reglab/statecodes huggingface dataset:
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-06 - Offer to purchase

Current through Supplement No. 393, July, 2024
A licensee shall promptly tender to the seller every written
				  offer to purchase obtained on the property involved and, upon obtaining a
				  proper acceptance of the offer to purchase, shall promptly deliver true
				  executed copies of same, signed by the seller and purchaser, to both seller and
				  purchaser. All licensees shall make certain that all of the terms and
				  conditions of the real estate transaction are included in the offer to
				  purchase. Licensees shall also make certain that any changes in the text of the
				  offer made by the seller are agreed to and initiated by the offeror in the
				  first place before proceeding with the transaction. If any changes made are
				  material or extensive, the entire offer or contract should be rewritten.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-11.1(1)
Law Implemented:
NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-07 - Closing statements

Current through Supplement No. 393, July, 2024
In every real estate sales transaction wherein the closing is
				  handled by an attorney, bank, or similarly recognized individual or group other
				  than a real estate broker, it shall be the responsibility of the broker
				  involved to see the party or parties represented by the broker receive a
				  complete, detailed closing statement showing all of the receipts and
				  disbursements handled in such transaction. The broker must retain true copies
				  of such statements for the represented party or parties in the broker's
				  files.
General Authority:
NDCC 28-32-02,
					 43-23-08
Law Implemented:
NDCC
					 43-23-11.1(1)(o)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-08 - Legal advice

Current through Supplement No. 393, July, 2024
No licensee should engage in activities that constitute the
				  practice of law and should recommend that title be examined and legal counsel
				  be obtained when the interest of either party requires it.
General Authority:
NDCC
				  43-23-11.1(1)
Law Implemented:
NDCC
				  43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-09 - Use of false or misleading documents

Current through Supplement No. 393, July, 2024
Any licensee who uses, proposes the use of, agrees to the use
				  of, or knowingly permits the use of any contract of sale, earnest money
				  agreement, loan application, mortgage, note, or other document, which is not
				  made known to the prospective lender or the loan guarantor, to enable the
				  purchaser to obtain a larger loan than the true sales price would allow, or to
				  enable the purchaser to qualify for a loan which the purchaser otherwise could
				  not obtain, shall be deemed to have engaged in a course of misconduct
				  permitting suspension or revocation of the broker's or salesperson's license or
				  assessment of fines.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-11.1(1)
Law Implemented:
NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-10 - For sale signs

Current through Supplement No. 393, July, 2024
No signs shall be placed on any property for its sale or
				  lease without the consent of the owner, or the owner's duly authorized agent.
General Authority: NDCC
					 28-32-02
Law Implemented: NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-11 - Negotiate listings

Current through Supplement No. 393, July, 2024
A real estate licensee shall not negotiate a sale, exchange,
				  lease, or listing contract of real property directly with an owner for
				  compensation from the owner or a purchase, exchange, lease, or exclusive right
				  to buy contract with a buyer, if the licensee knows that the owner or the buyer
				  has a written unexpired contract in connection with the property which grants
				  an exclusive right to sell to another broker, or which grants an exclusive
				  agency, or an exclusive right to buy, to another broker. This section does not
				  preclude a licensee from entering into an agency contract with an owner or a
				  buyer who is a party to an existing agency contract when the contact
				  culminating in such a contract is initiated by the owner or buyer, and not by
				  the licensee, and provided that such agency contract does not become effective
				  until after the expiration or release of any existing agency contract.
General Authority: NDCC
					 43-23-11.1(1)
Law Implemented: NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-12 - Refund of purchaser's money

Current through Supplement No. 393, July, 2024
When for any reason the owner fails, refuses, neglects, or is
				  unable to consummate the transaction as provided for in the contract, and
				  through no fault or neglect of the purchaser the real estate transaction cannot
				  be completed, the broker has no right to any portion of the deposit money which
				  was deposited by the purchaser, even though the commission is earned, and such
				  deposit should be returned to the purchaser at once and the broker should look
				  to the owner for the broker's compensation.
General Authority:
NDCC
				  43-23-11.1(1)
Law Implemented:
NDCC
				  43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-13 - Personal interest

