Senate Bill 0326
CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2000 SB 326
By Senator Saunders
25-362-00
1 A bill to be entitled
2 An act relating to real estate brokers;
3 amending s. 475.25, F.S.; authorizing brokers
4 to disburse certain escrow funds to condominium
5 purchasers who exercise a statutory right of
6 recission; providing an effective date.
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8 Be It Enacted by the Legislature of the State of Florida:
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10 Section 1. Paragraph (d) of subsection (1) of section
11 475.25, Florida Statutes, is amended to read:
12 475.25 Discipline.--
13 (1) The commission may deny an application for
14 licensure, registration, or permit, or renewal thereof; may
15 place a licensee, registrant, or permittee on probation; may
16 suspend a license, registration, or permit for a period not
17 exceeding 10 years; may revoke a license, registration, or
18 permit; may impose an administrative fine not to exceed $1,000
19 for each count or separate offense; and may issue a reprimand,
20 and any or all of the foregoing, if it finds that the
21 licensee, registrant, permittee, or applicant:
22 (d)1. Has failed to account or deliver to any person,
23 including a licensee under this chapter, at the time which has
24 been agreed upon or is required by law or, in the absence of a
25 fixed time, upon demand of the person entitled to such
26 accounting and delivery, any personal property such as money,
27 fund, deposit, check, draft, abstract of title, mortgage,
28 conveyance, lease, or other document or thing of value,
29 including a share of a real estate commission if a civil
30 judgment relating to the practice of the licensee's profession
31 has been obtained against the licensee and said judgment has
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CODING: Words stricken are deletions; words underlined are additions.
Florida Senate - 2000 SB 326
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1 not been satisfied in accordance with the terms of the
2 judgment within a reasonable time, or any secret or illegal
3 profit, or any divisible share or portion thereof, which has
4 come into the licensee's hands and which is not the licensee's
5 property or which the licensee is not in law or equity
6 entitled to retain under the circumstances. However, if the
7 licensee, in good faith, entertains doubt as to what person is
8 entitled to the accounting and delivery of the escrowed
9 property, or if conflicting demands have been made upon the
10 licensee for the escrowed property, which property she or he
11 still maintains in her or his escrow or trust account, the
12 licensee shall promptly notify the commission of such doubts
13 or conflicting demands and shall promptly:
14 a. Request that the commission issue an escrow
15 disbursement order determining who is entitled to the escrowed
16 property;
17 b. With the consent of all parties, submit the matter
18 to arbitration;
19 c. By interpleader or otherwise, seek adjudication of
20 the matter by a court; or
21 d. With the written consent of all parties, submit the
22 matter to mediation. The department may conduct mediation or
23 may contract with public or private entities for mediation
24 services. However, the mediation process must be successfully
25 completed within 90 days following the last demand or the
26 licensee shall promptly employ one of the other escape
27 procedures contained in this section. Payment for mediation
28 will be as agreed to in writing by the parties. The
29 department may adopt rules to implement this section.
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Florida Senate - 2000 SB 326
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1 If the licensee promptly employs one of the escape procedures
2 contained herein, and if she or he abides by the order or
3 judgment resulting therefrom, no administrative complaint may
4 be filed against the licensee for failure to account for,
5 deliver, or maintain the escrowed property. Furthermore,
6 disciplinary action may not be taken against a licensee for
7 disbursing deposit funds held in escrow to a condominium
8 purchaser who validly exercises a right of recission under
9 chapter 718.
10 2. Has failed to deposit money in an escrow account
11 when the licensee is the purchaser of real estate under a
12 contract where the contract requires the purchaser to place
13 deposit money in an escrow account to be applied to the
14 purchase price if the sale is consummated.
15 Section 2. This act shall take effect July 1, 2000.
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18 SENATE SUMMARY
19 Allows a real estate broker to disburse certain deposit
funds held in escrow without incurring disciplinary
20 action by the Florida Real Estate Commission.
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