2023 Connecticut General Statutes
Title 20 - Professional and Occupational Licensing, Certification, Title Protection and Registration. Examining Boards
Chapter 392 - Real Estate Brokers and Salespersons
Section 20-312. - License required. Imposition of fine. Teams.

(a) No person shall act as a real estate broker or real estate salesperson without a license issued by the commission or the Commissioner of Consumer Protection, unless exempt under this chapter. The Commissioner of Consumer Protection may enter into any contract for the purpose of administratively processing the renewal of licenses on behalf of the commission.

(b) The practice of or the offer to practice real estate brokerage business in this state by individual licensed real estate brokers or real estate salespersons as a corporation, limited liability company, partnership or limited liability partnership, a material part of the business of which includes real estate brokerage, is permitted, provided (1) the personnel of such corporation, limited liability company, partnership or limited liability partnership who engage in the real estate brokerage business as real estate brokers or real estate salespersons, and the real estate brokers whose ownership, control, membership or partnership interest is credited toward the requirements of subdivision (3) of this subsection, are licensed or exempt from licensure under this chapter, (2) the corporation, limited liability company, partnership or limited liability partnership has been issued a real estate broker license by the commission as provided in this section and has paid the license or renewal fee required for a real estate broker's license as set forth in section 20-314, and (3) except for a publicly traded corporation (A) with respect to a corporation other than a nonstock corporation, one or more real estate brokers own or control fifty-one per cent or more of the total issued shares of the corporation, (B) with respect to a nonstock corporation, one or more real estate brokers constitute at least fifty-one per cent of the members of the nonstock corporation, (C) with respect to a limited liability company, one or more real estate brokers own or control at least fifty-one per cent of the interest in the limited liability company, as defined in section 34-243a, or (D) with respect to a partnership or limited liability partnership, one or more real estate brokers' partnership interest, as defined in section 34-301, constitutes at least fifty-one per cent of the total partnership interest. No such corporation, limited liability company, partnership or limited liability partnership shall be relieved of responsibility for the conduct or acts of its agents, employees or officers by reason of its compliance with this section, nor shall any individual practicing real estate brokerage be relieved of responsibility for real estate services performed by reason of the individual's employment or relationship with such corporation, limited liability company, partnership or limited liability partnership. The Real Estate Commission may refuse to authorize the issuance or renewal of a license if any facts exist that would entitle the commission to suspend or revoke an existing license.

(c) A corporation, limited liability company, partnership or limited liability partnership desiring a real estate broker license shall file with the commission or the commissioner an application on such forms and in such manner as prescribed by the Department of Consumer Protection. Each such corporation, limited liability company, partnership or limited liability partnership shall file with the commission a designation of at least one individual licensed or qualified to be licensed as a real estate broker in this state who shall be in charge of the real estate brokerage business of such corporation, limited liability company, partnership or limited liability partnership in this state. Such corporation, limited liability company, partnership or limited liability partnership shall notify the commission of any change in such designation not later than thirty days after such change becomes effective.

(d) The Real Estate Commission may impose a fine of not more than one thousand dollars on any corporation, limited liability company, partnership or limited liability partnership that engages in real estate business without a license required by this section. Any such imposition of a fine by the commission shall be a proposed final decision and submitted to the commissioner in accordance with the provisions of subsection (b) of section 21a-7.

(e) (1) (A) Except as provided in subdivision (2) of this subsection, each team shall register, on a form and in a manner prescribed by the commissioner, with the Department of Consumer Protection. Each initial registration shall be valid for a period of one year and be subject to renewal for additional one-year periods. Each team shall pay to the department an initial registration fee of five hundred sixty-five dollars when the team files its initial registration, and a registration renewal fee of three hundred seventy-five dollars when the team files each registration renewal, pursuant to this subparagraph. Each team shall include in each registration form that the team files with the department pursuant to this subparagraph:

(i) The team's team name, which shall:

(I) Include the full name of at least one licensed real estate broker or real estate salesperson who is part of the team or be immediately followed by “at/of [full name of the sponsoring real estate broker]”;

(II) Not include the name of any individual who is not a licensed real estate broker or real estate salesperson; and

(III) With the exception of “team”, not include any abbreviation, term or phrase, including, but not limited to, “associates”, “company”, “corporation”, “group”, “LLC”, “real estate” or “realty”, that implies that the team is a business entity;

(ii) The name of, and contact information for, the team's sponsoring real estate broker, who shall serve as the team's primary contact, ensure that the team complies with all applicable laws and regulations concerning team advertisements and ensure that the team timely files accurate registration forms and registration updates with the department pursuant to this subdivision; and

(iii) The name and contact information for each real estate broker or real estate salesperson who is part of the team.

