The IREC is considering whether to take emergency action against broker Frank, who is alleged to be actively soliciting clients using false credentials while his license renewal is pending. Iowa's Administrative Procedure Act allows emergency rulemaking or emergency orders under certain conditions. Which of the following conditions must the IREC demonstrate to justify issuing an emergency suspension of Frank's license without first conducting a full hearing?
Correct Answer
D) The IREC must demonstrate that an immediate and serious threat to public safety or welfare exists that cannot await the normal hearing process
Under Iowa Code Chapter 17A (Iowa Administrative Procedure Act) and IREC's authority under Chapter 543B, an emergency suspension or order may be issued without a prior hearing only when the agency can demonstrate that an immediate and serious threat to public health, safety, or welfare exists and that waiting for the normal hearing process would cause irreparable harm. A post-suspension hearing must then be promptly scheduled to afford the licensee due process.
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Related Topics & Key Terms
Key Terms:
Related Concepts
FREC has the authority to impose fines and other disciplinary actions on licensees who violate real estate laws and rules.
A group boycott is an illegal antitrust practice in which two or more competing real estate businesses agree to refuse to work with a specific person, company, or entity in order to harm that party's ability to compete.
In real estate, the distinction between an independent contractor and an employee determines tax treatment, liability, and the level of control a broker may exercise over the agent's daily activities. Most real estate agents operate as independent contractors.
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