Warren Norred

When A License Law Complaint Is Made To The Commission Against A Licensee, The Licensee Must:?

• Marvin Harvey
• 21.12.2022
• 0
• 20

In Colorado “good funds” include a

A personal check from the buyer that will clear the bank A title insurance company check A check drawn on the broker’s escrow account A teller’s check from a savings and loan

a tellers check from a savings and loan The buyer notifies the seller in writing of a termination of the contract under the New Loan Termination Deadline. What happens to the earnest money?

The broker splits the money with the seller The broker must immediately return the money to the buyer The broker holds the money until there is mutual agreement to return the money to the buyer The buyer and the seller will mediate any disagreement about the earnest money

The broker must immediately return the money to the buyer The illegal practice of inducing homeowners to sell their properties by making representations about the prospective entry of persons of a certain race/national origin into the neighborhood is also called: redlining blockbusting commingling steering Which of the following is true concerning listings based on a “net price?”

they are illegal in Colorado they are more profitable because no minimum is set on the amount of commission they are legal in Colorado as long as the seller agrees, and the broker has the necessary form prepared by an attorney representing one of the parties to the transaction. they are permissible with approval of the real estate commission

they are legal in Colorado as long as the seller agrees, and the broker has the necessary form prepared by an attorney representing one of the parties to the transaction.

A traditional Net Listing is one in which the broker receives as commission all proceeds above a set net price. Net listings are legal in Colorado. Because of the potential for conflict of interest between the seller and broker, they can be problematic.

An unlicensed personal assistant would be permitted to do which of the following?

host an open house while the licensed associate is showing another listing and try to negotiate an offer complete contract forms after the licensed associate has captured the important things like price and closing date show a property to a potential buyer when the licensed associate is busy and negotiate price and terms for their offer. complete a comparative market analysis for presentation by the licensed associate

complete a comparative market analysis for presentation by the licensed associate Which of the following is required before an owner of a 35-parcel of undeveloped land may drill a well for water only?

nothing is required; a 35-acre site is entitled to an exempt well the owner must purchase water rights the owner must obtain a well permit from the state engineer if there is a stream on the property it must be diverted

The owner must obtain a well permit from the state engineer

Small wells on domestic property must have a permit from the state engineer even though they are exempt from a requirement to purchase water rights.

A security is a financial instrument backed by assets. They give the holder an interest or right in something else. Regulation under state or federal securities laws may apply to which of the following?

speculative purchase of raw land by a doctor as part of a retirement plan condominium project that includes both residential and retail uses within one structure resort condominium project in which owners enter their units in a common rental pool to enhance their income

resort condominium project in which owners enter their units in a common rental pool to enhance their income

the common rental pool arrangement for increasing income may qualify this offering as a security.

According to the Exclusive-Right-to-Sell Listing Contract which of the following is true with regard to fixtures listed within the contract?

they are included unless they are crossed out on the form they are included if attached on the date of the listing unless specifically excluded by the seller they are included in every case they are included if they are on the property at the time of the listing

they are included if attached on the date of the listing unless specifically excluded by the seller A Contract to Buy and Sell (Residential) does NOT require inclusion of which of the following?

fireplace screens and gratesleased security systemsparking and storage facilities as described in a condominium communitywindow coverings on the property on the date of the sales contract

A buyer is assuming a loan and the loan balance has turned out to be less than the assumption balance provided by the seller. How would this be handled according to the Residential Contract to Buy and Sell ?

The seller must reduce the price of the property to compensate for the difference. The buyer may terminate the contract by written notice if the difference causes the buyer’s cash at closing to increase by a stated amount. The contract is automatically terminated by the seller’s misrepresentation. Depending on how the form is completed, either the buyer may terminate the contract or the seller could reduce the price to make up for the difference.

The buyer may terminate the contract by written notice if the difference causes the buyer’s cash at closing to increase by a stated amount.

The buyer has the option of terminating the contract if the terms are unacceptable.

What recourse do the buyers have if they determine that property they have contracted to purchase is within a special taxing district?

They may demand that the seller pay the indebtedness of such a district.They may petition to be excluded from the district.They may terminate the contract automatically on the Off-Record Matters date.They may terminate the contract by written notice to the seller.

They may terminate the contract by written notice to the seller. During a walk-through just prior to closing, the buyers realize the carpet is much more worn than they thought and they file an objection requiring the sellers to replace the carpet. Which of the following is true according to the Contract to Buy and Sell, Residential?

Since the walk-through is to verify condition, this objection is proper. The sellers will have a reasonable period of time after closing to comply. The buyers may make this request even if the Inspection Objection Deadline has passed. The walk-through is to verify the condition is as was previously agreed; not to reopen the Inspection phase, this objection is not proper.

They may terminate the contract by written notice to the seller. In the Contract to Buy and Sell, what does the statement, “time is of the essence hereof” mean?

All dates and deadlines will be strictly interpreted. All dates and deadlines must be performed within a reasonable margin of the stated time or date. Everything in the contract must be complete within a year or it will be void. Everything not done by closing will be waived.

All dates and deadlines will be strictly interpreted. Which of the following is required in the event of a dispute between the parties relating to the Contract to Buy and Sell?

The parties must accept the solution presented by the qualified mediator chosen by the parties. The parties must submit the dispute to arbitration if mediation is unsuccessful.The parties may immediately decide to mediate or seek arbitration or litigation.The parties must mediate in good faith to seek a settlement for up to 30 days.

The parties must mediate in good faith to seek a settlement for up to 30 days.

For dispute resolution, the contract only requires nonbinding mediation. If mediation does not reach a voluntary settlement after 30 days, either party may proceed to arbitration or litigation.

When are faxed signatures acceptable on a Contract to Buy and Sell?

never only during negotiation and not at closing as determined by the real estate commission if the parties agree and indicate this choice on the contract form

If the parties agree and indicate this choice on the contract form Which of the following is correct according to the Colorado Real Estate Commission Position Statement regarding Rule F?

Exculpatory language limiting a broker’s liability may not appear in listings or buyer relationship agreements. Brokers may not add exculpatory language limiting their liability to any contract to which they are not a party such as the Contract to Buy and Sell. Exculpatory language limiting the broker’s liability may be added to the Contract to Buy and Sell only in addenda, not in additional provisions. Brokers may not add exculpatory language to any commission-approved contract.

For dispute resolution, the contract only requires nonbinding mediation. If mediation does not reach a voluntary settlement after 30 days, either party may proceed to arbitration or litigation. Under what conditions is it permissible for a broker to pay a referral fee to a person who does not possess a Colorado real estate license?

Under no conditions When the duties performed by that person would not normally require a real estate license Only if the unlicensed person is in the employ of and under the direct The unlicensed person may perform any duty deemed acceptable by the broker and receive a referral fee, if permission is granted by all interested parties, and so stipulated in writing

When the duties performed by that person would not normally require a real estate license A landlord can evict a delinquent tenant by:

Giving him three days notice Giving him thirty days notice Calling the sheriff Bringing court action

The Colorado Real Estate Commission can decide on their own to investigate all of the following EXCEPT:

a broker depositing salaries into her trust accountfailure to disclose stigmatizing propertyviolating the Colorado Consumer Protection Actbroker failing to disclose licensed status to seller while buying a property for personal use

failure to disclose stigmatizing property

Colorado statute states that certain items that could psychologically impact (stigmatize) a property is not material to a real estate transaction. Therefore, these facts not being disclosed is not a violation.

The Colorado Real Estate Commission may take all of the following actions against a licensee EXCEPT:

revoke or suspend a license fine a licensee assess actual damages assign mandated education for a licensee

Who can not prepare an addendum to the Contract to Buy and Sell Real Estate?

buyer or selleremploying broker’s attorneyattorney for buyerbuyer”s broker

An unlicensed personal assistant may:

create and get signatures on contractsshare commission with licenseeconduct an open housedistribute copies of sales literature they wrote

Unless the lease states otherwise, how long does a property manager have to return a security deposit after a lease has expired?

one month 60 days 45 days 6 months

If the homestead exemption is not waived, the owner is protected:

unsecured debtsecured debt only only ownership was acquire through a homestead from any debt

If any of the title documents are not delivered to the buyer on or before the date specified in the contract. The contract can be:

terminated voidedno effectcanceled

When an associate broker makes a disclosure using the Square Footage Disclosure form. The broker is disclosing:

That the measurement need not be independently checked The methodology, standard and manner of the measurements The exact square footage That the disclosure is for a loan

The methodology, standard and manner of the measurements The objective of the buyer’s walkthrough just prior to closing is:

Give the buyer an opportunity to renegotiate the price. Verify that physical condition is in compliance with previous agreements Renegotiate the inspection points Last chance to terminate the contract without penalty

Verify that physical condition is in compliance with previous agreements When doing a seller carryback, which would NOT be an approved deed of trust form?

Due on Transfer-Creditworthy Restriction Due on Transfer-Strict Assumable-Not Due on Sale Due on Transfer-1% Interest Escalation

Due on Transfer-1% Interest Escalation When creating the listing agreement, the sellers informs you that they will not be filling out a Seller’s Property Disclosure form. What is your best response:

Inform the sellers that most buyers want the formInform the sellers that you will fill out the form for themDecline the listingInform the sellers as the form is optional there are no repercussions to not filling it out

Inform the sellers that most buyers want the form Of the following; who is responsible for for an accurate and complete closing statement?

closing companyclosing agent for closing companyemploying broker not attending closingreal estate broker attending closing

real estate broker attending closing

What is the debit/credit entry when a buyer assumes a loan from the seller?

debit broker, credit buyerdebit seller, credit buyerdebit buyer, credit sellerdebit seller, credit broker

debit seller, credit buyer

The seller still owes the amount that is assumed (debit seller). On an assumption, that the buyer will be making payments against the loan does not relieve the seller of the obligation that it be paid in full. The buyer will not be required to bring this amount to the closing (credit buyer)

When using a Counterproposal form, the client submiting the counterproposal would:

sign the original offer and check the “is countered” boxsign only the counterproposalgenerate a new contract to purchasesign the original offer and sign the counterproposa

sign only the counterproposal Rule E-35 of the Colorado Real Estate Commission requires brokers:

make oral disclosure of brokerage relationship first, then followup with correct Commission form prior to closingmake written disclosure of his/her brokerage relationship before eliciting or receiving confidential informationmake written disclosure of brokerage relationship using forms prepared by the managing brokermake written disclosure of brokerage relationship prior to closing

make written disclosure of his/her brokerage relationship before eliciting or receiving confidential information Property taxes become a lien on January 1 for the previous year. When may taxes be paid without receiving a penalty:

The first half payment by the last day of February, the second half payment no later than June 15All payments no later than Dec 31All payments by October 15half payment by April 1, second half payment by July 1

The first half payment by the last day of February, the second half payment no later than June 15 According to the Contract to Buy and Sell Real Estate – all prorations are:

final as of the closing datetaxes are readjusted when the bill comes in at the end of the yearfinal as of the date of possessionfinal as the date of remission – 3 days after closing

final as of the closing date Which is not true regarding the Counterproposal form:

The purchase contract should not be signed by the person creating the counterproposalThe date and deadlines table can be omitted if not usedIf a date or deadline is left blank it means “no change”The only changes allowed are purchase price and earnest money

The only changes allowed are purchase price and earnest money If items listed in the Inclusions and Exclusions Section of of the Contract to Buy and Sell Real Estate are not a part of the property, the broker should:

do nothing, if the listing item is not on the property as of the date of the contract, it is not included nor necessary to cross it out cross out the items to show they are not included if not crossed out the seller could be obligated to install the item check the appropriate box

do nothing, if the listing item is not on the property as of the date of the contract, it is not included nor necessary to cross it out If mineral rights are not listed in the deed, and not previously transferred, the rights are:

retained by grantor not owned not transferred transferred to the grantee

transferred to the grantee

In Colorado, all mineral rights except water are transferred with the property unless otherwise indicated in the deed or if the rights were transferred (ie sold or given away) by a previous deed. The Seller is the “Grantor” (the creator of the deed), the Buyer is the “Grantee” (receives the deed)

When a contract is rejected by the Seller, the seller should:

not sign or return the contractwrite “rejected” across the front of the contractcheck the appropriate box and initial on the indicated lineindicate a rejection on the appropriate box and complete a counteroffer

not sign or return the contract Licensee gets asked by out-of-state party to manage 15 rental units. Broker should:

put money in sales escrow account set up escrow account in own name inform employing broker to create Property Management Contract and set up proper escrow account inform employing broker and set up own escrow account

inform employing broker to create Property Management Contract and set up proper escrow account What does not need to be placed into an escrow account?

withholding taxes security deposits short-term rental deposits earnest money

Brokers should provide safeguards on seller-assisted down payments on:

Commercial transactionsLand transactionsTime share transactionsResidential transactions

The information a broker must keep about a deposit into an escrow account does not include:

address of affected partiesaddress of affected propertyconfirmation of electronic transferamount of deposit

Which of the following would MOST require a broker recommendation that his or her buyer further investigate water rights:

Residential Buyer of a home wanting a permitted domesic water wellBuyer wanting home in subdivision with a lakeBuyer purchasing an urban storefront for a coffee shopCommercial buyer wanting a farm with irrigation canals

Commercial buyer wanting a farm with irrigation canals Recording Fee of Warranty Deed most typically would appear on the settlement statement as:

debit buyer debit seller debit broker debit 1/2 seller and 1/2 buyer

debit buyer

Although everything is negotiable, the buyer is the primary beneficiary of recording the warranty deed since it will make the transfer into the buyer’s name a matter of public record.

An licensee who represents both parties in a transaction but is not an advocate of either one, is a:

general agentlimited agenttransaction brokerdual agent

An Employing Broker designates one seller agent and one buyer’s agent. The Employing Broker has:

agency with seller, not buyerlimited agencyagency with buyer, not sellerno agency

A broker is not required to provide:

copy of listing agreementaccurate closing statementcopy of signed purchase agreementabstract of title or Tile Commitment

abstract of title or Title commitment Closing March 15, next payment due April 1. How many months of escrow can lender take for taxes?

1234

When a home is added to the Assessment Role in an Special Improvement District, what must brokers disclose to all potential buyers?

General taxes are going up substantiallyA special assessment tax or levy has or will be appliedNo disclosure is necessaryDisclosure is not necessary until the tax has been levied.

A special assessment tax or levy has or will be applied A seller approached you saying they are unhappy with the broker currently listing their property and wants you to take it over, you:

Tell them to cancel the listing and then come and see youPrepare a listing agreement for after the current agreement expiresCoach them on how to cancel their current listing agreementPrepare a current listing agreement immediately

Prepare a listing agreement for after the current agreement expires A brokerage firm holding 4 earnest money deposits, and 15 security deposits for managed single-family residences must have a minimum of how many trust accounts?

19123

An inaccurate county tax certificate failed to indicate the correct taxes due. Additional tax money due would be the responsibility of the:

title company buyer’s agent seller county treasurer

A note for earnest money:

Must be indicated in the Contract to Buy and SellMakes a Purchase Contract voidA promissory note for Earnest Money is not allowableA promissory note for Earnest Money must be redeemed withing 24 hours of contract acceptance

Must be indicated in the Contract to Buy and Sell Select the correct statement about a lease in Colorado:

Residential leases have an implied warranty of habitabilityCommercial and Residential leases have an implied warranty of habitabilityThe Landlord is responsible for repairsThe Tenant is responsible for repairs

Residential leases have an implied warranty of habitability A real estate broker shall NOT engage in any of the following acts:

dealing in options on real estatepreparing legal documents as a courtesy for the seller of a for a sale by owner transactionselling or offering to sell or exchange a time-shareauctioning real estate

preparing legal documents as a courtesy for the seller of a for a sale by owner transaction

According to the Conway-Bogue court decision – a Broker is only allowed to perform a licensed activity, such as prepare contracts, on a transaction in which they have been engaged as a Broker by at least one of the parties.

On a new loan closing, the settlement worksheet entry for a tax reserve indicates that the new lender is

Withholding this amount from loan proceeds to start the escrow account for the next tax paymentCollecting this tax amount from the sellerContributing this amount toward the buyer’s taxes for this yearThere is no such thing as a Tax Reserve

Withholding this amount from loan proceeds to start the escrow account for the next tax payment A Buyers right to a specific performance remedy in the event of a Seller default in the Contract to Buy and Sell Real Estate:

Is the default remedy and as such need not be selectedBuyer default remedy is liquidated damagesNot addressed in the contractDepends on which box is checked

Is the default remedy and as such need not be selected

Should the Seller default in the contract – the only remedy for the Buyer is Specific Performance. The Seller did not put up earnest money and thus cannot offer liquidated damages.

The Seller holds security deposits in the amount of $1,000 from each of six tenants. On the settlement sheet:

Credit Seller & Debit Broker $6,000 Debit Seller & Credit Buyer $6,000 Credit Seller & Debit Buyer $6,000. Prorate the deposits between the Buyer and Seller based on the closing date

Debit Seller & Credit Buyer $6,000 An Open Listing, an Exclusive Brokerage listing and an Exclusive Right-To-Sell listing all require:

A lockbox to be usedA definite termination dateThe property to be entered into an MLSThe broker to offer compensation

a definite termination date The Real Estate Commission may NOT issue a temporary license to prevent hardship to a:

limited liability company corporationpartnershipsole proprietor

The Real Estate Commission approved Colorado Power of Attorney form

creates a limited agency agreementis required in foreclosure salescreates a universal agency agreementmay be used in place of a buyer agency agreement

creates a limited agency agreement A deed of trust held by someone other than the public trustee is NOT:

Notice that a legal action is pending that may effect ownership Exempt from loan recission rules Foreclosed through the courts A conditional transfer of ownership from the Trustor to the Beneficiary

Notice that a legal action is pending that may effect ownership

Regardless of who holds the Deed of Trust, the transfer of ownership is real and not a notice of pending legal action.

If a landlord fails to refund the security deposit within one month (up to 60 days if specified in the lease) of the tenant surrendering the property, the landlord:

is liable for the entire depositis liable for treble the amount wrongfully withheldmay be liable for double damagesmay extend the deposit return period for an additional 10 days if good cause exists

is liable for treble the amount wrongfully withheld The maximum time allowed for the sale of an agricultural property, through the Public Trustee’s office after filing of the notice of election and demand (NED) to foreclose is:

45 days 90 days 125 days 230 days

230 days

For agriculutural properties the public trustee schedules the sale 215-230 days days (110-125 for residential) after the initial foreclosure action was recorded. The notice of sale is published in a local newspaper for 5 weeks. The public trustee also mails a copy of the notice to the borrower.

When a license law complaint is made to the Commission against a licensee, the licensee must:

Pay a fine and give up licenseAppear before the Commission within 30 daysSubmit a written response to the Commission if requestedTemporarily give up license

Submit a written response to the Commission if requested Publishing a foreclosure notice of sale in a newspaper is the duty of the:

county treasurer public trustee lender county assessor

Trust Account journal and ledger documentation of disbursements from trust accounts need NOT include:

Records verifying purpose of paymentAmount paid and the resulting balanceDate of payment and check numberName of the person who wrote the check out of the account

name of the person who wrote the check out of the account The Sellers Agent at his option rebated part of his commission back to the Seller. Was this legal?

