[{"_1":2,"_112":-5,"_113":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6674334,"mediaKeyId","3677041-c65aa8b65667d4608af6cb3ffc3231e1","parentId",3677041,"title","TREC staff outlines bills in play: wholesaling, grandfathered CE, MLS rules and 'less-is-more' changes","audioSeconds",259,"startMs",4510000,"endMs",4769000,"viewUrl","/Search/View?dp=1&key=3677041-c65aa8b65667d4608af6cb3ffc3231e1&start=4510&end=4769","thumbnailUrl","https://assets.pipeline.soar.com/3677041-c65aa8b65667d4608af6cb3ffc3231e1/thumbnail_4510000.jpg","articleUrl","/articles/6674334/Tennessee/TREC-staff-outlines-bills-in-play-wholesaling-grandfathered-CE-MLS-rules-and-less-is-more-changes","mediaUrl","https://secure.pipeline.soar.com/6674334-cd1076875b2819262321b3ccdd9f300c/orig.mp4?Expires=1770640350&Signature=M7f75TelrJai~rWTOsNxysm0~NpCycGuRQx4yc7~ODc6TaDaH1uQbk2ku2ZkUaotNZoeANXlRccHR~qX~Y8yybkLoiF~NeCkjvMSinifoSVeZxJllhJ7WzrgnxTL4m6XP0SKcv9aNX9-olwOAtOcq4f0RVL9SKeW2HUh5DEdTf2vdwjUCqcZsInsXfUyNZEChIM93O3pJV6girzqacim82-PcRhjAc6pCWEeaHDCG7VB-xn1eRlcoIPE78AmmIpXOnfJ16gC80rQZ2srnAmLd3CuEWEaNwSZI4JtJ40o8NEfeXK7Vxa1G~ldlLFpTkv8XnpBv0FgAWpHIPVH5fZsNg__&Key-Pair-Id=KUT5TJCACFTXG","author","Commerce & Insurance","date","2025-02-11T00:00:00Z","article","Tennessee Real Estate Commission staff delivered a legislative update Feb. 6 highlighting multiple bills filed this session that, if enacted, would alter licensing requirements, industry practices and commission procedures.

Summary of bills presented
- Continuing education for grandfathered principal brokers (HB0700 / SB0886): This bill would remove the CE exemption for principal brokers who were licensed before Jan. 1, 2005 if they supervise affiliate brokers; staff noted the change would require those previously exempt principal brokers to complete the statutory CE hours when supervising affiliates.

- Wholesaling statute (SB0909 / HB0781): Sponsors drafted a definition of \"equitable interest\" and permitted certain wholesaling behaviors if the buyer discloses in writing the buyer's equitable interest to any potential assignee and notifies the seller of the intention to wholesale within three days of assignment. Counsel advised this language could limit the commission’s ability to pursue unlicensed-activity cases for some wholesaling scenarios and shift enforcement to civil actions for disclosure failures.

- Diversity/exclusion prohibition (SB1235 / HB1237): A bill to prohibit governmental bodies from discriminatory practices based on race, color, ethnicity or national origin. Staff explained the measure includes waiver of sovereign immunity and could require the commission to remove statutory language that currently directs the agency to \"strive\" for minority and age representation in appointments; staff noted potential exposure to litigation if a commission appointment practice were challenged.

- Professional freedom of religion act (HB0226 / HB0470): This would bar governmental entities from adverse action against professionals for religious or moral expression in nonprofessional settings and would prohibit MLS or broker organizations from conditioning MLS access on organizational membership or charging higher MLS fees to nonmembers; the bill creates a civil cause of action for violations.

- \"Less Is More\" administrative changes (HB1330 / SB1316): An administration bill that would, among other changes, remove the statutory requirement for the commission to meet in each grand division each year, extend exam/application expiration from six months to two years for some items, and permit the commission to accept a 30-hour CE course in lieu of retesting for some reinstatements. Staff noted details would require rule updates if the bill passes.

