The Utah legislature passes SB64, which modifies the Utah Uniform Securities Act and Real Estate provisions to address certain real estate transactions. This bill exempts tenants-in-common (TIC) transactions from the definition of securities as well as exempts real estate brokers or agents from needing to be securities licensed to receive compensation for the offer, sale or referral of TIC properties.
SB64 places the responsibility for supervision and rulemaking for the TIC industry in Utah under the jurisdiction of the Division of Real Estate and directs the Division to make rules regarding required disclosures in the offer or sale of TIC properties. The bill increases the Division’s investigatory powers and addresses remedies and actions for violations.
Gary L. Leavitt, chairman of TICRE (TIC Real Estate Association) and president of RealtyNet Advisors, Inc., assisted in the initial drafting of the bill and subsequent amendments. Utah State Senator Al Mansell was the sponsor of the bill. Senator Mansell is also the current president of the NAR (National Association of Realtors).
Similar legislation is expected to be introduced in many other states over the next year or two. TICRE was a strong supporter of this key legislation along with the Utah Association of Realtors, while TICA (Tenant-In-Common Association) and OMNI Brokerage, Inc. expressed opposition to the bill.