No, it is illegal to pay a commission to anyone who is unlicensedYes, as it was part of the negotiated commission in the listing contract

Yes, as it was part of the negotiated commission in the listing contract

The Real Estate Commission has no problem with a licensee giving money to his/her client. The client does not need to be licensed as the rebate is considered a product of the commission negotiated by the licensee and his/her client in the Listing Agreement.

As to the preparation of legal documents at closing:

the licensee bears the cost for the preparation of all legal documents including those prepared by the Sellers or Buyers attorneythe licensee may charge the Seller or Buyer for the cost of preparationthe licensee bears the cost for the preparation of legal documents except those prepared by the Seller”s or Buyer”s attorneythe licensee does not pay for the preparation of legal documents

the licensee bears the cost for the preparation of legal documents except those prepared by the Seller”s or Buyer”s attorney How many credit hours of Continuing Education classes does an Associate Broker need to renew his/her license?

8162432

The Commission Position on earnest money deposits indicates:

the broker cannot release earnest money funds from the trust account without written releases from all partiesin the event of a dispute, the broker must decide to the “best of their ability” who is deserving of the earnest money and release it to that partyif the transaction fails and there is no dispute over who is to receive the earnest money the broker should release the funds immediately

if the transaction fails and there is no dispute over who is to receive the earnest money the broker should release the funds immediately A contract was terminated when the buyer and seller were unable to resolve inspection issues. The buyer had included the buyer’s inspection report as part of the inspection notice, which included information about a number of small material items.

No obligation to disclose because the contract was terminated An obligation to disclose only those items which are not latent defects No obligation to disclose if the total amount of items is less than $5,000 An obligation to fully disclose all material items the buyer found which the seller now has knowledge of

An obligation to fully disclose all material items the buyer found which the seller now has knowledge of When a Seller decides to submit a Counterproposal in response to a Contract to Buy and Sell, the Seller:

signs both the original Contract and the Counterproposalinitials the original Contract and signs the Counterproposalsigns the Counterproposalsign the original offer

signs the Counterproposal According to Real Estate Commission rules – who has responsibility for an accurate closing?

The buyer and sellerThe title company and closerThe lenderThe designated broker, the employing broker and any substitute broker

The designated broker, the employing broker and any substitute broker Broker Betty at an open house meets a young couple looking to purchase their first home. The couple asked if the Broker thought they had enough income to qualify for a loan to purchase the property.

• Realizing this information is of a confidential nature Broker Betty makes the agency disclosure that her office policy and State statute require.
• The buyers are very skeptical about making a commitment and have been coached by family members not to sign anything.
• They refuse to sign the signature block on the Brokerage Disclosure to Buyer form.

Betty should:

refuse to answer unless they signanswer the question, then ask them to sign once againcall their attorney and make the disclosure to himmake a note of the date and time the disclosure was made and reference the fact that the buyers declined to sign the form – then have the discussion.

make a note of the date and time the disclosure was made and reference the fact that the buyers declined to sign the form – then have the discussion. According to Commission Position 31 Acting as a Transaction Broker, you cannot be a Transaction Broker for:

your brother your close friend your best client all of the above

Which does the buyer have to disclose to the seller when using the Licensee Buyout Addendum?

That the Buyer stands to make a profitThat the Buyer is exposed to possible losses and expensesThat the property may be immediately sold by the BuyerAll of the above are required disclosures

All of the above are required disclosures When reconciling a 6 column worksheet for a closing – after totaling up the debits and credits, the closing agent needed to add a $30,000 Debit to the Seller Debit column to make it equal to the Seller Credit column. What does this Seller Debit represent?

A $30,000 check the Seller must bring to the closingA $30,000 check the Seller will receive from this closing

A $30,000 check the Seller will receive from this closing

This DEBIT represents the Seller’s proceeds from the sale (what they are getting).

A BPO (Broker Price Opinion) is an estimate of value most often requested by a lending institution of a real estate broker to determine the value of a foreclosed property. Can a BPO be used for financing?

When there is a shortage of available appraisers.When you’d like to save your client money on appraisal fees.When your employing broker signs off on it.None of the above.

A Broker Price Opinion (BOP) and Competitive Market Analysis (CMA) are estimates of value created by real estate licensees for marketing purposes. Since they were not prepared by a licensed appraiser, the follow words must appear at their bottom:

This evaluation was prepared by a licensed real estate broker and is not an appraisal. This evaluation cannot be used for the purposes of obtaining financing.This appraisal was prepared by a licensed real estate broker.This evaluation was prepared by a licensed appraiser.This evaluation was prepared by a licensed real estate broker. It may be used to obtain financing only with full disclosure and the signatures of all parties to the associated Contract to Buy/Sell Real Estate.

This evaluation was prepared by a licensed real estate broker and is not an appraisal. This evaluation cannot be used for the purposes of obtaining financing. A broker has put together a team consisting of a title representative, a lender and an inspector to assist the broker in building her business.

not acceptable as a broker may not receive any money from a title company but acceptable for the other team members. Acceptable since the team members may also get a lead and the broker is not using just one settlement provider but three. Not acceptable as broker may not receive any fees for lead generation from any settlement service providerAcceptable as long as it is documented and the broker will accept other settlement providers on her team.

Not acceptable as broker may not receive any fees for lead generation from any settlement service provider

Acceptable as long as it is documented and the broker will accept other settlement providers on her team.

The Amend/Extend Contract With Broker is used to change :

Any Commission approved contractThe Contract to Buy and SellAny contract to which the broker is a partyNone of the above

Any contract to which the broker is a party Which of the following is true for a person activating an inactive or expired Colorado real estate license?

are not required to make up for the continuing education requirements they missedmust satisfy the continuing education requirement before they apply to activate an inactive license or to reinstate an expired license to active status

must satisfy the continuing education requirement before they apply to activate an inactive license or to reinstate an expired license to active status If an offer was made on a house in which the buyer intended to have a hair salon in the basement, but found out a few days prior to closing that the zoning wouldn’t allow it, can they cancel the agreement without penalty?

YesNo, the buyer must perform this due diligence prior to submitting an offerYes, but only if they terminate in writing prior to the Record Title Objection DeadlineYes, as long as they file an objection in writing prior to Closing

Yes, but only if they terminate in writing prior to the Record Title Objection Deadline

Zoning is a matter of Title. Buyers have the right to terminate the contact without penalty if any aspect of Title is unsatisfactory to them. However, they must due so in writing prior to either the Off-Record Title Objection Deadline or the Record Title Objection Deadline.

If a licensee is also a licensed appraiser, can the licensee offer to appraise a home if they intend to be the listing agent for that same property in the future?

No, that would be a conflict of interestYes, as long as it is disclosed to all partiesYes, as the listing is in the future no disclosure requirements applyNo, according to Federal law licensed real estate brokers cannot hold an appraisers license

Yes, as long as it is disclosed to all parties If a client asks whether it would be beneficial to add a second bathroom to increase profit on the sale of the home, what would be the appropriate response?

yes, an additional bathroom will always add more value than it costs to add it inno, the additional bathroom will never add more value than it costs to put inI cannot answer this, I am a real estate broker not a construction expert and I do not have the expertise to answer this questionI would be happy to do some research or analysis and speak to a construction expert on costs to determine if it’s worth it

I would be happy to do some research or analysis and speak to a construction expert on costs to determine if it’s worth it Out of state seller sold a property for $489,000. The property was highly leveraged resulting in cash proceeds to the seller of $5,500. How much should be withheld subject to the Colorado Department of Revenue Income Tax?

$9780 $5500 $110 $978

$5500

The rule is if the seller has an out-of-state address, the State directs at close a withholding of 2% of the purchase price or the entire net proceeds, whichever is less.

The title company may be hired by the listing broker:

to prepare legal documentsand may charge the buyer and/or seller for the preparation of legal documentsto act as scrivener for the transactionand has ultimate responsibility for the accuracy of legal documents

to act as scrivener for the transaction Provisions of the Colorado Common Interest Ownership Act:

provides a statutory right for an HOA homeowner’s access to common community elementsestablishes a social media forum for HOA homeowner discussionsestablishes the right of an HOA to place a lien on a property for unpaid HOA dues and assessments

establishes the right of an HOA to place a lien on a property for unpaid HOA dues and assessments Broker is allowed to facilitate safeguards for seller assisted financing by adherence to the following EXCEPT:

Advise buyers and sellers to consult legal and tax counsel for adviceCooperate with appraisers as they perform their due diligence in asking questions about salesAdvise seller as to the impact of any seller paid costsNotify Real Estate Commission of true selling price of home

Notify Real Estate Commission of true selling price of home How many days after notice of discrimination does someone have to file a complaint under Colorado Fair Housing Laws with the Colorado Civil Rights Commission?

30 days 60 days 6 months 1 year

The fee to notarize a Warranty Deed is charged on the settlement statement to:

the buyerthe listing brokerthe sellerthe buyer and seller

If an owner wants to make a single full payment for property taxes, what is the latest date by which this payment can be made?

March 1April 30May 1June 16

April 30

Real property taxes may be paid as follows: if the owners wants to make payments, one-half is due on or before the last day of February and the remaining one-half on or before June 15. If the owner wants to make one full payment, the entire tax may be paid on or before the last day of April

The Licensee Buyout Addendum informs the Seller of all EXCEPT:

Seller is responsible for marketing and closing expenses Seller acknowledges that in entering into the Contract, Buyer is exposed to possible losses and expenses. The Contract may be terminated at any time by Seller upon written notice to Buyer. Any termination of the Contract shall not affect the listing contract for the Property (Listing Contract).

Seller is responsible for marketing and closing expenses On what time basis must trust accounts be reconciled:

daily weekly monthly annually

Which does NOT fall under Rule F?

Contract to Buy/Sell (Commercial)Contract to Buy/Sell (Land)Deed of TrustContract to purchase newly constructed home with warranties.

Contract to purchase newly constructed home Broker attends client closing. What must he/she do with signed closing documents?

deliver to client within 2 business daysdeliver to title/closing companydeliver immediately to Employing Brokerdeliver to Managing Broker within 3 business days

deliver immediately to Employing Broker The maximum amount of days that can be specified in the Holdover Period in the Listing Contract is:

30 days 60 days 90 days negotiable by Seller and Broker

negotiable by Seller and Broker When must an employing broker keep a ledger?

When paying salaries to brokersWhen putting money in an account to maintain itWhen accepting money belonging to othersWhen receiving an earned commission

When accepting money belonging to others What do you use to transfer personal property when you buy a furnished residential property

deed of trust Bill of Sale inventory items on bottom of closing statement

Bill of Sale

Deeds transfer real estate. Whether you are buying a fridge at Best Buy, lumber from Home Depot or the furniture from a furnished home the rules involving the transfer of ownership of personal property are in charge and you use a Bill of Sale to transfer ownership.

When making a counter offer by using the approved Counterproposal form – how do you change dates?

Add an addendum Mark through the old dates and enter new ones. Do nothing, a verbal notification is sufficient. Change only the dates that needed to be changed

Change only the dates that needed to be changed A rental agreement for less than how many months does not need to be in writing to be enforceable?

1 month6 months 9 months 12 months

A seller providing financing may be exempt from attaining a lender’s license if they have completed:

a seller providing financing always needs a mortgage licenseless than 3 transactions in the past 12 monthsless than 5 transactions in the past 12 monthsless than 5 transactions is the past 15 months.

less than 3 transactions in the past 12 months

This section from the real estate manual outlines the exceptions to needing a mortgage license:

What fee will ALWAYS show as a credit on the sellers closing statement?

Recording the Warranty DeedDocumentary FeeNew Loan AmountSales Price

Mineral rights: If property is attached with mineral rights, you may be obligated to:

charge a rate for entryrefuse entryallow them to enter an use your property to gain access to the mineralscall police

allow them to enter an use your property to gain access to the minerals Water Rights: Who owns the water rights to a property?

The property owner owns the water rightsThe recorded owner of the water rights, not necessarily the owner of the propertyThe State of ColoradoThe local water district

The recorded owner of the water rights, not necessarily the owner of the property When advertising, which is the correct way?

Joseph Magnum, Associate BrokerJoseph Magnum, Associate Broker, Hot Properties Real Estate TeamJoseph Magnum, ABC Realty Inc.Joseph Magnum, Associate Broker, (303) 999-5555

Joseph Magnum, ABC Realty A broker allowed her license to expire and renewed it 32 days after the expiration date. What does she need to do to reinstate her license?”

Pay the renewal feePay the renewal fee, and pay half the renewal fee for it being over 30 days Pay the renewal fee and retake the state examinationPay the renewal fee and take 8 credit hours of continuing education

Pay the renewal fee, and pay half the renewal fee for it being over 30 days A landowner has two interested parties, which of the following strategies would give the landowner the best return.

Lease to a rancher who wants to graze horsesLease to an oil company who wants to drill for oilLease to only one or the otherLease to both

An unlicensed personal assistant may:

create and get signatures on contractsshare commission with licenseeconduct an open housedistribute copies of sales literature they wrote

A single party listing:

does not require a contracthas no holdover clausedoes not fall under the statute of fraudsrequires two agents

A home closes for $365,000 how much would you pay the county clerk and public trustee?

$3,650$65$365$36.50

$36.50

And you are asking yourself how the heck am I supposed to know that?!They are assuming you know what the documentary fee is. So what is a documentary fee?According to C.R.S.39-13-102 (2b), passed in 1985, a documentary fee authorizes county clerks to collect a fee on all real-estate related documents received for recording or filing. The fee is one penny per every $100 of the selling price.Once you know what you are dealing with It is a very simple equation to find the answer:$.0001 x $365,000 = $36.50

Which of the following requires errors and omission insurance?

A licensed brokerage with general liability insuranceA Broker with an inactive licensePartnership acting on its own to buy real estateTelephone company buying “rights of way”

A licensed brokerage with general liability insurance When comparing/analyzing CMA, these are the factors that would be NOT be taken into consideration:

Similar size properties sold in the neighborhoodDate of saleAge of the propertyAccrued Depreciation

Just before the close, the buyer noticed a broken window and a mandoor hanging by one hinge in the detached garage, her inspector had missed these as he considered outbuildings as outside the scope of the inspection. What is the buyer’s recourse?

Seller must fix windowBuyer’s responsibility because she had missed the inspection deadline.The Inspector is at faultBuyer may terminate the agreement or negotiate a settlement with the Seller

Buyer’s responsibility because she had missed the inspection deadline. What would most likely cause housing prices to fall?

the sale of 3 luxury homes in a neighborhooda company hiring 250 engineersa sharp increase in interest ratesa reduction in building activity

a sharp increase in interest rates Regarding the Colorado Homestead Exemption, as indicated in the approved deed of trust forms, the buyer agrees that:

the homestead exemption is not addressed in the deed of trust forms that the homestead exemption is not waived the trustor waives the right to the homestead exemption the trustee waives the right to the homestead exemption

the trustor waives the right to the homestead exemption If your Contract to Buy and Sell does not need the Seller or Private Financing Section, you as broker may do all of the following except:

crossing out the section cleanly putting n/a in all blank fields in the section remove the section in its entirety as it is not applicable remove the paragraph text leaving the title and the words “omitted as not applicable”

remove the section in its entirety as it is not applicable The owner of subsurface mineral rights:

must pay royalties to surface owner has no rights to enter and use surface of property may have the right to enter and use property must go to court to gain access to the rights

may have the right to enter and use property Who pays the Colorado Use Tax on the transfer of furniture, personal property, equipment:

Buyer Seller Split equally between buyer and seller Seller”s broker

A Corporation, LLC, Partnership must have E&O insurance for entity and employing broker.

True False, only the employing broker requires E&O insurance False, only the legal entity requires E & O insurance False, only the individual licensee”s require E&O insurance

As per terms of Closing Instructions, a closing company must do all except:

provide an accurate and detailed closing statement mandatory release of earnest money if buyer fails to close provide copies of all signed documents authorized to obtain any information necessary for the Closing

mandatory release of earnest money if buyer fails to close You have a listing with a couple who hold title in joint tenancy. A broker brings you an offer and the couple indicates that they will probably accept the offer, but they want to think it over for a few hours.

Debit Buyer Debit Seller Debit Broker Not indicated on settlement sheet

A Transaction-broker may NOT do which of the following without ending his/her Transaction broker obligations:

Sell a buyer his own personal residence List competing properties for sale Show properties in which the buyer is interested to other prospective buyers Serve as a single agent or transaction- broker for the same parties in other real estate transactions

Sell a buyer his own personal residence A property manager may refuse to lease to:

A Muslim tenant renting near a Catholic church A gay individual A disabled veteran A person addicted to or using illegal drugs

A person addicted to or using illegal drugs Duplex owned by wife and husband. Joint tenancy. Husband dies. Husband had a will and left all assets or to son from previous marriage. What does the son receive?

Son now owns the property Son does not get the property Son owns half of property with wife Son owns one of the duplex units

Son does not get the property Can a broker in Colorado give a finders fee to an out-of-state broker?

Yes, if they have a Colorado trust account No Yes, if the out-of-state broker resides and maintains an office in the other state Yes, if they have a Colorado license in addition to their out-of-state license

Yes, if the out-of-state broker resides and maintains an office in the other state Broker Price Opinions (BPO) are created by real estate licensees not appraisers. These “estimates of value” cannot be used:

for tax purposes for court testimony to set a listing price to obtain financing

How many days notice does a landlord have to give to evict a tenancy-at-will?

3103090

Which of the following is not a Commission approved Deed of Trust:

due on sale not due on sale/transfer creditworthy 1% increase

When using a non approved form to buy and sell real estate who must prepare it

attorney for parties attorney for broker broker for parties broker for seller

A negative balance in a trust account is likely due to:

Commingling having occured The account being overdrawn The bank made an error A mathematical error having occured

Commingling having occured A buyer employed a broker through a sales associate. Which of the following would not terminate the buyer agency?

The house was significantly damaged by a fire Death of the brokerDeath of the sales associate

Death of the sales associate The maximum time allowed for the sale of a residential property, through the Public Trustee’s office after filing of the notice of election and demand (NED) to foreclose is:

45 days 90125 days 230 days

125 days

For residential properties, the public trustee schedules the sale 110-125 days ( 215-230 days for agricultural) after the initial foreclosure action was recorded. The notice of sale is published in a local newspaper for 5 weeks. The public trustee also mails a copy of the notice to the borrower.

You have a listing with a couple who hold title in joint tenancy. A broker brings you an offer and the couple indicates that they will probably accept the offer, but they want to think it over for a few hours. During those few hours they are involved in a traffic accident and one of them is killed. What would be the status of the listing?

The listing agreement is enforceable against the surviving spouseThe listing agreement is cancelled.The offer to purchase is still valid.The offer to purchase is void.

The listing agreement is enforceable against the surviving spouse

What is Rule F in Colorado real estate?

Through the adoption and promulgation of Commission Rule F, it became compulsory for all real estate brokers licensed by the State of Colorado to use Commission approved forms in most of their contracting.

Which would need to be registered with the CREC Colorado real estate Commission for a subdivision?