Current through Supplement No. 393, July, 2024
1. A broker shall
				not, either directly or indirectly, buy for oneself property listed with the
				broker or as to which the broker has been approached by the owner to act as
				broker, nor shall the broker acquire interest in any other property therein,
				either directly or indirectly, without first making the broker's true position
				clearly known to the owner. Satisfactory written proof of this fact must be
				produced by the broker upon a request.
2. A broker shall not take an option to
				oneself, either directly or indirectly, upon property for the sale of which the
				broker has been approached by the owner to act as a broker, without first
				making the broker's true position clearly known that the broker is now acting
				as a prospective buyer and is no longer acting as a broker or agent for the
				owner. Satisfactory proof of this must be produced by the broker upon
				request.
3. A salesperson shall not
				buy for oneself, either directly or indirectly, property listed with the
				salesperson's broker, nor shall the salesperson acquire interest in any other
				property, either directly or indirectly, without first making the salesperson's
				true position clearly known to the owner, nor shall the salesperson take an
				option unto oneself from any such owner or to anyone on the salesperson's
				behalf upon any property without first making the salesperson's position known.
				Satisfactory written proof of these facts must be produced by the salesperson
				on request.
4. A real estate broker
				or salesperson who sells property in which the broker or salesperson owns an
				interest must make such interest known to the purchaser.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-11.1(1)
Law Implemented:
NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-14 - Accepting nonnegotiable instruments

Current through Supplement No. 393, July, 2024
A broker or salesperson shall not accept any note or any
				  nonnegotiable instrument or anything of value not readily negotiable as a
				  deposit on a contract or offer to purchase without the knowledge and permission
				  of the broker's or salesperson's principal.
General Authority: NDCC
					 43-23-11.1(1)
Law Implemented: NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-15 - Agency disclosure required

Current through Supplement No. 393, July, 2024
In all real estate transactions the licensee is the agent of
				  the seller unless all parties otherwise agree in writing. The agency
				  relationship must be disclosed in writing to the parties before the signing of
				  a written contractual agreement. The disclosure language must state at least
				  the following information in substantially this form:
"I ___________________, a real estate licensee, stipulate
				  that I am representing the___________________(Buyer/Seller) in this
				  transaction.
_______________________________________
Licensee"
Each licensee in the transaction shall make such a
				  disclosure.
This section applies only to transactions involving
				  agricultural and commercial property, residential property that provides
				  separate dwelling units for five or more families, and commercial leaseholds.
				  Residential property that provides separate dwelling units for one through four
				  families is subject to the agency disclosure requirement of section
				  70-02-03-15.1.
General Authority: NDCC
					 28-32-02
Law Implemented: NDCC
					 43-23-05
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-15.1 - Licensee to disclose agency relationships - Duty of confidentiality

Current through Supplement No. 393, July, 2024
1. As used in this section, unless the
				context or subject matter otherwise requires:
a. "Dual agency" means a situation in which a
				licensee owes a duty to more than one party to the real estate transaction.
				Dual agency is established as follows:
(1)
				When one licensee represents both the buyer and the seller in a real estate
				transaction; or
(2) When two or
				more licensees, licensed to the same broker, each represent a party to the real
				estate transaction.
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-15.2 - Licensee to disclose nonagency relationship

