543B.7 Acts excluded from provisions — prohibited acts — penalties.
The provisions of this chapter shall not apply to the sale, exchange, purchase, rental, lease, or advertising of any real estate in any of the following cases:
1. A person who, as owner, spouse of an owner, general partner of a limited partnership, lessor, or prospective purchaser who does not make repeated and successive transactions of a like character, or through another engaged by such person on a regular full-time basis, buys, sells, manages, or otherwise performs any act with reference to property owned, rented, leased, or to be acquired by such person.
2. By any person acting as attorney in fact under a duly executed and acknowledged power of attorney from the owner, to act on behalf of the owner or lessor to authorize the final consummation and execution of any contract for the sale, leasing, or exchange of real estate. The exclusion in this subsection does not apply to a person who, in the regular course of a business operated in the nature of a property management or brokerage business, makes repeated and successive transactions of a like character for compensation.
3. A licensed attorney admitted to practice in Iowa acting solely as an incident to the practice of law.
4. A person acting as a receiver, trustee in bankruptcy, administrator, executor, guardian, or while acting under court order or under authority of a deed of trust, trust agreement, or will.
5. The acts of an auctioneer who is not a licensee in conducting a public sale or auction, as provided in this subsection.
a. The auctioneer’s role must be limited to establishing the time, place, and method of an auction; advertising the auction which shall be limited to a brief description of the property for auction and the time and place for the auction; and crying the property at the auction.
(1) The auctioneer shall provide in any advertising the name and address of the real estate broker who is providing brokerage services for the transaction and the name of the real estate broker, attorney, or closing company who is responsible for closing the sale of the property.
(2) The real estate broker providing brokerage services shall be present at the time of the auction and, if found to be in violation of this subsection, shall be subject to a civil penalty of one thousand dollars.
(3) If the auctioneer closes or attempts to close the sale of the property or otherwise engages in acts defined in sections 543B.3 and 543B.6, or paragraph “b” of this subsection, then the requirements of this chapter do apply to the auctioneer.
b. An auctioneer who is not a licensee is expressly prohibited from engaging in the following acts:
(1) Contacting the public regarding real property beyond that which is permitted under this section with the purpose of securing or facilitating the sale of such real property.
(2) Independently showing property or hosting open houses.
(3) Making material and substantive representations regarding title, financing, or closings.
(4) Discussing or explaining a contract, lease, agreement, or other real estate document, other than the contract for conducting the auction or other acts permitted by this subsection, with a prospective buyer, owner, or tenant of the real property, with the purpose of securing or facilitating the sale of such real property.
(5) Collecting or holding deposit moneys, rent, other moneys, or anything of value received from the owner of real property or from a prospective buyer or tenant, other than fees, commissions, or other consideration paid in exchange for conducting the auction or other acts permitted by this subsection, with the purpose of securing or facilitating the sale of such real property.
(6) Providing owners of real property or prospective buyers or tenants with advice, recommendations, or suggestions regarding the sale, purchase, exchange, rental, or leasing of real property, except with regard to acts permitted under this subsection.
(7) Falsely representing in any manner, orally or in writing, that the auctioneer is a licensee.
c. If an investigation pursuant to this chapter reveals that an auctioneer has violated this subsection or has assumed to act in the capacity of a real estate broker or real estate salesperson, the real estate commission shall issue a cease and desist order, and shall impose a civil penalty of one thousand dollars for the first offense, and impose a civil penalty of up to the greater of ten thousand dollars or ten percent of the real estate sales price for each subsequent violation.
6. An isolated real estate rental transaction by an owner’s representative on behalf of the owner; such transaction not being made in the course of repeated and successive transactions of a like character.
7. The sale of time-share uses as defined in section 557A.2.
8. A person acting as a resident manager when such resident manager resides in the dwelling and is engaged in the leasing of real property in connection with their employment.
9. An officer or employee of the federal government, state government, or a political subdivision of the state, in the conduct of the officer’s or employee’s official duties.