A lawsuit arises from a purchase and sale agreement. The court must: Award court costs and damages to the prevailing party If a broker moves his place of business without advising the Real Estate Commission: His license and all associate brokers working for him are inactivated In an Exclusive Right-to-Buy contract, who is responsible for paying the commission to the broker? Negotiable between buyer and seller Kevin, a real estate broker, sold a property and received a 6-1/2% commission.

Kevin gave the listings broker 30% of the commission, or $3,575. What was the selling price of the property? 183333 Explanation: $3,575 / 30% = $11,916.666 / 6.5% = $183,333.32 Buyer Wilson and Seller Smith have a voided sales contract. They have both agreed to disperse the funds, against the suggestions from Broker Bob.

Broker Bob should: disperse the escrowed money, as directed by seller, and as agreed between buyer and seller Real estate commissions appear on a closing statement as a: John Brown submits an offer to purchase contingent upon the sale of his present home on or before June 15.

1. The seller accepts the offer, and on June 16 the home is still not sold.
2. The seller may terminate the contract and return the earnest money Explanation: The contingency has not been met in accordance to the time frame of the contract, therefore, the contract can terminate or the parties may agree to extend.

When the capitalization rate used for appraising income property is lowered the value of the property: Increases Explanation: As cap rate goes down property value goes up. A broker is working with a person who wants to subdivide her condo into 52 separate time-shares.

1. The timeshare plan must be registered with: Colorado Real Estate Commission Explanation: Subdividing any residential property into 20 or more units for sale, transfer, lease or timeshares must be registered with the Colorado Real Estate Commission.
2. Loan payments received are to be applied: At the time of closing, the warranty deed is: delivered to the grantee then immediately mailed to the county for recording by the title company Explanation: At a closing, the deed is signed by the grantor, given to the grantee (delivery and acceptance) then the title company takes the deed and mails it to the county for recording.

The county returns the original deed to the grantee after it has been recorded. What if anything must an associate broker include in his/her Web site advertising? Name of the brokerage firm that holds the associate broker’s license An Employing Broker designates one seller agent and one buyer’s agent.

The Employing Broker has: An unlicensed personal assistant may: When must the “Change of Status” form be signed? when changing brokerage relationship from agent to transaction broker A house is closed on April 15. The property taxes are $960 for the year. They have not been paid. How much does the buyer receive from the seller at closing? 274 Explanation: $960 / 365 days = $2.6301 per day the seller owned the property and owes the Buyer for 104 days.

$2.6301 x 104 = $273.53 A house is closed on October 15. The annual insurance payment is $578 for the fiscal year of July 1 to June 30. The buyers will assume the seller’s policy. Since the policy has been paid, how much does the buyer owe the seller at closing? $410.14 Explanation: $578 / 365 = $1.5836 per day.

Seller paid for 259 days; he didn’t own the policy (Oct.15 through June 30) 259 x $1.5836 = $410.14 Of the following; who is responsible for for an accurate and complete closing statement? real estate broker attending closing Explanation: Real estate brokers are required by Rules E-4 and E-5 to provide copies of complete and accurate closing statements to buyers and sellers for any transaction in which the broker Title insurance endorsements appear on a closing statement as a: Credit to the broker Explanation: The Title Company or broker, whoever is doing the closing, collects title insurance endorsements Loan discount points appear on a closing statement as a: Debit to the buyer or seller Explanation: Either the buyer or seller pays the loan discount points (it is negotiated in the contract.) The documentary fee appears on a closing statement as a: Credit to the broker Debit Buyer Explanation: The documentary fee is collected from the buyer by the Title Company (broker) and is sent to the county assessor to assist in determining the true value of the property.

Debit Buyer Credit Broker Mortgage insurance in conjunction with a loan appears on a closing statement as a: Debit to the buyer Explanation: The buyer pays a mortgage insurance premium for a policy that insures the lender against the buyer’s default.

• This is not credit life insurance that insures against the death of the borrower.
• A $175 water bill is paid on June 1 for three months, the home is sold and the closing is August 25.
• How is this shown on the settlement statement? $13.31 credit to the seller, debit to the buyer Explanation $175 / 92 = $1.9022 X 7 = $13.31 credit seller debit buyer A house is closed on October 15.

The annual insurance payment is $578 for the fiscal year of July 1 to June 30. The buyers will assume the seller’s policy. Since the policy has been paid, how much does the buyer owe the seller at closing? 410.14 $578 / 365 = $1.5836 per day. Seller paid for 259 days; he didn’t own the policy (Oct.15 through June 30) 259 x $1.5836 = $410.14 A house is closed on May 15.

1. HOA dues are $108 per month and are due and payable on the first day of each month.
2. The HOA dues will appear on the closing statement as a: $59 credit to the seller Explanation: The seller paid the HOA dues on May first for the entire month.
3. With a closing on May 15 ( remember the Buyer is responsible for the day of Closing), this means the Seller paid 17 days (May 15-31) too much.

Since the Buyer is receiving the advantage of the overpaid HOA dues, the Buyer owes this money to the Seller. $108 / 31 days = $3.4839 per day. $3.4839 x 17 days = $59.23 to be credited to the seller and debited to the buyer. Find the capitalization rate on a business that is worth $430,000 and rents for $1,500 a month.0.0419 Explanation: First multiply the monthly rent $1,500 by 12 = Annual rental income $18,000.

Then divide this by the property value $430,000 = the cap rate 4.19% How many square feet in 3 acres? 130680 Take one acre 43,560 s ft times 3 = 130,680 The quarterly interest is $562.50 and the rate is 7.5% What is the principal amount of the loan? 30000 Explanation: Calculate the annual interest by taking the quarterly interest $562.50 and multiply by 4 = $2,250 or the annual interest.

Now divide this by 7.5 % = $30,000 The taxes on a house valued at $60,000 are $450.00. The tax ratio is 16%. What are the taxes on the house next door with a market value of $75,000? 562.5 $450 / $60,000 =,0075 X $75,000 = $562,50 A commercial warehouse produces an income of $ 2,200 per month.

The maintenance contract costs $ 1,250 per quarter. The taxes are $ 1625 annually. If an investor wants a 15% rate of return, how much should he pay for the warehouse? 131833 Explanation: $2,200 X 12 = $26,400 – ($1,250 X 4 = $5,000 + $1,625 =$6,625; $26,400 – $6,625 = $19,775 / 15 % = $131,833.33 This question is about the Income Approach to valuing a property.

This approach is used on investment properties to determine the market value of a property based on the income it generates. In simpleze, this is the process: The Exclusive Brokerage Listing Addendum attached to an Exclusive Right to Sell Agreement Allows the seller to negotiate a sale and not pay the broker The approved Agreement to Amend/Extend contract form is used: To get mutual agreement of the parties to any change in a deadline Explanation: The Agreement to Amend/Extend Contract is used only to amend the terms and conditions of a sales contract while it is in process.

1. You cannot amend a contract once it is complete (AKA “executed”), or terminated, or expired.
2. Based on the contract to buy and sell, loan discount points: May be paid by either party or a combination of both All of the following are true in the Colorado Right to Buy Contract except: Allows for the broker to be an agent for the sellers as well as the buyers The Colorado Contract to Buy & Sell establishes a New Loan Termination Deadline if the buyer is getting a new loan.

What is the effect of the deadline? If the buyer cannot get a satisfactory loan by that date, the buyer may terminate the contract with written notice to the seller The Colorado Contract to Buy & Sell allows the Buyer who cannot get a written loan commitment by the Loan Objection Deadline: to terminate the contract by written notice and receive earnest money back An executory contract is one which: Under an Exclusive Right-To-Sell Contract with a Brokerage Addendum, the seller: reserves the right to sell the property themselves and pay no commission An Exclusive Right-to-Sell Listing contract establishes which of the following agreements? That the broker and the seller will submit to mediation prior to litigation An Exclusive Right to Buy and Sell contract may disclose which of the following in the Acknowledgments section? The broker is either a Buyers’ Agent or a Transaction Broker or a Seller’s Agent Exclusive Right-to-Sell contracts list specific services the broker will offer.

Those services: are not limited to those preprinted on the contract The Definitions of Working Relationships form has the effect of: disclosing the different types of relationships that are available The exclusive right-to-buy contract is available as: buyer-agency or transaction broker relationships The Colorado Real Estate Commission Rule E-13 regarding sign-crossing allows an agent to: negotiate terms for a future listing or take a listing effective upon the expiration of a current listing so long as the owner initiates contact with the licensee Licensees are NOT required to use the Licensee Buyout Addendum to Contract to Buy and Sell under which of the following circumstances? When an agent decides to purchase a property listed by another broker Explanation: The licensee buyout addendum must only be used when the licensee is purchasing his/her own listing.4 is correct.4 is the only verbiage listed NOT in the Licensee Buyout Addendum.

In order to be effective, a Commission-approved Counter Proposal: must be attached to each copy of the original offer signed by the buyer Explanation: This is stated as a note on the bottom of the counterproposal. The counterproposal changes the terms and conditions of the original offer.

• As such, it does not stand alone and must be combined with the original offer to create an updated full offer.
• On the Commission-approved purchase and sale agreement regarding remedies in the event of a buyer default; if no box is checked what is the default? the liquidated damages clause is automatically in effect If items listed in the Inclusions and Exclusions Section of of the Contract to Buy and Sell Real Estate are not a part of the property, the broker should: do nothing, if the listing item is not on the property as of the date of the contract, it is not included nor necessary to cross it out An exclusive right-to-buy (Buyer Agency) contract may : not continue for an indefinite period of time without a specific termination date have a termination date up to one year after the start of the contract may involve three or more parties to the contract all of the above Explanation: All real estate agency contracts must have a definite beginning and ending date.

The start of an Exclusive Right To Buy contracts may be post dated. There is no limit to the number of parties to a contract. Which of the following is true with regard to the approved Earnest Money Promissory Note? must be due early enough to assure good funds for closing What was decided in the Conway-Bogue decision? Must recommend to client that it is always advisable to have a contract reviewed by an attorney Real estate agents are practicing law without a license Must use pre-approved commission forms All of the above When an exclusive right-to-buy contract has been executed, who is obligated to pay the broker working with the buyer? It is determined by which box is checked in the contract According to the Contract to Buy and Sell Real Estate – all prorations are: final as of the closing date Explanation: All proations are final at the closing table.

There is no recourse for adjustments after. There is no date of remission for real estate transactions in the Contract to Buy and Sell Real Estate. Which is NOT true regarding the Counterproposal form: he only changes allowed are purchase price and earnest moneyhe only changes allowed are purchase price and earnest money An agent can advertise a property under his or her name if: The name of his/her broker is also in the ad What if anything is required by the broker to be included on his/her Web site.

Name of licensee’s brokerage firm Earnest money checks received by a broker in connection with a real estate transaction must be: Deposited within three days of receipt by listing broker According to the Colorado Licensing Law, in order for a non-resident to become a broker: he must be a broker from his home state and pass Colorado licensing laws, but need not open an office in Colorado What is the maximum fine that the Real Estate Commission can impose for a violation of commission rules? What portion of the 24-hour continuing education requirement is to consist of the mandatory credits developed by the Real Estate Commission? As per Colorado Real Estate law an associate broker may operate from: the address on his license Which of the following actions on the part of a real estate broker could result in revocation of his license? Failing to submit to an owner all formal, written offers for property listed for sale Quoting to prospective buyers, of a property, a price other than the one stipulated by the owner Failure to report material facts All of the above could result in revocation A licensee, who is guilty of an act that is grounds for disciplinary action, may: be subject to criminal prosecution have his/her license suspended or revoked be subject to civil prosecution all of the above In Colorado, all of the following topics are regulated by Real Estate License Law or Real Estate Commission Rules EXCEPT: The Colorado Statute of Frauds mandates that Contracts for the sale of property must be in writing When you, as a licensee, are selling your own property: you must inform all prospective purchasers that you are the owner as well as a licensee To renew an active Colorado real estate license, what continuing education is required of the licensee? 24 hours of approved continuing education, of which 12 hrs must consist of the 4 hour Annual Commission Update Course taken each year The Real Estate Commission may NOT issue a temporary license to prevent hardship to a: Sole proprietor Explanation: Every company must have an employing broker at all times.

If something should happen to an employing broker, such as leaving the company, the real estate commission can issue a “hardship” license to someone else to act as the interim employing broker while the company settles on a permanent employing broker. The only rule for the “hardship” employing broker is that he/she must have an active Colorado license.

The problem with someone who is a sole proprietor i.e. they are an independant agent working for themselves, is that there is no one else in the company to become the employing broker. According to the Colorado Licensing Law, in order for a non-resident to become a broker: he must be a broker from his home state and pass Colorado licensing laws, but need not open an office in Colorado What can the Real Estate Commission do with a broker’s license after one of his licensees has had his license revoked or suspended? There must first be a hearing to determine if the broker had knowledge, or did not properly supervise the associate broker prior to suspension or revocation of his license Colorado licensing law sets a standard for: A broker’s license may be suspended or revoked for which of the following causes? Failure to account for or remit funds belonging to others Colorado Real Estate Commission Rule E-4 and E-5 give direction about retaining the needed contracts after closing a transaction.

Which copies are exceptions to the rules? Deeds, notes, trust deeds, mortgages A real estate broker shall NOT engage in any of the following acts: preparing legal documents as a courtesy for the seller of a for a sale by owner transaction no holdover provision Explanation: As per commission Position 13 on Single Party Listings, the termination date shall not be extended by the “Holdover Period” of this listing contract.

According to Commission Position 25 on Recording Contracts, should a listing broker decide her Seller client is attempting to cheat her out of a commission, the broker can: Commence mediation, arbitration or a civil action When using a non approved form to buy and sell real estate who must prepare it Broker Price Opinions (BPO) are created by real estate licensees not appraisers.

These “estimates of value” cannot be used: Broker is allowed to facilitate safeguards for seller assisted financing by adherence to the following EXCEPT: Notify Real Estate Commission of true selling price of home True/False – According to Commission Position 40 on Teams, Real estate brokers that function as teams should not advertise teams using the terms “realty”, “real estate”, “company”, “corporation”, “corp.”, “inc.”, “LLC” or other similar language that would indicate a company other than the employing brokerage firm.

If a licensee is also a licensed appraiser, can the licensee offer to appraise a home if they intend to be the listing agent for that same property in the future? Yes, as long as it is disclosed to all parties When must an employing broker (AKA sponsoring broker) keep a ledger? When accepting money belonging to others What must appear in the title of a trust account? Company name and employing broker’s name In the absence of language to the contrary in the Property Management Agreement a property manager must: Deposit security deposit into escrow account Explanation: Short version: put it into the escrow account first even if you are going to immediately transfer it to the owner.

However, before the owner transfer you need to provide appropriate written notification to the tenant as to who is holding the deposit and the holder’s contact info. The Real Estate Commission may NOT issue a temporary license to prevent hardship to a: An Employing Broker designates one seller agent and one buyer’s agent.

The Employing Broker has: A buyer enters into an exclusive right-to-buy contract and subsequently submits an offer on a property that is accepted; if the transaction fails, through no fault of the purchaser: the buyer is under no obligation to pay his broker a commission As a transaction broker in an exclusive right to sell listing contract, the listing broker must disclose: Material facts about the property known to the broker True/False – According to Commission Position 22 on Handling of Confidential Information, a designated broker is permitted to share confidential information with a supervising broker without changing or extending the brokerage relationship beyond the designated broker.

According to Colorado law, in the absence of a written agreement to the contrary, a real estate broker: represents neither the buyer nor the seller Explanation: Agency is not implied. Brokers are considered to help or assist buyers and sellers as Transaction Brokers when there is no written agreement.

Do not use the term “represent” as it implies agency. An agency relationship may be established by: A broker has an exclusive right to sell listing with a seller as a transaction broker. When a potential buyer calls on this listing, the broker must disclose? In writing that the broker works with the seller as a transaction broker and will owe the same duties to the buyer in the purchase transaction.

• A broker enters into an exclusive right-to-buy contract with a purchaser.
• The purchaser finds a satisfactory property and makes an offer, which is accepted.
• The listing broker is unavailable during much of the transaction and the selling broker performs several of the listing broker’s responsibilities.

In gratitude, the seller offers a $500 bonus to the selling broker. When is it acceptable for the broker to receive this money? With full written disclosure to both parties It is illegal for a broker to work with both seller and buyer when: the seller is not aware of such action all parties to the transaction are not aware of such action the agent collects a commission from both buyer and seller without the knowledge and consent of both all of the above Which of the following relationships is NOT acceptable for a broker in a single transaction? agent for the buyer and transaction-broker for the seller In a buyer-agency situation, what responsibility does the agent have to the principal? To be an advocate of the buyer’s best interests Advocacy of the principal is a benefit of which of the following relationships? buyer or seller agency Explanation: Advocacy is one of the fiduciary duties an agent is required to perform in an agency relationship.

There is no advocacy in a transaction broker relationship, you have to treat the buyer and seller equally. As a transaction broker in an exclusive right to sell listing contract, the listing broker must disclose: Material facts about the property known to the broker A transaction broker may disclose the following information regarding a buyer he is assisting, in the purchase of a property: adverse material facts regarding the buyer’s financial ability to purchase the property The owner of subsurface mineral rights: may have the right to enter and use property A property manager may refuse to lease to: A person addicted to or using illegal drugs In addition to Federal law the Colorado Fair Housing laws added the following protected class(es): Sexual orientation and marital status Water Rights: Who owns the water rights to a property? The recorded owner of the water rights, not necessarily the owner of the property According to the Contract to Buy and Sell Real Estate (AKA Purchase Contract) at or before the Association Documents Deadline a purchaser of a property in a Common Interest Community must receive: Governing and Financial Documents If a landlord fails to settle the security deposit with the tenant within one month (up to 60 days if specified in the lease) of the tenant surrendering the property, the landlord: is liable for treble the amount wrongfully withheld The Real Estate Commission approved Colorado Power of Attorney form creates a limited agency agreement How many days after notice of discrimination does someone have to file a complaint under Colorado Fair Housing Laws with the Colorado Civil Rights Commission? A seller providing financing may be exempt from attaining a lender’s license if they have completed: less than 3 transactions in the past 12 months A buyer employed a broker through a sales associate.

Which of the following would not terminate the buyer agency? Death of the sales associate Explanation: Correct is the death of the Salesperson. First up, please note the “NOT” in the question, easy to miss and changes the whole complexion of the question.

• As to the answer, remember that all contracts are with the company.
• Legally, the Sales Associate is just someone who has been appointed to represent the company in the transaction.
• The unfortunate demise of the licensee has no legal impact on the transaction because s/he is not a party to the contract.

The house burning up (nothing to sell or buy), the employing broker who is the personification of the company can both cause the termination of a listing or buyer agency agreement. A Seller signs an offer prior to the acceptance time and date. Before the offer is returned to the Buyer, the Buyer calls and withdraws the offer.

