SubTitle20-329m-1_20-329m-11. Disposition, Advertising, Sale or Exchange in this State of Real Estate Located in Another State or Jurisdiction, Title20 Professional and Occupational Licensing, Certification, Regulations of Connecticut State Agencies

Regulations of Connecticut State Agencies (Last Updated: June 14,2023)

Title20 Professional and Occupational Licensing, Certification

SubTitle20-329m-1_20-329m-11. Disposition, Advertising, Sale or Exchange in this State of Real Estate Located in Another State or Jurisdiction

Sec. 20-329m-1. Definitions

Latest version.

(a) "Commission" means the Connecticut Real Estate Commission;

(b) "Commissioner" means the Commissioner of Consumer Protection;

(d) "Broker" has the meaning prescribed in section 20-311 of the general statutes.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-2. Transaction restricted to broker. Exception

Latest version.

No person except a broker or such broker's duly licensed salesperson shall offer for disposition or dispose of in this state any subdivision or lot, parcel, unit or interest in any subdivision unless exempted by the provisions of section 20-329b of the general statutes.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-3. License requirement

Latest version.

No person shall in this state offer any subdivision or lot, parcel, unit or interest in any subdivision for disposition or shall dispose of any such subdivision or lot, parcel, unit or interest in any subdivision until such person has received a license to do so from the Department, provided this section shall not apply to any person or subdivision exempted under the provisions of section 20-329b of the general statutes.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-4. Application for license

Latest version.

Any broker who wishes to offer for disposition or to dispose of any subdivision or lot, parcel, unit or interest in any subdivision, and who is required to obtain a license to do so from the Department, shall submit to the Department:

(1) A license application form prescribed by the Commissioner, duly completed by the applicant under oath. Such questionnaire and license application form shall include, but shall not be limited to, a statement by the applicant

(A) that he or she has reviewed and verified the truth, authenticity and accuracy of all papers, maps, plats, plans, drawings, photographs, permissions, licenses, documents, deeds, instruments and promotional material, including, but not limited to, the sales prospectus or property report which is to be used in every offer of disposition in this state of any subdivision or lot, parcel, unit or interest in any subdivision, and

(B) that all such materials and documentation reasonably portray the facts relating to the subdivision and any lot, parcel, unit or interest therein and its situation and location, and

(2) proof of compliance with the requirements of section 20-329c of the general statutes relating to the appointment of the Secretary of the State as the broker's attorney for service of process;

(3) details of any bond which may be required by the Department;

(4) a detailed statement of the method of handling all deposit monies received by the broker from any person, purchaser or prospective purchaser including but not limited to the name and address of the bank in which the escrow account is established, as well as the account number. In addition, such money shall remain in such escrow account, in accordance with section 20-329n of the general statutes, until final legal disposition is made by the person legally entitled to such money; and

(5) the statutory filing fee of one hundred dollars plus the license fee to be computed on the basis of the rates set forth in section 20-329f(b) of the general statutes. The Department shall make no official review of any license application until it has received from the applicant all necessary documentation duly completed.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-5. Subdivision registered under Federal Interstate Land Sales Full Disclosure Act

Latest version.

Any broker, unless exempted under the provisions of subsections (a) or (b) of section 20-329b of the general statutes, wishing to offer for disposition or to dispose of in this state any subdivision or lot, parcel, unit or interest in any subdivision which is registered under the Federal Interstate Land Sales Full Disclosure Act shall submit to the Department, prior to making any such offer of disposition:

(a) A certificate in letter form, or other proof acceptable to the Department, from the director of the federal Consumer Financial Protection Bureau confirming the filing of the particular subdivision and of the effective statement of record with said director;

(b) The statutory filing fee of one hundred dollars plus the license fee to be computed on the basis of the rates set forth in section 20-329f(b) of the general statutes. The Department shall supply free of charge all necessary registration application forms. Any amendments to the statement of record which are filed with said director shall be reported in writing and under oath to the commission within fourteen days after the same are filed with said director. The fee for filing a consolidation or an additional number of units not included in the initial filing shall be one hundred dollars.

(c) Any subdivision which has been registered under the Federal Interstate Land Sales Full Disclosure Act shall be exempt from all the provisions of section 20-329d of the general statutes by complying with all provisions of section 20-329 of the general statutes.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-6. Land registered in another jurisdiction

Latest version.

