Real Estate License Defense in Alaska

There is no state more unspoiled and fiercely independent than Alaska. For many people, owning property in Alaska allows a lifestyle emphasizing independence and love of the outdoors. Alaska's real estate professionals help make the dream of owning a piece of Alaska a reality. However, real estate professionals in Alaska are regulated by a strict and complicated series of regulations and laws, and it is easy to make a mistake that may cost you your license. If you receive a notice of a complaint from the Alaska Real Estate Commission, it is normal to feel panic, but it is important to keep calm and take immediate action.

The Lento Law Firm Professional License Defense Team understands how hard you have worked to become a real estate professional in Alaska and how the loss of a license can destroy your life. The Lento Law Firm has a proven track record of successfully defending all sorts of professional licenses, including real estate. Our experienced license defense attorneys will act to protect and preserve your professional reputation and business. Complete our online form or call our offices today at 888.535.3686 to arrange a confidential consultation.

The Alaska Real Estate Commission

The Alaska Real Estate Commission is a seven-member panel appointed by the Governor. The Alaska Real Estate Commission has the power to:

Deny an initial real estate license (for a salesperson, broker, or associate broker).
Revoke or suspend a real estate license (for a salesperson, broker, or associate broker).
Fine or impose other monetary penalties.
Place a licensee on probation.
Reprimand a licensee.
Establish continuing education requirements.
Order restitution to clients or parties.
Administer the Recovery Fund to claimants.

In cases of serious criminal wrongdoing, the Alaska Real Estate Commission has the power to refer the issue to law enforcement.

Common Issues Facing Real Estate Professionals in Alaska

Alaska real estate professionals may be disciplined for violating professional standards and rules. Common issues involved in disciplinary proceedings include:

Fraud, misrepresentation, or dishonesty.
Professional incompetence.
Representing more than one party in a real estate transaction.
Financial mismanagement, such as misusing funds or failing to account for or turn over money or property.
Failure to disclose as required under Alaska law (12 AAC 64.940).
Conviction or guilty plea for crimes involving dishonesty, including forgery, embezzlement, or fraud.
Advertising a property without written consent of the owner.
Paying compensation to a prohibited person.
Advertising real estate without the broker's name.
Failure to disclose broker relationship.
Structuring a sale that profits the licensee to conceal the profit and identity.
Accepting non-cash substitutes for earnest money without disclosing to the owner.
Failure to communicate bona-fide offers to the seller.
Failing to disclose a known material defect regarding the sale of property.
Allow salespersons to operate real estate businesses without brokerage control and supervision.
Violation of fair housing laws.

Discipline For Failing to Disclose in Alaska

Brokers and salespeople have duties to disclose in Alaska, and failure to disclose is often a discipline issue. Alaska real estate salespeople and brokers must disclose all known material information regarding the physical condition of real estate if the information might substantially adversely affect a party or defeat the purpose of the real estate transaction.

If a party is disappointed after a sale, they may file a complaint with the Alaska Real Estate Commission. Brokers and salespeople should take these types of complaints very seriously because they can result in license suspension, revocation, or restitution damages. The Lento Law Firm represents real estate professionals accused of failure to disclose in a transaction in Alaska.

Other Duties of Real Estate Licensees in Alaska

Real estate salespersons and brokers in Alaska have duties to:

Exercise reasonable skill and care.
Deal honestly and in good faith.
Present all written offers and other communication.
Timely account for all money and property received.
Before representation, disclosure of all relationships in writing.
Disclose some events, such as recent murders or suicides at properties.

The duty to investigate is limited only to certain circumstances.

Duties Not Owed by Licensees in Alaska

Unless a salesperson or broker agrees otherwise, they do not owe a duty to:

Conduct an independent inspection of a property.
Conduct an independent investigation of a person's financial condition.
Verify the accuracy of a statement made by a party or a person the licensee reasonably believes to be reliable.

If you receive a complaint based on a failure to disclose in Alaska, it is important to ascertain whether you owed any type of duty in the situation. The Lento Law Firm can advise you on your duty to disclose under Alaska law, which is much more limited than in many states. Before accepting any discipline, it is important to put forth a defense if that is appropriate given the facts of the situation.

Duty to Report Criminal Conviction in Alaska

A licensee in Alaska must report convictions that affect their ability to practice as a broker or salesperson. Licensees have an ongoing obligation to report felonies and some other convictions. The Commission is particularly interested in crimes involving forgery, theft, extortion, conspiracy to defraud creditors, or fraud. The Lento Law Firm can advise you on whether you have a duty to report a criminal arrest or conviction and how to do it in a way that will minimize issues.