This offer is: void and not binding as it was withdrawn before acceptance was communicated to the Buyer When a Seller decides to submit a Counterproposal in response to a Contract to Buy and Sell, the Seller: signs the Counterproposal The maximum amount of days that can be specified in the Holdover Period in the Listing Contract is: negotiable by Seller and Broker With regard to a property in a Home Owners Association, the Contract To Buy & Sell Real Estate provides the Buyer the right to terminate the contract if Buyer does not receive the Association Documents by: Association Documents Deadline A note for earnest money: Must be indicated in the Contract to Buy and Sell When a license law complaint is made to the Commission against a licensee, the licensee must: Submit a written response to the Commission if requested Which would need to be registered with the CREC (Colorado Real Estate Commission) for a subdivision? A 60 unit co-op building Explanation: The Subdivision Developer’s Act affects the types of subdivisions that must be registered with the Commission.

The following types of subdivisions within the State of Colorado, and subdivisions located outside the state if being offered for sale in Colorado, must be registered before offering, negotiating, or agreeing to sell, lease, or transfer any portion of the subdivision: A home closes for $365,000 how much would you pay the county clerk and public trustee? When reconciling a 6 column worksheet for a closing – after totaling up the debits and credits, the closing agent needed to add a $30,000 Debit to the Seller Debit column to make it equal to the Seller Credit column.

What does this Seller Debit represent? A $30,000 check the Seller will receive from this closing Explanation: This DEBIT represents the Seller’s proceeds from the sale (what they are getting). Closing March 15, next payment due April 1. How many months of escrow can lender take for taxes? On a new loan closing, the settlement worksheet entry for a tax reserve indicates that the new lender is Withholding this amount from loan proceeds to start the escrow account for the next tax payment Closing is February 10 and taxes for the prior year were not paid for $1,854, this is shown on the settlement sheet as: $1,854 debit to the seller, credit to the broker Explanation: Taxes for the prior year would be a debit to the seller and a credit to the broker.

The previous years taxes are the seller’s problem. Debit the seller for $1854. The broker receives the funds as a Credit. (remember – the “broker” is a proxy for the title company closing agent who controls the escrow account). The broker (closing agent) will then write a check from the escrow account and send it to the governement to pay the past due tax bill.

Is net listing illegal in Alabama?

Types of Payments – Commissions and Flat Fees – Residential real estate agents are typically paid a commission or sometimes a flat fee upon the sale of a home. A commission is a percentage of the purchase price of the property sold or purchased. A flat fee is a specific dollar amount that the real estate agent agrees to receive, usually upon the sale of a home but also sometimes at the outset to cover marketing costs.

1. Real estate agents are often paid a flat fee when providing only transaction services, where the real estate professional does not advocate (is not an agent) for the consumer but helps manage the transaction (e.g., managing paperwork, coordinating closing, etc.).
2. The agent and his or her brokerage split the commission or fee under a negotiated agreement, but an agent must receive the fee or commission from his or her brokerage.

So, the fee or commission is paid to the agent’s broker, who then pays the agent his or her cut. A prohibited form of payment is called a net listing, Under a net listing agreement, the listing agent receives all excess proceeds of the sale over an agreed-upon amount.

What are examples of violation of the law?

Federal Computer Security Violations – The primary federal statute regarding computer fraud 18 U.S.C section 1030 was amended in October 1996 to protect computer and data integrity, confidentiality, and availability. Examples of violations are:

Theft of information from computers belonging to financial institutions or federal agencies, or computers used in interstate commerce Unauthorized access to government computers Damage to systems or data (intentionally or recklessly) Trafficking in stolen passwords Extortionate threats to damage computers Computer viruses and worms

What is the violation of licensing?

Licensing violation means a determination by the licensing authority that the group home is not in compliance with licensing requirements as prescribed in statute or rule.

What does the golden rule mean in real estate?

5) Be golden – Practice the “Golden Rule” with respect to everyone at all times—your clients, other agents, other agents’ clients and the general public. Always treat everyone the way you would want to be treated. Make your enemy your friend. Many people in the real estate industry for some reason think that representing their clients’ interests requires them to behave in an adversarial fashion.

What is Form F in real estate?

Leasing Form | Leasing Agreement Contract / Listing Form – The leasing agreement details the property, price, terms, and conditions of the property intended for leasing. This is known as Leasing Agreement. The tenancy contract or rental agreement is a legally binding contract that allows the tenant to use a property for a particular purpose and specified time period.

What is CFR in real estate?

What is CFR in commercial Real Estate? CFR stands for Code of Federal Regulations. The CFR is the codification of the general and. permanent rules and regulations published in the Federal Register by the executive departments and agencies of the federal government of the United States.

Can the Colorado real estate commission revoke a license?

The commission has the authority to administer disciplinary action by admonishing, censuring, suspending, or revoking a broker’s license and/or administering fines.

Are real estate commissions negotiable in Colorado?

Commercial Real Estate Commissions – The commission structure generally differs when it comes to commercial real estate commissions. The standard commercial real estate commission in Colorado is 6 percent of the sales price. Fees are still negotiable, and high-end properties usually have lower commission fees.

For leasing, office and retail commissions are calculated on the basis of square footage, while industrial lease commissions depend on the length of the lease and the property’s scheduled net rents. For example, in five year lease, it typically means a 7 percent commission is earned on the first year’s net rent, which will be reduced to 3 percent by the fifth year.

The Colorado Commercial Real Estate Brokers Commission Security Act permits a real estate agent to file a lien for unpaid commissions connected with leased commercial real estate property. In order for a commercial commission agreement to be enforced the commercial property cannot have any residential component, and the written commission agreement must state when the broker’s commission payment was due and in what amount.

1. There are few different things that comprise the commission of a real estate property when a property is sold.
2. Make sure you understand how much of a commission your real estate agent is taking from your purchase before you work with them.
3. Make sure you’re aware of Colorado laws as they relate to,
4. If you have questions about your upcoming real estate purchase, don’t hesitate to contact me for assistance.

: How Do Real Estate Commissions Work in Colorado?

Can my neighbor record me on my property in Alabama?

ALABAMA is considered a One-Party Consent State, in that at least one person involved in the recorded communication must consent. An illegal recording is a misdemeanor.

Can you secretly record someone in Alabama?

Summary – Alabama law sets criminal penalties for recording or disclosing private communication of others without the consent of at least one of the persons involved. The statute also bans secret observations while trespassing on private property, with or without recording.

What are the four 4 violation types?

There are many types of violations that can happen at work. Some are more serious than others, but they all have the potential to cause harm to employees or the company as a whole. In this blog post, we will discuss the four most common types of violations: safety, sexual harassment, wage and hour, and whistleblower.

What happens when someone violates the law?

When we see someone violating the law, we immediately think of informing the police. After a person is arrested, it is a court of law that decides whether the accused person is guilty or not. According to the Constitution, every individual charged of a crime has to be given a fair trial.

What are the consequences of licensing infringement?

Penalties for Infringement – Copyright infringement carries monetary damages calculated based on the number of instances and the estimated lost profits as a result. The court may also order restitution for court costs and damaged reputation. Statutory damages can range from $200 to $150,000, though penalties higher than $30,000 are typically limited to cases of willful infringement.

Copyright holders can also seek an injunction, which stops the infringing party from using the work in question. Copyright infringement can also result in criminal penalties, including up to five years in prison according to the U.S. Department of Justice. Repeat offenders could be sentenced to 10 years in prison.

The typical offense includes damages, legal fees, and up to one year in prison. Copyright cases are considered criminal when:

The infringement was intentional for financial gain. The value of the infringement exceeded $1,000. A movie, album, or other commercial work was shared over the internet before its release.

Statutory damages for registered works with the U.S. Copyright Office can be up to $150,000 per act, without consideration of actual monetary damages. A registered copyright owner can elect statutory damages instead of actual damages. Trademark and trade secret cases for breach of contract can carry exemplary damages beyond actual damages.

Which violations are under the list of violations to be penalized in RA 4136?

REPUBLIC ACT No.4136 AN ACT TO COMPILE THE LAWS RELATIVE TO LAND TRANSPORTATION AND TRAFFIC RULES, TO CREATE A LAND TRANSPORTATION COMMISSION AND FOR OTHER PURPOSES CHAPTER I PRELIMINARY PROVISIONS ARTICLE ARTICLE I Title and Scope of Act Section 1. Title of Act.

– This Act shall be known as the “Land Transportation and Traffic Code.” Section 2. Scope of Act. – The provisions of this Act shall control, as far as they apply, the registration and operation of motor vehicles and the licensing of owners, dealers, conductors, drivers, and similar matters. ARTICLE II Definitions Section 3.

Words and phrases defined. – As used in this Act: (a) “Motor Vehicle” shall mean any vehicle propelled by any power other than muscular power using the public highways, but excepting road rollers, trolley cars, street-sweepers, sprinklers, lawn mowers, bulldozers, graders, fork-lifts, amphibian trucks, and cranes if not used on public highways, vehicles which run only on rails or tracks, and tractors, trailers and traction engines of all kinds used exclusively for agricultural purposes.

Trailers having any number of wheels, when propelled or intended to be propelled by attachment to a motor vehicle, shall be classified as separate motor vehicle with no power rating. (b) “Passenger automobiles” shall mean all pneumatic-tire vehicles of types similar to those usually known under the following terms: touring car, command car, speedster, sports car, roadster, jeep, cycle, car (except motor wheel and similar small outfits which are classified with motorcycles), coupe, landaulet, closed car, limousine, cabriolet, and sedan.

Motor vehicles with changed or rebuilt bodies, such as jeepneys, jitneys, or station wagons, using a chassis of the usual pneumatic-tire passenger automobile type, shall also be classified as passenger automobile, if their net allowable carrying capacity, as determined by the Commissioner of Land Transportation, does not exceed nine passengers and if they are not used primarily for carrying freight or merchandise.

The distinction between “passenger truck” and “passenger automobile” shall be that of common usage: Provided, That a motor vehicle registered for more than nine passengers shall be classified as “truck”: And Provided, further, That a “truck with seating compartments at the back not used for hire shall be registered under special “S” classifications.

In case of dispute, the Commissioner of Land Transportation shall determine the classification to which any special type of motor vehicle belongs. (c) “Articulated vehicle” shall mean any motor vehicle with a trailer having no front axle and so attached that part of the trailer rests upon motor vehicle and a substantial part of the weight of the trailer and of its load is borne by the motor vehicle.

1. Such a trailer shall be called as “semi-trailer.” (d) “Driver” shall mean every and any licensed operator of a motor vehicle.
2. E) “Professional driver” shall mean every and any driver hired or paid for driving or operating a motor vehicle, whether for private use or for hire to the public.
3. Any person driving his own motor vehicle for hire is a professional driver.

(f) “Owner” shall mean the actual legal owner of a motor vehicle, in whose name such vehicle is duly registered with the Land Transportation Commission. The “owner” of a government-owned motor vehicle is the head of the office or the chief of the Bureau to which the said motor vehicle belongs.

(g) “Dealer” shall mean every person, association, partnership, or corporation making, manufacturing, constructing, assembling, remodeling, rebuilding, or setting up motor vehicles; and every such entity acting as agent for the sale of one or more makes, styles, or kinds of motor vehicles, dealing in motor vehicles, keeping the same in stock or selling same or handling with a view to trading same.

(h) “Garage” shall mean any building in which two or more motor vehicles, either with or without drivers, are kept ready for hire to the public, but shall not include street stands, public service stations, or other public places designated by proper authority as parking spaces for motor vehicles for hire while awaiting or soliciting business.

1. I) “Gross weight” shall mean the measured weight of a motor vehicle plus the maximum allowable carrying capacity in merchandise, freight and/or passenger, as determined by the Commissioner of Land Transportation.
2. J) “Highways” shall mean every public thoroughfare, public boulevard, driveway, avenue, park, alley and callejon, but shall not include roadway upon grounds owned by private persons, colleges, universities, or other similar institutions.

(k) “The Commissioner of Land Transportation or his deputies” shall mean the actual or acting chief of the Land Transportation Commission or such representatives, deputies, or assistants as he may, with the approval of the Secretary of Public Works and Communications, appoint or designate in writing for the purpose contemplated by this Act.

L) “Parking or parked”, for the purposes of this Act, shall mean that a motor vehicle is “parked” or “parking” if it has been brought to a stop on the shoulder or proper edge of a highway, and remains inactive in that place or close thereto for an appreciable period of time. A motor vehicle which properly stops merely to discharge a passenger or to take in a waiting passenger, or to load or unload a small quantity of freight with reasonable dispatch shall not be considered as “parked”, if the motor vehicle again moves away without delay.

(m) “Tourist” shall mean a foreigner who travels from place to place for pleasure or culture. ARTICLE III Administration of Act Section 4. Creation of the Commission. – (a) There is created under the Department of Public Works and Communications an office which shall be designated and known as the Land Transportation Commission, composed of one Commissioner and one Deputy Commissioner, who shall be vested with the powers and duties hereafter specified.

• Whenever the word “Commission” is used in this Act, it shall be deemed to mean the Land Transportation Commission, and whenever the word “Commissioner” is used in this Act, it shall be taken to mean the Commissioner or Deputy Commissioner.
• The Commissioner and the Deputy Commissioner shall be natural-born citizens and residents of the Philippines, and they shall be appointed by the President of the Philippines, with the consent of the Commission on Appointments of the Congress of the Philippines: Provided, however, That the present Administrator, Assistant Administrator and the personnel of the Motor Vehicles Office shall continue in office without the necessity of reappointment.

(b) The Commissioner and Deputy Commissioner shall hold office until removed in accordance with the provisions of the Revised Administrative Code. (c) The Commissioner shall receive an annual compensation of twelve thousand pesos and the Deputy Commissioner, an annual compensation of ten thousand four hundred pesos.

The Commissioner shall be assisted by one head executive assistant (MV regulation adviser or chief), one administrative officer, one registration regulation chief, one inspection, examination and licensing regulation chief, one law and traffic enforcement regulation chief, one provincial regulation chief, one utility and property regulation chief, one accounting officer, one internal chief auditor, and one personnel officer, who shall receive an annual compensation of nine thousand pesos each; eight land transportation regional directors who shall receive an annual compensation of eight thousand four hundred pesos each and eight land transportation assistant regional directors, who shall receive an annual compensation of seven thousand pesos each and ten assistant regulation chiefs, who shall receive an annual compensation of seven thousand pesos each.

(d) The Commission shall have its offices in Quezon City where the present Motor Vehicle Office is located, and shall establish a regional branch office each in Tuguegarao (Cagayan), Baguio City, Pasig (Rizal), Lipa City, San Fernando (La Union), Naga City, Cebu City, Iloilo City, Cagayan de Oro City, and Davao City, to be headed by a regional director who will have immediate administration, supervision and control over activities and administration of the Commission in the respective regions.

The Commissioner shall be responsible for the administration of this Act and shall have, in connection therewith, the following powers and duties, in addition to those mentioned elsewhere in this Act: (1) With the approval of the Secretary of Public Works and Communications, to issue rules and regulations not in conflict with the provisions of this Act, prescribing the procedure for the examination, licensing and bonding of drivers; the registration and re-registration of motor vehicles, transfer of ownership, change of status; the replacement of lost certificates, licenses, badges, permits or number plates; and to prescribe the minimum standards and specifications including allowable gross weight, allowable length, width and height or motor vehicles, distribution of loads, allowable loads on tires, change of tire sizes, body design or carrying capacity subsequent to registration and all other special cases which may arise for which no specific provision is otherwise made in this Act.

(2) To compile and arrange all applications, certificates, permits, licenses, and to enter, note and record thereon transfers, notifications, suspensions, revocations, or judgments of conviction rendered by competent courts concerning violations of this Act, with the end in view of preserving and making easily available such documents and records to public officers and private persons properly and legitimately interested therein.

3) To give public notice of the certificates, permits, licenses and badges issued, suspended or revoked and/or motor vehicles transferred and/or drivers bonded under the provisions of this Act. (4) The Commissioner of Land Transportation, with the approval of the Secretary of Public Works and Communications, may designate as his deputy and agent any employee of the Land Transportation Commission, or such other government employees as he may deem expedient to assist in the carrying out the provisions of this Act.

(5) The Commissioner of Land Transportation and his deputies are hereby authorized to make arrest for violations of the provisions of this Act in so far as motor vehicles are concerned; to issue subpoena and subpoena duces tecum to compel the appearance of motor vehicle operators and divers and/or other persons or conductors; and to use all reasonable means within their powers to secure enforcement of the provisions of this Act.

(6) The Commissioner of Land Transportation or his deputies may at any time examine and inspect any motor vehicle to determine whether such motor vehicle is registered, or is unsightly, unsafe, overloaded, improperly marked or equipped, or otherwise unfit to be operated because of possible excessive damage to highways, bridges and/or culverts.

(7) The Philippine Constabulary and the city and municipal police forces are hereby given the authority and the primary responsibility and duty to prevent violations of this Act, and to carry out the police provisions hereof within their respective jurisdiction: Provided, That all apprehensions made shall be submitted for final disposition to the Commissioner and his deputies within twenty-four hours from the date of apprehension.

• 8) All cases involving violations of this Act shall be endorsed immediately by the apprehending officer to the Land Transportation Commission.
• Where such violations necessitate immediate action, the same shall be endorsed to the traffic court, city or municipal court for summary investigation, hearing and disposition, but in all such cases, appropriate notices of the apprehensions and the dispositions thereof shall be given to the Commissioner of Land Transportation by the law-enforcement agency and the court concerned.

Notation of all such dispositions shall be entered in the records, and copy shall be mailed to the owner and to the driver concerned. CHAPTER II REGISTRATION OF MOTOR VEHICLES ARTICLE I Duty to Register, Reports, Applications, Classifications Section 5.

• All motor vehicles and other vehicles must be registered.
• A) No motor vehicle shall be used or operated on or upon any public highway of the Philippines unless the same is properly registered for the current year in accordance with the provisions of this Act.
• B) Any registration of motor vehicles not renewed on or before the date fixed for different classifications, as provided hereunder shall become delinquent and invalid: 1.

For hire motor vehicles – on or before the last working day of February.2. Privately-owned motor vehicles – from March one to the last working day of May.3. All other motor vehicles – from June one to the last working day of June; except when the plates of such motor vehicles are returned to the Commission in Quezon City or to the Office of the Motor Vehicles Registrar in the provincial or city agency of the Commission on or before the last working day of December of the year of issue.

(c) Dealer’s reports – The Commissioner of Land Transportation shall require dealers to furnish him with such information and reports concerning the sale, importation, manufacture, number of stocks, transfer or other transactions affecting motor vehicles as may be necessary for the effective enforcement of the provisions of this Act.

(d) Change of motor number prohibited. – No repair or change in the motor vehicle involving the exchange, elimination, effacing, or replacing of the original or registered serial or motor number as stamped or imprinted, shall be allowed, and any motor vehicle with a trace of having its motor number altered or tampered with shall be refused registration or re-registration, unless such is satisfactorily explained and approved by the Commissioner.

E) Encumbrances of motor vehicles. – Mortgages, attachments, and other encumbrances of motor vehicles, in order to be valid, must be recorded in the Land Transportation Commission and must be properly recorded on the face of all outstanding copies of the certificates of registration of the vehicle concerned.

Cancellation or foreclosure of such mortgages, attachments, and other encumbrances shall likewise be recorded, and in the absence of such cancellation, no certificate of registration shall be issued without the corresponding notation of mortgage, attachment and/or other encumbrances.