Staff cautions and next steps
Legal staff emphasized that bills are in draft form and may be amended before passage. Counsel noted that the wholesaling provision would not sit inside the Real Estate Broker Act but instead sit elsewhere in state law; if enacted, it could remove some unlicensed-activity enforcement options for wholesalers who meet the statutory disclosure requirements. Staff said they will monitor amendments, provide analysis for commissioners when bills move to committee, and provide drafts for regulatory changes if required.

Ending note: staff offered to circulate bill numbers and sponsor names for commissioner review and will return updates as the legislature advances bills.","mediaType","Video","parentTitle","TREC February Board Meeting - 2/11/2025","oneSentenceSummary","TREC staff highlighted pending bills that could change continuing-education rules for grandfathered brokers, permit some forms of wholesaling with written disclosures, and make broader changes to commission procedure and MLS governance.","taxTitle","Commerce & Insurance, Deparments in Office of the Governor, Organizations, Executive, Tennessee","taxId",17379,"location","Tennessee","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6674338,"Kaplan outlines results and changes for Tennessee high-school real estate licensing pilot",365,3450000,3815000,"/Search/View?dp=1&key=3677041-c65aa8b65667d4608af6cb3ffc3231e1&start=3450&end=3815","https://assets.pipeline.soar.com/3677041-c65aa8b65667d4608af6cb3ffc3231e1/thumbnail_3450000.jpg","/articles/6674338/Tennessee/Kaplan-outlines-results-and-changes-for-Tennessee-high-school-real-estate-licensing-pilot","https://secure.pipeline.soar.com/6674338-53f1a8b2cac762b23606ddb17e881b7c/orig.mp4?Expires=1770640350&Signature=S34cnKt9uSk09DxwPGrnVvtlt~gBPc2DA5rzdCLX-OKSPZKhjXy5NPtWx3qfQF1vZ3Aywq7xlr2rM27WK6EivcWpNFsAN6EA4RSPR2~uyvSibk7B160sAy1YQklt0QIvDinbFBdrloSgeWvSPSfvbA7c~6QcK7tTH4QheDyytCv6eE094650vvNdIBOWkvkyuqmGGrJoRBUmikAhA7Hp0C5NS780Ar20MOcFFTndgwDJ8L1GiR7hc6UncKpQxkHrg3W1wNUK64tR43~ywtMHuJ-ToTFHMDt-5AQ6n1Kwrkz31gtgTE7sn43qn26a278A7-RkHE6DnaHUkLNA2QOa7w__&Key-Pair-Id=KUT5TJCACFTXG","Kaplan North America, the provider for Tennessee’s pilot high-school real-estate licensing program, reported enrollment and completion statistics to the Tennessee Real Estate Commission on Feb. 6 and outlined changes to improve student completion rates.

Toby Shifsky, Kaplan vice president for real-estate education, said 92 students enrolled in the program’s 60-hour course; 35 had completed the full 60-hour prelicensing course as of the report. Another 22 completed the 30-hour course. Kaplan told commissioners that completion rates for students who receive free or sponsored access are typically lower than for paying adult students, and that the program's initial six-month access window contributed to low urgency for some enrollees.

Why it matters: the program is designed as a workforce-readiness pathway offering licensure opportunity to high-school students. Kaplan described the effort as mission-driven and outlined concrete steps to lift completion rates and better allocate seats to motivated students.

Kaplan's findings and planned changes
- Completion data: 92 total enrollments; 35 completed the 60-hour course; 22 completed the 30-hour course. Kaplan characterizes the 60-hour completion rate for unpaid students as roughly 18–19%, similar to other free-access outcomes.
- Planned interventions: introduce a Tennessee-specific syllabus and study plan, set milestones (first milestone: watch a 20-minute 'commitment' video), shorten access window from six months to 100 days with specific milestone deadlines, add frequent live online support sessions (evenings/weekends), and provide one free continuing-education credit upon successful completion.
- Support and mentoring: Kaplan offered daily live online sessions, weekend exam-prep sessions and a designated Tennessee instructor for monthly sessions aimed at high-school students. Kaplan also encouraged brokerages or local practitioners to consider mentorship or partner roles in future cohorts.

Commissioner questions and staff notes
Commissioners asked about student aptitude, parental enrollment pressure, and mentorship possibilities. Kaplan said habits and engagement — not a single academic metric — best predict completion, and noted that a subset of enrollments were parental requests rather than student-driven choices. Kaplan will propose milestone-based enrollment management to reclaim seats from inactive enrollees and open them to waiting-list students.

