REIQ Best Practice Guidelines v03.23 - Flipbook - Page 12
11. EXPRESSION OF COMMISSION
If a Member’s commission is expressed in the PO
Form 6 as a percentage, Members must state in
writing that the commission is worked out only on 7:
(a) for the sale or purchase of property – the actual
contract price;
(b) for the letting of property – the actual rental for
the property; or
(c) for the collecting of rents – the actual amount
of rent collected.
12. PRIOR APPOINTMENTS
(a) Prior to accepting an Appointment to provide
a service permitted under the Agency Law, a
Member must take reasonable steps to find out
whether the Client has8:
i.
an active appointment with an Agent
to perform the same service (“Active
Appointment”); or
ii.
previously had an appointment with
an Agent to perform the same service
(“Prior Appointment”).
(b) If the Client’s response to the Member’s
enquiry confirms the existence of an Active
Appointment or Prior Appointment, the
Member must, prior to entering into the
Appointment, provide the Client with a written
warning statement advising that they may have
to pay:
i.
commission to more than one Agent;
and/or
ii.
damages for breach of contract.
13. APPOINTMENT OF SUBSTITUTE
LICENSEE
(a) If a Member who is a principal licensee or is a
person in charge of the principal licensee’s
business is to be absent from the place of
business for a period of 30 days or less, they
may appoint a substitute licensee during this
period9.
(b) The Member must ensure the Appointment
and acceptance of the Appointment are:
i.
in writing and state the period of
Appointment;
ii.
kept in the Member’s registered office;
and
iii.
made
available
for
immediate
inspection by a regulatory inspector, if
requested.
(c) If a Member who is a principal licensee or is a
person in charge of the principal licensee’s
business is to be absent from the place of
business for a period of more than 30 days,
they must apply to the Office of Fair Trading to
appoint a substitute licensee during this
period10.
(c) The written warning statement must be
provided to the Client before the Member is
engaged to provide the service and the Client
must be given an adequate opportunity to read
and consider the warning statement.
Prior Appointment Statement
Available in Realworks
7
Property Occupations Act 2014, s 105
Property Occupations Regulation 2014, s 21
9
Property Occupations Act 2014, s 66(1) – penalties may apply
10
Property Occupations Act 2014, s 66(3) – penalties may apply
8
REIQ BEST PRACTICE GUIDELINES
V08.23
12