Current through Supplement No. 393, July, 2024
In all real estate transactions in which the licensee
				  performs services for a customer, as that term is defined by North Dakota
				  Century Code section
				  43-23-06.1, the licensee must
				  disclose the nonagency relationship in writing to the customer. This document
				  must be signed by the customer prior to the licensee performing any services
				  for the customer. A copy of the signed written disclosure must be retained in
				  the broker's file. The written disclosure must explain that as to a customer
				  the real estate brokerage firm and its licensees are nonagents that owe to the
				  customer only limited legal duties. These limited legal duties are to perform
				  the customary acts typically performed by real estate licensees in assisting a
				  transaction to the transaction's closing or conclusion with honesty and good
				  faith and to disclose to the customer any adverse material facts actually known
				  by the licensee which pertain to the title of the real property, the physical
				  condition of the real property, and defects in the real property. The real
				  estate brokerage firm and its licensees do not owe the agency duties of
				  loyalty, obedience, disclosure, confidentiality, reasonable care, diligence,
				  and accounting to the customer. The disclosure must also explain that if the
				  brokerage firm and its licensees represent another party in the same real
				  estate transaction, the licensee is required to place the interest of the
				  represented client first.
General Authority: NDCC
					 28-32-02
Law Implemented: NDCC
					 43-23-05
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-16 - Licensee acting in own behalf to set forth terms and conditions and make disclosure

Current through Supplement No. 393, July, 2024
A broker or salesperson acting in his own behalf shall
				  disclose his licensed status in writing to any person with whom he purchases,
				  sells, exchanges, or options real property. All the terms and conditions of the
				  transaction as agreed upon must be in writing, properly executed, and a copy
				  furnished to such person. Copies of the disclosure of his licensed status and
				  of the documents containing the terms and conditions of the transaction must be
				  retained by the broker or salesperson and made available to the commission upon
				  request.
General Authority: NDCC
					 43-23-11.1(1)
Law Implemented: NDCC
					 43-23-11.1(1)
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-03 - Licensee Responsibilities › Section 70-02-03-17 - Designated broker - Appointed agent

Current through Supplement No. 393, July, 2024
1.
Appointed agent procedures and disclosure.
a. A designated broker appointing a licensee
				to act as an agent of a client shall take ordinary and necessary care to
				protect confidential information disclosed by the client to the appointed
				agent.
b. An appointed agent may
				reveal to the agency's designated broker confidential information of a client
				for seeking advice or assistance for the benefit of the client about a possible
				transaction. The designated broker shall treat confidential information as such
				and may not disclose such information unless otherwise requested or permitted
				by the client who originally disclosed the confidential information.
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-01 - Continuing education defined

Current through Supplement No. 393, July, 2024
As used in this chapter, continuing education, unless the
				  context otherwise requires, means education in areas related to real estate,
				  which has been approved by the commission, to maintain and improve the
				  professional skills and upgrade the standard of all real estate licensees, and
				  to qualify for license activation and renewal.
The commission considers courses in the following areas to be
				  acceptable, but not limited to, when considering approval:
1. Real estate ethics;
2. Legislative issues that influence real
				estate practice;
3. The
				administration of licensing provisions of real estate law and the rules,
				including compliance and regulatory practices;
4. Real estate financing, including mortgages
				and other financing techniques;
5.
				Real estate market measurement and evaluation, including site evaluations,
				market data, and feasibility studies;
6. Real estate brokerage administration,
				including office management, trust accounts, and employee contracts;
7. Real property management, including
				leasing agreements, accounting procedures, and management contracts;
8. Real property exchange;
9. Land use planning and zoning;
10. Real estate securities and
				syndication;
11. Estate building
				and portfolio management;
12.
				Accounting and taxation as applied to real property;
13. Land development;
14. Real estate appraising;
15. Real estate marketing
				procedures;
16. Marketing business
				opportunities;
17. Business courses
				which relate to the practice of real estate;
18. Agency representation; and
19. Contracts.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-02 - Hours required

Current through Supplement No. 393, July, 2024
To qualify for the renewal of a real estate license, each
				  broker or salesperson must complete twelve hours of continuing education in
				  approved courses every continuing education period. The continuing education
				  period is twelve months preceding the renewal application deadline date. The
				  commission may require that a portion or all of the continuing education hours
				  must be in one or more specific areas for salespersons or brokers. Such areas
				  may include the following:
1. Fair
				housing and antitrust.
2.
				Environmental issues.
3. License
				law and ethics.
4. Agency law and
				principles.
5. Contracts.
General Authority:
NDCC 28-32-02, 43-23-08(6),
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-03 - Hour defined

