Legislation in Real Estate

This report provides detailed information on the legislation in real estate, specifically the Property and Stock Agent Act 2002 and Stock Agents Regulation 2014. It covers the components of these legislations, including the duties of licensees, rules of conduct, and disclosure requirements. The report also discusses breaches of the act and provides an overview of the process for addressing discrepancies in the application of legislation. It is a comprehensive guide for accessing and interpreting legislation in the real estate industry.

Access and interpret
legislation in real estate

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
PART – 1 ........................................................................................................................................3
Short Title Legislation.................................................................................................................3
PART – 2.........................................................................................................................................3
Long Title Legislation.................................................................................................................3
Stock Agents Regulation 2014....................................................................................................4
PART – 3.........................................................................................................................................6
Components ................................................................................................................................6
Property and Stock Agent Act 2002............................................................................................6
Stock Agents Regulation 2014....................................................................................................8
PART- 4...........................................................................................................................................9
Breaches .....................................................................................................................................9
Property and Stock Agent Act 2002............................................................................................9
Stock Agents Regulation 2014....................................................................................................9
PART- 5.........................................................................................................................................10
Currency of the chosen legislation............................................................................................10
Property and Stock Agent Act 2002..........................................................................................10
Stock Agents Regulation 2014..................................................................................................10
PART- 6.........................................................................................................................................10
Process for addressing discrepancies in the application of legislation for personal or agency
practice......................................................................................................................................10
Property and Stock Agent Act 2002..........................................................................................10
Stock Agents Regulation 2014..................................................................................................11
CONCLUSION..............................................................................................................................11
REFRENCES ................................................................................................................................12

INTRODUCTION
Real estate means any kind of thing that has been embedded in the land in the form of a
structure formed by an builder. In other words real estate is considered to be that kind of stake
which has been brought into existence through building or any other structure. In this things like
property, plant and equipment, intangible assets. Also includes intellectual property, fixtures,
roads, structures and utility systems included within it. Various regulations has been formed to
keep monitoring there activities. The legislation report is based on Property and Stock Agent Act
2002 and Property and Stock Agents Regulation 2014. Further report is divided into various
parts which explains these legislations in detail.
MAIN BODY
PART – 1
Short Title Legislation
Name of Act: Property and Stock Agent Act 2002
Name of Act: Stock Agents Regulation 2014
PART – 2
Long Title Legislation
Property and Stock Agent Act 2002
The act has been commenced in order to mark day or days to be appointed by
proclamation. Under this various definitions has been covered that is of agency agreement
pursuant over which a license perform over services within in capacity of licensee. Also agents is
specified like real estate agent, stock and station agent and strata managing agent(Sorber, 2018).
Then definition is been given that means a person other then real estate agent's license having an
employee of real estate agent within a corporation that carries business of real estate, exercises
any real estate agent function and engaged in any form of activities that is related to regulations
is known as agent. Auction means sales of property through any means weather highest, lowest
or bidder that is in purchase and there is competition that is there for purchase of property in a
manner that is understood through auction. Auctioneer is that person who within the course of
trade or business acts as auctioneer and sellers of rewards that can be monetary or in any form
like land, livestock. It can be that sellers or officer of sales attempted to sell land or livestock

through auction. Auctioneer is that person who has been engaged in any activities that has been
formed for purpose of definition. The property services industry that has been regulated by
Property, Stock and Business Agent Act 2002 in this regulation agents conduct and competence
required for carrying out of profession has been explained. Act regulation of framework has been
including industry licensing, disciplinary procedures and protection of consumer is covered. In
this Property Stock and Business Agents Regulation providing details about responsibility that
has been carried under the Act. This act is there to ensure property that ethics is being followed
which has been there to provide financial accountability for supporting role which has been
helping in making fair dealings between customers and consumers. As a part of regulation
review fair trading is there over proposing updates to property, stock and business agents
regulation. The preferred option, outlined in the Regulatory Impact Statement, would continue to
support the property services sector to operate fairly and professionally, and maintain important
consumer protections. Objectives of the act has been given as follows:
 Supporting continued operation of the property services and real estate sector
 Maintaining important consumer protections
 Removing obsolete references and repetition provisions
 Introducing a unique identifying number for general trust accounts to ensure that banks
are accountable for interest paid into the Statutory Interest Account; and
 Allowing the use of various technologies for the keeping of records and communication
purposes (Sinchana, 2017).
Stock Agents Regulation 2014
The main objective of this act covers functions of real estate agent and assistant real
estate agent. Also managing agents and assistance agents is having functions that has been
explained. Real estate agent functions has been defined under the section 3A(1) of the act defines
them and they are explained as follows:
 The first function is that auctioneer or an agent of parcel within rural land under which 29
hector or less is included.
 Under this an individual has been undertaking commercial property and major property is
being hold by affiliated person.
Functions that real estate agent and assistant real estate agent should exercise are as follow:

