Title 36 — PROFESSIONS AND OCCUPATIONS

36-21A-46

36-21A-46.1 Responsible broker, salesperson, or broker associate permitted to form certain business entities--Conditions. 36-21A-47 Restricted broker's license--Issuance--Termination and prosecution--Promulgation of rules. 36-21A-48 Exemption from property manager's license for o…

A responsible broker may, or a real estate salesperson or broker associate employed by or otherwise associated with a responsible broker may, form a business corporation or limited liability company under the following conditions: (1) The business corporation or limited liability…

The commission may promulgate rules pursuant to chapter 1-26 to provide for the issuance of a restricted broker's license to auctioneers, property managers, mortgage brokers, or time-share or residential-rental agents. The licensee may perform only those duties specified by the l…

A person who has contracted with the South Dakota Housing Development Authority or the United States to operate housing units or has contracted with the United States in a subsidy program on behalf of the tenants is exempt from obtaining a property manager's license to manage tho…

The commission shall set, by rule promulgated pursuant to chapter 1-26 , an application fee not to exceed four hundred dollars. This fee shall accompany an application for individual licensure. Source: SL 1992, ch 273 , § 49; SL 1998, ch 233 , § 5; SL 2002, ch 181 , § 1; SL 2013,…

For the purposes of this chapter, an association is any body of persons united and acting together without a charter, but upon the methods and forms used by incorporated bodies for the prosecution of some common enterprise. It is an unincorporated society and not a partnership. I…

The commission may require a person whose license was revoked or suspended to meet and perform certain conditions before issuing or reinstating a license to that person. Such conditions may include the following: (1) Restitution of moneys; (2) Restitution of property; (3) Periodi…

36-21A-52 Registration of place of business--Change of location. 36-21A-53 Branch office name. 36-21A-54 Reciprocal privileges extended to nonresident licensees--Licensees from states not granting full reciprocity. 36-21A-55 Transaction of business subjects nonresidents to person…

Each person licensed under this chapter shall register the following place of business with the commission: (1) For a broker associate or real estate salesperson, the licensee's responsible broker's place of business; or (2) For a responsible broker or restricted broker, the lice…

A branch office shall operate under the same name as the parent office. Source: SL 1992, ch 273 , § 53.

No nonresident licensee regularly engaged in the real estate business as a vocation, who maintains a definite place of business and is licensed by a state which offers the same privileges to licensees of this state, may be required to maintain a place of business within this stat…

The holding of a license issued under the provisions of this chapter or participating in a transaction for which a license is required by this chapter is the transaction of business within the state, and a nonresident licensee or unlicensed person so defined is subject to the per…

A licensee shall give written notice to the commission of a change of association and of the name of the licensed broker or firm with whom he is about to associate. The broker or firm with whom the licensee was associated and the broker and firm with whom the licensee is about to…

36-21A-58 Renewal of license by salesperson or broker associate not associated with responsible broker--Restrictions on inactive salesperson or broker associate. 36-21A-59

A salesperson or broker associate who is not associated with a responsible broker may renew the license by submitting the renewal fee, together with the completed renewal application on which the licensee has noted inactive status. An inactive salesperson or broker associate whos…

36-21A-60 Additional fees. 36-21A-61 Biennial registration--Cancellation upon failure to register. 36-21A-62 Biennial proof by licensees of continuing education--Persons exempt. 36-21A-63 Approved courses for continuing education--List maintained--Standards. 36-21A-64 License ina…

For the purposes of this chapter, a broker or a real estate broker is any person who does any of the following: (1) For another and for compensation or consideration or with the intention or expectation of receiving compensation or consideration, directly or indirectly, lists, se…

Fees include the following: (1) Certificate of licensee, a fee not to exceed fifteen dollars; (2) For each additional office or place of business, a biennial fee not to exceed thirty dollars; (3) For each change of office or place of business, a fee not to exceed fifteen dollars;…

A licensee, either active or inactive, shall register every two years with the commission and pay a fee set by rule promulgated by the commission pursuant to chapter 1-26 not to exceed two hundred dollars. The application for renewal of a license shall be made to the commission b…

An individual licensee shall provide to the commission proof of participation in the following required number of hours of approved continuing education in the preceding two-year period: (1) Responsible broker, broker associate, salesperson, auctioneer, or property manager: not l…

The commission may accept attendance at approved lectures, seminars or courses as continuing education. The commission shall maintain a current list of approved sessions or courses of instruction. The commission shall, by rule promulgate pursuant to chapter 1-26 , set standards a…

An individual licensee who submits a renewal registration application but does not provide proof of continuing education, as required by § 36-21A-62 , shall be an inactive licensee until proof of such continuing education has been provided to the commission. Source: SL 1992, ch 2…

The commission may make exception from continuing education requirements for licensees not engaged in public practice, or for reasons of health, military service or other good cause. However, if such licensee returns to public practice, he shall meet such continuing education req…

A licensee who fails to meet the renewal requirements of § 36-21A-61 may file a late registration application and pay a late registration fee in an amount not to exceed twenty dollars for each month or fraction of a month that has passed since November thirtieth. The fee shall be…

Any person licensed under this chapter, entering the United States armed forces and whose registration under § 36-21A-61 lapses during his service, may be reinstated to his license, without examination, upon his separation from the armed forces other than by dishonorable discharg…

A license issued under this chapter may be revoked by the commission upon proof of unprofessional conduct on the part of the licensee. For the purposes of this chapter, the term unprofessional conduct does not impair the right of a licensee to set minimum fees chargeable for his …

36-21A-69.1 Responsible broker to surrender associate licenses. 36-21A-70 Revocation or suspension of firm license following discipline of responsible broker. 36-21A-71 Acts constituting unprofessional conduct. 36-21A-72 Restrictions on licensee advertising. 36-21A-73

If the commission suspends or revokes the license of a responsible broker, the responsible broker shall return the licenses of any associate licensee to the commission at the time the order suspending or revoking the broker's license becomes final. Source: SL 2002, ch 182 , § 1.