Current through Supplement No. 393, July, 2024
An hour of continuing education is fifty minutes. Time spent
				  on breaks does not count toward the fifty-minute hour.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-04 - Exceptions and extensions

Current through Supplement No. 393, July, 2024
The commission may make exceptions and grant extensions for
				  continuing education as follows:
1.
				For reasons of health, military service, or other good cause if adequate proof
				is provided to the commission; and
2. A nonresident licensee is exempted from
				the continuing education requirements if the licensee meets the real estate
				licensing requirements in the state of the licensee's residence.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-05 - Nonqualifying courses

Current through Supplement No. 393, July, 2024
The following courses will not be considered as qualifying
				  for continuing education purposes:
1.
				Courses in general office and business skills, such as report writing.
2. Sales promotion or other
				meetings held in conjunction with the general business of the licensee's
				broker.
3. Any course certified by
				the use of a challenge examination. All students must complete the required
				number of classroom hours in order to receive credit.
The listing of the above courses does not limit the
				  commission's authority to disapprove any application which fails to meet the
				  standards for course approval.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-06 - Criteria for course approval

Current through Supplement No. 393, July, 2024
The commission may approve education provided by a course
				  sponsor, such as the commission, a public or private school, organization,
				  association, person, corporation, society, or similar organization. The
				  commission, when acting on an application for approval of a course, will
				  consider the following criteria:
1.
				Courses will be eligible for approval only if the total instruction time is two
				hours or more.
2. A course sponsor
				shall certify to the best of its knowledge the attendance of each student at
				the offering. The course sponsor's criteria for measuring attendance shall be
				submitted in the application for course approval.
3. The course sponsor shall maintain, for a
				minimum of three years, records of students successfully completing any course
				.
4. Credit is earned based on
				in-person or virtual attendance or completion of online-only asynchronous
				courses.
5. Each course shall have
				a coordinator supervising the program.
6. All instructors in a real estate course
				shall complete and submit an instructor application for each course before
				teaching the course. Instructors must meet at least one of the following
				qualifications:
a. A bachelor's degree in the
				field in which the person is to teach.
b. A valid teaching credential or certificate
				from North Dakota or another state authorizing the holder to teach in the field
				of instruction being offered.
c.
				Five years' full-time experience in a profession, trade, or technical
				occupation in the applicable field.
d. Any combination of at least five years of
				full-time applicable field and college level education.
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-07 - Application for approval of courses

Current through Supplement No. 393, July, 2024
A course sponsor shall apply for approval of courses in a
				  form prescribed by the commission. The application form shall include:
1. The name, address, telephone number, and
				website of the ourse sponsor.
2.
				The name and electronic mail address of the course coordinator.
3. The title of the course.
4. A description, copies, or examples of all
				materials to be distributed to the participants.
5. The date and exact location of the course
				.
6. The duration and time of
				course.
7. A comprehensive,
				detailed outline of the subject matter together with the time sequence of each
				segment, faculty for each segment, and teaching technique used in each
				segment.
8. A sample of any
				proposed advertising used for promotional purposes.
9. The method of evaluation of the
				program.
10. The procedure for
				measuring attendance.
11. An
				instructor application for each instructor.
12. A fee not to exceed one hundred dollars
				per course.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-08 - Filing deadline for course approvals

Current through Supplement No. 393, July, 2024
Application for course approvals must be filed thirty days
				  preceding the proposed public offering.
General Authority: NDCC
					 43-23-08.2
Law Implemented: NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-09 - Application for post course approval

Current through Supplement No. 393, July, 2024
A course sponsor may seek approval of a course subsequent to
				  a course offering by submitting all information requested on the commission's
				  application forms.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-10 - Material change