(a) Any broker wishing to offer for disposition or to dispose of in this state any subdivision or lot, parcel, unit or interest in any subdivision which is registered or approved pursuant to the laws of any other state or jurisdiction shall submit to the Department:

(1) an application form duly completed under oath

(2) A certificate in letter form, or other proof acceptable to the Department, from such other state or jurisdiction

(A) establishing that such subdivision or lot, parcel, unit or interest has been filed or registered with such other state or jurisdiction, and

(B) certifying that the applicant is of good standing in such state or jurisdiction and that he has not had his real estate license revoked or suspended and listing any arrest or conviction within ten years prior thereto connected with the following offenses: forgery, embezzlement, obtaining money under false pretenses, extortion, criminal conspiracy to defraud, or other like offense or offenses.

(b) The commission or Department, after receipt of and based upon the documents and certificates required by this section to be submitted to it, shall make a determination concerning those provisions, if any, of the general statutes relating to the offering or disposition in this state of subdivisions, from which the applicant shall be exempt.

(Effective March 10, 1970; Amended September 11, 2019)

Sec. 20-329m-7. Sale contract provisions

Latest version.

(a) Every contract for the sale of any subdivision, or lot, parcel or unit in any subdivision, unless specifically exempted by section 20-329b of the general statutes, shall include the following provisions:

(1) A clear statement of the exact time and date when the contract was signed by the purchaser;

(2) a clear statement of the exact time and date when the purchaser received a copy of the sales prospectus;

(3) a clear statement notifying the purchaser that if the purchaser did not receive a copy of the sales prospectus more than seventy-two hours in advance of the time the contract was signed, then the purchaser has the power to revoke the contract by communicating such revocation to the seller within seventy-two hours of the last occurring of the following events;

(A) the time the purchaser signed the contract or agreement, or

(B) the time the purchaser received the sales prospectus;

(4) the broker's residence and office address, and electronic mail address, and an affirmation that the transmittal of the revocation to any of these addresses or numbers shall be sufficient to effect the revocation.

(b) The contract or agreement may provide that the foregoing power of revocation shall not apply in the case of a purchaser who:

(1) Has received the sales prospectus and inspected the subdivision in advance of signing the contract or agreement, and

(2) acknowledges by the purchaser's signature that he has made the inspection and has read and understood the sales prospectus.

(c) The broker shall, at the time the contract or agreement is signed, deliver to the purchaser a form which may be followed by the purchaser in effecting such revocation which form shall comply with the requirements of section 20-329m-8 of the Regulations of Connecticut State Agencies. If the purchaser elects to revoke the contract or agreement within the time limits as prescribed in section 20-329h of the general statutes, the broker shall return all moneys paid by the purchaser without any deduction.

(d) the broker or salesperson shall retain the signed receipt for any sales prospectus, property report or offering statement from any purchaser for a period of seven years. The broker or salesperson, upon termination with the developer, shall turn these receipts over to the developer within thirty days and the developer shall retain them for the duration of the seven year period.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-8. Revocation form

Latest version.

(a) The written form of revocation permitted under subsection (c) of section 20-329h of the general statutes of any contract or agreement relating to any subdivision or lot, parcel, unit or interest in any subdivision shall:

(1) show the names and addresses of the parties to the contract or agreement being revoked,

(2) identify the subdivision or lot, parcel, unit or interest in the subdivision which is the subject of the contract or agreement, and

(3) state the date and exact time the sales prospectus was received by the purchaser.

(b) The revocation shall be deemed to have been communicated, if, within the time limit specified in subsection (c) of said section 20-329h, the written revocation is delivered to the broker's residence at any time or to the broker's office address during regular business hours. Such written revocation may be in the form of a letter sent by registered or certified mail, by electronic mail or by facsimile transmission.

(Effective November 29, 1978; Amended September 11, 2019)

Sec. 20-329m-9. Hearing on license refusal

Latest version.

Any broker who is refused a license by the commission or Department to offer for disposition or to dispose of in this state any subdivision or lot, parcel or unit of interest in any subdivision may request a hearing before the commission or Department and the commission or Department shall grant such request and shall hold the requested hearing.

(Effective March 10, 1970; Amended September 11, 2019)

Sec. 20-329m-10. Deposits to be held in escrow

Latest version.

(a) Any broker accepting moneys paid or advanced by the purchaser or lessee or prospective purchaser or prospective lessee in respect to the sale or lease of any subdivision shall comply with the following provisions:

(1) deposit any such moneys in an escrow account, approved by the Department, in a bank doing business in the state of Connecticut,

(2) maintain such moneys in the broker's escrow account until:

(A) a proper and valid release is obtained therefor, or

(B) either party has defaulted under the contract or agreement and the commission or the court has made a determination as to the disposition of such money, or

(b) The broker shall not release any moneys until the time limits for revoking the contract or agreement have expired as prescribed under section 20-329h(c) of the general statutes.

(Effective March 10, 1970; Amended September 11, 2019)

Sec. 20-329m-11. [Reserved]

Latest version.

(Effective November 29, 1978; Amended September 11, 2019)