DEPARTMENT OF REGULATORY AGENCIES
DIVISION OF REAL ESTATE
REAL ESTATE COMMISSION
4CCR 725-1

NOTICE OF PROPOSED RULEMAKING HEARING
December 2, 2014

RULE C.  LICENSING – OFFICE

Pursuant to and in compliance with Title 12, Article 61 and Title 24, Article 4, C.R.S. as amended, notice of proposed rulemaking is hereby given, including notice to the Attorney General of the State of Colorado and to all persons who have requested to be advised of the intention of the Colorado Real Estate Commission (the “Commission”) to promulgate rules, or to amend, repeal or repeal and re-enact the present rules of the Commission.  

STATEMENT OF BASIS

The statutory basis for the rules titled Rules of the Colorado Real Estate Commission is Part 1 of Title 12, Article 61, Colorado Revised Statutes, as amended.
  
STATEMENT OF PURPOSE

The purpose of this rule is to effectuate the legislative directive to promulgate necessary and appropriate rules in conformity with the state statutes of the real estate practice act.

SPECIFIC PURPOSE OF THIS RULEMAKING

The specific purpose of this rule is to amend or repeal existing rules with respect to names, trade names and trademarks used by licensed real estate brokers.

Proposed New, Amended and Repealed Rules

Rule C.  Licensing - Office

C-19.	REPEALED.
(a)	The purpose of this rule is to provide interpretation for Section 12-61-103(10), C.R.S. 1973, as amended.
(b)	For the purposes of this rule, the following definitions shall apply:
(i)	The term “broker” shall mean any sole proprietor, partnership, limited liability company, or corporation licensed by the Real Estate Commission.
(ii)	The term “trade name” shall include trademark, service mark, trade identification, or, any portion thereof which is recognizable as a trade name, trademark, service mark, or trade identification.
(c)	Pursuant to 12-61-103(10) C.R.S., no person shall be licensed under more than one name, and no person shall conduct or promote a real estate brokerage business except under the name under which such person or brokerage business is licensed; however, the use of a trade name with the permission of the owner of such trade name may be used concurrently with the licensed name of the broker in the promotion or conduct of the licensed broker’s business.
(d)	Repealed.
(e)	No broker shall advertise or promote its business in such a manner as to mislead the public as to the identity of the licensed broker: nor shall a portion of the licensed name of any broker be advertised or promoted in a manner which would mislead the public as to the identity of the licensed broker.
(f)	Any broker using a trade name, the use of which requires obtaining permission from another who has an existing and continuing right in that trade name by virtue of any state or federal law, in advertising other than of specific properties for sale and in advertising of specific properties for sale jointly with other brokers under a trade name shall cause the following legend to appear in a conspicuous and reasonable manner calculated to attract the attention of the public:
“Each (Actual Trade Name) brokerage business is independently owned and operated.”
(This legend may be re-phrased if the consent of the Commission is secured.)
(g)	Any broker using a trade name owned by another on “for sale” or “for lease” signs on specific property or in advertising specific property for sale in any media shall clearly and unmistakably include said broker’s name, as registered with the Commission, in a conspicuous and reasonable manner calculated to attract the attention of the public. The broker’s name shall appear where specific property is advertised for sale so that the public may unmistakably identify the broker responsible for the handling of the listing of the specific property.
(h)	Any broker using a trade name owned by another on business cards, letterheads, contracts, or other documents relating to real estate transactions, shall clearly and unmistakably include said broker’s name as registered with the Commission in a conspicuous and reasonable manner calculated to attract the attention of the public and shall also include the following legend:

“Each (Actual Trade Name) brokerage business is independently owned and operated.”

 (This legend may be re-phrased if the consent of the Commission is secured.)
(i)	Any broker using a trade name owned by another on signs displayed at a place of business shall clearly and unmistakably include said broker’s name as registered with the Commission on such signs in a conspicuous and reasonable manner calculated to attract the attention of the public and shall also include the following legend:

“Each (Actual Trade Name) brokerage business is independently owned and operated.”

(This legend may be re-phrased if the consent of the Commission is secured.)

A hearing on the above subject matter will be held on Tuesday, December 2, 2014, at the Colorado Division of Real Estate, 1560 Broadway, Suite 1250C, Denver, Colorado 80202 beginning at 9:00 a.m.

Any interested person may participate in the rule making through submission of written data, views and arguments to the Division of Real Estate.  Persons are requested to submit data, views and arguments to the Division of Real Estate in writing no less than ten (10) days prior to the hearing date and time set forth above. However, all data, views and arguments submitted prior to or at the rulemaking hearing or prior to the closure of the rulemaking record (if different from the date and time of hearing), shall be considered.

Please be advised that the rule being considered is subject to further changes and modifications after public comment and formal hearing.