TITLE 68: PROFESSIONS AND OCCUPATIONS
CHAPTER VIII: DEPARTMENT OF FINANCIAL AND PROFESSIONAL REGULATION
SUBCHAPTER b: PROFESSIONS AND OCCUPATIONS
PART 1450 REAL ESTATE LICENSE ACT OF 2000
SECTION 1450.705 DESIGNATED MANAGING BROKER RESPONSIBILITIES AND SUPERVISION
Section 1450.705 Designated Managing Broker Responsibilities and Supervision
a) When a designated managing broker receives from the Division a renewal application for a licensee:
1) supervised by the designated managing broker or employed by or associated with the sponsoring broker, the designated managing broker shall notify the licensee of the receipt of the renewal application within 7 days; or
2) not supervised by the designated managing broker or not employed by or associated with the sponsoring broker, the renewal application shall be returned to the Division within 7 days.
b) All designated managing brokers shall notify the Division, within 24 hours, on forms provided by the Division, of any change of business address of the licensed offices or branch offices they manage. An office or branch office license returned to the Division due to change of address shall remain active until the new office or branch office license is in the possession of the designated managing broker or sponsoring broker.
c) A designated managing broker shall supervise the activities of licensees and unlicensed assistants working in offices or branch offices managed by the designated managing broker. Supervision of activities includes, but is not limited to:
1) the implementation of and communication to sponsored licensees of company policies and procedures established by the sponsoring broker;
2) training of licensees and unlicensed assistants;
3) supervising and assisting licensees in real estate transactions;
4) supervising special (escrow) accounts over which the sponsoring broker has delegated responsibility to the designated managing broker in order to ensure compliance with the special (escrow) account provisions of the Act and this Part;
5) supervising all advertising, in any media, of any service for which a license is required;
6) familiarizing sponsored licensees with the requirements of federal and State laws and local ordinances relating to licensed activities; and
7) compliance with this Part for licensees and unlicensed assistants supervised by the designated managing broker and licensed office or branch offices under his or her management.
d) Any violation of the provisions of the Act by any licensees employed by or associated with the sponsoring broker, or any unlicensed assistant or other unlicensed employee of a sponsoring broker, shall not be cause for suspension or revocation of a designated managing broker's license, unless a designated managing broker had knowledge of the Act violation. The designated managing broker's failure to provide an appropriate written company policy or failure to properly supervise shall be cause for discipline, including suspension or revocation, of the designated managing broker's license.
e) Sole Proprietors
1) A sole proprietor must be licensed as a real estate managing broker.
2) Within 15 days after the death or adjudicated disability of a sole proprietor, the Division may issue written authorization to allow the continued operation of an office or branch office, provided that an authorized representative of the sole proprietor assumes responsibility, in writing, for operation of the office or branch office and agrees to personally supervise the office or branch office. No such written authorization shall be valid for more than 60 days unless extended by the Division for good cause shown and upon written request by the authorized representative. Good cause includes, but is not limited to, such circumstances as sales under contract pending closing, loss of livelihood for a sponsored licensee and undue hardship caused to clients. The Division will honor the order of a court of competent jurisdiction appointing a legal representative for the sole purpose of closing out the affairs of a sole proprietor who is deceased or adjudicated disabled, but not to actively engage in licensed activities.
(Source: Amended at 43 Ill. Reg. 1975, effective January 25, 2019)