Records of encumbrances of motor vehicles shall be kept by the Land Transportation Commission in chronological sequence and shall contain, among other things, the time, date and number of the entry in a “Book of Motor Vehicles” referring to the creation, cancellation or foreclosure of the aforesaid mortgages, attachments or to other encumbrances.

The Land Transportation Commission shall collect a fee of five pesos for every annotation of a mortgage, attachment and/or other encumbrances, or cancellation thereof. Section 6. Application and payments for registration. – Applications and payments for registration shall be made either personally or by registered mail, and the date of the cancellation of the postage stamps of envelopes containing money order or check shall be taken as the date of the application and/or payment for registration: Provided, That the application is properly prepared and the payment for registration is sufficient as required by law.

• Section 7.
• Registration Classification.
• Every motor vehicle shall be registered under one of the following described classifications: (a) private passenger automobiles; (b) private trucks; and (c) private motorcycles, scooters, or motor wheel attachments.
• Motor vehicles registered under these classifications shall not be used for hire under any circumstances and shall not be used to solicit, accept, or be used to transport passengers or freight for pay.

Laborers necessary to handle freight on board private trucks may ride on such trucks: Provided, That seats shall not be installed in the rear compartment thereof and that only such number of laborers, not exceeding ten, as may be needed to handle the kind of freight carried, shall ride on the truck: Provided, further, That the combined weight of cargo and passengers does not exceed the registered net capacity of the truck.

For the purpose of this section, a vehicle habitually used to carry freight not belonging to the registered owner thereof, or passengers not related by consanguinity or affinity within the fourth civil degree to such owner, shall be conclusively presumed to be “for hire.” No person shall be allowed to register as private truck any truck not actually and reasonably necessary to carry out his duly licensed business or legitimate occupation or industry regularly paying taxes.

(d) Public utility automobiles; e) public utility trucks; (f) taxis and auto-calesas; (g) garage automobiles; (h) garage trucks; (i) hire trucks: and (j) trucks owned by contractors and customs brokers and customs agents. Application for registration under these classifications shall be accompanied by a certificate of public convenience or a special permit issued by the Public Service Commission, and motor vehicles registered under these classifications shall be subject to the Public Service Law, rules and regulations, as well as the provisions of this Act.

K) Undertakes (l) Dealers – Registrations under this classification are intended to cover generally and successively all the motor vehicles imported or handled by dealers for sale. Motor vehicles registered under the dealer’s classification shall, under no circumstances, be employed to carry passengers or freight in the dealer’s business, or for hire.

Such vehicles shall be operated under this classification only for the purpose of transporting the vehicle itself from the pier or factory to the warehouse or sales room or for delivery to a prospective purchaser or for test or demonstration. (m) Government automobiles; (n) government trucks; and (o) government motorcycles.

• Motor vehicles owned by the Government of the Philippines or any of its political subdivisions shall be registered under these classifications.
• Motor vehicles owned by government corporations, by government employees or by foreign governments shall not be registered under this classification.
• P) Tourists bringing their own motor vehicles to the Philippines may, without registering such motor vehicles, use the same during but not after ninety days of their sojourn: Provided, That the motor vehicle displays the number plates for the current year of some other country or state, and said number plates as well as the name and address (permanent and temporary) of the owner thereof are registered in the Land Transportation Commission prior to the operation of the motor vehicle.

If such tourist remain in the Philippines longer than ninety days, the motor vehicle shall not be operated unless registered in accordance with this Act and the corresponding registration fees paid. (q) Special. The Commissioner of Land Transportation may, in his discretion, allow the registration under this classification of motor vehicles which do not conform to the foregoing described regular classification.

ARTICLE II Registration Fees Section 8. Schedule of registration fees. – Except as otherwise specifically provided in this Act, each application for renewal of registration of motor vehicles shall be accompanied by an annual registration fee in accordance with the following schedule: (a) Private automobiles with pneumatic rubber tires, an amount based on their respective shipping weight or factory weight as indicated in the following schedule: 1,000 kilos or less P75.00 1,000 to 1,500 kilos 100.00 1,501 to 2,000 kilos 135.00 2,001 kilos and above 180.00 The factory or shipping weight of a private automobile shall be obtained from the Red Book edited by the National Market Report, Inc., of the United States of America: Provided, further, That in the case of automobiles with altered, changed or rebuilt bodies, the weight as obtained: by actual weighing shall be considered the vehicles weight: Provided, furthermore, That the increase registration fees herein prescribed shall not apply to jeeps and jeepneys for private use or for hire and the fees hereof shall be those prescribed for them before the approval of this Act.

The registered passenger capacity of passenger automobiles operated for hire or for private use shall be determined as follows: 1. For each adult passenger, a horizontal rectangular area, including seat and feet space, not less than thirty-five centimeters wide and sixty centimeters long, except in the front seat, which shall allow an area fifty centimeters wide for the operator.2.

For each half passenger, a horizontal rectangular area, including seat and feet spaces, not less that seventeen and a half centimeters wide by sixty centimeters long, provided, that each continuous row of seats shall not be allowed to have more that one-half passenger. (b) Private motor trucks, passenger buses and trailers with pneumatic rubber tires, the sum of five pesos for every hundred kilograms of maximum allowable gross weight or fraction thereof.

(c) Private motor trucks, passenger buses and trailers with solid rubber tires or with part-solid and part-pneumatic rubber tires, the sum of seven pesos for every hundred kilograms of maximum allowable gross weight or fraction thereof. (d) Private motorcycles and scooters of two or three wheels and bicycles with motor attachments, the sum of thirty pesos.

1. E) The fee for registration of motor vehicles for hire shall be sixty percent more than the fee prescribed for private motor vehicles of the same category.
2. F) The fee for registration of diesel-consuming vehicles shall be fifty percent more than that of vehicles using motor fuel other than diesel oil.

The fee for registration of motor vehicles for hire shall be sixty percent more than the fees prescribed for private motor vehicles. (g) No regular registration fees shall be charged for the general registration of motor vehicles contemplated under the dealer’s classification: Provided, That the Commissioner of Land Transportation shall provide appropriate dealer’s number plates corresponding to the classification of vehicles hereinbelow described, and registration fee for every set of such dealer’s number plates shall be in accordance with the following schedule of rates; Two hundred pesos for each truck or trailer; One hundred pesos for each passenger automobile; and Twenty pesos for each motorcycle and the like.

1. H) Registration under the “Government Motor Vehicle” classification shall be free of charge, upon request of the chief of bureau or office concerned.
2. I) Motor vehicles not intended to be operated or used upon any public highway, or which are operated on highways not constructed or maintained by the Government, or are intended not to be used or operated at all, shall be exempt from payment of the registration fees provided in this Act, but shall each pay an annual recording and service fee of fifteen pesos: Provided, however, That no refund, credit for, or reimbursement of registration fees or part thereof shall be made to any owner on account of the discontinuance of the use or operation of a motor vehicle subsequent to the payment of such registration fees: Provided, further, That in the event motor vehicles exempted under this section shall be found operated on any public highways, the regular registration fees and surcharges shall be collected in addition to whatever penalties may be imposed for violation of this Act.

The Commissioner of Land Transportation shall provide distinctive number plates for vehicles exempted from payment of regular registration fees, and the owner of the vehicles concerned shall pay four pesos for each set of such number plates. (j) The maximum allowable gross weight of a motor truck, passenger bus, or trailer, upon which to compute the registration fee thereof, shall be determined by the Commissioner of Land Transportation.

1. He shall, from time to time as the need of the service may require, prepare, subject to the approval of the Secretary of Public Works and Communications, suitable tables of maximum allowable loads per wheel for different sizes kinds of tires.
2. K) The registration fees provided in this Act for trucks may be payable in two equal installment, the first to be paid on or before the last working day of February if for hire, and in March if private; and the second to be paid on or before the last working day of August: Provided, That the fifty per cent penalty shall apply only to the unpaid balance of the remaining period of delinquency.

Section 9. Permissible weights and dimensions of vehicles in highways traffic. (a) The maximum gross weight and measurement of motor vehicles, unladen or with load, permissible on public highways shall be as specified hereunder, subject to such regulations as the Commissioner with the approval of the Secretary of Public Works and Communications, may promulgate, from time to time, as the conditions of the public highways may warrant and the needs of the service may require.

1. Per most heavily loaded wheel	three thousand six hundred kilograms;
2. Per most heavily loaded axle	eight thousand kilograms;
3. Per most heavily loaded axle group (the two axles of the group being at least one meter and less than two meters apart)	fourteen thousand five hundred kilograms.

An axle weight shall be the total weight transmitted to the road by all the wheels the centers of which can be included between the parallel transverse vertical planes one meter apart extending across the full width of the vehicles. No provincial, city or municipal authority shall enact or enforce any ordinance or resolution regulating or prescribing the maximum gross weight of any motor vehicle.

(b) No motor vehicle operating as a single unit shall exceed the following dimensions: Overall width two and five-tenths meters Overall height four meters Overall length: Freight vehicles with two axles ten meters Passenger vehicles with two axles eleven meters Vehicles with three or more axles fourteen meters (c) No motor vehicle and/or trailer combination shall exceed eighteen meters in overall projected length, including any load carried on such vehicle and trailer.

(d) No articulated vehicles shall be allowed to draw or pull a trailer and no vehicle already drawing a trailer shall draw another. Section 10. Special permits, fees for. – The Commissioner with the approval of the Secretary of Public Works and Communications, shall issue regulations and schedules of additional fees under which special permits may be issued in the discretion of the Commissioner or his deputies for each of the following special cases, without which special permit no vehicles shall be operated on the public highways: (a) To operate a motor vehicle or trailer outfit with wheel, axle, or axle group loads in excess of the limits fixed in subsection (a) of Section nine hereof or in any regulation issued by the Commissioner.

B) To operate a motor vehicle the size of which exceeds the limit of permissible dimensions specified in paragraph (b) of Section nine hereof. (c) To operate a motor vehicle with any part of the load extending beyond the projected width of the vehicle. (d) To pull two trailers behind a motor vehicle.

(e) For any other special authority relating to the use of vehicles, not otherwise specifically provided herein. Section 11. Additional fees. – In addition to the fees elsewhere provided in this Act, for each change of registration, from private to for hire or vice-versa; revision of gross weight rating, change of tire size; transfer of ownership; replacement of a lost registration certificate, number plate, driver’s license or permit; badge; preparation of affidavit or certified copy of records, or for any similar circumstances requiring the issue, revision, or reissue of a certificate of registration, driver’s license, badge, permit, or other document, a fee of two pesos shall be collected.

• The replacement of a lost or utterly spoiled certificate, number plate, license, badge or permit shall render the original invalid.
• In case of request in writing for certification of data or facts involving two or more vehicles, a fee of five pesos a page or part thereof shall be collected for each certification.

Section 12. Fee for original registration for part of year. – If any application for the original registration is made during the first quarter of a calendar year, the total annual fee for the year shall be paid, if made during the second quarter, three-fourths of the annual fee for that year shall be paid, if made during the third quarter, one half of the annual fee shall be paid, and if made during the fourth quarter, one-fourth of the annual fee shall be paid.

• Nothing in this section shall be construed as allowing quarterly renewals of registrations in order to avoid payment of fees in advance for the entire year.
• Section 13.
• Payment of taxes upon registration.
• No original registration of motor vehicles subject to payment of taxes, customs duties or other charges shall be accepted unless proof of payment of the taxes due thereon has been presented to the Commission.

ARTICLE III Registration Certificates, Records, Number Plates Section 14. Issuance of certificates of registration. – A properly numbered certificate of registration shall be issued for each separate motor vehicle after due inspection and payment of corresponding registration fees.

Section 15. Use and authority of certificate of registration. (a) The said certificate shall be preserved and carried in the car by the owner as evidence of the registration of the motor vehicle described therein, and shall be presented with subsequent applications for re-registration, transfer of ownership, or recording of encumbrances: Provided, That in lieu of the certificate of registration a true copy or photostat thereof may be carried in the motor vehicle.

(b) The certificate of registration issued under the provisions of this Act for any motor vehicle shall, while the same is valid and effective and has not been suspended or revoked, be the authority for the operation of such motor vehicle. (c) No motor vehicle shall be operated on the public highways in a manner which would place it under a classification requiring the payment of a larger registration fee than that stated in the certificate of registration.

1. Section 16.
2. Suspension of registration certificate.
3. If on inspection, as provided in paragraph (6) of Section four hereof, any motor vehicle is found to be unsightly, unsafe, overloaded, improperly marked or equipped, or otherwise unfit to be operated, or capable of causing excessive damage to the highways, or not conforming to minimum standards and specifications, the Commissioner may refuse to register the said motor vehicle, or if already registered, may require the number plates thereof to be surrendered to him, and upon seventy-two hours notice to the owner of the motor vehicle, suspend such registration until the defects of the vehicle are corrected and/or the minimum standards and specifications fully complied with.

Whenever it shall appear from the records of the Commission that during any twelve-month period more than three warnings for violations of this Act have been given to the owner of a motor vehicle, or that the said owner has been convicted by a competent court more than once for violation of such laws, the Commissioner may, in his discretion, suspend the certificate of registration for a period not exceeding ninety days and, thereupon, shall require the immediate surrender of the number plates.

Whenever a motor vehicle is found to be underweight the owner thereof shall pay the difference in the registration fees corresponding to the shortage in weight plus a fifty per cent surcharge, and until such payment is made, the certificate of registration of the motor vehicle concerned shall be suspended by the Commissioner.

After two such suspension, re-registration of the vehicle concerned for one year may be denied. The Commissioner shall notify the owner of the motor vehicle of any action taken by him under this section. Section 17. Number plates, preparation, preparation and issuance of,

A) The Commissioner shall cause number plates to be prepared and issued to owners of motor vehicles and trailers registered under this Act, charging a fee of four pesos for each pair including the numerals indicating the year of registry: Provided, however, That in case no number plates are available, the Commissioner or his deputies may issue, without charge, a written permit temporarily authorizing the operation of any motor vehicles with other means of identification: Provided, further, That all motor vehicles exempted from payment of registration fees, motor vehicles for hire, and privately-owned motor vehicles shall bear plates so designed and painted with different colors to distinguish one class from another: Provided, furthermore, That the plates of motor vehicles exempted from payment of registration fees shall be permanently assigned to such motor vehicles during their entire lifetime while exempted from payment of the fees: And, provided, finally, That the owner thereof shall return such plates to the Land Transportation Commission within a period of seven working days after such owner has lost his exemption privilege or has transferred the vehicle to a non-exempt owner.

(b) In case the design of the number plate is such that the numerals indicating the year of registry are on a detachable tag, the Commissioner or his deputies may, in their discretion, issue the said tag only for subsequent re-registration charging a fee of one peso for each tag issued.

Section 18. Use of number plates. – At all times, every motor vehicle shall display in conspicuous places, one in front and one in the rear thereof, the said number plates. The number plates shall be kept clean and cared for, and shall be firmly affixed to the motor vehicle in such a manner as will make it entirely visible and always legible.

Except in the case of dealer’s number plates which may be used successively on various motor vehicles in stock, no person shall transfer number plates from motor vehicle to another. No dealer’s number plate shall be used on any motor vehicle after said vehicle has been sold and delivered to a purchaser, and no dealer shall allow such dealer’s number plates to be used on any motor vehicle after its sale and delivery to a purchaser.

CHAPTER III OPERATION OF MOTOR VEHICLE ARTICLE I License to Drive Motor Vehicles Section 19. Duty to procure license. – Except as otherwise specifically provided in this Act, no person shall operate any motor vehicle without first procuring a license to drive a motor vehicle for the current year, nor while such license is delinquent, invalid, suspended or revoked.

The license shall be carried by the driver at all times when operating a motor vehicle, and shall be shown and/or surrendered for cause and upon demand to any person with authority under this Act to confiscate the same. Section 20. License for enlisted men operating Government motor vehicles.

Enlisted men operating a motor vehicle owned by the Government of the Philippines shall be licensed in accordance with the provisions of this Act, but no license or delinquency fees shall be collected therefrom. All licenses so issued shall bear the words “For Government Vehicles Only” plainly marked or stamped in red ink across the face thereof.

A license so marked or stamped shall authorize the holder thereof to operate a private-owned motor vehicle. Section 21. Operation of motor vehicles by tourists. – Bona fide tourist and similar transients who are duly licensed to operate motor vehicles in their respective countries may be allowed to operate motor vehicles during but not after ninety days of their sojourn in the Philippines.

If any accident involving such tourist or transient occurs, which upon investigation by the Commissioner or his deputies indicates that the said tourist or transient is incompetent to operate motor vehicles, the Commissioner shall immediately inform the said tourist or transient in writing that he shall no longer be permitted to operate a motor vehicle.

After ninety days, any tourist or transient desiring to operate motor vehicles shall pay fees and obtain and carry a license as hereinafter provided. Section 22. Driver’s license, fees, examination. – Every person who desires personally to operate any motor vehicle shall file an application to the Commissioner or his deputies for a license to drive motor vehicles: Provided, however, That no person shall be issued a professional driver’s license who is suffering from highly contagious diseases, such as, advanced tuberculosis, gonorrhea, syphilis, and the like.

• Each such application except in the case of enlisted men operating government-owned vehicles, shall be accompanied by a fee of five pesos, and shall contain such information respecting the applicant and his ability to operate motor vehicles, as may be required by the Commission.
• The Commissioner or his deputies shall also ascertain that the applicant’s sight and hearing are normal, and may in their discretion, require a certificate to that effect, signed by a reputable physician.

An examination or demonstration to show any applicant’s ability to operate motor vehicles may also be required in the discretion of the Commissioner or his deputies. Section 23. Issuance of driver’s license. – If, after such examination, the Commissioner or his deputy believes that the applicant possesses the necessary qualifications and is proficient in the operation of motor vehicles, a license shall be issued to such applicant upon payment of five pesos, but prior to the issuance of said license, the applicant shall furnish three copies of his recent photograph to be securely attached to the license, and two copies to be filed and kept as provided by this Act.

All driver’s licenses shall bear the signature and right-hand thumb print of the licensee. Section 24. Use of driver’s license and badge. – Every license issued under the provisions of this Act to any driver shall entitle the holder thereof, while the same is valid and effective and not suspended or revoked, to operate the motor vehicles described in such license: Provided, however, That every licensed professional driver, before operating a public service motor vehicle registered under classifications (d) to (j) inclusive of Section seven hereof, shall secure from the Commissioner, upon payment of the sum of one peso, a driver’s badge which he shall, at all times while so operating a motor vehicle, display in plain sight on the band of his cap or on his coat or shirt.

Such driver’s badge shall be of metal with a plainly readable number assigned to the licensee stamped thereon. It shall be unlawful for any duly licensed driver to transfer, lend or otherwise allow any person to use his license for the purpose of enabling such person to operate a motor vehicle.

No owner of a motor vehicle shall engage, employ, or hire any person to operate such motor vehicle, unless the person sought to be employed is a duly licensed professional driver. Section 25. Driver’s records. – Any driver who changes his address shall, within fifteen days, notify the Commissioner in writing of his new address, name and address of his new employer, the number of the motor vehicle he is employed to operate, and such other information as the Commissioner may require.