Real Estate License Discipline Process in Alaska

The Alaska Real Estate Commission handles complaints and disciplinary actions against brokers, salespersons, and other real estate professionals. The process of discipline typically involves the following:

Complaint: Most cases start with a complaint to the Commission by a client, colleague, or other party. The Real Estate Commission will decide whether to pursue the complaint further and will conduct an investigation.
Statement of Issues: If the Commission decides to pursue action, it must deliver a Statement of Issues to the licensee. This statement must contain factual and legal information on the alleged violation. This statement will also inform the respondent licensee of the right to request a hearing.
Notice of Defense: The respondent licensee may file a Notice of Defense requesting a hearing. The licensee may also object that the accusations do not state a violation or are too broad or uncertain to allow for a defense. In response to accusations, the licensee may admit to an accusation, deny an accusation, or present a defense. A licensee may file multiple notices of defense as long as they are timely.
Hearing: If necessary, the Real Estate Commission will conduct a hearing overseen by a hearing officer. This hearing officer will decide on the issues of what evidence and witnesses will be heard or accepted. The Real Estate Commission will decide the time and place of the hearing. Generally, the hearing will take place in Juneau, Ketchikan, Anchorage, Nome, or Fairbanks, depending on the location of the alleged violation. The Commission may allow for the electronic or telephonic appearance of a party or witnesses for good cause shown.
Burden of Proof: The Commission must prove the allegations by a preponderance of the evidence. If the respondent licensee asserts an affirmative defense (such as necessity or duress), the respondent licensee must prove the affirmative defense.
Decision and Order: The Real Estate Commission will then decide on the issues and the appropriate disciplinary action. The Commission will publish an order describing the facts and conclusions of the law and justifying the discipline imposed. If this order contains a clear mistake or misunderstanding, the licensee can ask for a rehearing or reconsideration before the Commission. The licensee can also ask for reconsideration, alleging that the penalty imposed is disproportionate to the conduct alleged.
Appeal: If the Commission's determination is not in your favor, you will have the right to appeal to the Superior Court. The period for appeal is short, so call the Lento Law Firm as quickly as possible if you have an adverse decision of the Commission.

Potential Disciplinary Actions in Alaska

The Alaska Real Estate Commission may discipline salespersons and brokers. Potential discipline includes:

Formal Reprimand: TheCommission may reprimand a real estate professional or censure them.

Probation: The Commission may place a licensee on probationary status.

Fines: The Commission may fine the broker or salesperson or impose other monetary penalties of up to $5,000 per violation.

Initial License Denial: The Commission may deny the application for a license because of the background check or other issues. The Lento Law Firm represents applicants denied a real estate license in Alaska.

Suspension of License: TheCommission may suspend a salesperson or broker license for a period of time or until conditions are met to reactivate it. The Lento Law Firm represents individuals who face the potential suspension of a license or those who seek reinstatement of their license after a suspension.

Revocation of License: Theloss of a license is the worst-case scenario. This means that the license holder loses their license and must begin the licensing process again.

Restitution: The Alaska Real Estate Commission handles the Claims Recovery Fund and may order a licensee to provide restitution to a successful party. Beyond these formal actions, a disciplinary complaint before the Alaska Real Estate Commission can produce bad publicity that harms your reputation and business. The Lento Law Firm is here to provide support and advice to avoid or limit damage to your reputation and livelihood.

Reinstatement of License

If a real estate license is suspended in Alaska, the licensee may move for reissuance. The licensee must show that the terms of the suspension order have been met. For instance, if the suspension is for a set period, the licensee can reapply after this period has lapsed. If the suspension order requires the licensee to complete continuing education or other requirements before reapplying, they must meet those terms.

The case of revocation of a license is a bit more complicated. A person with a revoked license must reapply just as any other applicant would apply. The Commission will review the application on those terms. If, for example, a license is revoked because of a conviction for forgery or fraud, the Commission would require a passage of time before considering licensing the applicant. While the reinstatement of a license is never assured, the licensee can take steps to make it more likely. They should ensure they have completed continuing education, paid all fines, and taken steps to rectify the issues that led to the revocation. Call the Lento Law Firm for assistance if you seek reinstatement of your broker or salesperson license before the Alaska Real Estate Commission.

How Our Skilled Professional License Defense Team Can Help

If you face discipline by the Alaska Real Estate Commission, this is a frightening and confusing time. Disciplinary proceedings in any profession can leave the licensee feeling frightened and overwhelmed. Know that you are not alone in this process. The Lento Law Firm has helped countless professionals, including those in Alaska, defend their licenses and livelihoods against allegations of wrongdoing. Making sound decisions with so much pressure and outside noise may be difficult for you. Although it is difficult to make decisions right now, one decision that is always helpful is to find good, experienced legal representation. With the right legal team, you can work for the best possible result and regain your peace of mind. Alaska can be a tough place to defend a license, but you can have a tough legal team on your side.

The Lento Law Firm Professional License Defense Team is here to provide advice and support as you defend your Alaska real estate license. We have a proven track record of successful license defense. Let us work to protect your broker, salesperson, or other real estate professional license and your career. Don't let all your hard work over many years go to waste. We can help, so call us today. Complete our online form or call our offices at 888.535.3686 to arrange a confidential consultation.