Current through Supplement No. 393, July, 2024
The course coordinator or instructor of each approved real
				  estate offering shall promptly notify the commission of any material changes
				  contained in the application for approval or attached exhibits. Changes shall
				  be deemed acceptable to the commission if no action has been taken after
				  fourteen days from the date received by the commission.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-11 - Suspension, revocation, or denial of course approval

Current through Supplement No. 393, July, 2024
The commission may deny, suspend, or revoke approval of a
				  real estate course, coordinator, or instructor if it is determined that it is
				  not in compliance with the statute or rules and regulations. If disciplinary
				  action is taken a written order of suspension, revocation, or denial of
				  approval will be issued.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-13 - Substantively identical courses

Current through Supplement No. 393, July, 2024
Courses may not be taken for continuing education more than
				  once during any continuing education period, unless material has been
				  significantly changed, or updated, or both.
General Authority: NDCC
					 28-32-02,
					 43-23-08(6)
Law Implemented: NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-14

Current through Supplement No. 393, July, 2024
General Authority:
NDCC
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-15 - Exemptions from continuing education requirement

Current through Supplement No. 393, July, 2024
Any salesperson who completed the prerequisite ninety hours
				  of course of study to obtain a license is exempt from the continuing education
				  requirement for the first license renewal. Any broker, upon successful
				  completion of the real estate broker licensing examination is exempt from the
				  continuing education requirement for only the continuing education period
				  during which the broker applicant successfully completed said
				  examination.
General Authority:
NDCC 28-32-02, 43-23-08(6),
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-16 - Service as an instructor

Current through Supplement No. 393, July, 2024
Instructors who are licensees may request one-hour credit
				  for every hour as an instructor of a unique course, not to exceed fifty percent
				  of the continuing education requirement for any continuation education period
				  and not to replace any mandatory continuing education requirement. Requests for
				  credit must be accompanied by an outline of the instruction and be submitted
				  before a licensee renews their license. The commission may disapprove a
				  request.
General Authority:
NDCC 28-32-02, 43-23-08(6),
					 43-23-08.2
Law Implemented:
NDCC 43-23-08,
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-17 - Responsibilities of course sponsors

Current through Supplement No. 393, July, 2024
In addition to other responsibilities imposed on course
				  sponsors, they must comply with the following:
1. Disclose to prospective participants the
				prerequisites, course content, and number of continuing education hours in the
				program.
2. Selection and review of
				instructors. The program sponsor or coordinator has the obligation for
				selecting and assigning qualified instructors for the continuing education
				program. Sponsors are required to evaluate the performance of the instructors
				at the conclusion of each program to determine their suitability for continuing
				to serve as instructors in the future.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-19 - Certificate of accreditation

Current through Supplement No. 393, July, 2024
A certificate of accreditation shall be granted for each
				  course of study approved by the commission. This certificate shall remain valid
				  for a two-year period at which time the course will be reviewed and, if
				  approved, will continue valid for the next two-year period unless suspended or
				  revoked.
General Authority: NDCC
					 43-23-08.2
Law Implemented: NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-20 - Inspections

Current through Supplement No. 393, July, 2024
By applying for the commission's approval of any course in
				  real estate, the sponsor or coordinator agrees to permit periodic inspections,
				  audits, and monitoring by the commission or its authorized representative for
				  the purpose of evaluating facilities, course content, instructor performance,
				  or any other relevant aspect of the administration and conduct of such
				  course.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-21 - Continuing education certificate of completion

Current through Supplement No. 393, July, 2024
All course sponsors shall provide an individual certificate
				  of completion to each licensee upon completion of the course under the
				  following conditions:
1. No
				certificate of completion shall be issued to a licensee who is absent for more
				than ten percent of the classroom hours.
2. The certificate shall contain information
				as to the licensee's name, course title, course number, date, location of
				course, number of approved credit hours, and course sponsor or
				instructor.
3. The licensee shall
				retain the certificate. The responsibility for recordkeeping will remain with
				the licensee.
4. The North Dakota
				real estate commission shall not be required to maintain a list of licensees
				and their completed courses of education.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-04 - Continuing Education › Section 70-02-04-22 - Online-only asynchronous education courses must be certified and approved

