The bill SB212 Engrossed amends various sections of the Code of Alabama 1975 to enhance the regulatory framework governing real estate transactions. Key insertions include new definitions such as "Buyer's Agreement," "Listing Agreement," and "Team," which clarify the relationships between real estate companies and clients. The bill also establishes conditions for co-brokerage agreements between Alabama brokers and those from other states, including supervision requirements and limitations on transactions. Additionally, it mandates that consumers must sign a brokerage agreement to receive specific services, while ensuring that they are not required to do so merely to view a property. The bill emphasizes the importance of formal agreements and introduces provisions for the designation of licensees as single agents, enhancing transparency and accountability in real estate practices.

Furthermore, the bill updates the qualifications for obtaining a real estate license, including stipulations for applicants with revoked licenses and the requirement for criminal history background checks. It clarifies the responsibilities of qualifying brokers and introduces guidelines for real estate teams, including the designation of a team leader and advertising requirements. The bill also streamlines language by removing outdated references and clarifying definitions, such as replacing "break" with "breach" in contract violations. Overall, SB212 aims to improve compliance, consumer protection, and the efficiency of real estate transactions in Alabama, with an effective date set for October 1, 2025.

Statutes affected:
Introduced: 34-27-39
Engrossed: 34-27-39