Section 26. Renewal of license. – Any license not renewed on or before the last working day of the month when the applicant was born shall become delinquent and invalid, except when the license is surrendered to the Commissioner or his deputies before the last working day of the month of his birth in order to avoid payment of the delinquency fees.

The fee for renewal of delinquent license shall be five pesos in addition to the basic fee as hereinabove prescribed. Every applicant for renewal of license to operate any motor vehicle shall present to the Commissioner, in person or by mail or messenger, the license issued to the applicant for the previous year, together with the proper fee of five pesos and, in the case of professional chauffeurs, three copies of a readily-recognized photograph of the applicant, which photograph shall have been taken not exceeding three years prior to the date of applicant for renewal.

Lost license. – In case the license for the previous year has been lost or cannot be produced, the applicant shall obtain a duplicate in accord with Section eleven of this Act, on penalty of refusal, by the Commissioner or his deputies, to renew the license: Provided, however, That the Commissioner or his deputies may, in their discretion accept in lieu of the previous years license, the duly signed and sworn statement of an operator to the effect that he has not operated any motor vehicle in the Philippines during the year or years to which no license was issued in his name.

1. The Commissioner and his deputies are hereby authorized to administer the oath in connection with such affidavit.
2. Section 27.
3. Suspension, revocation of driver’s license.
4. A) The Commissioner may suspend for a period not exceeding three months or, after hearing, revoke any driver’s license issued under the provisions of this Act, and may order any such license to be delivered to him whenever he has reason to believe that the holder thereof is an improper person to operate motor vehicles, or in operating or using a motor vehicle in, or as an accessory to, the commission of any crime or act which endangers the public.

Any deputy of the Commissioner may, for the same cause, suspend for a period not exceeding three months any driver’s license issued under the provisions of this Act: Provided, That such suspension may be appealed to the Commissioner who may, after reviewing the case, confirm, reverse or modify the action taken by such deputy.

(b) Whenever during any twelve-month period a driver shall have been convicted at least three times for the violations of any provisions of this Act or of any regulation issued by the Commissioner or any municipal or city ordinance relating to motor vehicle traffic not in conflict with any of the provisions of this Act, the Commissioner may, in his discretion, revoke or suspend the license of such driver for a period not exceeding two years.

(c) The license suspended or revoked under the provisions of subsections (a) and (b) of this section shall not be reinstated unless the driver has furnished a bond in accordance with Section twenty-nine of this Act and only after the Commissioner has satisfied himself that such driver may again safely be permitted to operate a motor vehicle.

(d) A decision of the Commissioner revoking or refusing the reinstatement of a license under the provisions of this Section may be appealed to the Secretary of Public Works and Communications. Section 28. Driver’s bond. – The Commissioner before reinstating any driver’s license which has been suspended or revoked under the provisions of the preceding section or of any provisions of this Act, may require such driver to post a bond in the sum of one thousand pesos conditioned upon the satisfaction and payment of any claim which may be filed or of any execution which may be issued against such driver in any case wherein said driver may be held answerable while operating motor vehicles.

The bond required in this section shall be in such form as to render sureties liable at least for a period of not less than one year nor more than three years: Provided, however, That upon written application to the Commissioner for release from such a bond, the Commissioner may after revoking or suspending the driver’s license, authorize the release of the bondsmen from further responsibility thereunder: Provided, further, That should the Commissioner decide not to revoke the license of a driver who has been convicted of homicide through reckless imprudence, or of the violation of the speed limit or of reckless driving at least three times within a twelve-month period, the said driver shall post a bond in the sum of not less than two thousand pesos, conditioned upon the payment of any claim which may be filed or any execution which may be issued against him in any case wherein said driver may be held answerable while operating motor vehicles.

• Section 29.
• Confiscation of driver’s licenses.
• Law enforcement and peace officers duly designated by the Commissioner shall, in apprehending any driver for violations of this Act or of any regulations issued pursuant thereto, or of local traffic rules and regulations, confiscate the license of the driver concerned and issue a receipt prescribed and issued by the Commission therefor which shall authorize the driver to operate a motor vehicle for a period not exceeding seventy-two hours from the time and date of issue of said receipt.

The period so fixed in the receipt shall not be extended, and shall become invalid thereafter. Failure of the driver to settle his case within fifteen days from the date of apprehension will cause suspension and revocation of his license. Section 30. Student-driver’s permit.

Upon proper application and the payment of three pesos, the Commissioner or his deputy may issue student-driver’s permits, valid for six months to persons not under eighteen years of age, who desire to learn to operate motor vehicles. No application for driver’s license shall be received unless the applicant has undergone instruction in the operation of motor vehicles for at least a month and has a valid student-driver’s permit: Provided, however, That any person who has a license to operate vehicles in other countries may, upon presentation of appropriate evidence of such license, be allowed to pay for a driver’s license without presenting a student driver’s permit.

A student driver who fails in the examination shall continue as a student driver for at least one additional month. No student driver shall operate a motor vehicle unless accompanied by a duly licensed driver. The licensed driver acting as instructor to the student driver shall likewise be responsible and liable for any violation of the provisions of this Act and for any injury or damage done by the motor vehicle on account or as a result of its operation by a student under his direction.

1. ARTICLE II Illegal Use of Licenses, Number Plates, Etc.
2. Section 31.
3. Imitation and false representations.
4. No person shall make or use attempt to make or use a driver’s license, badge, certificate of registration, number plate, tag, or permit in imitation or similitude of those issued under this Act, or intended to be used as or for a legal license, badge, certificate, plate, tag or permit, or with intent to sell or otherwise dispose of the same to another.

No person shall falsely or fraudulently represent as valid and in force any driver’s license, badge, certificate, plate, tag or permit issued under this Act which is delinquent or which has been revoked or suspended. No person shall, knowingly and with intent to deceive, make one or more false or fraudulent statements in an application for the registration of vehicles, or for a driver’s license.

ARTICLE III Passenger and Freight Section 32. Exceeding registered capacity. – No person operating any vehicle shall allow more passenger or more freight or cargo in his vehicle than its registered carrying capacity. In the case of public utility trucks or buses, the conductor shall be exclusively liable for violations of this section or of Section thirty-two, letter (c) hereof: Provided, That the conductor, before being employed by any public service operator, shall get a permit or license from the Commission and pay five pesos annually for said license or permit issued in his favor, and the same is renewable on or before the last working day of the month of his birth, attaching a readily recognizable photograph and after presentation of a medical certificate of fitness of applicant.

Passenger trucks may be allowed to construct any cargo carrying device at the rear or at the side of the truck, subject to the approval of the Commissioner: Provided, however, That the total weight of the device, including the cargo, shall not exceed one hundred kilos.

1. B) Carrying of passengers and freight on top of vehicles.
2. No person operating a motor vehicle shall allow any passenger to ride on the cover or top of such vehicles: Provided, however, That subject to such conditions as may be contained in permits that may be issued by the Commissioner, baggage or freight may be carried on the top of a truck provided the weight thereof does not exceed twenty kilos per square meter and is distributed in such a manner as not to endanger the passengers or stability of the truck.

(c) Riding on running boards. – No driver shall permit any person to ride on the running board, step board, or mudguard of his motor vehicle for any purpose except to make repair or adjustment in the motor or to collect fares. Section 33. Passenger or freight capacity marked on vehicle.

All passengers automobiles for hire shall have the registered passenger capacity plainly and conspicuously marked on both sides thereof, in letters and numerals not less than five centimeters in height. All motor trucks, whether for passenger or freight, private, or for hire, shall have the registered passenger gross and net weight capacities plainly and conspicuously marked on both sides thereof, in letters and numerals not less than five centimeters in height.

ARTICLE IV Accessories of Motor Vehicles Section 34. (a) Tires of motor vehicles. – No motor vehicle with metallic tires shall be operated upon any public highway, and solid tires whenever used shall be of sufficient thickness to prevent the metal rims thereof from coming in direct contact with the road.

• B) Brakes – Every motor vehicle with four or more wheels shall be provided with dual hydraulic brake system so that in case of hydraulic line failure affecting the braking efficiency of any of the four wheels at least either the front or rear wheels shall retain normal braking capabilities.
• In the absence of such dual braking system every motor vehicle with four or more wheels shall be provided with safety valve devices of such design and make so that failure of the hydraulic braking system of the vehicle because of leakage in the line of other parts of the system will not affect all wheels but rather render at all times effective the braking power of either the two front wheels or the two rear wheels when brakes are applied.

This requirement, however, does not apply to motor vehicles equipped with pneumatic braking system. (b-1) Horns. – Every motor vehicle shall be provided with a horn or signalling devise in good working order: Provided, however, That no horn or signalling device emitting an exceptionally loud, startling, or disagreeable sound shall be installed or used on any motor vehicle.

1. All authorized emergency vehicles, such as ambulance and police cars and fire wagons used for emergency calls shall be equipped with a bell, siren, or exhaust whistle of a type approved by the Commissioner, and no such device shall be installed or used in any other vehicle.
2. No vehicle not classified as a motor vehicle under this Act shall be equipped with a horn or signaling device similar to the horn customarily used on motor vehicles.

(c) Headlights. – Every motor vehicle of more than one meter of projected width, while in use on any public highway shall bear two headlights, one on each side, with white or yellowish light visible from the front, which, not later than one-half hour after sunset and until at least one-half four before sunrise and whenever weather conditions so require, shall both be lighted.

1. Additional lamps and light may be carried, but no red lights shall be visible forward or ahead of the vehicle.
2. Trucks, buses, trailers, and other similar vehicles must carry, while in use on any public highway during night-time, colored riding lights on each of the four corners not more than ten centimeters from the top.

All motor vehicles shall be equipped with devices for varying the intensity of light, and the driver must dim the headlights or tilt the beams downward whenever the vehicle is being operated on well-lighted streets within the limits of cities, municipalities, and thickly populated barrios or districts, or whenever such vehicle meets another vehicle on any public highway.

1. D) Taillights.
2. Every motor vehicle and trailer shall, during the above-mentioned hours, also bear on each side in the rear a lamp showing a red light visible at least one hundred meters from the rear of the vehicle and a lamp throwing a white light upon the number plate issued for such vehicle.
3. E) Stop lights.

– Every motor vehicle shall be equipped at the rear with at least one lamp which shall throw a sustained bright red light visible under all conditions, even under bright sunlight, when the brakes are applied. Each bus, truck, trailer or similar vehicle shall be equipped, as its stop light at or near its rear center, with a lamp at least twelve centimeters in diameter with the word “stop” inscribed in the center.

• F) Motorcycle and other vehicle lights.
• Every motor vehicle of less than one meter of projected width shall be subject to the preceding provisions of this section, except that one headlight and one taillight shall be required.
• No signal light shall be necessary.
• Additional lamps may be carried provided they comply with the preceding provisions of this section.

Every motor vehicle, or whatever style, kind, make, character, or nature, when upon a highway during the hours above-mentioned, whether in motion or not, shall have one or more lights so arranged that the same shall be visible at least fifty meters from the front and the rear of such vehicle.

G) Lights when parked or disabled. – Appropriate parking lights or flares visible one hundred meters away shall be displayed at a corner of the vehicle whenever such vehicle is parked on highways or in places that are not well-lighted or is placed in such manner as to endanger passing traffic. (h) Windshield wiper.

– Every motor vehicle shall be equipped with a mechanically or electrically operated device for wiping off raindrops or other moisture from its front windshield. (i) Use of red flag. – Whenever the load of any vehicle extends more than one meter beyond the bed or body thereof, there shall be displayed at every projecting end of such load a red flag not less than thirty centimeters both in length and width, except that during the hours fixed under subsection (c), there shall be displayed, in lieu of the required red flags, red lights visible at least fifty meters away.

J) Mufflers. – Every motor vehicle propelled by an internal combustion engine shall be equipped with a muffler, and whenever said motor vehicle passes through a street of any city, municipality, or thickly populated district or barrio, the muffler shall not be cut out or disconnected. No motor vehicle shall be operated in such a manner as to cause it to emit or make any unnecessary or disagreeable odor, smoke or noise.

CHAPTER IV TRAFFIC RULES ARTICLE I Speed Limit and Keeping to the Right Section 35. Restriction as to speed. – (a) Any person driving a motor vehicle on a highway shall drive the same at a careful and prudent speed, not greater nor less than is reasonable and proper, having due regard for the traffic, the width of the highway, and of any other condition then and there existing; and no person shall drive any motor vehicle upon a highway at such a speed as to endanger the life, limb and property of any person, nor at a speed greater than will permit him to bring the vehicle to a stop within the assured clear distance ahead.

MAXIMUM ALLOWABLE SPEEDS	Passengers Cars and Motorcycle	Motor trucks and buses
1. On open country roads, with no “blinds corners” not closely bordered by habitations.	80 km. per hour	50 km. per hour
2. On “through streets” or boulevards, clear of traffic, with no ” blind corners,” when so designated.	40 km. per hour	30 km. per hour
3. On city and municipal streets, with light traffic, when not designated “through streets”.	30 km. per hour	30 km. per hour
4. Through crowded streets, approaching intersections at “blind corners,” passing school zones, passing other vehicles which are stationery, or for similar dangerous circumstances.	20 km. per hour	20 km. per hour

c) The rates of speed hereinabove prescribed shall not apply to the following: (1) A physician or his driver when the former responds to emergency calls; (2) The driver of a hospital ambulance on the way to and from the place of accident or other emergency; (3) Any driver bringing a wounded or sick person for emergency treatment to a hospital, clinic, or any other similar place; (4) The driver of a motor vehicle belonging to the Armed Forces while in use for official purposes in times of riot, insurrection or invasion; (5) The driver of a vehicle, when he or his passengers are in pursuit of a criminal; (6) A law-enforcement officer who is trying to overtake a violator of traffic laws; and (7) The driver officially operating a motor vehicle of any fire department, provided that exemption shall not be construed to allow unless or unnecessary fast driving of drivers aforementioned.

1. Section 36.
2. Speed limits uniform throughout the Philippines.
3. No provincial, city or municipal authority shall enact or enforce any ordinance or resolution specifying maximum allowable speeds other than those provided in this Act.
4. Section 37.
5. Driving on right side of highway.
6. Unless a different course of action is required in the interest of the safety and the security of life, person or property, or because of unreasonable difficulty of operation in compliance herewith, every person operating a motor vehicle or an animal-drawn vehicle on a highway shall pass to the right when meeting persons or vehicles coming toward him, and to the left when overtaking persons or vehicles going the same direction, and when turning to the left in going from one highway to another, every vehicle shall be conducted to the right of the center of the intersection of the highway.

Section 38. Classification of highways. – Public highways shall be properly classified for traffic purposes by the provincial board, municipal board or city council having jurisdiction over them, and said provincial board, municipal board or city council shall provide appropriate signs therefor, subject to the approval of the Commissioner.

It shall be the duty of every provincial, city and municipal secretary to certify to the Commissioner the names, locations, and limits of all “through streets” designated as such by the provincial board, municipal board or council. ARTICLE II Overtaking and Passing a Vehicle, and Turning at Intersections Section 39.

Overtaking a vehicle. – The driver of any motor vehicle overtaking another vehicle proceeding in the same direction shall pass at a safe distance to the left thereof, and shall not again drive to the right side of the highway until safety clear of such overtaken vehicle except that on a highway, within a business or residential district, having two or more lanes for the movement of traffic in one direction, the driver of a vehicle may overtake and pass another vehicle on the right.

• Nothing in this section shall be construed to prohibit a driver overtaking and passing, upon the right, another vehicle which is making or about to make a left turn.
• Section 40.
• Driver to give way to overtaking vehicle.
• The driver of a vehicle about to be overtaken and passed by another vehicle approaching from the rear shall give way to the overtaking vehicle on suitable and audible signal being given by the driver of the overtaking vehicle, and shall not increase the speed of his vehicle until completely passed by the overtaking vehicle.

Section 41. Restrictions on overtaking and passing. (a) The driver of a vehicle shall not drive to the left side of the center line of a highway in overtaking or passing another vehicle proceeding in the same direction, unless such left side is clearly visible, and is free of oncoming traffic for a sufficient distance ahead to permit such overtaking or passing to be made in safety.

(b) The driver of a vehicle shall not overtake or pass another vehicle proceeding in the same direction, when approaching the crest of a grade, not upon a curve in the highway, where the driver’s view along the highway is obstructed within a distance of five hundred feet ahead, except on a highway having two or more lanes for movement of traffic in one direction where the driver of a vehicle may overtake or pass another vehicle: Provided, That on a highway within a business or residential district, having two or more lanes for movement of traffic in one direction, the driver of a vehicle may overtake or pass another vehicle on the right.

(c) The driver of a vehicle shall not overtake or pass any other vehicle proceeding in the same direction, at any railway grade crossing, not at any intersection of highways unless such intersection or crossing is controlled by traffic signal, or unless permitted to do so by a watchman or a peace officer, except on a highway having two or more lanes for movement of traffic in one direction where the driver of a vehicle may overtake or pass another vehicle on the right.

• Nothing in this section shall be construed to prohibit a driver overtaking or passing upon the right another vehicle which is making or about to make a left turn.
• D) The driver of a vehicle shall not overtake or pass, or attempt to pass, any other vehicle, proceeding in the same direction, between any points indicated by the placing of official temporary warning or caution signs indicating that men are working on the highway.

(e) The driver of a vehicle shall not overtake or pass, or attempt to overtake or pass, any other vehicle proceeding in the same direction in any “no-passing or overtaking zone.” ARTICLE III Right of Way and Signals Section 42. Right of way. (a) When two vehicles approach or enter an intersection at approximately the same time, the driver of the vehicle on the left shall yield the right of way to the vehicle on the right, except as otherwise hereinafter provided.

The driver of any vehicle traveling at an unlawful speed shall forfeit any right of way which he might otherwise have hereunder. (b) The driver of a vehicle approaching but not having entered an intersection, shall yield the right of way to a vehicle within such intersection or turning therein to the left across the line of travel of such first-mentioned vehicle, provided the driver of the vehicle turning left has given a plainly visible signal of intention to turn as required in this Act.

(c) The driver of any vehicle upon a highway within a business or residential district shall yield the right of way to a pedestrian crossing such highway within a crosswalk, except at intersections where the movement of traffic is being regulated by a peace officer or by traffic signal.

Every pedestrian crossing a highway within a business or residential district, at any point other than a crosswalk shall yield the right of way to vehicles upon the highway. (d) The driver of a vehicle upon a highway shall bring to a full stop such vehicle before traversing any “through highway” or railroad crossing: Provided, That when it is apparent that no hazard exists, the vehicle may be slowed down to five miles per hour instead of bringing it to a full stop.

Section 43. Exception to the right of way rule. (a) The driver of a vehicle entering a highway from a private road or drive shall yield the right of way to all vehicles approaching on such highway. (b) The driver of a vehicle upon a highway shall yield the right of way to police or fire department vehicles and ambulances when such vehicles are operated on official business and the drivers thereof sound audible signal of their approach.

(c) The driver of a vehicle entering a “through highway” or a “stop intersection” shall yield the right of way to all vehicles approaching to either direction on such “through highway”: Provided, That nothing in this subsection shall be construed as relieving the driver of any vehicle being operated on a “through highway” from the duty of driving with due regard for the safety of vehicles entering such “through highway” nor as protecting the said driver from the consequence of an arbitrary exercise off such right of way.