Next steps
Kaplan and commission staff agreed to track outcomes and return data at the commission's August meeting. For the current year Kaplan will implement the syllabus, milestones, expanded live support, and shortened access window described above.

Ending note: Kaplan described the pilot as unique nationally and reiterated its commitment to improving completion and measures of career-readiness for participants.","Kaplan reported results for Tennessee's high-school licensing pilot: 92 enrollments led to 35 completions of the 60-hour prelicensing course; Kaplan said completion rates are lower among students who do not pay and detailed plans to improve completion through milestones, live sessions and a reduced access window.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6674343,"Rice Insurance briefs commission on E&O claims: Tennessee accounts for $25M of group program losses since 2015",307,2546000,2853000,"/Search/View?dp=1&key=3677041-c65aa8b65667d4608af6cb3ffc3231e1&start=2546&end=2853","https://assets.pipeline.soar.com/3677041-c65aa8b65667d4608af6cb3ffc3231e1/thumbnail_2546000.jpg","/articles/6674343/Tennessee/Rice-Insurance-briefs-commission-on-EO-claims-Tennessee-accounts-for-25M-of-group-program-losses-since-2015","https://secure.pipeline.soar.com/6674343-c769b9fa5f7711734d0b59addf083eed/orig.mp4?Expires=1770640350&Signature=jvn~5h7yg92kFA1FrChVoapd1c2nrHoH~CFXQjMtYlK52r7kLj6D6xeKrVQ~gFBFYZX18lkMWw~FrYUP60NrIQ9w1KZ~7ig50NoOT7QZbaRfr4tKBCGqi7MrnpuhuX8BE~aqPU9K0-PNDxx9b1Hhqd1rggcuItaP1YFu9dfyx-hQXOJRyD72cl-xph6tmjSgix2lubBZ91nNTiCQs8Fl-uWgle102OM1S0-sZsgpZIVG8pw1QNHtSBOpT1vIrD5ImZgUgG9OevCw5tR1gEUZ29uZWh6wz0tla8LcXDSX3HPUXxyWRQFiBdB0kNZLQpD-7DLuci~4mPz2UKcy3TdZsg__&Key-Pair-Id=KUT5TJCACFTXG","Rice Insurance Services, which administers the Tennessee mandatory errors-and-omissions (E&O) group program, presented claims data to the Tennessee Real Estate Commission on Feb. 6 and urged licensees to report incidents early and maintain appropriate coverage.

Christine Campbell, Rice senior claims specialist, told commissioners the program has handled more than 20,000 real-estate claims nationwide since 2003 and over 5,000 claims from Tennessee. She said Continental Casualty Company (the group-policy carrier) has paid more than $149 million across all programs Rice administers; of that, more than $25 million was incurred in Tennessee for closed and open claims from 2015 through 2024.

Key figures and trends
- Tennessee closed-claim payments (2015–2024): $12,813,587.91 (Campbell read the quarterly report).
- Reserved amount for open Tennessee claims: approximately $4.7 million.
- Total Tennessee incurred (open + closed) since 2015: about $17.5 million (report figure read aloud).

Campbell stressed that many E&O benefits come from defense against meritless claims: \"Most of the benefit that licensees get from their E&O insurance isn't actually the payment of claims — it's the defense of frivolous and meritless claims,\" she said during her presentation.

Common claim types and emerging issues
Rice summarized claim types: approximately 40% of files are lawsuits and about 38% are demand letters or notices that may become lawsuits. About 56% of claims are brought by buyers; seller claims account for roughly 16% of files. Typical causes include alleged seller nondisclosure, disputes over septic permits versus bedroom counts, square-footage discrepancies, missed contract dates, termite damage, and increasingly, vacant-land fraud and third-party deception (wire/email scams). Rice noted a recent uptick in vacant-land scams involving purported sellers and remote-only transactions that fall into policy exclusions (conversion/third-party deception and wire-fraud exclusions).

