date and renewal period for each license issued under
this Act shall be set by
rule.  Except as otherwise provided in this Section, the holder of
a
license may renew
the license within 90 days preceding the expiration date thereof by completing the continuing education required by this Act and paying the
fees specified by
rule.
(b) An individual whose first license is that of a broker received on or after the effective date of this amendatory Act of the 101st General Assembly, must provide evidence of having completed 45 hours of post-license education presented in a classroom or  a live, interactive webinar, or online distance education course, and which shall require passage of a final examination.
The Board may recommend, and the Department shall approve, 45 hours of post-license education, consisting of three 15-hour post-license courses, one each that covers applied brokerage principles, risk management/discipline, and transactional issues.  Each of the courses shall require its own 50-question final examination, which shall be administered by the education provider that delivers the course.
Individuals whose first license is that of a broker received on or after the effective date of this amendatory Act of the 101st General Assembly, must complete all three 15-hour courses and successfully pass a course final examination for each course prior to the date of the next broker renewal deadline, except for those individuals who receive their first license within the 180 days preceding the next broker renewal deadline, who must complete all three 15-hour courses and successfully pass a course final examination for each course prior to the second broker renewal deadline that follows the receipt of their license.
(c) Any managing broker, broker, or residential leasing agent whose license under this Act has expired shall be eligible to renew the license during the 2-year period following the expiration date, provided the managing broker, broker, or residential leasing agent pays the fees as prescribed by rule and completes continuing education and other requirements provided for by the Act or by rule. A managing broker, broker, or residential leasing agent whose license has been expired for more than 2 years but less than 5 years may have it restored by (i) applying to the Department, (ii) paying the required fee, (iii) completing the continuing education requirements for the most recent term of licensure that ended prior to the date of the application for reinstatement, and (iv) filing acceptable proof of fitness to have the license restored, as set by rule.   A managing broker, broker, or residential leasing agent whose license has been expired for more than 5 years shall be required to meet the requirements for a new license.
(d) Notwithstanding any other provisions of this Act to the contrary, any managing broker, broker, or residential leasing agent whose license expired while the licensee was (i) on active duty with the Armed Forces of the United States or called into service or training by the state militia,  (ii) engaged in training or education under the supervision of the United States preliminary to induction into military service, or (iii) serving as the Coordinator of Real Estate in the State of Illinois or as an employee of the Department may have the license renewed, reinstated or restored without paying any lapsed renewal fees, and without completing the continuing education requirements for that licensure period if within 2 years after the termination of the service, training or education the licensee furnishes the Department with satisfactory evidence of service, training, or education and termination under honorable conditions.
(e) Each licensee shall carry on one's person the license or an electronic version thereof.
(f) The Department shall provide to the sponsoring broker a notice of renewal for all sponsored licensees by mailing the notice to the sponsoring broker's address of record, or, at the Department's discretion, emailing the notice to the sponsoring broker's email address of record.
(g) Upon request from the sponsoring broker, the Department shall make available to the sponsoring broker, by electronic means at the discretion of the Department, a listing of licensees under this Act who, according to the records of the Department, are sponsored by that broker.  Every licensee associated with or employed by a broker whose license is revoked, suspended, or expired shall be considered inactive until such time as the sponsoring broker's license is reinstated or renewed, or a new valid sponsorship is registered with the Department as set forth in subsection (b) of Section 5-40 of this Act.
(h) The Department shall not issue or renew a license if the applicant or licensee has an unpaid fine or fee from a disciplinary matter or from a non-disciplinary action imposed by the Department until the fine or fee is paid to the Department or the applicant or licensee has entered into a payment plan and is current on the required payments.
(i)  The Department shall not issue or renew a license if the applicant or licensee has an unpaid fine or civil penalty imposed by the Department for unlicensed practice until the fine or civil penalty is paid to the Department or the applicant or licensee has entered into a payment plan and is current on the required payments.
(Source: P.A. 102-970, eff. 5-27-22; 103-236, eff. 1-1-24.)
(225 ILCS 454/5-55)
Sec. 5-55. (Repealed).
(Source: P.A. 91-245, eff. 12-31-99. Repealed by P.A. 96-856, eff. 12-31-09.)
(225 ILCS 454/5-60)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-60. Managing broker licensed in another state; broker licensed in another state;
reciprocal agreements; agent
for service
of process.
(a) A managing broker's license may be issued by the Department to a managing broker or its equivalent licensed under the laws of another state of the United States, under the following conditions:
(1) the managing broker holds a managing broker's     license in a state that has entered into a reciprocal agreement with the Department;
(2) the standards for that state for licensing as a     managing broker are substantially equal to or greater than the minimum standards in the State of Illinois;
(3) the managing broker has been actively practicing     as a managing broker in the managing broker's state of licensure for a period of not less than 2 years, immediately prior to the date of application;
(4) the managing broker furnishes the Department with     a statement under seal of the proper licensing authority of the state in which the managing broker is licensed showing that the managing broker has an active managing broker's license, that the managing broker is in good standing, and any disciplinary action taken against the managing broker in that state;
(5) the managing broker passes a test on Illinois     specific real estate brokerage laws; and
(6) the managing broker was licensed by an     examination in the state that has entered into a reciprocal agreement with the Department.
