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S.B. 120





Sponsor: L. Alma Mansell

             7      TECHNICAL CHANGES.
             8      This act affects sections of Utah Code Annotated 1953 as follows:
             9      AMENDS:
             10          61-2-12, as last amended by Chapter 146, Laws of Utah 1993
             11          61-2-21, as last amended by Chapter 225, Laws of Utah 1989
             12      Be it enacted by the Legislature of the state of Utah:
             13          Section 1. Section 61-2-12 is amended to read:
             14           61-2-12. Disciplinary action -- Judicial review.
             15          (1) (a) Before imposing an educational requirement, a civil penalty, revoking, suspending,
             16      placing on probation, or denying the renewal, reinstatement, or reissuance of any license or
             17      certificate based on violation of Section 61-2-11 , the division shall give notice to the licensee or
             18      certificate holder and schedule an adjudicative proceeding.
             19          (b) If the licensee is an active sales agent or active associate broker, the division shall
             20      inform the principal broker with whom the licensee is affiliated of the charge and of the time and
             21      place of the hearing.
             22          (c) If after the hearing the commission determines that any licensee or certificate holder
             23      is guilty of a violation of this chapter, the license or certificate may be suspended, revoked, denied
             24      reissuance, or a civil penalty may be imposed by written order of the commission in concurrence
             25      with the director.
             26          (2) (a) Any applicant, certificate holder, licensee, or person aggrieved, including the
             27      complainant, may obtain judicial review or agency review by the executive director of any adverse

             28      ruling, order, or decision of the director and the commission.
             29          (b) If the applicant, certificate holder, or licensee prevails in the appeal and the court finds
             30      that the state action was undertaken without substantial justification, the court may award
             31      reasonable litigation expenses to the applicant, certificate holder, or licensee as provided under
             32      Title 78, Chapter 27a, Small Business Equal Access to Justice Act.
             33          (c) (i) [No] An order, rule, or decision of the director and the commission [may] shall take
             34      effect [until the time for appeal to the court has expired] and become operative 30 days after the
             35      service thereof unless otherwise provided in the order.
             36          (ii) If an appeal is taken by a licensee, the division [shall] may stay enforcement of the
             37      commission's action in accordance with the provisions of Section 63-46b-18 .
             38          (iii) The appeal shall be governed by the Utah Rules of Appellate Procedure.
             39          (3) The commission and the director shall comply with the procedures and requirements
             40      of Title 63, Chapter 46b, Administrative Procedures Act, in their adjudicative proceedings.
             41          Section 2. Section 61-2-21 is amended to read:
             42           61-2-21. Remedies and action for violations.
             43          (1) (a) If the director has reason to believe that any person has been or is engaging in acts
             44      constituting violations of this chapter, and if it appears to the director that it would be in the public
             45      interest to stop such acts, he shall issue and serve upon the person an order directing that person
             46      to cease and desist from those acts.
             47          (b) Within ten days after receiving the order, the person upon whom the order is served
             48      may request an adjudicative proceeding.
             49          (c) Pending the hearing, the cease and desist order shall remain in effect.
             50          (d) If a request for a hearing is made, the division shall follow the procedures and
             51      requirements of Title 63, Chapter 46b, Administrative Procedures Act.
             52          (2) (a) After the hearing, if the commission and the [executive] director agree that the acts
             53      of the person violate this chapter, the [executive] director shall issue an order making the cease and
             54      desist order permanent.
             55          (b) If no hearing is requested and if the person fails to cease the acts, or after discontinuing
             56      the acts, again commences the acts, the [executive] director shall file suit in the name of the
             57      Department of Commerce and the Division of Real Estate, in the district court in the county in
             58      which the acts occurred or where the person resides or carries on business, to enjoin and restrain

             59      the person from violating this chapter.
             60          (c) The district courts of this state shall have jurisdiction of these suits.
             61          (3) The remedies and action provided in this section may not interfere with, or prevent the
             62      prosecution of, any other remedies or actions including criminal proceedings.

Legislative Review Note
    as of 1-26-99 8:30 AM

A limited legal review of this legislation raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

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