Policy mechanics and implications
Campbell explained that the group policy required only that a licensee have an active license and pay the premium at the time of purchase; premiums are multi-year and, in Rice's experience, if the policy period includes the transaction date, the policy will respond for covered claims arising from that transaction. However, once a license becomes inactive, the policy contains an exclusion for claims arising from transactions that occurred while the license was inactive. Campbell said that Messrs. and Ms. in the room often still appeared to hold active E&O coverage in late 2024 even when licensure had lapsed earlier in the year because the group policy period spanned multiple calendar years.

Rice's recommendations and licensee guidance
- Report potential claims early; many files begin as reports and never become paid losses but still require defense resources.
- Maintain active E&O where required and consider general-liability or other specialized coverage for risks not covered (for example, wire-fraud/business-email compromise that may be covered under other commercial policies rather than E&O).
- Licensees should ask insurers about what exclusions apply (vacant-land scams, conversion/third-party deception).

Campbell answered commissioners' questions, confirming the group policy is guaranteed-issue to licensees meeting the statutory purchase criteria and that premiums are not individually rate-adjusted based on a licensee’s claim history. The commission thanked Rice and indicated the presentation will be scheduled annually.

Ending note: Rice's data illustrated why the commission and licensees track E&O status carefully: claims can have sizable legal-fee and reserves even when damages ultimately are limited.","Rice Insurance presented claim trends to the Tennessee Real Estate Commission, reporting more than $25 million in damages and expenses paid for Tennessee claims since 2015 and describing common claim types and recent upticks in vacant-land fraud and septic/permitting disputes.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":105,"_47":106,"_49":107,"_51":108,"_53":109,"_55":56,"_57":58,"_59":110,"_61":62,"_63":64,"_65":111,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6674348,"Tennessee Real Estate Commission grants several reinstatements, waives or reduces fees in February meeting",218,293000,511000,"/Search/View?dp=1&key=3677041-c65aa8b65667d4608af6cb3ffc3231e1&start=293&end=511","https://assets.pipeline.soar.com/3677041-c65aa8b65667d4608af6cb3ffc3231e1/thumbnail_293000.jpg","/articles/6674348/Tennessee/Tennessee-Real-Estate-Commission-grants-several-reinstatements-waives-or-reduces-fees-in-February-meeting","https://secure.pipeline.soar.com/6674348-e6e47905192caf38f7ef31d4c20a4b59/orig.mp4?Expires=1770640350&Signature=G2WMPdrKShSrRkFYTznF7V~xTM5KegV66yNVOHbZk~EbWSIrkBeWDQErGUFh7dfzaMLWGZpQ~cXkAlcljhjUgUi8bpSmUe~KmSy~gn-2AFiKDpHd6H-B35-eYwkP7Qc7L1KhdIul4QPRvKX-5vInk0A-3U6QC5IPqMOBiRUXhlUi5jJGlxMvVZ9miC-7LWVLsFklaAXiDb2Q33UrxgVioEcSn9HmtOn5iGDnvzaK3pNl4Xq-gEd~rPFKJNAVq0SV8g0iC~vFoFwFGo1ElcpGdAeGd9N5tb1wm9HJZhlxgMy3e2P9hAPlCVWa2z9sJh90X3l2Ac4CGJiFfJqmJuC2gw__&Key-Pair-Id=KUT5TJCACFTXG","The Tennessee Real Estate Commission on Feb. 6 approved a series of license reinstatements and fee-waiver requests, voting to allow several expired licenses to be reinstated without reexamination and to grant partial or full fee waivers in individual cases.

The commission approved reinstatement requests for multiple individuals while attaching conditions in several cases: the board accepted a request to reinstate Richard Bell without reexamination (motion passed), approved a waiver of fees for David Taylor conditioned on reinstatement of E&O insurance, and approved reinstatement-related relief for Michael McCauley contingent on current errors-and-omissions (E&O) coverage. Commissioners debated, and ultimately split on, a waiver for Betty Hanks (listed in materials as Betty Oinks/Hanks), approving a reduction of the reinstatement penalty to $550 (half of the $1,100 charge) by a 4–2 vote with one abstention.

Why it matters: these decisions affect how long-time and formerly active licensees may return to practice, whether they must retest, and how the commission balances consumer protection (E&O coverage and record flags) with relief for applicants who say they lacked notice or faced medical or personal hardship.

