In this case, a broker acted outside of the scope of his license and agency by representing a client in a real estate transaction under an entity that was not a licensed real estate firm in Virginia. It highlights the importance of operating within the scope of your license and firm when representing others in real estate transactions.

Due to the state of emergency arising from COVID-19, the Department of Professional and Occupational Regulation (“DPOR”) extended the validity of licenses that would otherwise expire during this time and extended the eligibility for renewal during the state of emergency under applicable regulations until 30 days after the state of emergency is lifted. You should try to complete all necessary CE during this time, renew online if possible, and be prepared to submit any information needed by VREB once the state of emergency is lifted.

Because this may affect your renewal dates, it remains imperative that you know the status of your real estate license, when it is set to expire, and whether or not it is active or inactive. This case study looks at what happens when an agent practices with an inactive license

This case study highlights the importance of making the necessary disclosures with regards to your real estate license status, and making sure that all agents in your firm understand when this disclosure must be made. Despite not actively listing real estate in over 20 years, this agent was still a licensed Virginia real estate agent and needed to adhere to the applicable Virginia laws and regulations.

Mary Well became a real estate sales person in Virginia in 1999. She also was licensed in Maryland and the District of Columbia. Since May of 2014, Ms. Well has been affiliated with nine real estate firms. On December 17, 2016, Ms. Well drafted an Exclusive Right to Represent Buyer Agreement with Mr. Do to purchase a house in the Falls Church, Virginia area. The agreement listed Ms. Well as the Buyer’s Agent, and Wise Real Estate Company, LLC as the broker.

On July 16, 2016, in the United State District Court, Eastern District of Virginia, Alexandria Division, Mr. Maude was convicted of two felonies, Aggravated Identify Theft and Aiding and Assisting in Preparation of False Return. The felonies pertained to his conduct between 2011 and 2014 when he was engaged in tax preparation services. Mr. Maude modified his clients’ tax returns to include false information and artificially inflate their income tax refunds. He then took a portion of each income tax refund and used it for his own benefit. Mr. Maude pleaded guilty and signed a plea agreement where he was sentenced to fourteen months in prison on each charge to run concurrently. He was also ordered to serve one year of probation upon his release.