In Michigan, the Michigan Department of Licensing and Regulatory Affairs (LARA) is the government authority that licenses and regulates real estate brokers in Michigan:
- LARA issues licenses for three years for real estate brokers, associate real estate brokers, and real estate salespeople.
- LARA establishes codes of conduct and standards of practice for agents and investigates complaints against them. It also imposes disciplinary actions, including fines and license suspensions.
- LARA is part of Michigan's executive branch. Its goals include:
- Promoting business growth and job creation
- Protecting the health and safety of Michigan's citizens
You can contact LARA by:
- Submitting a LARA Help Ticket
- Making a Complaint About a Licensed Professional or Business
- Submitting a Request for Information (FOIA)
To renew a real estate broker's license in Michigan, you can:
- Complete 18 hours of continuing education (CE) courses within a three-year cycle
- Finish at least two hours of CE each year
- Pay the renewal fee of $108
- Fill out the online application at www.michigan.gov/miplus
If you're renewing an expired license, you may need to:
- Provide documentation of any real estate transactions you were involved in during the period when your license was expired
- Complete additional continuing education courses
If you face threats to your Michigan professional real estate license, do not try to navigate this situation alone. Talk to an experienced Lento Law Firm professional license defense attorney who can offer wise counsel and help you quickly prepare an effective strategy. Contact our Professional License Defense Team at the Lento Law Firm online or by calling 888 535-3686.
Problems that Licensed Michigan Real Estate Professionals May Face
The Michigan Department of LARA disciplines real estate brokers for numerous issues, including:
- Violating professional standards. This includes allegations of negligence, incompetence, professional misconduct, and lack of good moral character.
- Criminal convictions.This includes misdemeanor and felony criminal convictions.
- Threatening public health, safety, or welfare.In this case, LARA may order a summary suspension of the licensee's license.
- Other violations.This includes issues related to advertising, practice outside the scope of a license, documentation, and recordkeeping, and controlled substances.
LARA works with the Michigan State Board of Real Estate Brokers & Salespersons to oversee the real estate industry. The board was created in 1980 to supervise every industry level, from residential to commercial, leasing to selling, marketing to market analysis.
If you face threats to your Michigan professional real estate license, do not try to navigate this situation alone. Talk to an experienced Lento Law Firm professional license defense attorney who can offer wise counsel and help you quickly prepare an effective strategy. Contact our Professional License Defense Team at the Lento Law Firm online or by calling 888 535-3686.
How Identity Theft Could Affect Your Professional Real Estate License?
Identity thieves have many methods for stealing identifying information from you, including credit card numbers, addresses, and Social Security Numbers. If you're a licensed Michigan real estate professional and have had your identity stolen, you might be concerned about how this incident could impact your professional license. Could your license be at risk somehow because your identity was stolen?
Identity theft happens when a thief steals your personal information without your knowledge to commit fraud or theft. Knowing how to guard your personal information is your first defense against identity theft. Identity theft is often a silent crime. Experienced identity thieves may use your information for months—even years—while you remain unaware.
Michigan has strict laws and regulations to protect the public and maintain the integrity of the real estate profession. These include:
- Background checks that review criminal history, financial records, and past disciplinary actions.
- Disclosure by applicants of any past criminal convictions or regulatory sanctions.
- High ethical standards that real estate professionals are held to.
Michigan Investigation Process for Licensed Real Estate Professionals
The Michigan Department of LARA conducts the investigation process for licensed real estate professionals, including:
Background check. LARA investigates an individual's suitability for a real estate license by reviewing their criminal record, financial stability, and disciplinary history.
Complaints. Anyone can file a complaint against a real estate licensee in Michigan.LARA investigates complaints against licensed real estate professionals:
- The Complaint Intake Section reviews the complaint to determine if there is a violation of the Public Health Code.
- An investigator is assigned to the case and obtains relevant documents.
- The investigator interviews the professional and the person filing the complaint.
- LARA closes the file if it determines there was no violation.
Compliance conference.The case receives lots of attention at the compliance conference.
Board of Directors.The Board of Directors may adopt or modify the hearing panel's recommendation, including the proposed discipline. The Board's decision is final, and there is no appeal.