Current through Supplement No. 393, July, 2024
1. Courses offered online only and in an
				asynchronous format must be certified by the association of real estate license
				law officials, and approved by the commission. The commission may waive the
				certification by the association of real estate license law officials. A
				student must complete the distance education course within one year of the date
				of enrollment.
2. Courses which are
				presently certified by the association of real estate license law officials
				must be approved under this rule upon provision of appropriate documentation
				that the certification by the association of real estate license law officials
				is in effect and that the course meets the content requirements and any other
				requirements of the commission. Approval under this subsection must cease
				immediately if the certification by the association of real estate license law
				officials is discontinued for any reason.
General Authority:
NDCC 28-32-02, 43-23-08,
					 43-23-08.2
Law Implemented:
NDCC
					 43-23-08.2
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-01 - Definitions

Current through Supplement No. 393, July, 2024
When used in this chapter, unless the context otherwise
				  requires:
1. "Aggregate limit" means a
				provision in an insurance contract limiting the maximum liability of an insurer
				for a series of losses in a given time period, such as the policy
				term.
2. "Equivalent coverage"
				means coverage obtained independently of the group plan available from the
				commission and subject to the terms and conditions as set forth in this
				chapter.
3. "Extended reporting
				period" means a designated period of time after a claims-made policy has
				expired during which a claim may be made and coverage triggered as if the claim
				has been made during the policy period.
4. "Licensee" means any active individual
				broker, broker associate, or salesperson.
5. "Prior acts coverage" means claims that
				are made during a current policy period, but the act or acts causing the claim
				or injuries for which the claim is made occurred prior to the inception of the
				current policy period.
6. "Proof of
				coverage" means the group plan carrier has submitted to the commission a list
				of all policyholders, or a licensee has submitted to the commission a
				certificate of equivalent coverage with a list of all licensees covered by the
				policy on a form prescribed by the commission.
7. "Qualified insurance carrier" means an
				insurance carrier:
a. Which for the entire
				term of its contract shall provide the group plan of errors and omissions
				insurance contemplated by these rules, maintains an A.M. Best financial size
				category of class VI or higher;
b.
				Which shall remain for the policy term authorized by the North Dakota insurance
				department to do business in North Dakota as an insurance carrier;
c. Which is and will remain for the policy
				term qualified and authorized by the North Dakota insurance department to write
				policies of errors and omissions insurance in North Dakota of the type
				contemplated by these rules;
d.
				Which, after competitive bidding, has been notified by the commission that it
				is the successful bidder for the group plan to provide the errors and omissions
				insurance contemplated by these rules; and
e. Which has entered into a contract to
				provide said group errors and omissions plan in conformity with said contract,
				these rules, and the North Dakota license law.
The insurance carrier will collect premiums, maintain
				  records, and report names of those insured and a record of claims to the
				  commission on a timely basis and at no cost to the state.
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-02 - Insurance required

Current through Supplement No. 393, July, 2024
An applicant for issuance of a license on active status, a
				  licensee renewing a license, or an inactive licensee activating a license must
				  submit proof of insurance coverage through the group plan or through
				  certification of equivalent coverage.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-03 - Minimum standards