Most significant votes and conditions
- Richard Bell: Commissioners accepted counsel’s recommendation to reinstate Bell without requiring reexamination. Bell said he did not receive the renewal postcard and discovered the lapse only in December 2024 when trying to renew E&O insurance; the commission noted the statute 62-13-319(a) gives discretion to waive reexamination or additional education. Motion: approve reinstatement without reexamination. Mover: Commissioner Torbett. Second: Commissioner Gaughn. Outcome: approved (voice vote).

- David Taylor: The commission approved a waiver of fees for Taylor’s expired license (07/17/2024) with a friendly amendment requiring active E&O insurance before reinstatement. Motion: approve waiver subject to reinstatement of E&O insurance. Mover: Commissioner Torbett. Second: Commissioner Smith. Outcome: approved (voice vote).

- Betty Hanks (principal broker): Commissioners debated a request from a principal broker whose license expired April 30, 2023. The commission voted to waive the retesting requirement and reduce the reinstatement penalty from $1,100 to $550 (half) to allow the broker to return; the motion passed 4 ayes, 2 noes, 1 abstention. Motion: waive retest and assess $550 penalty. Mover: Commissioner Torbett. Second: Commissioner Tucker. Outcome: approved (4–2–1).

- Michael McCauley: The commission approved a request tied to administrative complications with a firm transfer; approval was made contingent on the applicant reinstating active E&O insurance, and the commission also addressed a previously-paid reinstatement fee that could be returned. Motion: approve waiver of retesting contingent on active E&O and waive remaining fees. Mover: Commissioner Begley. Outcome: approved (record: ayes, 1 no, 1 abstention; tally reported by staff).

- Medical waivers and other reinstatements: The commission approved medical-waiver requests for Walt Patrick (license expired 04/05/2024) and Todd Gash (expired 06/20/2024) after staff presented physician documentation. Both motions passed by voice vote. Motion texts and seconders appear in meeting minutes.

Procedure, recordkeeping and conditions emphasized by staff
Staff repeatedly emphasized that the commission has statutory discretion under Tennessee statute 62-13-319(a) to waive reexamination and to impose reasonable conditions (for example, E&O insurance, payment of fees, or continuing-education requirements) when considering reinstatement after a lapse exceeding one year. Anna Matlock (staff) read the statutory language and advised commissioners: “the commission may in its discretion ... waive reexamination or additional education requirements for such applicant or reinstate a license subject to their compliance with reasonable conditions, including payment of a specific fee.”

Commissioners also discussed administrative follow-up options for expired licenses that are flagged during audits. For several matters staff recommended “close and flag” — a practice that records the compliance concern in the commission files so it appears if a candidate reapplies, rather than pursuing a contested revocation in cases where evidence or cooperation is limited.

What the actions mean next
Several approvals were contingent on applicants obtaining or reinstating E&O insurance before the commission’s administrative staff will finalize licensure. In other instances the commission accepted counsel’s recommendation to “close and flag” files so the history is visible if the individual reapplies. Commissioners declined to impose a consent-order civil penalty in at least one case where the respondent appeared uncooperative and the evidence would not support a disciplinary hearing absent complainant cooperation.

Ending note: commissioners emphasized consumer protection while acknowledging extenuating circumstances. Several members urged that staff explore operational improvements—such as better notification and follow-up for renewal postcards and returned mail—to reduce future lapses and waiver petitions.","At its Feb. 6 meeting the Tennessee Real Estate Commission approved multiple license reinstatements and fee-waiver requests, including several conditional approvals requiring active errors-and-omissions insurance or other conditions. Commissioners split on one high-profile fee waiver for an elderly principal broker.","actionData","errors"]

Article not found

TREC staff outlines bills in play: wholesaling, grandfathered CE, MLS rules and 'less-is-more' changes

Kaplan outlines results and changes for Tennessee high-school real estate licensing pilot

Rice Insurance briefs commission on E&O claims: Tennessee accounts for $25M of group program losses since 2015

Tennessee Real Estate Commission grants several reinstatements, waives or reduces fees in February meeting