201 KAR 11:190.
Rules of practice and procedure before the Kentucky Real Estate Commission.
RELATES TO: KRS
324.150, 324.151, 324.160, 324.170, 324.200, 324.281(5)
AUTHORITY: KRS 324.151(1), (3), 324.281(5), 324.282
FUNCTION, AND CONFORMITY: KRS
324.281(5) requires the commission to promulgate administrative regulations
necessary to implement KRS Chapter 324. KRS 324.151(1) and (3) requires the
commission to establish the required forms for a complaint and answer. KRS
324.170(1) requires the commission to schedule and conduct an administrative
hearing in accordance with the provisions of KRS Chapter 13B prior to denying
an application for license or before suspending or revoking a license. This
administrative regulation establishes supplemental administrative hearing
procedures for matters before the commission and the required forms for a
complaint or answer.
Complaint Review and Investigation. (1) An aggrieved party shall file a Sworn
Statement of Complaint against a licensed real estate sales associate or
broker. The complaint shall:
(a) Allege a prima facie case of
specific violation of KRS 324.160 in accordance with KRS 324.151;
(b) State the basis of the complaint
fully and concisely, including the name of the broker or principal broker;
(c) Be notarized by a notary public;
(d) Include a completed damages
claimed form, with a copy of each receipt, estimate, or other evidence of
damages attached to the report; and
(e) Be filed within two (2) years
1. Actual knowledge of the cause of
2. The time circumstances would
reasonably have put the aggrieved party on notice of the cause of action.
(2) If the commission staff review
determines the Sworn Statement of Complaint does not allege a prima facie case
of a specific violation of KRS 324.160, the aggrieved party shall file a Sworn
Supplement to Complaint in accordance with KRS 324.151.
(3) A respondent shall file a Sworn
Answer to Complaint if a complaint is filed against him in accordance with the requirements
of KRS 324.151(3). The answer shall:
(a) Identify the respondent;
(b) State his responses to the
(c) Be notarized by a notary public;
(d) Include a copy of the following
1. Listing contract;
2. Purchase contract;
3. Seller's disclosure form;
4. Agency disclosure form; and
5. Settlement statement.
(4) Upon completion
of an investigation following the submission of a complaint and answer, the
(a)1. Dismiss the case without an
administrative hearing if the facts or evidence do not indicate a prima facie
case for a violation of KRS Chapter 324; or
2. Schedule an administrative hearing
pursuant to KRS Chapter 13B, 324.151, and 324.170; and
(b) Notify the complainant and
respondent of its decision in writing. The notification shall include a brief
statement explaining the commission's reasons for the decision.
Section 2. Motions. (1) A
request for the commission or a hearing officer to take or refrain from taking
an action shall be made by an oral or written motion.
(2) A motion shall state the basis
for the motion, including a citation to or description of the legal authority
in support of the requested action, if applicable.
(3) A party shall be given an
opportunity to respond to a motion.
Section 3. Withdrawal of a Complaint.
A complainant may withdraw a complaint if:
(1)(a) An answer has not been filed
in accordance with KRS 324.151; and
(b) The withdrawal is made within
twenty (20) days of the date the complaint was filed; or
(2)(a) There is good cause for the
(b) The commission approves the
Section 4. Consolidation and
Severance. (1) A hearing officer may consolidate cases assigned to his docket
upon a finding by the hearing officer that:
(a) There are:
1. Common questions of law or fact;
2. Identical issues or witnesses; and
(b) Consolidation is appropriate.
(2) A hearing officer may sever
consolidated cases or claims in an administrative action upon a finding that
the requirements for consolidation established in subsection (1) of this
section are not met.
Section 5. Incorporation by
Reference. (1) The following material is incorporated by reference:
(a) "Sworn Statement of
Complaint" 3/01 edition, Kentucky Real Estate Commission;
(b) "Sworn Answer to
Complaint", 7/98 edition, Kentucky Real Estate Commission; and
(c) "Sworn Supplement to
Complaint", 10/00 edition, Kentucky Real Estate Commission.
(2) This material may be inspected,
copied, or obtained, subject to applicable copyright law, at the Kentucky Real
Estate Commission, 10200 Linn Station Road, Suite 201, Louisville, Kentucky
40223, Monday through Friday, 8 a.m. to 4:30 p.m. (12 Ky.R. 630; eff. 12-10-85;
Am. 1603; eff. 5-6-83; 24 Ky.R. 2733; 25 Ky.R. 294; eff. 8-17-98; 27 Ky.R. 1513;
2710; eff. 4-9-2001.)