(B) A team shall send notice to the department disclosing any change to the information contained in the team's registration form. The team shall send such notice to the department, on a form and in a manner prescribed by the commissioner, not later than twelve days after the date of such change.

(C) Each team shall comply with all advertising requirements and standards that apply to real estate brokers, and shall include the name of the team's sponsoring real estate broker at a prominent location in all of the team's advertisements.

(2) The commissioner may, in the commissioner's discretion, engage the services of such third parties that the commissioner deems necessary to assist the commissioner in implementing the provisions of subdivision (1) of this subsection, provided no expenditure of state funds shall be made to cover the cost of hiring a consultant to make programmatic changes to the licensing system.

(1953, S. 2341d; P.A. 78-147, S. 2; P.A. 88-329, S. 4, 15; P.A. 90-332, S. 6, 32; P.A. 91-229, S. 4, 19; P.A. 93-354, S. 6, 54; P.A. 94-36, S. 41, 42; P.A. 95-198, S. 1; P.A. 96-200, S. 6; P.A. 98-10, S. 6; June 30 Sp. Sess. P.A. 03-6, S. 146(c); P.A. 04-189, S. 1; P.A. 05-115, S. 1; P.A. 16-97, S. 103; 16-185, S. 23; P.A. 17-77, S. 4; P.A. 21-167, S. 2.)

History: P.A. 78-147 required that all salesmen affiliated as independent contractors with partnerships, firms, etc. be licensed before license granted to the partnership, firm, etc.; P.A. 88-329 required real estate appraisers and residential appraisers to be licensed, and established requirements for the licensing of partnerships, associations and corporations engaged in the real estate appraisal and residential appraisal business, effective July 1, 1989; P.A. 90-332 added a provision for certification to the licensing requirement for the real estate appraisal commission; P.A. 91-229 in Subsec. (a) deleted the reference to “residential appraiser”, in Subsec. (c) deleted the reference to “is certified” and substituted “certification” and deleted Subsec. (d) which had required individuals in partnership, association or corporation to be licensed as a condition for licensure of any partnership, association or corporation to engage in residential appraisal business; P.A. 93-354 deleted Subsec. (c) which had required that all members and officers of real estate appraisal business hold license or certificate before the business itself could be granted a license and deleted references elsewhere in the section to real estate appraisers, effective in accordance with Sec. 20-528; P.A. 94-36 changed effective date of P.A. 93-354 but without affecting this section; P.A. 95-158 added a provision to allow the Commissioner of Consumer Protection to enter into a contract to administratively process the renewal of licenses on behalf of the Real Estate Commission; P.A. 96-200 substituted “salesperson” for “salesman”; P.A. 98-10 made technical changes in Subsec. (a); June 30 Sp. Sess. P.A. 03-6 replaced Commissioner of Consumer Protection with Commissioner of Agriculture and Consumer Protection, effective July 1, 2004; P.A. 04-189 repealed Sec. 146 of June 30 Sp. Sess. P.A. 03-6, thereby reversing the merger of the Departments of Agriculture and Consumer Protection, effective June 1, 2004; P.A. 05-115 replaced former provisions of Subsec. (b) with new provisions re practice as a corporation, limited liability company or partnership, and added new Subsecs. (c) and (d) re applications for licensure and re penalties for engaging in real estate business without a license, respectively; P.A. 16-97 amended Subsec. (b)(3)(C) by substituting reference to Sec. 34-243a for reference to Sec. 34-101, effective July 1, 2017; P.A. 16-185 amended Subsecs. (a) to (c) to add references to Commissioner of Consumer Protection and amended Subsec. (d) to add provision re commission's imposition of fine to be proposed final decision and submitted to commissioner, effective July 1, 2016; P.A. 17-77 amended Subsecs. (b) to (d) to add references to limited liability partnership, further amended Subsec. (c) to add “or qualified to be licensed”, and made technical changes, effective July 1, 2017; P.A. 21-167 added Subsec. (e) re teams, effective January 1, 2022.