An real estate agent that holds class 1 or class 2 license can exercise all real estate
functions.
A real estate agent is not allowed to withdraw money form an trusted account unless the
real estate agent has been given license of business over the related account. Assistant real estate
agent may exercise function only when certain situation exists that is given under section 3A(2)
and explained as:
 Enter into contract over sales of land.
 Enter into agency agreement of franchising agreement.
 Authorization of withdrawal of money from trusted account.
Functions that are to be hold by stock and station agent that has been exercised and these
functions has been explained as follows:
Functions that stock and station agents and assistant stock and station agents may exercise
1. A stock and station agent who holds a class 1 or class 2 licence may exercise all stock
and station agent functions.
2. Event there sub clause and station agent is not given authority over withdrawal of money
that has been performed through accounting and station agent that is in charge of business
over which trust issue can occur (Shen, Zhang and Long, 2017).
3. Assisting and stock agent has been exercising the stock with functions. This cannot be in
the capacity of person or station agent.
Certain things mentioned under the act that has to be kept in mind is
Performing of any function that has been described within paragraph of definition that is
possessed is based on sales or leasing functions.
 If sales of contract or land exists
 Entering into agency agreement which is related to purchase of sales and leasing
functions.
 Enter into agency agreement that is related only on sales or purchase of live stock with
franchising agreement.
 Authorise withdrawal of money through an trusted account.
Functions that strata managing agents and assistant strata managing agents may exercise and
they as follows:

Strata managing that holds class 1 and 2 license has been exercising strata managing
agent functions. Strata managing agent is not been authorised over withdrawal of money through
trusted accounts unless the agent is the license of business related to trust account.
 An assistant managing agent can exercise all functions that has been managing various
functions only when certain situation exists.
 When agency agreement or franchising agreement is there
 Authorising withdrawal of money from trusted account
 affixing seal of owner corporation.
PART – 3
Components
Property and Stock Agent Act 2002
Various duties are there that has been explained under the act and are also major
components which are explained as follow
Duty of licensee and person in charge to properly supervise business
1. An licensee should be properly supervised for the business that has to be carried out.
2. Licensee employed by another licensee as the person has charged business at an place
with business. Principal licensee should supervise in proper manner through principals
that has been carried on that place (Pow, 2017).
3. Requirement which has to be properly supervised and conducting business has certain
requirements and they are:
 Properly supervising an person engaged within business.
 Requirement for establishing procedure has to be designed in order to ensure that
provisos of act and any laws shows relevant conduct within a business.
 Monitoring is required to be done in order to make sure that conducting a business in a
way that ensuring practicable applicability of law in appropriate manner.
The Secretary has to make time to time issue and notifications about licensees guidelines that
constitutes proper supervision in a business over license. Failure to comply these guidelines in
connection with supervision of an business should constitute failure that has been properly

supervised by business. Reference to be made in this section to an person that is engaged over
business to be carries only by licensee in reference to a person has been given as follows:
 Person engaged within a business as an employee over licensee
 Person engaged by licensee than an employee of licensee for providing services within
the course of business
 Services that has to be engaged by licensee other than employee over licensee in order to
provide services within the course of business. As an employee over licensee within an
agreement is required to enter with another person.
Rules of conduct for licensee’s business
Regulations is there to prescribed rules of conduct that has to be observed within the course that
is required to carry on business and exercise functions as per the license or certification of
regulation.
Duty of licensee not to engage certain persons
 Licensee should not employ to a person within the capacity in relation over carrying on
of business that has been conducting licensee or engaged to an person exercise regulation
function in course of business only when a person is:
 Disqualified person except whose disqualification has been done on grounds of having no
eligibility of holding certificate of registration.
 If licence or certificate of registration has been suspended and cancelled under the Act.
 Application for license or certification of registration has been refused on the grounds
that person is not fit to hold license of certificate of registration. Unless license or
certificate of registration has been granted to a person or has not been cancelled.
Licensee or registration person without reasonable excuse contravenes should rule that has been
conducted or prescribed over section that is guilty of an particular offence (Mutapčić, 2016).
Duty of discloser to client and various perspective of buyer of land
An buyer or seller is having agent that has been acting on sales over purchase of land and has to
be disclosed to the person for whom agent is acting and form the perspective of buyer of land
certain things are there that is as follows:
 Any relationship that has been based on personal and commercial nature in this agent is
required to refer to client over the perspective of buyer for professional services. That is
related to sales.

