FACTS: A non-provisional broker completed the General Update Course and an approved CE elective prior to June 10, 2024. However, the broker failed to renew their real estate license by June 30, 2024.
On July 7, 2024, the non-provisional broker continued to work all their pending transactions, including a residential transaction that was scheduled for settlement on July 15, 2024.
ISSUE: Is it permissible for the non-provisional broker to complete their pending transaction if they did not renew their real estate license?
ANALYSIS: No. A broker who fails to renew their license by June 30 is not permitted to engage in any brokerage activities beginning July 1. In this scenario, the broker timely completed 8-hours of CE pursuant to Rule 58A .1702 based upon their license status. However, they did not renew their license between May 15-June 30th. A non-provisional broker has an active real estate license when they timely complete the appropriate CE pursuant to their license status by June 10th and renew their real estate license between May 15-June 30th of each license year.
Therefore, the non-provisional broker in this scenario is not permitted to engage in any brokerage activities, including attending the closing for the buyer client’s transaction on July 15, 2024. While a broker whose license expires can be paid for work performed while their license was active, they cannot continue providing brokerage services once it expires. EWven if the transaction was pending before the non-provisional broker’s license expired, the BIC of the brokerage would need to send another affiliated broker to represent the company’s client for the closing on July 15, 2024.
Moreover, the non-provisional broker is not permitted to resume brokerage activities until their license is reinstated back on active status and affiliated with a BIC. Additionally, a BIC is responsible for supervising all affiliated brokers at the office and ensuring they have complied with requirements for renewing their license and maintaining an active license. A broker cannot engage in brokerage activities with an expired license.
RESOURCES: N.C.G.S. § 93A-6(a)(10) and N.C.G.S. § 93A-6(a)(15)
License Law and Commission Rules: 58A .0503 and .0504
Articles: “Can I Get Paid” and “My license has expired! How do I reinstate it?”