(b) A broker's license may be issued by the Department to a broker or its equivalent licensed under the
laws of another
state of the United States, under the following conditions:
(1) the broker holds a broker's license in a state     that has entered into a reciprocal agreement with the Department;
(2) the standards for that state for licensing as a     broker are substantially equivalent to or greater than the minimum standards in the State of Illinois;
(3) (blank);
(4) the broker furnishes the Department with a     statement under seal of the proper licensing authority of the state in which the broker is licensed showing that the broker has an active broker's license, that the broker is in good standing, and any disciplinary action taken  against the broker in that state;
(5) the broker passes a test on Illinois specific     real estate brokerage laws; and
(6) the broker was licensed by an examination in a     state that has entered into a reciprocal agreement with the Department.
(c) (Blank).
(d) As a condition precedent to the issuance of a license to a managing broker
or broker pursuant to this Section,
the managing broker or broker shall agree in writing to abide by all the provisions
of this Act with
respect to real estate activities within the State of Illinois and
submit to the jurisdiction of the Department
 as provided in this Act.  The agreement shall be filed with the Department and shall
remain in force
for so long as the managing broker or broker is licensed by this State
and thereafter with
respect to acts or omissions committed while licensed as a managing broker or
broker in this State.
(e) Prior to the issuance of any license to any managing broker or broker pursuant to this Section, verification of
active licensure issued
for the conduct of such business in any other state must be filed with the Department by
the managing broker or broker,
and the same fees must be paid as provided in this Act for the obtaining of a
managing broker's or broker's license in this State.
(f) Licenses previously granted under reciprocal agreements with other
states shall remain in
force so long as the Department has a reciprocal agreement with the state that includes
the requirements of this Section, unless
that license is suspended, revoked, or terminated by the Department for any reason
provided for
suspension, revocation, or
termination of a resident licensee's license.  Licenses granted under
reciprocal agreements may be
renewed in the same manner as a resident's license.
(g) Prior to the issuance of a license to a nonresident managing broker or broker, the managing broker or broker shall file with the Department, in a manner prescribed by the Department, a designation in writing that appoints the Secretary
 to act as
 agent upon whom all judicial and other process or legal notices
directed to the managing broker or broker may be served.  Service upon the agent so designated shall be
equivalent to personal
service upon the licensee.  Copies of the appointment, certified by the Secretary, shall be
deemed sufficient evidence thereof and shall be admitted in evidence with the
same force and effect
as the original thereof might be admitted.  In the written designation, the managing broker
or broker
shall agree that any lawful process against the licensee that is served upon
the agent shall be of
the same legal force and validity as if served upon the licensee and that the
authority shall continue
in force so long as any liability remains outstanding in this State.  Upon the
receipt of any process or notice, the Secretary
shall forthwith deliver a copy of the same by regular mail or email to the last known
business address or email address of the
licensee.
(h) Any person holding a valid license under this Section shall be eligible
to obtain a managing broker's license or a
broker's license without examination should that person change
their state of
domicile to Illinois and that person otherwise meets the qualifications for
licensure under this Act.
(Source: P.A. 103-236, eff. 1-1-24.)
(225 ILCS 454/5-65)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-65. Fees. The Department shall provide by rule for fees to be paid by applicants and licensees to
cover the reasonable
costs of the Department in administering and enforcing the provisions of this Act.  The Department 
may also provide
by rule for general fees to cover the reasonable expenses of carrying out other
functions and
responsibilities under this Act.
(Source: P.A. 96-856, eff. 12-31-09.)
(225 ILCS 454/5-70)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-70. Continuing education requirement; managing broker or broker.
(a) The requirements of this Section apply to all managing brokers and brokers.
(b) Except as otherwise
provided in this Section, each
person who applies for renewal of a license as a managing broker or broker must successfully complete 12 hours of real estate continuing education
courses recommended by the Board and approved by
the Department during the current term of the license.  In addition, those licensees renewing or obtaining a managing broker's license must successfully complete a 12-hour broker management continuing education course approved by the Department during the current term of the license.  The broker management continuing education course must be completed in the classroom or through a live, interactive webinar or online distance education format. No
license may be renewed
except upon the successful completion of the required courses or their
equivalent or upon a waiver
of those requirements for good cause shown as determined by the Secretary upon
 the
recommendation of the Board.
The requirements of this Article are applicable to all managing brokers and brokers
except those managing brokers
and brokers who, during the current term of licensure:
(1) serve in the armed services of the United States;
(2) serve as an elected State or federal official;
(3) serve as a full-time employee of the Department;     or
(4) are admitted to practice law pursuant to Illinois     Supreme Court rule.