Current through Supplement No. 393, July, 2024
The group policy obtained by the commission shall provide to
				  each individual licensee, at a minimum, the following terms of coverage:
1. Not less than one hundred thousand
				dollars single-limit liability coverage for each licensee per occurrence or
				claim made, not including costs for investigation or defense;
2. An annual aggregate limit of not less than
				five hundred thousand dollars per licensee;
3. A deductible amount for each occurrence of
				not more than one thousand dollars for single-limit liability coverage and one
				thousand dollars maximum additional deductible for defense and investigation;
4. An extended reporting provision
				of ninety days and an option to purchase an additional three years extended
				reporting provision for a premium not to exceed two hundred percent of the
				premium charged for the last year of the terminating coverage;
5. Coverage under this section for covered
				acts in any state, United States territory, or Canada in which a covered
				individual, domiciled in North Dakota, holds a license;
6. Stacking of benefits;
7. Proration of premiums for coverage that is
				purchased during the course of a calendar year but with no provision for
				refunds of unearned premiums;
8.
				The ability of a licensee, upon payment of an additional premium, to obtain
				higher or excess coverage or to purchase additional coverages from the group
				carrier as may be determined by the carrier;
9. That coverage is individual and
				license-specific and will cover the licensee regardless of changes in employing
				broker; and
10. Prior acts
				coverage shall be offered to licensees with continuous past coverage.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-04 - Exceptions to coverage

Current through Supplement No. 393, July, 2024
Except as provided in this section, coverage may not exclude
				  claims brought against the insured licensee arising out of an act or failure to
				  act by the licensee when performing a professional service for which a real
				  estate license is required. Coverage may limit or exclude claims brought
				  against a licensee which arise as follows:
1. Out of claims or suits made or brought by
				any insured person against any other insured person within the same firm or
				from compensation disputes between licensees;
2. Out of loss assumed under contract or
				agreement, except for liability the insured would have had in the absence of
				such agreements;
3. From any
				criminal, dishonest, actual fraud, or willful act or omission. This exclusion
				does not apply to any insured person who did not personally participate in
				committing such an act or omission and who, upon having knowledge of the act or
				omission, reported it;
4. From
				unlawful discrimination committed by or for the insured person;
5. From fines or penalties imposed by law;
6. From failure to maintain any
				type or amount of insurance for managed property;
7. From bodily injury, personal injury,
				advertising injury, or property damage;
8. From related business activities for which
				a license is not required under this chapter;
9. From involvement in any real estate
				investment contract or syndication as a partner, joint venturer, or
				underwriter;
10. From hazardous
				materials, nuclear materials, or pollutants;
11. From prior wrongful acts;
12. From management or sale of property in
				which the insured or spouse has more than a ten percent financial or ownership
				interest. This exclusion does not apply for one year from the date a property
				is acquired under a guaranteed sale listing contract if the property is listed
				for sale during that entire period;
13. From any violation of the Securities Act
				of 1933, as amended through July 1, 1993, or the Securities Exchange Act of
				1934, as amended through July 1, 1993, or any state blue sky or securities law
				or similar state or federal statutes; or
14. Other standard exclusions that are
				typical in the professional liability insurance industry may be permitted,
				subject to the approval of the North Dakota real estate commission.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-05 - Group policy approval requirements

Current through Supplement No. 393, July, 2024
Any group policy to be issued must conform to the standards
				  and practices of the insurance industry and be approved by the North Dakota
				  insurance department.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-06 - Equivalent coverage

Current through Supplement No. 393, July, 2024
An active licensee who chooses the option of obtaining errors
				  and omissions insurance independently from a carrier other than the group
				  carrier under contract with the commission must show evidence of coverage by
				  providing certification of coverage on a form prescribed by the commission. The
				  form must show proof that the licensee has coverage in compliance with the
				  minimum standards established by section
				  70-02-05-07. The form must be
				  signed by an authorized representative of the insurance company and must
				  contain a cancellation notification clause as required by section
				  70-02-05-09.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-07 - Standards for equivalent coverage

