(a)Authority to transact business as an auctioneer under any license issued by the board shall be restricted to the person named in the license and may not inure to the benefit of any other person.
(b)Where an auctioneer’s license shall be issued to an auction company that is duly qualified and registered to conduct business in this state, authority to transact business thereunder shall be limited to one officer, member, copartner, or owner of the company, to be designated in the application and named in the license. Each other officer, member, copartner, or owner of the company desiring to act as an auctioneer in connection with the business of the company, or otherwise, shall be required to make application for and take out a separate license in his or her own name individually.
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(a) Authority to transact business as an auctioneer under any license issued by the board shall be restricted to the person named in the license and may not inure to the benefit of any other person.
(b) Where an auctioneer’s license shall be issued to an auction company that is duly qualified and registered to conduct business in this state, authority to transact business thereunder shall be limited to one officer, member, copartner, or owner of the company, to be designated in the application and named in the license. Each other officer, member, copartner, or owner of the company desiring to act as an auctioneer in connection with the business of the company, or otherwise, shall be required to make application for and take out a separate license in his or her own name individually.
(c) No licensed auction company may hire an unlicensed auctioneer to conduct any auction business, nor shall any licensed auctioneer conduct an auction for an unlicensed auction company in this state.
(d) Every licensee authorized to transact business pursuant to this chapter shall do all of the following:
(1) Maintain a segregated escrow or trust account in a bank insured by the Federal Deposit Insurance Corporation, in which funds belonging to sellers or consignors received in the course of business transacted shall be kept separate from the funds of the licensee. All funds received from sales by an apprentice shall be maintained in the escrow or trust account of the sponsor.
(2) Enter into a written contract with the owner or consignor of any property to be offered for sale before the auction. All contracts shall clearly contain the terms and conditions upon which the licensee received the property for auction including, but not limited to, whether the auction will be conducted as absolute or with reserve, and the date the proceeds due the owner or consignor shall be remitted to the seller or consignor.
(3) Provide a copy to the seller or consignor of all written instruments prepared by the licensee at the time of execution. Consignment agreements shall contain the name and signature of the licensee responsible for the auction.
(4) Provide a closing statement to the seller or consignor giving a full accounting of all proceeds received and disbursements made relative to the auction. A closing statement shall contain the date and location of the auction and the name, license number, and signature of the licensee responsible for the auction. A closing statement shall be provided within 30 days after the auction. A properly prepared HUD-1 statement, or equivalent, satisfies the requirements of this section for the sale of real property.
(5) Display the name and license number of the auctioneer in all advertising for the auction. In the case of an apprentice auctioneer, all advertising shall also contain the name and license number of the sponsor. An auction company shall display the name and license number of the auctioneer named in the license in any and all advertisements.
(6) Ensure that all advertising is accurate and truthful.
(7) Maintain complete and accurate documents, books, and records of all transactions concerning every auction for a period of five years after the date on which the seller or consignor contracted with the auctioneer or the auction was conducted, whichever is later. The documents, books, and records shall be made available for inspection by the board, or its authorized personnel or representatives, upon request. Failure to produce the requested documents, books, records, or copies thereof within 30 days after request of the board shall be grounds for disciplinary action by the board.
(8) Assume responsibility, as the sponsoring auctioneer, for the acts of any apprentice in the conduct of auction business and be present at every auction to directly supervise the apprentice.