§ 5-20.6-2 - Definitions.
SECTION 5-20.6-2
§ 5-20.6-2 Definitions. – As used in this chapter, the following terms shall have the following meanings:
(1) "Affiliated licensee" means a licensed real estatesalesperson or real estate broker as defined in § 5-20.5-1 associated witha particular principal broker.
(2) "Brokerage" means a principal broker as defined in §5-20.5-8 and his or her affiliated licensees.
(3) "Buyer" means a person who acquires or seeks to acquirean ownership interest in real estate.
(4) "Client" means a buyer, seller, tenant or landlord whohas agreed to representation by a licensee in a real estate transaction,evidenced by an executed mandatory relationship disclosure, to whom a licenseeowes the duties set forth in § 5-20.6-5.
(5) "Client representation contract" means an express,written contract between a principal broker or his or her affiliated licenseesand a client that authorizes the principal broker or his or her affiliatedlicensees to act as a client representative for a buyer, seller, landlord, ortenant and meets the requirements of § 5-20.6-10.
(6) "Confidential information" means the followinginformation:
(i) A buyer or tenant's willingness to pay more than theoffered price;
(ii) A seller or landlord's willingness to accept less thanthe asking price;
(iii) A buyer or tenant's previous offers made to purchase orlease real estate;
(iv) A seller or landlord's previous offers received topurchase or lease real estate;
(v) Any parties' motivating factors;
(vi) Any parties' willingness to agree to other financingterms;
(vii) Any facts or suspicions regarding circumstances, otherthan known material defects of a property that a licensee must in all casesdisclose, that may psychologically impact or stigmatize any real estate; or
(viii) Any information about a party's assets, liabilities,income, or expenses.
(7) "Customer" means a buyer, seller, tenant, or landlord whohas agreed to certain assistance by a licensee in a real estate transaction,evidenced by an executed mandatory relationship disclosure, to whom a licenseeowes the duties set forth in § 5-20.6-4.
(8) "Designated client representative" means an affiliatedlicensee appointed by the principal broker or his or her designee to representa buyer, seller, tenant, or landlord in a real estate transaction.
The affiliated licensee so designated shall obtain theinformed, written consent of the buyer, seller, tenant, or landlord with asigned mandatory relationship disclosure pursuant to § 5-20.6-8.
(9) "Director" means the director of business regulation forthe state.
(10) "Dual facilitator" means a single licensee who, with theprior written consent of both parties assists a seller client and a buyerclient in the same transaction subject to the limitations set forth in §5-20.6-6.
(11) "Landlord" means a person who leases or attempts tolease his ownership interest in real estate to another person.
(12) "Lease" means an express written or oral contractbetween a landlord and tenant for the use or occupancy by the tenant of realestate that is owned by another person.
(13) "Licensee" means an individual licensed by the directoras a real estate broker or real estate salesperson pursuant to chapter 5-20.5.
(14) "Mandatory relationship disclosure" means a form thatdescribes the relationship between a consumer and a principal broker and his orher affiliated licensees that meets the requirements of § 5-20.6-8.
(15) "Ministerial acts" means acts of an administrativenature that licensees perform for client or customers, including, but notlimited to, showing property; preparing offers or agreements to sell, purchase,exchange, rent, or lease; conveying offers or agreements to the parties; andproviding information and assistance.
(16) "Principal broker" means a real estate broker licensedby the director who is designated by the brokerage to be responsible for thesupervision and activities of his or her affiliated licensees in accordancewith this chapter and chapter 5-20.5.
(17) "Real estate" refers to vacant land or land withphysical improvements consisting of a house and/or structure.
(18) "Sales agreement" means an express written contractsigned by the buyer and seller for the purchase and sale of the real estate.
(19) "Sell," "sale," or "sold" means a transaction for thetransfer of real estate from a seller to a buyer, including, but not limitedto, exchanges of real estate between the seller and buyer and transactionsinvolving the creation of a sales agreement.
(20) "Seller" means a person who sells or attempts to sell anownership interest in real estate to another person.
(21) "Tenant" means a person who acquired or seeks to acquirean interest in real estate that entitles him or her to occupy or use a propertythat is owned by another person.
(22) "Transaction coordinator" means a principal broker orhis or her designee who supervises a real estate transaction in a neutralcapacity in which one affiliated licensee represents a buyer or tenant as adesignated client representative and another affiliated licensee represents aseller or landlord as a designated client representative in the sametransaction. A transaction coordinator does not own any fiduciary duties to anyparty in a transaction except the duties to protect the confidentialinformation of the parties and to properly account for money placed in his orher care.
(23) "Transaction facilitator" means a licensee who providesassistance to a buyer, seller, tenant, or landlord, or both, in a real estatetransaction as a neutral facilitator. A transaction facilitator does not oweany fiduciary duties to any party in a transaction but does owe the duties setforth in § 5-20.6-4.