Section 44. Signals on starting, stopping or turning. – (a) The driver of any vehicle upon a highway, before starting, stopping or turning from a direct line, shall first see that such movement can be made in safety, and if any pedestrian may be affected by such movement, shall give a clearly audible signal by sounding the horn, and whenever the operation of any other vehicle approaching or following may be affected by such movement, shall give a signal plainly visible to the driver of such other vehicles of the intention to make such movement.

B) The signal herein required shall be given by means of extending the hand and arm beyond the left side of the vehicle, or by an approved mechanical or electrical signal device. ARTICLE IV Turning and Parking Section 45. Turning at intersections. – (a) The drive of a vehicle intending to run to the right at an intersection shall approach such intersection in the lane for traffic nearest to the right-hand side of the highway and, in turning, shall keep as close as possible to the right-hand curb or edge of the highway.

(b) The driver of a vehicle intending to turn to the left shall approach such intersection in the lane for traffic to the right of and nearest to the center line of the highway, and, in turning, shall pass to the left of the center of the intersection, except that, upon highways laned for traffic and upon one-way highways, a left turn shall be made from the left lane of traffic in the direction in which the vehicle is proceeding.

• C) For the purpose of this section, the center of the intersection shall mean the meeting point of the medial lines of the highways intersecting one another, except when it is occupied by a monument, grass plot or any permanent structure, other than traffic control device.
• Section 46.
• Parking prohibited in specified places.

– No driver shall park a vehicle, or permit it to stand, whether attended or unattended, upon a highway in any of the following places: (a) Within an intersection (b) On a crosswalk (c) Within six meters of the intersection of curb lines. (d) Within four meters of the driveway entrance to and fire station.

1. E) Within four meters of fire hydrant (f) In front of a private driveway (g) On the roadway side of any vehicle stopped or parked at the curb or edge of the highway (h) At any place where official signs have been erected prohibiting parking.
2. Section 47.
3. Parked vehicle.
4. Whenever a motor vehicle is parked unattended on any highway, the driver thereof must turn off the ignition switch and stop the motor and notch effectively the hand brake.

ARTICLE V Miscellaneous Traffic Rules Section 48. Reckless driving. – No person shall operate a motor vehicle on any highway recklessly or without reasonable caution considering the width, traffic, grades, crossing, curvatures, visibility and other conditions of the highway and the conditions of the atmosphere and weather, or so as to endanger the property or the safety or rights of any person or so as to cause excessive or unreasonable damage to the highway.

• Section 49.
• Right of way for police and other emergency vehicles.
• Upon the approach of any police or fire department vehicle, or of an ambulance giving audible signal, the driver of every other vehicle shall immediately drive the same to a position as near as possible and parallel to the right-hand edge or curb of the highway, clear of any intersection of highways, and shall stop and remain in such position, unless otherwise directed by a peace officer, until such vehicle shall have passed.

Section 50. Tampering with vehicles. – No unauthorized person shall sound the horn, handle the levers or set in motion or in any way tamper with a damage or deface any motor vehicle. Section 51. Hitching to a vehicle. – No person shall hang on to, ride on, the outside or the rear end of any vehicle, and no person on a bicycle, roller skate or other similar device, shall hold fast to or hitch on to any moving vehicle, and no driver shall knowingly permit any person to hang on to or ride, the outside or rear end of his vehicle or allow any person on a bicycle, roller skate or other similar device to hold fast or hitch to his vehicle.

Section 52. Driving or parking on sidewalk. – No person shall drive or park a motor vehicle upon or along any sidewalk, path or alley not intended for vehicular traffic or parking. Section 53. Driving while under the influence of liquor or narcotic drug. – No person shall drive a motor vehicle while under the influence of liquor or narcotic drug.

Section 54. Obstruction of traffic. – No person shall drive his motor vehicle in such a manner as to obstruct or impede the passage of any vehicle, nor, while discharging or taking on passengers or loading or unloading freight, obstruct the free passage of other vehicles on the highway.

• Section 55.
• Duty of driver in case of accident.
• In the event that any accident should occur as a result of the operation of a motor vehicle upon a highway, the driver present, shall show his driver’s license, give his true name and address and also the true name and address of the owner of the motor vehicle.

No driver of a motor vehicle concerned in a vehicular accident shall leave the scene of the accident without aiding the victim, except under any of the following circumstances: 1. If he is in imminent danger of being seriously harmed by any person or persons by reason of the accident; 2.

If he reports the accident to the nearest officer of the law; or 3. If he has to summon a physician or nurse to aid the victim. CHAPTER V PENAL AND OTHER PROVISIONS ARTICLE I Penalties Section 56. Penalty for violation. – The following penalties shall be imposed for violations of this Act: (a) For registering later than seven days after acquiring title to an unregistered motor vehicle or after conversion of a registered motor vehicle requiring larger registration fee than that for which it was originally registered, or for renewal of a delinquent registration, the penalty shall be a fine fifty per cent of the registration fees corresponding to the portion of the year for which the vehicle is registered for use.

(b) For failure to sign driver’s license or to carry same while driving, twenty pesos fine. (c) Driving a vehicle with a delinquent or invalid driver’s license, fifty pesos fine. (d) Driving a motor vehicle with delinquent, suspended or invalid registration, or without registration or without the proper license plate for the current year, three hundred pesos fine.

• E) Driving a motor vehicle without first securing a driver’s license, three hundred pesos fine.
• F) Driving a motor vehicle while under the influence of liquor or narcotic drug, a fine of not less than two hundred pesos nor more than five hundred pesos, or imprisonment of not more than three months, or both, at the discretion of the Court.

(g) Violation of Section thirty-two, thirty-four (a), (b) and (b-1), thirty-five and forty-six a fine not exceeding one hundred pesos: Provided, however, That in the case of violation of Section 34 (b) the vehicle or vehicles affected may not be allowed to operate unless the requirements provided in this section are complied with.

H) Violations of Sections forty-nine, fifty and fifty-two, a fine not exceeding fifty pesos. (i) For making, using or attempting to make or use a driver’s license, badge, certificate or registration, number plate, tag or permit in imitation or similitude of those issued under this Act, or intended to be used as or for a legal license, badge, certificate, plate, tag or permit or with intent to sell or otherwise dispose of the same to another, or false or fraudulently represent as valid and in force any driver’s license, badge, certificate, plate, tag or permit issued under this Act which is delinquent or which has been suspended or revoked, a fine of not exceeding three hundred pesos.

(j) For using private passenger automobiles, private trucks, private motorcycles, and motor wheel attachments for hire, in violation of Section seven, subsections (a), (b), and (c), of this Act, a fine of two hundred pesos and suspension of driver’s license for a period of three months for the first conviction; a fine of three hundred pesos and six months imprisonment for the second conviction; and an imprisonment of one year and permanent revocation of the driver’s license for the third conviction.

K) For permitting, allowing, consenting to, or tolerating the use of a privately-owned motor vehicle for hire in violation of Section seven, subsections (a), (b), and (c), of this Act, there shall be imposed upon the owner of the vehicle a fine of five hundred pesos and the certificate of registration shall be suspended for a period of three months for the first conviction, and an increase of one hundred pesos in the fine and one month’s suspension of the registration for each subsequent conviction.

(l) For violation of any provisions of this Act or regulations promulgated pursuant hereto, not hereinbefore specifically punished, a fine of not less than ten or more than fifty pesos shall be imposed. (m) In the event an offender cannot pay any fine imposed pursuant to the provisions of this Act, he shall be made to undergo subsidiary imprisonment as provided for in the Revised Penal Code.

(n) If, as the result of negligence or reckless or unreasonable fast driving, any accident occurs resulting in death or injury of any person, the motor vehicle operator at fault shall, upon conviction, be punished under the provisions of the Revised Penal Code. Section 57. Punishment for other offenses.

– The conviction of any person for any offense under this Act shall not bar his prosecution for any other offense which may have been committed by such person concurrently with the commission of the offense of which he was convicted or in doing the act or series of acts which constituted the offense of which he was convicted.

Section 58. Duty of clerks of court. – It is hereby made the duty of clerks of the Court of First Instance, the City Court of Municipal Court trying traffic violation cases to certify to the Commission the result of any case, whether criminal or civil, involving violations of any provision of this Act or of other laws and ordinances relating to motor vehicles.

Said certificate shall specifically contain the name of the driver or owner of the vehicle involved, his address, the number of his license and/or of the certificate or registration of his vehicle, and the date thereof, and the offense of which he was convicted or acquitted.

1. ARTICLE II Collection of Fees, Taxes and Fines, Liens, Allotment of Funds Section 59.
2. A) Collection of fees; national and local taxes; toll fees.
3. The collection of all fees, taxes, and fines, under the provisions of this Act shall be made in accordance with regulations to be prescribed by the Commissioner and approved jointly by the Auditor General.

(b) No taxes or fees other than those prescribed in this Act shall be imposed for the registration or operation or on the ownership of any motor vehicle, or for the exercise of the profession of chauffeur, by any municipal corporation, the provisions of any city charter to the contrary notwithstanding: Provided, however, That any provincial board, city or municipal council or board or other competent authority may enact and collect such reasonable and equitable toll fees for the use of such bridges and ferries, within their respective jurisdiction, as may be authorized and approved by the Secretary of Public Works and Communications, and also for the use of such public roads, as may be authorized by the President of the Philippines upon recommendation of the Secretary of Public Works and Communications, but in none of these cases shall any toll fees be charged or collected until and unless the approved schedule of tolls has been posted legibly in a conspicuous place at such toll station.

1. Section 60.
2. The lien upon motor vehicles.
3. Any balance of fees for registration, re-registration or delinquent registration of a motor vehicle, remaining unpaid and all fines imposed upon any vehicle owner, shall constitute a first lien upon the motor vehicle concerned.
4. The Commission is hereby vested with authority to issue a warrant of constructive or actual distraint or and levy to any owner of motor vehicle who has any balance of fees for registration, re-registration or delinquent registration of a motor vehicle remaining unpaid, which upon demand by the Commissioner of the Land Transportation Commission or any of his deputies executing such warrant, the owner of the said vehicle shall surrender same at the time demanded, except when the attachment or execution is under any judicial process.

Any owner who fails or refuses to surrender any of such property or vehicle not so surrendered shall be punished by a fine not exceeding the amount of the fees (including penalties and interests, if any) for the collection of which such warrant has been issued, together with the costs and interests, if any, from the time of such surrender.

In addition, such owner shall punished by a fine of not more than three hundred pesos or an imprisonment not more than six months, or both. Section 61. Disposal of monies collected. – Monies collected under the provisions of this Act shall be deposited in a special trust account in the National Treasury to constitute the Highway Special Fund, which shall be apportioned and expended in accordance with the provisions of the “Philippine Highway Act of 1953”: Provided, however, That the amount necessary to maintain and equip the Land Transportation Commission but not to exceed fifteen per cent of the total collections during any one year, shall be set aside for the purpose.

ARTICLE III Final Provisions Section 62. No provincial board, city or municipal board or council shall enact or enforce any ordinance or resolution in conflict with the provisions of this Act, or prohibiting any deputy or agent of the Commission to enforce this Act within their respective territorial jurisdiction and the provisions of any charter to the contrary notwithstanding.

Section 63. Repeal of laws and ordinances. – Act Numbered Thirty-nine hundred ninety-two, as amended, and all laws, executive orders, ordinances, resolutions, regulations, or parts thereof in conflict with the provisions of this Act are repealed: Provided, however, That nothing contained in this Act shall be construed as limiting or superseding any provisions of the Public Service Act, as amended, with respect to the control by the Public Service Commission of motor vehicles operating as public service, nor shall any provision of this Act be construed as limiting or abridging the powers conferred upon and exercised by the Public Service Commission with regards to the control and supervision of the operation of such motor vehicles as public service.

Section 64. Appropriation. – To carry out effectively the provisions of this Act, the amount of two hundred fifty thousand pesos is hereby appropriated out of the fees collected under this Act, in addition to the appropriations provided in the General Appropriations Act, for the expense of this Commission for the fiscal year beginning July first, nineteen hundred and sixty-four, to June thirtieth, nineteen hundred and sixty-five: Provided, however, That any savings in the appropriations of the Motor Vehicles Office for the fiscal year beginning July first, nineteen hundred and sixty-three, to June thirtieth, nineteen hundred and sixty-four shall likewise be available for this purpose.

• Section 65.
• Separability.
• If any provisions of this Act or the application thereof to any person or circumstance is held invalid, the remainder of the Act, and the application of such provision to other persons or circumstances, shall not be affected thereby.
• Section 66.
• Effectivity.
• This Act shall take effect upon its approval.

Approved: June 20, 1964 The Lawphil Project – Arellano Law Foundation

What shall be the validity of a license that has Violation?

Read this in The Manila Times digital edition. Dear PAO, My brother is scheduled to renew his driver’s license next month. However, we are confused as to the correct duration of the validity of a renewed driver’s license. Some of our friends say that the renewed license will be valid for 10 years, while some say that it is for a shorter period of five years.

From what I remember, driver’s licenses are only valid for three years. What does the law say about this? Does it depend on whether the license is professional or nonprofessional driver’s license? Robert Dear Robert, In response to your query, we shall refer to Republic Act 10930 (RA 10930), which is an act that rationalizes and strengthens the policy regarding driver’s license by extending its period of validity, among other things.

This law was passed as part of the policy of the State to establish a system that promotes the ease of access to government services and efficient transportation regulation favorable to the people. (Sec.1) Get the latest news delivered to your inbox Sign up for The Manila Times’ daily newsletters By signing up with an email address, I acknowledge that I have read and agree to the Terms of Service and Privacy Policy,

• This law amended Sec.23 of Republic Act 4136, otherwise known as the “Land Transportation and Traffic Code,” particularly on the provision for issuance of a driver’s license and its period of validity, which is related to your query.
• It states: “Except for student permits, all drivers’ licenses shall be valid for five (5) years reckoned from the birthdate of the licensee, unless sooner revoked or suspended: Provided, however, That subject to Section 26 hereof, any holder of a professional or nonprofessional driver’s license who has not committed any violation of Republic Act No.4136 and other traffic laws, rules and regulations during the five (5)-year period shall be entitled to a renewal of such license for ten (10) years, subject to the restrictions as may be imposed by the LTO.” Based on the law, the new period of validity of a driver’s license is now extended to either 5 years or 10 years from birth date of the licensee, compared to the previous 3 years validity under the old law.

In further response to your query, the determination of the period of validity is not based on whether the driver’s license is professional or non-professional. As seen in the cited provision, the new period of validity applies to “all driver’s license,” thus pertaining to both professional and nonprofessional driver’s licenses.

Rather, the determining factor on whether the driver’s license can be renewed with a validity period of five or 10 years shall be the existence of a record of traffic violation of the licensee, to wit: “any holder of a professional or nonprofessional driver’s license who has not committed any violation of Republic Act No.4136 and other traffic laws, rules and regulations during the five (5)-year period shall be entitled to a renewal of such license for ten (10) years.” (Ibid) From this, it can be interpreted that the law rewards licensees with no record of traffic violations with a longer period of ten years validity of driver’s license, compared to just five years for those with recorded traffic violations.

As such, it pays to be a good motorist who observes and obeys traffic regulations. We hope that we were able to answer your queries. This advice is based solely on the facts you have narrated and our appreciation of the same. Our opinion may vary when other facts are changed or elaborated.

What are the major problems associated with licensing?

Disadvantages of Licensing – The disadvantages of licensing can be viewed from two perspectives: licensor and licensee. Disadvantages to the licensor include:

1. The licensor having loss of control of their intellectual property
2. The licensor having to depend on the skills, abilities, and resources of the licensee to generate revenues
3. The licensor being exposed to intellectual property theft by the licensee

Disadvantages to the licensee include:

1. The licensee being responsible for production, marketing, selling, etc.
2. The licensee potentially being dependent on the licensor’s intellectual property
3. The licensee having to pay an upfront fee and/or royalty to the licensor

What is violation of law 1 point?

Answer: What is violation of law? Explanation: The answer is : Crime against the law.

What is a violation under New York law?

Types Of Criminal Charges In New York State A Violation is an offense other than a traffic infraction for which a sentence to a term of imprisonment of up to 15 days may be imposed (New York State Penal Law, Article 10). It is the least serious type of proscribed activity and encompasses such offenses as harassment, trespass, and disorderly conduct.

1. A person arrested for committing a violation may be taken into custody but will usually be issued an appearance ticket indicating the time and place that he must appear in court.
2. A violation is not a crime.
3. A Misdemeanor is an offense other than traffic infraction of which a sentence in excess of 15 days but not greater than one year may be imposed (New York State Penal Law, Article 10).

A misdemeanor is a crime. Petit larceny, criminal mischief in the fourth degree and assault in the third degree all fall into this category. Misdemeanors are grouped into one of three classes: Class A, Class B, or Unclassified. Upon conviction of a Class “A” misdemeanor, a court may sentence an individual to a maximum of one year in jail or three years probation.

1. In addition, a fine of up to $1,000 or twice the amount of the individual’s gain from the crime may be imposed.
2. Offenders found guilty of Class “B” misdemeanors face maximum penalties of up to three months imprisonment or one year probation.
3. In addition, a fine of up to five hundred dollars or double the amount of the defendant’s gain from the commission of the crime may be imposed.

An unclassified misdemeanor is any offense not defined in the Penal law (other than a traffic violation) for which a sentence of imprisonment of greater than 15 days but not in excess of one year may be imposed. A Felony is an offense for which a sentence to a term of imprisonment in excess of one year may be imposed (New York State Penal Law, Article 10).

A felony is a crime. There are five categories and two subcategories of felonies (A-I, A-II, B, C, D, and E) ranging from the most to least serious in terms of severity of offense and the degree of potential punishment incurred. The penalty can vary from a term of probation to life imprisonment. In addition, the Penal Law authorizes the imposition of a fine not exceeding the higher of $5,000 or double the amount of the defendant’s gain from commission of the crime.

In the Penal Law’s description of each crime, the “degrees” of an offense determine the seriousness of the offense. For example, burglary in the third degree is a Class D felony and burglary in the second degree, the more serious offense, is a Class C felony. Local police agencies are organized at the municipal level (city, town and village) and county level (sheriff’s patrol and, in a few instances, county police agencies). There are approximately 500 local police agencies in New York State. As a general rule, police agencies are responsible for the enforcement of New York State’s Penal law, Traffic law and local ordinances within the geographic boundaries served by a particular police agency. The New York State Police is the principal statewide police organization having responsibility for the enforcement of the State’s penal and traffic laws. In those cases where the commission of crimes crosses jurisdictional boundaries, state and local police agencies may join their resources in the investigation of criminal matters.

• Federal Law Enforcement: The enforcement of federal laws is a responsibility that is shared by a number of federal agencies; however, the enforcement of those laws that are commonly referred to as crimes ( e.g.
• Bank robbery, interstate transportation of stolen property) is the responsibility of the Federal Bureau of Investigation.

Court Jurisdiction Local Criminal Courts: In general, the term local criminal court means a district court, the New York City criminal court, a city court a town court or a village court. Some local criminal courts are also referred to as simply “justice courts.” Local criminal courts have trial jurisdiction of all offenses other than felonies.