Current through Supplement No. 393, July, 2024
A carrier issuing insurance coverage pursuant to North Dakota
				  Century Code section 43-23-22 must be an admitted carrier in North Dakota or an
				  approved surplus lines carrier in the state in which the licensee being
				  certified resides. All activities contemplated under North Dakota Century Code
				  sections 43-23-19 through 43-23-23 must be covered.
The insurance must provide a minimum, not less than one
				  hundred thousand dollars single-limit liability coverage for each licensee for
				  each occurrence or claim made, not including the cost of investigation or
				  defense, and an annual aggregate of five hundred thousand dollars for each
				  licensee, not including the cost of investigation and defense. A designated
				  broker may comply with this requirement by certifying coverages of a minimum of
				  five hundred thousand dollars/one million dollars, if all licensees associated
				  with the broker are covered.
A person who resides in and is licensed in a state that has a
				  mandated program of errors and omissions insurance and who is also licensed in
				  North Dakota meets the requirements for errors and omissions insurance in North
				  Dakota upon providing proof that the person meets the requirements of the
				  person's state of residence.
General Authority:
NDCC 28-32-02,
					 43-23-19
Law Implemented:
NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-08 - Time for filing certification of equivalent coverage

Current through Supplement No. 393, July, 2024
Certification of equivalent coverage must be filed with the
				  commission by five p.m. on the date of expiration of coverage. If the
				  certification is not filed on time, the commission shall place the license on
				  inactive status on that date.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-09 - Nonpayment of premium

Current through Supplement No. 393, July, 2024
If a certifying insurance company that submitted
				  certification of equivalent coverage or group plan notifies the commission that
				  a licensee has not paid a premium, the commission shall place that licensee's
				  license on inactive status as of the date of termination of coverage.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-10 - Surrender Release of license for failure to provide proof of insurance

Current through Supplement No. 393, July, 2024
When a licensee receives notice of being placed on inactive
				  status for failure to provide proof of insurance, the broker shall immediately
				  destroy the license and the licensee's name and licensee's number must be
				  removed from the broker's website.
General Authority:
NDCC 28-32-02,
					 43-23-19
Law Implemented:
NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-11 - Notification required for cancellation

Current through Supplement No. 393, July, 2024
If insurance under equivalent coverage is to lapse or be
				  nonrenewed, the providing company must notify the North Dakota real estate
				  commission of its intent to lapse or nonrenew before the expiration date of the
				  term.
General Authority:
NDCC 28-32-02,
					 43-23-19
Law Implemented:
NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-12 - Proof of insurance required to activate license

Current through Supplement No. 393, July, 2024
A licensee whose license has been placed on inactive status
				  for failure to provide proof of insurance may not conduct any activities for
				  which a license is required until proof of insurance has been provided to the
				  commission and the license has been activated. The license shall be considered
				  active as of the effective date of the insurance.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70 - Real Estate Commission › Article 70-02 - Real Estate Licensure › Chapter 70-02-05 - Errors and Omissions Insurance › Section 70-02-05-13 - Authenticity of coverage

Current through Supplement No. 393, July, 2024
A licensee may not willfully or knowingly cause or allow a
				  certificate of coverage to be filed with the commission that is false,
				  fraudulent, or misleading.
General Authority: NDCC
					 43-23-19
Law Implemented: NDCC
					 43-23-19
North Dakota Administrative Code › Title 70.5 - Real Estate Trust Account Committee › Article 70.5-01 › Chapter 70.5-01-01 › Section 70.5-01-01-01

Current through Supplement No. 393, July, 2024
General Authority: NDCC
					 28-32-02,
					 43-23.4-02
Law Implemented: NDCC
					 43-23.4-02
North Dakota Administrative Code › Title 70.5 - Real Estate Trust Account Committee › Article 70.5-01 › Chapter 70.5-01-01 › Section 70.5-01-01-02

Current through Supplement No. 393, July, 2024
General Authority: NDCC
					 28-32-02,
					 43-23.4-02
Law Implemented: NDCC
					 43-23.4-02
North Dakota Administrative Code › Title 70.5 - Real Estate Trust Account Committee › Article 70.5-01 › Chapter 70.5-01-01 › Section 70.5-01-01-03

Current through Supplement No. 393, July, 2024
General Authority: NDCC
					 28-32-02,
					 43-23.4-02
Law Implemented: NDCC
					 43-23.4-02