Grounds for discipline under 475.25(1)
Fla. Stat. 475.25(1) lists the acts that allow FREC to discipline a licensee, registrant, permittee or applicant. You do not need to memorize every paragraph letter, but you should recognize the main types of misconduct. This lesson groups them by theme. (Escrow and advertising violations were covered in Unit 5, so they appear here only briefly.)
Dishonesty and negligence
475.25(1)(b) is the broadest ground. It covers fraud, misrepresentation, concealment, false promises, false pretenses, dishonest dealing by trick, scheme or device, culpable negligence, and breach of trust in any business transaction, in Florida or any other state.
Two points matter for the exam:
- It is immaterial that the victim or intended victim suffered no damage or loss. The conduct alone is enough.
- It reaches business transactions generally, not only real estate deals.
475.25(1)(o) covers a course of conduct or practices showing that the licensee is so incompetent, negligent or dishonest that money or property entrusted to them would not be safe.
Crimes and other discipline
| Ground | What it covers |
|---|---|
| 475.25(1)(f) | Conviction, guilty finding, or plea of nolo contendere, regardless of adjudication, to a crime in any jurisdiction that directly relates to real estate activities or involves moral turpitude or fraudulent or dishonest dealing |
| 475.25(1)(p) | Failing to tell the commission in writing within 30 days after pleading guilty or nolo contendere to, or being convicted or found guilty of, any felony |
| 475.25(1)(g) | Having a real estate license revoked, suspended or otherwise acted against in another jurisdiction |
| 475.25(1)(m) | Obtaining a license by fraud, misrepresentation or concealment |
Under 475.25(1)(f), a certified record of the conviction is admissible as prima facie evidence of guilt.
Running a brokerage business properly
- 475.25(1)(h): sharing a commission with, or paying a fee to, a person not properly licensed under Florida law.
- 475.25(1)(r): a written listing agreement must include a definite expiration date, a property description, the price and terms, and the fee or commission. The principal must get a legible, signed, true and correct copy within 24 hours. A listing may not require the seller to notify the broker of an intention to cancel it after the expiration date.
- 475.25(1)(q): violating the brokerage relationship rules in 475.2755 or 475.278 (Unit 4).
- 475.25(1)(u): a broker failing to direct, control or manage the broker associates and sales associates the broker employs.
- 475.25(1)(c), (d) and (k): misleading advertising, failing to account for or deliver money, and escrow violations (Unit 5).
Catch-alls
475.25(1)(a) makes any violation of 455.227(1) or 475.42 a ground for discipline. Note that real estate licensees are exempt from 455.227(1)(i), the general Chapter 455 duty to report other licensees' violations.
475.25(1)(e) covers any violation of Chapter 475 or Chapter 455, or of any lawful order or rule issued under them. So breaking an FREC rule is itself a ground for discipline.
Health and capacity
475.25(1)(i) covers being temporarily unable to act safely as a licensee because of drunkenness, drug use or temporary mental derangement. 475.25(1)(n) covers a licensee who, because of mental disease or deterioration, can no longer safely be trusted to serve the public.