 Whether the agent derives or expects to derive any consideration in monetary or any
other term agent is refereed over clients that prospective buyer has amounted value of
consideration.
Duty of licensee not to engage certain persons
The amount value or nature of any benefit over which an agent has been awarded to that
person for whom an agent is regarded to seek client or perspective over buyer that has been
received, receives that is expected to receive connection through sales, performing sales provided
in connection sales and land.
Duty not to act for both buyer and seller of land
Licensee is not required to enter into agency agreement in respect of purchase and sales
of land over performing services through licensing within the agreement that is going to result
within license acting as per the capacity on behalf of both buyer and seller of land.
Registered office and address
1. Licensee is required to have registered office in Austria
2. Licensee is required to carry business of an agent when licence or authorisation is stae in
50 km of New South Wales and registered office should be there.
3. \licensee should have registered office within New South Wales.
4. The power can be authorised under the act by intrastate office( Mavlioutov, Egorova and
Pakhomova, 2018).
5. Address is required to be specific in an application as address over which applicant has
proposed to carry business.
6. Notice of any change in the location should be given by the licensee in the time that has
been given under regulation.
Stock Agents Regulation 2014
Rules of conduct
Rules that has been formed under the Schedule 1 to 6 for the purpose of section 37 of the Act as
rule of conduct has to be observed in order to carry out business or exercise over functioning
under licence or certification over registration and are applied as follows:
a) Schedule that has been applied over all agents and assistance can be applicable over agent
that has been hired for a specific work.

b) Part 1 of schedule 2 is applicable to real estate agent which has been performing
functions which is related to sales and purchase of business and its functions.
c) Schedule 3 is only applicable to stock and station agent that has been assisted by agents.
d) Schedule 6 is applicable over strain that has been managing agents and strata agent also.
PART- 4
Breaches
Property and Stock Agent Act 2002
Fraudulent conversion and false accounting of money that has been received by licensee or with
registered person. Further it has been explained as follows:
1. Any money that has been received by license or registered person on behalf of person in
respect of any transaction in licensee person's capacity with registered person or part of
money. Also money so received is being held over license or registered person as a
stakeholder in trust pending over completion of any transaction.
2. License or registered person has been fraudulently converts money or any part of such
money that has to be used by any other person with licensee or registered person that is
guilty of an indictable offence then he is required to be held imprisonment of 10 years.
3. License or registered person in fraudulently omits account to deliver or pay money
through any part of money to a person that has to be received to person entitled with
license or registration of an offence and is liable for imprisonment of 10 years.
4. License or registered person fraudulently has been rendering account of money and
knowing that account is false in any material, licensee or registered person is guilty of an
offence then he has to face prison of not more then 10 years (Kaplan and Haenlein,
2019).
Stock Agents Regulation 2014
Penalty and offences has been explained under section 216 of the act
1. Each offence that has been created by provision specified in Column 1 of schedule 15
penalty notice can be served.
2. Penalty has been prescribed of each offence that is amounted to be specified opposite
provisions in Column 2 of Schedule and if person has been alleged over commitment

within an offence and penalty has been specified in Column 2 of Schedule and amount
specified of schedule 15.
3. Reference to a provision in Column 1 of schedule 15 is qualified through words that has
restricted and its operation is specified over kind of circumstances specified.
PART- 5
Currency of the chosen legislation
Property and Stock Agent Act 2002
This act was formed in the year 2002 by Australian government to make sure that real
estate and activities related is being monitored (Birmingham, 2018). Such act has been made was
modified in the year 2020 different kinds of legislation has been formed under it and they are as
follows:
Provisions in force
Property, Stock and Business Agents Act 2002 this can also be read in relation to Real Estate
Service Council Bill 2019, Better Regulation Legislation Amendment Bill 2020, Statute Law Bill
2020, Community Land Development Bill 2020 and Community Land Management Bill 2020.
Stock Agents Regulation 2014
Currency of version
This legislation has been formed by government to deal with various problems that is related to
Stock agent regulation 2014. It consist of versions legislation that has been displayed and have
commencement. The act can also be studied with Community Land Management Bill 2020 and
legislation has been replaced by Legislation Act 1989.
PART- 6
Process for addressing discrepancies in the application of legislation for personal or agency
practice
Property and Stock Agent Act 2002
Proceedings for offences
1. Proceedings that has been taken over the offence as per the act regulation can only be
prosecuted through the name of Secretary that has been acting within the authority of
Secretary. (Besbris and Faber, 2017).

