The bill HB382 amends various sections of the Code of Alabama 1975 to modernize and clarify regulations surrounding real estate transactions. Key insertions include definitions for "Buyer's Agreement," "Listing Agreement," and "Team," which delineate the relationships between real estate professionals and their clients. The bill also establishes new requirements for brokerage agreements, mandating that a written agreement must be in place before a licensee can show a property or submit an offer. Additionally, it introduces provisions for co-brokerage agreements involving out-of-state brokers, requiring Alabama brokers to supervise transactions and verify licensing status. The bill aims to enhance regulatory clarity and accountability within the real estate industry.

Significant deletions from current law include the removal of outdated terms such as "nonresident" and "sub-agent," as well as the elimination of provisions that allowed for transaction brokerage relationships without signed agreements. The bill also updates the penalties that the real estate commission can impose for violations, including fines and mandatory education courses, while introducing stricter requirements for handling funds and ensuring consumer protection. Overall, HB382 seeks to improve the regulatory framework governing real estate practices in Alabama, ensuring that both consumers and professionals are better informed and protected in their transactions.

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