ATTORNEYS’ FIRMS HAVING EMPLOYEES HOLDING REGISTRATION CERTIFICATES IN THEIR SERVICE

Dear Stakeholder

Please be advised that attorneys’ employees whose duties consist wholly or primarily of the rendering of estate agency services, as defined, and who consequently are required to hold a Registration Certificate issued by the Estate Agency Affairs Board are also obliged fully to comply with the educational requirements prescribed by the Standard of Training of Estate Agents Regulations, 2008 (“the Education Regulations”).

Such employees must, therefore:

  • if they have never previously been issued with a Registration Certificate, maintain and complete the prescribed logbook for intern estate agents (which may be accessed from the EAAB website at www.eaab.org.za) and comply with all requirements in this respect;
  • be certificated against, or exempted from, the NQF Level 4 real estate qualification (Further Education and Training Certificate: Real Estate);
  • after having met the relevant registration criteria, enrol for and pass the Professional Designation Examination for non-principal estate agents (PDE 4); and
  • register for, and participate in, the mandatory Continuing Professional Development (“CPD”) programme for estate agents.

Attorneys’ employees holding a Registration Certificate are afforded a period of two years, calculated from the date of the first issue to such persons of a Registration Certificate, within which to comply with the prescribed educational requirements. Further information regarding the prescribed educational requirements may, similarly, be accessed from the EAAB website.

It should be noted, in this respect, that the definition of ‘estate agent’ in section 1(vi)(cA) of the Estate Agency Affairs Act, 112 of 1976 (“the Act”), provides, inter alia, that:

“… for purposes of sections … 33, includes any person who is employed by an attorney … , otherwise than as an attorney or articled clerk, and whose duties consist wholly or primarily of the performance of any act referred to in subsection (i) or (ii) of paragraph (a) on behalf of such attorney …”. (our emphasis)

Subsections 1(vi)(a) (i) and (ii) of the Act encapsulate the definition of the activities of an estate agent while section 33(1)(gA) of the Act authorises the Minister to make regulations “relating to the standard of training and practical experience of estate agents.” The Education Regulations, were, accordingly, made by the Minister pursuant to the provisions of section 33(1) of the Act.

Attorneys’ employees who fail to comply with the peremptory requirements of the Education Regulations within the two-year period referred to will be rendered disqualified. The EAAB will not be able to issue any further Registration Certificates to such disqualified persons who, should they continue to render estate agency services on behalf of the attorney’s firm, will be doing so illegally with all the negative consequences that this entails.

Your cooperation in ensuring compliance with the provisions of the Act and the Education Regulations by your affected employees will be greatly appreciated.

Issued by: The Estate Agency Affairs Board
Date: 30 June 2017

 

 



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