Supervision means direction and review by the:
A.
Broker of professional real estate activities by associate brokers, designated
sales managers and salespersons associated with that brokerage, regardless of
the type of work relationship existing between them;
B. Broker
of the supervisory activities of each branch office manager; and
C. Branch
office manager of professional real estate activities by the associate brokers
and salespersons registered with that office.
09.11.05.02
A. A
broker shall exercise reasonable and adequate supervision over the activities of
the broker's associate brokers and salespersons.
B. A
branch office manager shall exercise reasonable and adequate supervision over
the activities of the associate brokers and salespersons registered with that
office.
C. The
exercise of reasonable and adequate supervision as defined in this chapter may
not be construed or deemed to create an employer/employee relationship between
the broker and licensed associated brokers and licensed salespersons under the
broker's supervision, or to alter the status of an individual as an independent
contractor.
09.11.05.03
A.
Initially, the operations characteristics of the brokerage firm shall be
considered by determining the:
(1) Number
of licensed salespersons and associate brokers affiliated with the broker;
(2) Number
of branch offices and salespersons assigned to each office;
(3) Number
of management personnel in each office;
(4) Normal
and routine working days and hours of the broker and management personnel;
(5) Type
of real estate activities of firm.
B. Factors
to be considered in determining whether supervision is reasonable and adequate
include, but are not limited to, the following:
(1)
Availability of:
(a)
Training or education sessions held regularly at least once every 2 months;
(b)
Experienced supervisory personnel to review and discuss:
(i)
Contract provisions;
(ii)
Brokerage agreement provisions; and
(iii)
Advertising;
(c)
Written procedures and policies which provide clear guidance in the following
areas:
(i) Proper
handling of deposit monies and other funds in accordance with Business
Occupations and Professions Article, ßß17-501ó17-508, Annotated Code of
Maryland;
(ii)
Compliance with federal, State, and local fair housing laws and regulations;
(iii)
Advertisement requirements applicable to real estate transactions;
(iv)
Review of contracts, leases, and brokerage agreements upon execution by all
parties to the contract, lease, or brokerage agreement;
(v) Use
and limitations of unlicensed personal assistants;
(vi)
Disclosure of agency relationships by licensees in residential real estate
transactions;
(vii)
Distribution and dissemination of information on new or changed requirements in
real estate laws and regulations enacted by local, State, and federal
governments and regulatory agencies;
(viii) The
obligation of all licensees to comply with all applicable provisions of Business
Occupations and Professions Article, Title 17, Annotated Code of Maryland (the
Maryland Real Estate Brokers Act), the Code of Ethics as adopted and as amended
from time to time by the Commission, and all applicable local, State, and
federal laws and regulations;
(ix)
Requirements, restrictions, and limitations applicable to the sale or lease of
real property personally owned by a licensee and the purchase or lease of real
property by a licensee for the licensee's personal use; and
(x) The
unauthorized practice of law by a licensee; and
(2)
Evidence of:
(a)
Records of attendance at sales meetings;
(b) Review
by the broker, branch office manager, or designee of the broker or branch office
manager of contracts of sale, leases, and brokerage agreement executed by all
parties to the contract, lease, or brokerage agreement;
(c) Review
by the broker, branch office manager, or designee of the broker or branch office
manager of advertisements to be placed by licensees affiliated with the broker;
(d)
Compliance with the written policies and procedures as specified in ßB(1)(c) of
this regulation; and
(e)
Dissemination of the written policies and procedures as specified in ßB(1)(c)
of this regulation to licensees affiliated with the broker.