2006 New York Code - Private School Agent\'s Certificate.

 
    § 5004. Private school agent's certificate.  1. a. No party may, for a
  consideration or remuneration procure, solicit or enroll any student for
  instruction in or given by any school within or without the state of New
  York, unless (i) the party is a salaried employee of the school and (ii)
  the  party  shall have secured a private school agent's certificate from
  the department pursuant to regulations of the commissioner.
    b. Upon submission of a complete new  application  for  licensure,  an
  applicant  may  procure,  solicit or enroll any student for instruction;
  provided, however, that such applicant be in  possession  at  all  times
  during  the  procurement,  solicitation  or  enrollment  processes  of a
  temporary approval certificate which the commissioner shall issue within
  five days of receipt by mail or on the same day at designated offices. A
  school shall submit such application for  licensure  on  or  before  the
  first day of employment of such individual.
    c. No consideration or remuneration shall be paid in the form of a fee
  per  student  enrolled  by a private school agent except pursuant to the
  following limitations:
    (1) a school may pay  twenty-five  percent  of  the  consideration  or
  remuneration after the student has completed three weeks of the program;
    (2)   a   school  may  pay  the  remainder  of  the  consideration  or
  remuneration after the student has completed eight weeks of the program;
    (3) the total amount of the consideration  or  remuneration  paid  per
  student  may  not  exceed  one  percent of the annual salary paid to the
  agent.
    d. In promulgating regulations in relation to  the  issuance  of  such
  certificates  and  the  conduct of the holders of such certificates, the
  commissioner shall give consideration to:
    (1) good moral character of the candidate for such certificate;
    (2) the use of ethical and fair practices in the presentation  of  the
  school's offerings; and
    (3) whether the prospective agent has within five years of the date of
  the   application   violated  any  provision  of  this  article  or  the
  regulations of the commissioner adopted pursuant to this article.
    2. Instruction, as contemplated by this section, shall be any plan  or
  method  for  teaching  any  subject  or  subjects in any form or manner,
  including correspondence or home study.
    3. Exempted from the requirements of this section are  persons  acting
  solely  for  schools  which  are  not  required  to  be  licensed or are
  specifically exempted from the licensing or registration requirements of
  this article. Persons  who  are  paid  to  procure,  solicit  or  enroll
  students  on  the  premises  of  schools  required  to  be  licensed  or
  registered shall not be exempt from the provisions of this section.  The
  certification requirements of this section shall not  apply  to  persons
  receiving  gifts or other non-monetary considerations valued at not more
  than twenty-five dollars from a school from which they have graduated or
  are currently enrolled for each student referred for enrollment  at  the
  school.
    4.  Application  and  renewal application for a private school agent's
  certificate shall be filed on forms to be prescribed and provided by the
  commissioner. Said certificate shall be valid for  two  years  from  the
  date  of  issuance.  Certificates which have been renewed shall be valid
  for a period of two years from the expiration date  of  the  certificate
  which  has been renewed. Every applicant and renewal applicant shall pay
  to the department a fee of one hundred dollars.
    5. No recovery shall be had against any student or enrollee  and  full
  recovery  shall  be  made  on any contract for or in connection with any
  instruction if the  student  or  enrollee  was  procured,  solicited  or
  enrolled  outside or on the school premises by a person paid to procure,
  solicit or enroll students but not having a valid private school agent's
  certificate pursuant to the provisions of this section at the time  that
  the  contract  was negotiated or executed or the sale of the instruction
  was  made,  or  by  a  person  who holds such a certificate but has made
  fraudulent or improper claims. Each enrollment agreement shall  include,
  where  applicable  the  name  of  the  agent  responsible for procuring,
  soliciting or enrolling the student or enrollee.
    6. The issuance of such a private school agent's certificate shall not
  be deemed to constitute approval of any  course  or  of  the  person  or
  institution offering, conducting or administering the same.
    7. The commissioner, after giving to the certificate holder due notice
  and opportunity to be heard, may fine a private school agent, suspend or
  revoke  a  private school agent's certificate at any time for failure to
  comply with the  provisions  of  the  law  or  the  regulations  of  the
  commissioner or for any other good cause.
    8.  No  employer  of  a  private  school agent other than a school may
  indemnify, save harmless or otherwise reimburse any agent for the amount
  of any fines imposed  pursuant  to  this  section.  If  a  person  fined
  pursuant  to  this  section  can  demonstrate to the satisfaction of the
  commissioner that  the  action  for  which  the  fine  was  imposed  was
  undertaken  pursuant  to  explicit  instructions  from the employer, the
  employer shall idemnify, save harmless, and reimburse  that  person  for
  the  fine  and  shall  pay  to the commissioner an additional fine of an
  equal amount.