Real Estate and Escrow Activities

ORS 696.020
License required for individuals engaged in professional real estate activities

  • exception
  • rules


(1)

The Real Estate Agency may issue a real estate license only to an individual.

(2)

An individual may not engage in, carry on, advertise or purport to engage in or carry on professional real estate activity, or act in the capacity of a real estate licensee, within this state unless the individual holds an active license as provided for in this chapter.

(3)

Real estate brokers and principal real estate brokers are bound by and subject to the requirements of ORS 696.010 (Definitions) to 696.495 (Revolving fund), 696.600 (Definitions for ORS 696.392, 696.600 to 696.785 and 696.995) to 696.785 (Commissioner duties when illegal commingling of funds found), 696.800 (Definitions) to 696.870 (Duties of real estate licensee under ORS 105.462 to 105.490, 696.301 and 696.870), 696.990 (Penalties) and 696.995 (Civil penalties for violation of ORS 696.603, 696.606 or 696.612) while:

(a)

Engaging in professional real estate activity; or

(b)

Acting on the licensee’s own behalf in the sale, exchange, lease option or purchase of real estate or in the offer or negotiations for the sale, exchange, lease option or purchase of real estate.

(4)

A real estate licensee is bound by and subject to the requirements of ORS 696.010 (Definitions) to 696.495 (Revolving fund), 696.600 (Definitions for ORS 696.392, 696.600 to 696.785 and 696.995) to 696.785 (Commissioner duties when illegal commingling of funds found), 696.890 (Duties of real estate property managers), 696.990 (Penalties) and 696.995 (Civil penalties for violation of ORS 696.603, 696.606 or 696.612) while engaging in the management of rental real estate.

(5)

The agency by rule may establish provisions for a nonlicensed individual whose license is inactive or suspended and who acts on the licensee’s own behalf in the sale, exchange, lease option or purchase of real estate or in the offer or negotiations for the sale, exchange, lease option or purchase of real estate. [Amended by 1969 c.674 §1; 1975 c.746 §1a; 1977 c.649 §10; 1981 c.617 §2a; 2007 c.319 §4; 2013 c.145 §5]

Notes of Decisions

Realtor purchasing property for himself was obligated to advise seller that realtor had changed the terms of the option prepared by seller's counsel by eliminating the 10-year provision for realtor to pay off the balance of the contract. Gergen v. Bartzat, 46 Or App 347, 611 P2d 352 (1980)

Where contract for sale of house established that parties would share losses as well as profits from venture, contract was not illegal broker's contract. Gergen v. Bartzat, 46 Or App 347, 611 P2d 352 (1980)

Where plaintiff assisted defendant in procuring a buyer for its sawmill business, plaintiff was not required to be licensed under this section. Moody v. Hurricane Creek Lumber Co., 290 Or 729, 625 P2d 1306 (1981)

Though this section prohibits unlicensed person from receiving compensation for real estate activity, it does not prevent person from testifying as expert if properly qualified. State Dept. of Trans. v. Montgomery Ward Dev., 79 Or App 457, 719 P2d 507 (1986), Sup Ct review denied

Licensee acting on behalf of entity in which licensee had partial ownership interest was acting in "licensee's own behalf." Atwood v. Real Estate Commissioner, 97 Or App 138, 775 P2d 880 (1989)

Licensee's sale of real estate on licensee's own behalf includes performance of contract by seller, not merely formation of contract. Atwood v. Real Estate Commissioner, 97 Or App 138, 775 P2d 880 (1989)

Atty. Gen. Opinions

Advertisements of Rental Housing Services as "holding oneself out as engaging in the business of a real estate broker," (1973) Vol 36, p 413

Chapter 696

Atty. Gen. Opinions

Sales of subdivision lots by mobile home salespeople, (1975) Vol 37, p 865; sales or offers of interests in limited partnerships to invest in real estate, (1978) Vol 38, p 1971


Source

Last accessed
Jun. 26, 2021