11:5-4.4 INSURANCE
any arrangement whereby a broker fails to personally oversee and direct the operations of the business of which he or she is licensed as broker of record or employing broker. For the purposes of this section, personal oversight and direction of the business shall be construed as requiring the broker to be physically present in the main office or branch office locations of the business at least one day each week (excluding vacations and emergencies). Communication via telephone and/or mail alone for an extended period of time may be considered by the Commission as evidence of prohibited license lending.
(c) Nothing in this section shall be construed to limit a broker’s responsibility to insure the adequate supervision of all offices in accordance with the requirements of N.J.A.C. 11:5-4.4 and 4.5.
As amended, R1982 d.101, effective April 5, 1982. See: 13 New Jersey Register 302(b), 14 New Jersey Register 345(b). Deleted existing text of (b) and added new (b) through (b)2. As amended, R.1983 d.471, effective November 7, 1983. See: 15 New Jersey Register 1343(a), 15 New Jersey Register 1865(c). Amended by R.1989 d.426, effective August 21, 1989 (operative November 19, 1989). See: 20 New Jersey Register 2184(a), 20 New Jersey Register 3019(a), 21 New Jersey Register 1311(a), 21 New Jersey Register 2522(a). Established the minimum amount of personal contact which brokers must maintain with their offices and salespeople, deleted (b) and added new (b) and (c). Amended by R.1998 d.497, effective October 5, 1998. See: 30 New Jersey Register 2333(a), 30 New Jersey Register 3646(a). In (c), changed N.J.A.C. references.
11:5-4.4 Maintained offices
(a) Every resident real estate broker not licensed as a broker- salesperson shall maintain a main office for the transaction of business in the State of New Jersey, which shall be open to the public during usual business hours. This main office and the activities of the licensees working from it shall be under the direct supervision of either the broker himself or herself, or of a person licensed as a broker-salesperson. Such supervision shall be maintained on a full time basis. Maintaining full-time supervision shall not be construed as requiring the person performing the supervisory functions to be present at the office location continuously during usual business hours. However, the person performing the supervisory functions shall provide sufficient information so as to allow the personnel at the main office to make communication with that person at all times. Further, the licensee supervising the main office shall be so employed on a full-time basis and, when not required to be away from the office for reasons related to the business of the office, shall be physically present at that office during usual business hours at least five days per calendar week (excluding vacations and emergencies) and shall not be otherwise employed during such time.
1. In the event the main office of a broker is under the direct supervision of a broker-salesperson, the broker who maintains such a main office shall be ultimately responsible for all activities conducted by licensees and employees. Such a broker shall also provide sufficient information to the personnel at such offices so as to allow them to make communication with such broker at all times. Nothing in this section shall be construed to limit a broker’s responsibility to comply with the requirements of N.J.A.C. 11:5-4.3.
(b) If such office is located in a residence, it shall be independent of living quarters and shall have a separate exterior entrance plainly visible from the street upon which the licensed premises shall have frontage. This subsection shall not apply to offices in existence prior to December 1, 1963.
(c) No broker’s maintained place or places of business shall be in the dwelling premises of any salesperson or referral agent in that broker’s employ.
(d) Sole proprietor employing brokers and persons licensed as a broker of record for a licensed entity are responsible to supervise, track and oversee the brokerage activity of persons licensed under their authority regardless of where such activity takes place.
As amended, R.1983 d.471, effective November 7, 1983. See: 15 N.J.R. 1343(a), 15 N.J.R. 1865(c). “Salesman” replaced by “salesperson”. Amended by R.1989 d.427, effective August 21, 1989 (operative November 19, 1989). See: 20 N.J.R 1160(a), 21 N.J.R. 1312(b), 21 N.J.R. 2523(a). Clarification obligation of brokers of record to supervise their main office on a full time basis and unusual business hours, added to (a) and new (a)1. Amended by R.1998 d.246, effective May 18, 1998. See: 30 N.J.R. 278(a), 30 N.J.R. 1827(a). Inserted a new (d). Amended by R.1998 d.497, effective October 5, 1998. See: 30 N.J.R 2333(a), 30 N.J.R. 3646(a). In (a)1, changed N.J.A.C. reference. Amended by R.2012 d.006, effective January 3, 2012. See: 43 N.J.R. 1791(a), 44 N.J.R. 86(b). In (c), inserted “or referral agent”.
11:5-4.5 Branch office compliance with N.J.A.C. 11:5-4.4 (Maintained offices)
(a) In the event a real estate broker maintains a branch office or offices, every such place of business shall comply with the provisions of N.J.A.C. 11:5-4.4 (Maintained offices).
(b) No license shall be issued for a branch office situated in the dwelling premises of a referral agent, a salesperson or a broker-salesperson.
(c) Any branch office shall be under the direct supervision of a licensed broker employed as a broker salesperson by the broker maintaining the branch office.
(d) Such individual shall devote his or her full time to management of said office during the usual business hours.
(e) The name of the individual responsible for the supervision of the branch office shall be recorded at all times with the Commission.