The Washington State Department of Licensing (DOL) and the Real Estate Commission license and regulate real estate brokers in Washington State:
The DOL offers services for real estate brokers, including:
- License applications, renewals, and updates
- Education services
- A real estate license that you can apply for on the DOL website
The Commission includes a director and six members appointed by the governor. Its primary mission is to protect the public from unqualified real estate practitioners.
Problems that Licensed Washington Real Estate Professionals May Face
Real estate professionals in Washington State can face several challenges, including:
- Mishandling or misappropriating client funds: Using money for personal expenses can result in disciplinary action and criminal charges.
- Unlicensed activity: Practicing real estate without a license or engaging in activities beyond the scope of your license can lead to disciplinary action.
- Fraudulent misrepresentation: The intentional deceit or provision of false information by agents to mislead clients, resulting in personal gain, can result in disciplinary action. Unethical agents use fraudulent misrepresentation to win a listing, sell property faster, or push for property to sell faster.
- Breach of fiduciary duty: When an agent fails to act in their client's best interests, such as not disclosing a conflict of interest or misrepresenting property conditions, this can lead to disciplinary action.
- Misrepresentation or false advertising: Providing inaccurate information about a property or services can lead to disciplinary action.
If you face threats to your Washington State 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, such as advising you on how to respond to the DOL and the Real Estate Commission's investigation, and help you quickly prepare an effective strategy, such as gathering evidence to support your case. 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
As a licensed Washington State real estate professional, you are a potential target for identity thieves. They have many methods for stealing your identifying information, including credit card numbers, addresses, and Social Security Numbers. If your identity is stolen, you may be concerned about how this incident could impact your professional license. Could your license be at risk 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.
Identity theft can indirectly affect a real estate license in Washington through a criminal record generated in the thief's name:
- Fake ID: If a thief uses your identity to create a fake ID and is arrested, the criminal record will appear on your background check when you apply for your license.
- Law enforcement investigation: If law enforcement reports the conviction to your licensing board, they may investigate and suspend or revoke your license.
Identity theft can also affect real estate agents in other ways, including:
- Fake listings: Fraudsters may use your name, photograph, and listings to attract buyers or contact prospects. They may also attach your name and image to a fake listing for a property not for sale.
- License and name used fraudulently: Scammers may use your name and license number on their websites to fraudulently sell real estate. You can search for your name and license number to see if they're being used without your permission.
Washington State Investigation Process for Licensed Real Estate Professionals
The Washington State investigation process for licensed real estate professionals includes:
- Criminal history questions. Applicants must answer five questions about their criminal history, including if they've had any penalties or actions taken against their professional licenses.
- Fingerprinting. Applicants must submit fingerprints for an initial license and every six years after that. The fingerprints are sent to the Washington State Patrol (WSP) for a state background check and the FBI for a national one. It is essential to be completely honest on the questionnaire because the fingerprinting process almost guarantees that the licensing department will find out about any convictions or charges.
You can look up your Washington real estate license on the DOL license lookup portal. You can search by license number or name to check if your license is active, expired, or canceled.
Due Process for a Washington Real Estate Investigation
Due process guarantees basic fairness that requires federal and state governments to provide specific procedures. Procedural due process is about whether the process is fair and substantive due process is about whether the government has the right to bring the action.
Below are things to consider regarding due process in Washington State real estate:
- Disciplinary action. The director can take disciplinary action against anyone involved in real estate, including brokers, managing brokers, designated brokers, or real estate firms.
- Real estate broker duties. Real estate brokers must deal honestly and in good faith, disclose material facts, and exercise reasonable care and skill.
- Real estate contract forfeitures. If the seller, their agent, or attorney doesn't know the identity or address of the person they must notify, they can post a copy of the notice in a conspicuous place on the property and publish it in a newspaper.
Consequences of a Washington Real Estate Investigation
The consequences of a real estate investigation in Washington can include:
- Civil penalties. For unfair real estate practices, a civil penalty of up to $50,000 may be imposed.
- Disciplinary action. The DOL may take disciplinary action against real estate brokers, managing brokers, or firms. This can include fines, heightened supervision, required training, or license suspension or revocation.
- Criminal prosecution. For practicing without a license, you can be charged with a gross misdemeanor for the first offense and a class C felony for each subsequent offense.
- Class B felony. For mortgage fraud, you can be charged with a class B felony for using or investing proceeds from mortgage fraud or for acquiring or maintaining interest in real property obtained through mortgage fraud.
What Happens If You Lose Your Washington Professional Real Estate License?
If you lose your Washington State real estate license, you can:
Reinstate it. You can apply to reinstate your license if you:
- Pay all back renewal fees and penalties
- Complete 60 clock hours of approved real estate coursework, including 30 hours of real estate law
- Pay a $100 reinstatement penalty fine
- Email [email protected] with your full name and previous license number to confirm you can reinstate it
Make it inactive. You can pay the renewal fee every two years to keep your license inactive indefinitely. You can activate your license again under a real estate brokerage or without associating with a brokerage.
Transfer it to another broker. If your broker's license is revoked, you can transfer your license to another qualifying broker to continue real estate activities.
A real estate license can be revoked for misconduct, violation of ethical standards, and failure to meet requirements set by the licensing authority. A criminal history can prevent you from getting a real estate license.
Why Hire a Lento Law Firm Professional License Defense Attorney
Washington State DOL 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 Washington State'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 DOL by:
- 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 The DOL 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 Washington 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.
