The North Dakota Legislature passes a new statute that conflicts with an existing NDREC administrative rule in North Dakota Administrative Code Title 70. The statute is silent on whether it intends to supersede the administrative rule. A licensee, Robert, is accused of violating the administrative rule but argues that the new statute implicitly repealed the rule. Which legal principle governs this situation?
Correct Answer
B) The statute takes precedence over the conflicting administrative rule because statutes enacted by the legislature are superior to administrative rules
Under the hierarchy of laws, statutes enacted by the legislature are superior to administrative rules promulgated by agencies. When a statute conflicts with an administrative rule, the statute controls. This is a foundational principle of administrative law in North Dakota and all U.S. jurisdictions. The NDREC's rulemaking authority derives from the legislature, so the legislature can override agency rules by statute.
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Related Concepts
Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.
Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.
Florida brokers are required to maintain transaction records and escrow records for a minimum of five years.
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