2. Proceedings within an offence can be handled by the judge of the court.
3. Summary should be presented in front of lower court over the matter.
4. Before Supreme Court facts should be presented in case of review petition.
5. If the offence is proved in Local court then maximum penalty should be applied as per
the regulation has given.
6. A person against whom proceeding is going on to the offence over the act that has
resulted into convention of the person then he must be punished as per the judgement
passed.
Stock Agents Regulation 2014
Penalty notice offences and penalties
1. For the purposes of section 216 of the Act
2. Every offence in the provision has been specified under Column 1 of Schedule 15 notice
can be served for them.
3. Penalty has been specified for such offence over amount specified provision of Column
2 of the Schedule and if an person alleged over committing offence in an corporation and
greater penalty has been specified over amount in Column 3 of Schedule.
4. If the reference to a provision in Column 1 of Schedule 15 is qualified by words that
restrict its operation to specified kinds of offences, an offence created by the provision is
a prescribed offence (Agboola, Scofield and Amidu, 2017).
CONCLUSION
From the above report it can be concluded that activities of real estate is required to be
monitored so for such purpose Property and Stock Agent Act 2002 and Stock Agents Regulation
2014 has been formed. Further in this report various things related the act like basic, components
and penalties with process of applying for proceeding has been explained.

REFRENCES
Books and Journals
Agboola, A.O., Scofield, D. and Amidu, A.R., 2017. Understanding property market operations
from a dual institutional perspective: The case of Lagos, Nigeria. Land Use Policy. 68.
pp.89-96.
Besbris, M. and Faber, J.W., 2017, December. Investigating the relationship between real estate
agents, segregation, and house prices: Steering and upselling in New York State.
In Sociological Forum (Vol. 32, No. 4, pp. 850-873).
Birmingham, M., 2018. Paid in Full: Interpreting and Defining Market Value under the Lacey
Act. Animal L.. 25. p.125.
Kaplan, A. and Haenlein, M., 2019. Siri, Siri, in my hand: Who’s the fairest in the land? On the
interpretations, illustrations, and implications of artificial intelligence. Business
Horizons. 62(1). pp.15-25.
Mavlioutov, R.R., Egorova, E.V. and Pakhomova, O.Y., 2018. Financial maintenance of
building of affordable housing on the basis of public-private partnership. In Materials
Science Forum (Vol. 931, pp. 1107-1112). Trans Tech Publications Ltd.
Mutapčić, H., 2016. PRINCIPLE ON THE LAND REGISTER IN THE INTERPRETATION
OF JURISPRUDENCE. Human: Journal for Interdisciplinary Studies. 6(1).
Pow, C.P., 2017. Courting the ‘rich and restless’: Globalisation of real estate and the new spatial
fixities of the super-rich in Singapore. International Journal of Housing Policy. 17(1).
pp.56-74.
Shen, L., Zhang, Z. and Long, Z., 2017. Significant barriers to green procurement in real estate
development. Resources, Conservation and Recycling. 116. pp.160-168.
Sinchana, G.P., 2017. Corporate Social Responsibility in Real Estate companies: Evidence from
Bengaluru. International Journal in Management & Social Science. 5(11). pp.99-109.
Sorber, N.M., 2018. Early Land-Grant Colleges and Students in the Northeastern United States:
A History of Regional Access and Mobility Patterns in Maine, Massachusetts, and New
York, 1862–1878. Agricultural History. 92(1),.pp.101-123.
Tapp, R., 2020. From the State to the Shareholder: Rent and the Production of Shareholder
Value in Real Estate. Antipode. 52(3). pp.867-887.

Verstraete, J. and Verhaeghe, P.P., 2019. Ethnic discrimination upon request? Real estate agents’
strategies for discriminatory questions of clients. Journal of Housing and the Built
Environment. pp.1-19.