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TO AMEND SECTION 40-57-145, AS AMENDED, RELATING TO GROUNDS FOR DENIAL OF LICENSURE OR FOR DISCIPLINARY ACTION AGAINST REAL ESTATE PROFESSIONALS, INCLUDING BROKERS, AGENTS, AND PROPERTY MANAGERS, SO AS TO CLARIFY THAT PAYMENT OF A COMMISSION OR COMPENSATION TO AN UNLICENSED INDIVIDUAL IS PROHIBITED FOR CONDUCTING ACTIVITIES REQUIRING A LICENSE AND TO FURTHER PROVIDE WHEN SUCH PAYMENTS ARE AUTHORIZED.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Section 40-57-145(11) of the 1976 Code, as amended by Act 218 of 2004, is further amended to read:
"(11) pays a commission or compensation to an unlicensed individual for conducting activities requiring a license under this chapter including, but not limited to, payment of referral fees or other compensation that arises from a real estate transaction to individuals who are not clients or customers in that real estate transaction. Any other payments of commission or other compensation are subject to the terms and conditions of the appropriate listing agreements, buyer agency agreements, property management agreements, sales agreements, lease agreements, referral fee agreements, or other written agreements made between real estate brokerage companies and their clients and customers. This term does not prohibit a licensee from compensating an unlicensed assistant or employee of the licensee;
SECTION 2. This act takes effect upon approval by the Governor.
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