10. A person employed by a public or private utility who performs an act with reference to property owned, leased, or to be acquired by the utility employing that person, where such an act is performed in the regular course of, or incident to, the management of the property and the investment in the property.
11. A nonlicensed employee of a licensee who provides information to another licensee concerning the sale, exchange, purchase, rental, lease, or advertising of real estate which has been provided to the employee by the employer licensee either verbally or in writing.
[C31, 35, §1905-c26; C39, §1905.23; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, §117.7]
83 Acts, ch 43, §1; 85 Acts, ch 155, §21
C93, §543B.7
95 Acts, ch 170, §5; 96 Acts, ch 1054, §1; 99 Acts, ch 82, §1; 2001 Acts, ch 83, §1; 2004 Acts, ch 1018, §1; 2005 Acts, ch 101, §1; 2006 Acts, ch 1055, §2; 2012 Acts, ch 1045, §1; 2013 Acts, ch 90, §165
Referred to in §543B.34, 543B.43, 543C.6
Structure Iowa Code
Chapter 543B - REAL ESTATE BROKERS AND SALESPERSONS
Section 543B.1 - License mandatory.
Section 543B.2 - Individual licenses necessary.
Section 543B.3 - Broker — definition.
Section 543B.4 - Real estate — definition.
Section 543B.5 - Other definitions.
Section 543B.6 - Acts constituting dealing in real estate.
Section 543B.7 - Acts excluded from provisions — prohibited acts — penalties.
Section 543B.8 - Real estate commission created — staff.
Section 543B.12 - Expenses of members — compensation.
Section 543B.13 - Seal — records.
Section 543B.14 - Fees and expenses.
Section 543B.15 - Qualifications.
Section 543B.16 - Application forms.
Section 543B.18 - Enforcement of rules.
Section 543B.19 - License denied — hearing.
Section 543B.20 - Examination.
Section 543B.21 - Nonresident license.
Section 543B.22 - Nonresident’s place of business.
Section 543B.23 - Actions against nonresidents.
Section 543B.24 - Custody of salesperson’s license.
Section 543B.25 - Display of license.
Section 543B.28 - Expiration of license.
Section 543B.29 - Revocation or suspension.
Section 543B.30 - Actions — license as prerequisite.
Section 543B.31 - Place of business — branch license.
Section 543B.32 - Change of location.
Section 543B.33 - Salespersons — change of employment or association.
Section 543B.34 - Investigations by commission — licensing sanctions — civil penalty.
Section 543B.35 - Hearing on charges.
Section 543B.36 - Attendance of witnesses.
Section 543B.37 - Fees and mileage.
Section 543B.38 - Request for witnesses.
Section 543B.39 - Disobedience to subpoena.
Section 543B.40 - Depositions.
Section 543B.41 - Findings of fact.
Section 543B.42 - List of licensees.
Section 543B.44 - Complaints referred to court.
Section 543B.45 - Dual contracts for sale of real property.
Section 543B.46 - Trust accounts.
Section 543B.47 - Insurance requirement.
Section 543B.48 - Civil penalty amount.
Section 543B.49 - Injunctive relief.
Section 543B.51 - Public members.
Section 543B.52 - Disclosure of confidential information.
Section 543B.53 - Application of chapter.
Section 543B.54 - Real estate education fund.
Section 543B.55 - Disclosure of relationship.
Section 543B.56 - Duties of licensees.
Section 543B.56A - Brokerage agreements — purpose — contents.
Section 543B.57 - Confirmation and disclosure of relationship.
Section 543B.58 - Licensees representing more than one client in a transaction.
Section 543B.59 - Appointed agents within a firm.
Section 543B.60 - Licensees providing services in more than one transaction.
Section 543B.60A - Prohibited practices — business referral disclosures.
Section 543B.61 - Violations — real estate commission jurisdiction.
Section 543B.62 - Changes in common law duties and liabilities of licensees and parties.