Due Process for a Michigan Real Estate Investigation
Due process for a real estate licensed professional's investigation in Michigan includes notice and an opportunity to be heard. Professional licenses are protected property interests and cannot be revoked without due process.
Below are steps in the process for investigating a complaint against a licensed professional in Michigan:
- Complaint filing. Anyone can filea complaint with the Department of LARA. The complaint should include the complainant's contact information, the licensee's name and profession, and a detailed description of the alleged incident.
- Investigation. An investigator will gather relevant documents and interview the licensee. The investigation may also include questionnaires and an onsite visit.
- Compliance conference. The licensee can negotiate a settlement.
- Administrative hearing. An administrative law judge (ALJ) presides over the hearing and acts as judge and jury. Parties can enter and object to written evidence and request a record of the proceedings.
If LARA determines no violation occurred, it will end the investigation and close the file.
Consequences of a Michigan Real Estate Investigation
In Michigan, a licensed real estate professional's investigation can result in disciplinary action, such as:
- Formal complaint: The department or attorney general may file a formal complaint against the licensee.
- Cease-and-desist order: The department may issue a cease-and-desist order.
- Notice of summary suspension: The department may issue a notice of summary suspension.
- Citation: The department may issue a citation.
- License revocation: The licensee's license may be revoked.
The licensee has the option to:
- Meet with the department to negotiate a settlement
- Demonstrate compliance before the hearing
- Proceed to the hearing
- Not respond, in which case the department will proceed to the hearing
What Happens If You Lose Your Michigan Professional Real Estate License?
If the Michigan Department of LARA suspends your Michigan real estate license, you may face various consequences, including:
- Disciplinary action. The Michigan Department of LARA may take disciplinary action against you.
- Legal consequences. You may face fines or criminal charges for continuing to practice real estate after your license expires.
- Damaged reputation. Clients and colleagues may view your expired license as a sign of incompetence or unprofessionalism, which could lead to a loss of business.
- Complex reinstatement process. Reinstatement can be time-consuming and costly, requiring additional education courses, fees, and a review of your conduct. The requirements for relicensure vary depending on the circumstances, but include:
- Expired license.If your license has been expired for less than three years, you must complete six hours of continuing education for each year and partial year missed.
- Revoked license.After the final order, you must wait at least three years to apply for a new license.
A real estate license can be revoked for various reasons, including:
- Failing to meet licensing requirements
- Violating the Fair Housing Act
- Mortgage fraud
- Failing to cooperate with regulatory agencies
- Misconduct
- Violation of ethical standards
Why Hire a Lento Law Firm Professional License Defense Attorney
The Michigan Department of Licensing and Regulatory Affairs (LARA) rules can be intricate, and an attorney must interpret them accurately to identify potential defenses and legal strategies. A Lento Law Firm professional license defense attorney with experience in real estate licensing matters can efficiently navigate the formal complaint process, including hearings and appeals. If the complaint involves potential license suspension or revocation, our attorneys can advocate strongly to minimize the impact on your ability to practice real estate.
Our Lento Law Firm Defense Attorneys know Michigan's threats to real estate professional licenses are more than just administrative matters. Our attorneys help real estate brokers who are under investigation by the Michigan Department of LARA in several ways, including:
- Responding to a complaint:Attorneys can help brokers respond to a complaint before the deadline.
- Defending against allegations: Attorneys can help brokers defend against misconduct allegations.
- Obtaining a favorable outcome: Attorneys can aim to help brokers obtain a favorable outcome, which may be less costly at the inquiry stage than at a formal hearing.
- Working out a resolution: The Lento Law Firm has a good working relationship with LARA and can often work out a resolution without a formal hearing. Brokers can discuss their situation with a Lento Law Firm professional license defense attorney to decide whether to obtain legal representation.
Our Lento Law Firm Professional License Defense Team Can Help You
If you face threats to your Michigan professional real estate license, do not try to navigate this situation alone. Talk to an experienced Lento Law Firm professional license defense attorney who can offer wise counsel and help you quickly prepare an effective strategy. Contact our Professional License Defense Team at the Lento Law Firm online or by calling 888 535-3686.
