March 29, 1950
Ron. L. D. Ransom Oplnlon Ro. v-1020.
Admlnietrator ..~~
Texas Real Estate Colaisslon Re: The legality of la-
Austin, Texas suing a real estate
dealer,'8 license to-
an out-of-state re8-
ident whorls licensed
in a state which re-
quires applicants to
take an examination.
Dear Mr. Ransom:
Your request for an opinion reads as follows:
"We desire the opinion of your office
as to whether the Texas Real Estate Commls-
slon can Issue a license to an out-of-state
resident under Article 6573a, as amended by
Senate Bill 100. 28, Section 7(b), when sald
resident's state requires an examination In
order to qualify as a broker la that state.
"A typical case is this: Thie office
recently received an application for renewal
of a real estate dealer's license, together
with the proper fee of $10.00, from one Leon
Block of 110 S. Dearborn Street, Chicago 3,
Illinois. Said applicant has previously held
a Texas real estate dealer's license under
the interpretation given to Article 6573a,
Section 7(b), by prior administrators.
"This Commlaslon 1s of the opinion that
said Leon Block 1s not entitled to a Texas
license and has refused to Issue same. This
Commlsslon is of the further opinion that the
Real Estate License Law of the State of Illi-
nois requires an examination of its licensees
and that, therefore, the legal requirements
of said state have not for their purpose the
same standards proposed by Article 6573a, as
amended. Due to the great number of licenses
Hon. L. D. Ransom, Page. 2, V-1020.
issued to residents of Illinois by prior
administrators and the persistent corres-
pondence from said Leon Block, demanding
that he be issued a license, we would like
a clear Interpretation of Section 7(b).
“It Is our opinion that this Is not
the same question as that involved In Sec-
tion 7(c) of titlcle 6573a, as amended, .au-
thorislng the Texas Real Estate Commlsslon
to Issue non-resident licenses to out-of-
state applicants whose state allows reci-
procity to this State.
“It Is to be noted that Leon Block
is ready and willing to file with the Com-
mission a Consent to Sepvlce, as required
by Section 7(d).
“Question: May this office Issue to
said Leon Block a real estate dealer’s li-
cenee for the year 19501”
We shall coliflne this opinion to the single
question of law Indicated in the third paragraph of your--~
letter vhich Involves Seatlon 7(b) of Article 6573a, Ver-
non’s Civil Statutes, which provides:
HA non-resident of this State may be
licensed as a real estate dealer or sales-
man provided such non-resident is at the
time licensed under the laws of the State
where he resides and which said State has
legal requirements which have for their pur-
pose the standards proposed In this Act;
provided, however, that such non-resident,
must procure from the agency admlnlsterlng -~
such lav in suah State, a certificate recog-
nizing and approving. the reliability and
standing~of such non-*eMdent iii such other
State;’ Bnd file Same with the Commission.”
(Emphasis supplied)
We do not construe the underlined provision as
pertaining to the specific requirements of applicants for
a license. Particular requirements such as an examination,
educational attainments, numbers of character references,
and the like, do not necessarily render the “kurposesn of
the Illinois law different, from the “purposes of the Texas
Hon. L. D. Ramsom, Page 3, V-1020.
Act, nor the "standards" sought to be effected in the
real estate business different from the "standards"
sought to be effected by the Texas Act. The "stand-
ards" of the Texas Act there referred to are general
standards of honesty and competency sought to be ef-
fected by requiring applicants to present various data
attesting their "honesty, truthfulness, integrity and
competency" so that the Commission may pass upon "the
good business repute" of each applicant and the pros-
pect that "the business will be conducted in an honest,
fair, just and equitable manner." See Sections 6; 8
and g(a), Article 6573a.
An examination requirement would seem to be
designed for more perfect attainment of those purposes.
We cannot conceive of any other purpose for such a re-
quirement, and you have not indicated that the Illinois
law seeks to attain any end at variance with the Texas
law.
You are, therefore, advised that an examina-
tion requirement of the Illinois law does not, by reason,
of such requirement alone, change the purposes and stand-
ards of the Illinois law from those of the Texas Act and
thereby render a resident of Illlnols~inellglble for a
Texas 1,.lcense because of the p~ovislons of Section T(b).
SUMMARY
The "purpose and standards proposed"
by the Texas Real Estate Dealers License
Act, referred to in Section 7(b), Article
6573a, V.C.S., mean6 the general purpose
to effect honest and competent dealings in
the real estate business. An examination
requirement by the Illlnols license law
does not render its purposes and standards
different from the Texas Act so as to ren-
der an Illinois licensee Ineligible for a
Texas license under Section 7(b), Article
6573.
Yours very truly,
PRICE DANIEL
Attorney General
APPROVED:
Charles D. Mathews B5iiif&&~A
Executive Assistant Assistant
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