(c) (Blank).
(d) A
person receiving an initial license
during the 90 days before the renewal date shall not be
required to complete the continuing
education courses provided for in subsection (b) of this
Section as a condition of initial license renewal.
(e) The continuing education requirement for brokers and managing brokers shall
consist of a single core
curriculum and an elective curriculum, to be recommended by the Board and approved by the Department in accordance with this subsection. The core curriculum shall not be further divided into subcategories or divisions of instruction. The core curriculum shall consist of 4 hours during the current term of the license on subjects that may include, but are not limited to, advertising, agency, disclosures, escrow, fair housing, residential leasing agent management, and license law. The amount of time allotted to each of these subjects shall be recommended by the Board and determined by the Department. The Department, upon the recommendation of the Board, shall review the core curriculum every 4 years, at a minimum, and shall revise the curriculum if necessary. However, the core curriculum's total hourly requirement shall only be subject to change by amendment of this subsection, and any change to the core curriculum shall not be effective for a period of 6 months after such change is made by the Department. The Department shall provide notice to all approved education providers of any changes to the core curriculum. When determining whether revisions of the core curriculum's subjects or specific time requirements are necessary, the Board shall consider
 recent changes in applicable laws, new laws, and areas
of the license law and the Department policy that the Board deems appropriate,
and any other subject
areas the Board deems timely and applicable in order to prevent
violations of this Act
and to protect the public.
In establishing a recommendation to the Department regarding the elective curriculum, the Board shall consider
subjects that cover
the various aspects of the practice of real estate that are covered under the
scope of this Act.
(f) The subject areas of continuing education courses recommended by the Board and approved by the Department shall be meant to protect the professionalism of the industry, the consumer, and the public and prevent violations of this Act and
 may
include without limitation the following:
(1) license law and escrow;
(2) antitrust;
(3) fair housing;
(4) agency;
(5) appraisal;
(6) property management;
(7) residential brokerage;
(8) farm property management;
(9) transaction management rights and duties of     parties in a transaction;
(10) commercial brokerage and leasing;
(11) real estate financing;
(12) disclosures;
(13) residential leasing agent management;
(14) advertising;
(15)   broker supervision and designated managing     broker responsibility;
(16)   professional conduct; and
(17)   use of technology.
(g) In lieu of credit for those courses listed in subsection (f) of this
Section, credit may be
earned for serving as a licensed instructor in an approved course of continuing
education.  The
amount of credit earned for teaching a course shall be the amount of continuing
education credit for
which the course is approved for licensees taking the course.
(h) Credit hours may be earned for self-study programs approved by the Department.
(i) A managing broker or broker may earn credit for a specific continuing
education course only
once during the current term of the license.
(j) No more than 12 hours of continuing education credit may be taken in one
calendar day.
(k) To promote the offering of a uniform and consistent course content, the Department may provide for the development of a single broker management course to be offered by all education providers who choose to offer the broker management continuing education course.  The Department may contract for the development of the 12-hour broker management continuing education course with an outside vendor or consultant and, if the course is developed in this manner, the Department or the outside consultant shall license the use of that course to all approved education providers who wish to provide the course.
(l) Except as specifically provided in this Act, continuing education credit hours may not be earned for completion of pre-license or post-license courses.  The courses comprising the approved 45-hour post-license curriculum for broker licensees shall satisfy the continuing education requirement for the initial broker license term.  The approved 45-hour managing broker pre-license brokerage administration and management course shall satisfy the 12-hour broker management continuing education requirement for the initial managing broker license term.
(Source: P.A. 101-357, eff. 8-9-19; 102-970, eff. 5-27-22.)
(225 ILCS 454/5-75)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-75. Out-of-state continuing education credit. If a renewal applicant has earned continuing education hours in another state
or territory for which the applicant
 is claiming credit toward full compliance in Illinois, the Department may
approve those hours based upon whether the course is one that
would be approved
under Section 5-70 of this Act, whether the course meets the basic requirements
for
continuing education under
this Act, and any other criteria that are provided by statute or rule.
(Source: P.A. 103-236, eff. 1-1-24.)
(225 ILCS 454/5-80)
(Section scheduled to be repealed on January 1, 2030)
Sec. 5-80. Evidence of compliance with continuing education requirements.
(a) Each renewal applicant shall certify, on his or her renewal application,
full compliance with
continuing education requirements set forth in Section 5-70.  The 
education provider shall
retain and submit to the Department after the completion of each course evidence of those
successfully
completing the course as provided by rule.
(b) The Department may require additional evidence demonstrating compliance with the
continuing
education requirements.  The renewal applicant shall retain and produce the
evidence of
compliance upon request of the Department.
(Source: P.A. 100-188, eff. 1-1-18.)
(225 ILCS 454/5-85)
Sec. 5-85. (Repealed).
(Source: P.A. 96-856, eff. 12-31-09. Repealed by P.A. 100-188, eff. 1-1-18.)