For the purposes of this chapter, moral turpitude is any act done contrary to honesty and good morals. It is also an act of baseness, vileness or depravity in the private and social duties which man owes to his fellowman or to society in general. Source: SL 1992, ch 273 , § 7. 36…

If the commission suspends, revokes, or takes any other action against a responsible broker, the action may apply to the responsible broker's firm and the firm license may be revoked, suspended, or otherwise disciplined. Each licensee shall terminate the licensee's relationship w…

Unprofessional conduct includes the following: (1) Violating any provisions of this chapter or any rule promulgated by the commission; (2) Making a material false statement in the licensee's application for a license or in any information furnished to the commission; (3) Making a…

A licensee who advertises shall comply with the following: (1) Each advertisement shall clearly state the name of the firm with which an individual licensee is associated; (2) Each advertisement of a real estate team shall clearly state the name of the brokerage company the team …

36-21A-74 Preservation of records. 36-21A-75 Closing statements to be furnished by brokers. 36-21A-76 Co-brokerage transaction--Money held in broker's trust account. 36-21A-77 Purchaser deposits in unconsummated transactions. 36-21A-78 Substantiation of information in listing agr…

A licensee shall preserve for four years all listings, offers to purchase, closing statements and other records relating to any real estate transaction. Source: SL 1992, ch 273 , § 74.

The listing broker shall furnish a closing statement to the seller. The selling broker shall furnish a closing statement to the buyer. Source: SL 1992, ch 273 , § 75; SL 1998, ch 237 , § 1.

Any earnest money paid in a cooperative or cobrokerage transaction shall be held in a broker's trust account unless otherwise agreed to by the buyer and seller. Source: SL 1992, ch 273 , § 76; SL 2012, ch 195 , § 1.

If for any reason the seller fails, refuses, neglects or is unable to consummate the transaction as provided in the purchase contract, and through no fault or neglect of the purchaser, the real estate transaction cannot be completed, the broker has no right to any portion of the …

On taking a listing, a licensee shall substantiate that the information taken in the listing agreement is accurate. As far as latent defects are concerned, it is not a violation of this section if the licensee disclosed to the buyer that the listing information or parts of the li…

A responsible broker is responsible for the real estate activities conducted by affiliated licensees, whether as employees or independent contractors. Source: SL 1992, ch 273 , § 79; SL 2013, ch 177 , § 29.

36-21A-9 Inactive license defined. 36-21A-10 Property manager defined. 36-21A-11 Real estate and realty defined. 36-21A-12 Real estate salesperson defined. 36-21A-12.1 Residential rental agent defined--Promulgation of rules for licensing requirements. 36-21A-12.2 Broker price opi…

A responsible broker shall remit immediately to the responsible broker's principal all money received by the responsible broker belonging to the principal unless, by the terms of a written employment contract, the responsible broker is authorized to retain possession of the money…

If an accepted offer and agreement to purchase does not close, a broker may not disburse any funds held in trust, relative to such real estate transaction, except pursuant to a written instruction of all parties to the transaction or pursuant to a court order. Source: SL 1992, ch…

The broker shall at the time of making the deposit make a deposit slip clearly stating the name of the principal for whom it is deposited. In addition, the broker shall maintain in his office an individual ledger sheet for his principal showing the amount deposited in trust and a…

A responsible broker who remits immediately to the principal all money received by the responsible broker belonging to the principal without using a trust account shall maintain for at least four years the records that completely disclose all financial dealings between the princi…

No responsible broker is entitled to any part of the money paid to the responsible broker in any transaction as part of the responsible broker's compensation until the transaction has been consummated or terminated. The commission may promulgate rules, pursuant to chapter 1-26 , …

36-21A-86 Procedure on revocation of license--Appeal. 36-21A-87 Violation of chapter as misdemeanor. 36-21A-88 Action for compensation of unlicensed persons prohibited. 36-21A-89 Administration and enforcement of chapter--Promulgation of rules. 36-21A-89.1

No license may be revoked except in compliance with chapter 1-26 . An appeal from the decision of the commission may be taken as provided by chapter 1-26 . Source: SL 1992, ch 273 , § 86.

Unless punishable under Title 22, a person violating any of the provisions of this chapter is guilty of a Class 1 misdemeanor. Source: SL 1992, ch 273 , § 87.

No action or suit may be instituted, nor recovery be had, in any court of this state by a person for compensation for an act done or service rendered, the doing or rendering of which is prohibited under the provisions of this chapter, to other than persons licensed under this cha…