If a person has been arrested on a felony charge, the case will ultimately be transferred to a superior court unless the charge is reduced to a misdemeanor or a violation. Superior Courts: This term refers to supreme and county courts. Supreme courts handle mostly civil disputes, and a limited number of felony cases.

Superior courts have exclusive trial jurisdiction of felonies, and may also try misdemeanor cases. If a defendant charged in an indictment with a felony or misdemeanor is also charged with a violation, that charge too may be tried in a superior court.

Federal Courts: These courts have jurisdiction over all cases involving conduct that congress either regulates ( e.g., interstate commerce) or forbids ( e.g., espionage). Prosecution And Defense Functions Prosecution: The prosecution function is organized at three levels: county, state and federal. At the county level, the office of district attorney, an elected office, prosecutes all alleged violations of the penal law that take place within a county and consequently this office is responsible for prosecuting the vast majority of all criminal offenses.

The Office of State Attorney General, also an elected post, represents the State’s interests in such diverse areas as consumer fraud, environmental protection and organized crime. When the Attorney General successfully prosecutes in these and other areas, criminal sanctions are often imposed on the convicted offenders.

1. At the federal level, the U.S.
2. Attorney General is appointed by the President and is responsible for prosecuting all alleged federal crimes.
3. This task is carried out through the offices of United States Attorneys, located in each federal district throughout the nation.
4. Defense: By law, each county in the State of New York must have a plan to provide counsel to persons who are financially unable to retain counsel.

The plan may provide for representation by a public defender, by a private legal aide society or bureau, by a panel consisting of private counsel (Section 18B of the County Law of NYS ) or by a combination of any of the foregoing. Counsel must be provided to anyone charged with an offense, other than a traffic infraction, for which a sentence to a term of imprisonment is authorized upon conviction.

Competency To Proceed And The “Insanity Defense” Once a person has been arraigned, questions may arise regarding the defendant’s mental status. Such questions arise in one of two principal contexts: the defendant’s competency to proceed and the defendant’s mental status at the time of the offense. Competency refers to the person’s current mental state.

The issue of competency can be raised at any time prior to the point that the defendant is sentenced. With regard to competency, a defendant may be declared an “incapacitated person” and unfit to proceed on the grounds that the individual “as a result of mental disease or defect lacks capacity to understand the proceedings against him or to assist in his own defense” ( Criminal Procedure Law, Section 730.10 ). Being incapacitated is a condition that must be present at the time of the legal proceeding. These persons can be transferred to a psychiatric hospital for treatment and may be returned to stand trial once their competence has been restored. In sharp contrast to competency, the insanity defense focuses on the defendant’s mental state at the time of the crime, a prior event.

• the nature and consequence of such conduct; or
• that such conduct was wrong.”

An individual must be competent to stand trial before evidence of insanity can be presented to the court. The Criminal Justice Process From Arrest Through Sentencing (See diagram on page 1-14, The New York State Criminal Justice System.) Arrest: The criminal justice process begins when a person is arrested.

A police officer may apprehend and take into custody a person who commits a violation, misdemeanor of felony in the police officer’s presence. New York law also allows a police officer to make an arrest for a felony not committed in his or her sight and without a warrant whenever the officer has “reasonable grounds” to believe that a felony has been committed and that the defendant is the person who has committed the crime.

Generally the police are required to obtain an arrest warrant before arresting an individual in his or her home. Booking: Booking is the administrative record of an arrest. It is a three-step procedure which involves:

1. fingerprinting the accused;
2. submitting the accused’s fingerprints to New York State’s computerized criminal record index; and
3. obtaining a copy of the accused prior criminal record, if such a record exists.

Once an arrest has been made, the accused is brought by the arresting officer to a booking facility. Outside New York City, the booking facility may be a local police station in the case of cities, a town or village police station, a state police barracks, or a county sheriff’s office, depending upon where the arrest occurred and which law enforcement agency made the arrest.

In New York City, all prisoners are booked at a facility known as Central Booking. In New York City, almost all arrested persons are interviewed at Central Booking by a staff member of the Criminal Justice Agency (CJA). The interviewers from CJA obtain information on the defendant’s occupation, residence, and family status and, whenever possible, verify such information through third party contacts: relatives, neighbors or employers.

This information is made available to the judge, the prosecutor, and the defense attorney at the defendant’s arraignment in criminal court. (See section on Arraignment for a fuller discussion of the use of CJA reports at arraignment). Agencies like CJA are located in other areas of the State, e.g.

1. Buffalo and Rochester.
2. Options at Booking: On a charge of misdemeanor or violation, a local police department, pursuant to guidelines, has the authority to release an accused either before or immediately after booking.
3. The accused may be required to post pre-arraignment bail (also known as station house bail) to secure later court appearance.

Such an accused is given an Appearance Ticket (also known in New York City as a Desk Appearance Ticket or DAT). Unless released on an Appearance Ticket, the accused is brought to a local criminal court by the arresting officer at the completion of the booking process.

• As a safeguard against illegal detention in jail, the law requires that the arrested person be promptly arraigned before a judge.
• If the arrest is made on a weekend, the person may have to be detained at a police lockup for as long as 48 hours before a judge becomes available.
• Complaint: The criminal complaint serves as the basis for the commencement of criminal proceedings and is prepared by the arresting officer or by the complainant ( i.e.

, victim of the alleged crime) and filed with a local criminal court which accuses one or more persons with the commission of an offense. In New York City, the arresting officer escorts the accused to the court building after the booking process is completed.

• There, the officer and/or the complaining witness (victim) speak to an Assistant District Attorney from the District Attorney’s office.
• Note : in some counties of New York City, the District Attorney interviews the arresting police officers and complaining witnesses at the Central Booking facility.) The Assistant District Attorney decides whether it is appropriate to send the case to court.

If so, a formal complaint against the accused is filed in a local criminal court by the District Attorney’s office on behalf of the People of the State of New York. This written document must be processed along with the defendant’s criminal history (called a NYSID report or “rap sheet”) before the defendant can be arraigned.

1. Outside New York City, the District Attorney is not an integral part of this process and the arresting officer and/or complaining witness (victim) may prepare and file the complaint directly with the local criminal court.
2. The District Attorney receives a copy of the formal complaint, usually at arraignment.

Arraignment: The accused is brought before a judge in the local criminal court for arraignment. Counsel is appointed to represent the defendant at arraignment unless the defendant can afford a lawyer and the lawyer is present. Ordinarily, the arraignment marks the first time in the criminal justice process in which the accused appears before a judge.

• informed of and given a copy of the formal charges against him or her;
• informed of his or her right to counsel and, if necessary, assigned counsel for the purpose of arraignment;
• informed of the right to a preliminary hearing, if charged with a felony; and
• asked to enter a plea of guilty or not guilty, if charged with a misdemeanor or violation.

Although all of the above-listed events take place at the arraignment, you may find it difficult to follow the proceedings if you are sitting in the arraignment part of your local criminal court. There are several reasons why this occurs. Most defendants choose to waive a formal public reading of the charges against them.

• Often, if the courtroom is crowded and there is no microphone in use, the noise level makes it difficult to hear what is happening.
• Also, the large number of defendants being arraigned in a busy urban area often means that each case receives no more than two or three minutes of attention.
• Options at Arraignment: If the case is not resolved by the defendant pleading guilty to the crime as charged or to a lower charge, (See chapter on Plea Bargaining), or by the charges being dismissed, the judge must decide whether the defendant will be released on his or her own recognizance ( ROR ) pending the next court date, or whether bail will be required.

( Note: The judge may also decide in some cases to remand the defendant, i.e., require the defendant to be held in custody without bail.) Bail is an amount of money or other form of security which is sometimes required by the judge as a guarantee of the defendant’s reappearance in court on a designated date.

The amount and form of bail set by the judge depends on the circumstances of the case. Bail may be posted in cash or through the services of a bail bondsman who charges a fee (established by statute) and who, in most cases, requires collateral. Once bail has been posted, the defendant is released from custody.

In New York City and other localities which have pre-trial release programs, the judge has the benefit of information obtained (often verified) by such agencies about the defendant’s reliability. These reports include information regarding the defendant’s community ties, length of residence in the county, employment and educational history.

Plea Bargaining: If you are observing arraignments in your local criminal court, you may see the defense lawyer and the prosecutor conferring with the judge either at the judge’s bench or in the judge’s chambers. Often the defense and/or the prosecutor are exploring the possibility of resolving the case by having the defendant plead guilty to a less serious charge.

This process, known as plea-bargaining, has become the rule rather than the exception in many of the courts of New York State. Plea bargaining generally entails:

• negotiation about the reduced charge to which the defendant would plead guilty; and/or
• in misdemeanor cases, sentence bargaining ( i.e. negotiating for a less severe sentence in a local court; and/or
• in felony cases, negotiation about whether the District Attorney will make a specific sentence recommendation to the judge.

There are many reasons why plea-bargaining may be appropriate, from either the prosecution or the defense perspective. For example, plea-bargaining may by warranted as a means of shielding the victim of a crime from the trauma of public testimony or as an appropriate disposition for a first offender.

• The following statistics help to shed light on another reason why plea-bargaining occurs.
• In 1998, there were 62,944 felony indictments and Supreme Court informations in New York State, but only 3,354 trials (5%).
• In order to try all those indicted, the court system would require massive increases in funding to pay for more court facilities, judges, prosecutors, clerks, court officers, court reporters and jurors.

Before accepting a plea of guilty, the judge must determine that the defendant is voluntarily pleading guilty and knowingly giving up the right to a trial. The defendant should admit his or her guilt, and promises made to the defendant should appear on the record.

1. If the plea is to a misdemeanor, sentence may either be imposed immediately or there may be an adjournment for a pre-sentence investigation report by the Probation Department.
2. On a plea of guilty to a felony, there must be an adjournment for such a report prior to sentence.
3. As a general rule, a plea of guilty to a felony can be taken only in a superior court (See page 1–6), although there is a procedure involving the waiving of indictment and pleading guilty to a superior court information which can take place in a local criminal court.

Guilty pleas to misdemeanors may be taken either in a superior court or a local criminal court. In deciding whether to establish bail and the amount, the judge is required by the law to consider the factors such as the defendant’s community ties, length of residence in the county, employment and educational history, past criminal record, record of past compliance with an order of the court, strength of the evidence against the defendant in the current case, and the sentence which could be imposed if the defendant is convicted.

Preliminary Hearing: The purpose of a preliminary hearing is to determine whether there is reasonable cause to believe that a felony was committed and that it was committed by the defendant. If such reasonable cause is found, the defendant may be confined in custody pending grand jury action. In New York City, the usual practice is for prosecutors to proceed directly to the grand jury, avoiding the need for a preliminary hearing.

Such hearings are more common outside the City of New York. In New York State, a defendant held on bail or remanded on a felony charge must be released from custody within a specified time unless either afforded a preliminary hearing or a statement is filed by the prosecutor indicating that the grand jury has voted an indictment.

The specified time in question is 120 hours from arraignment or 144 hours if there is an intervening Saturday, Sunday or a legal holiday. The right to a preliminary hearing may be waived. A failure of the prosecutor to comply with these time limitations in the absence of good cause for such failure will result in the defendant’s release from custody.

These time limitations are contained in Section 180.80 of the Criminal Procedure Law. Hence, at the arraignment, reference will frequently be made to the “one eighty-eighty day.” That is, of course, a reference to the day by which the prosecutor must either have obtained an indictment or be ready to proceed with a preliminary hearing.

Holding a Defendant on a Misdemeanor Charge: The accusatory instrument charging a defendant in a local criminal court may be either a complaint or an information. Both are, in effect, affidavits. The difference is that an information is sworn to by a person who has first-hand knowledge of the facts, while a complaint, in whole or in part, is based upon facts learned from another.

In New York State, if a person is held in custody on a misdemeanor complaint, the prosecutor has five days from the arraignment (not including Sunday) to convert the complaint to an information (by obtaining affidavits from those with first-hand knowledge).

If this time limitation is not met, the defendant must be released from custody. As this time limitation is contained in Section 170.70 of the Criminal Procedure law, such day of release will frequently be referred to as a defendant’s “one seventy seventy day.” Motions and Discovery Proceedings: A motion is a request by either the defense or the prosecutor to have the court take some action in a particular defendant’s case.

Some motions are procedural, such as a motion to adjourn the case or to delay sentencing. With few exceptions, the defense has 45 days to make its substantive motions. New York practice calls for an “omnibus” written motion, which will include requests to discover information about the People’s case and, possibly, to suppress certain evidence.

• A motion to suppress physical evidence on the grounds that it was seized during an illegal search by the police (a Mapp or Dunaway hearing);
• A motion to suppress a statement made by the defendant on the grounds that it was illegally obtained (a Huntley hearing). The lawyer may argue that the defendant acted involuntarily due to pressure, tricks, threats, or physical abuse, or that the defendant was not properly advised of his or her right to remain silent and the right to counsel (called Miranda warnings) or that the statement was the product of an illegal arrest; and
• A motion to suppress proof of an identification of the defendant on the grounds that the lineup or showup was held in an illegal or suggestive manner or where it is alleged that the identification was a product of an illegal arrest (a Wade hearing).

Grand Jury: The grand jury is a panel of 23 persons (a quorum consists of 16 persons) chosen on a county-wide basis. The grand jury serves two functions, one judicial and the other investigative. In its judicial capacity, the grand jury hears evidence presented by the District Attorney and determines whether sufficient evidence exists to charge a particular defendant with a particular felony.

Grand jury proceedings are closed to the public and the secrecy of such proceedings is strictly maintained. Ordinarily while the grand jury is in session, the only people present are the Assistant District Attorney, the jurors themselves, court personnel and witnesses who may be called to give evidence.

Any person who appears as a witness and has signed a waiver of immunity has a right to an attorney. Although the attorney may act as an advisor to his or her client, the attorney may not otherwise take part in the proceedings. After hearing evidence, the grand jury may issue (return) a “true bill” if at least twelve jurors decide the case is strong enough to indict the defendant.

The foreman of the grand jury then files the indictment with the superior court. If the grand jury decides that there is not sufficient evidence to justify a felony charge, but there is enough to believe a misdemeanor was committed, it can direct the District Attorney to file a prosecutor’s information with the local criminal court.

If the Grand jury decides that insufficient evidence to justify any charge was presented, it can vote a “no bill” and dismiss the charge. In its other capacity, the grand jury has investigative powers which allow it to investigate alleged misconduct or neglect of office by a public servant.

• After hearing evidence, the grand jury may file a report with the court which impaneled it with a finding as to whether such misconduct or neglect has occurred.
• If accepted by the court, the grand jury’s report may serve as the basis for removal or disciplinary action against the named official.
• Superior Court: The first procedural step following indictment by the grand jury or the defendant’s consent to the filing of a superior court information, is arraignment in the court that tries felonies.

Superior courts now operate on the Individual Assignment System (IAS). In this system, one judge handles a particular case from inception to conclusion, with assignment of the case to a particular judge accomplished in a neutral manner. Depending upon the county, such assignment may precede or follow arraignment on the indictment in the Superior Court.

Following assignment, the parties and judge may enter into plea bargaining. If such bargaining fails to result in an agreement, motions will be made and decided and a trial date will be fixed. Trials: A trial is the process by which it is determined whether the charges made against the defendant are established by proof of guilt beyond a reasonable doubt.

A defendant has a waivable right to jury trial in all felony cases and in those misdemeanor cases in which a sentence of more than six months may be imposed. A trial before a judge without a jury is known as a bench trial. A jury in a misdemeanor case consists of six persons with one or two alternates.

• A jury in a felony case consists of twelve persons with up to four alternate jurors.
• The names of prospective jurors are chosen from lists of registered voters, licensed drivers and recipients of state income tax forms (County Jury Commissioners may supplement these lists with names from other sources).

In general, the order of a jury trial is as follows:

1. The jury is selected and sworn after both the prosecutor and the defense lawyer have had an opportunity to question the prospective jurors regarding their qualifications to serve as jurors, a process which is called “voir dire.” Each side is allowed to challenge the qualifications of a prospective jury member.
2. The judge delivers preliminary instructions to the jury.
3. The prosecutor delivers an opening statement to the jury.
4. The defendant’s lawyer may deliver an opening statement to the jury.
5. The prosecutor offers evidence in support of the charges against the defendant.
6. The defendant’s lawyer may offer evidence in defense.
7. The prosecutor may offer evidence in rebuttal to the defense evidence, and the defense may offer evidence in rebuttal to the prosecutor’s rebuttal evidence.
8. At the conclusion of the evidence, the defense may deliver a summation to the jury.
9. The prosecutor may then deliver a summation to the jury.
10. The judge delivers a charge (legal instructions) to the jury.
11. The jury retires to consider the evidence and, if possible, render a verdict. In criminal cases, the jury must be unanimous in order to reach a verdict of guilty to a charge.

Sentencing: The defendant’s final appearance in the trial court will be for the purpose of sentencing. All felony convictions require a presentencing report prepared by the Department of Probation. The judge may, however, order a presentence investigation and report at any time during the trial process for misdemeanors as well as felonies.

• The reports provide the judge with information on the defendant’s background, possible mitigating circumstances involved in the crime, the likelihood of successful probation and suggested programs of rehabilitation.
• The judge is under no legal obligation to follow the Probation Department’s recommendation.

The Penal Law of the State of New York allows ten possible dispositions for a convicted defendant:

1. An Unconditional Discharge
2. A Conditional Discharge
3. A Fine
4. A Conditional Discharge plus a Fine
5. Probation
6. A Fine plus Probation
7. Imprisonment
8. Imprisonment plus a Fine
9. Imprisonment (six months or less for a felony; 60 days or less for a misdemeanor), plus Probation
10. Imprisonment (for 60 days or less) plus Conditional Discharge.

The law now provides that the court may direct restitution to the victim in addition to any other sentence imposed upon the defendant. Under New York law, there are provisions for increased penalties for persons convicted of a second or third felony offense.

• A person convicted of a felony after a previous felony conviction within the preceding ten years (excluding times of incarceration) is known as a predicate felon or a predicate violation felon (if both the current and prior felonies are designated as violent felonies by the penal law).
• A predicate felon or a predicate violent felon must be sentenced to state prison with a sentence of which the minimum must be one-half of the maximum.

A non-predicate felon sentenced to state prison will usually receive a sentence of which the minimum is one-third of the maximum. The minimum sentence for a predicate violent felon is greater than the minimum for a predicate felon which is in turn, greater than the minimum for a non-predicate felon.

1. Persons with two or more prior felony convictions may be sentenced as persistent felony offenders (discretionary) or persistent violent felony offenders (mandatory).
2. Such sentences carry maximums of life imprisonment as well as substantial minimum sentences.
3. Probation is judicial disposition in which the convicted offender’s freedom in the community is continued subject to the supervision of a probation officer and to conditions imposed by the court ( e.g.

, maintain employment, make restitution, or stay away from certain people or places). If a probationer fails to honor the mandated provisions, the probation officer can file a violation of probation and recommend that probation be revoked. The probationer will then be ordered to appear in court for a hearing to determine whether he violated a condition of his probation.

If it is determined that he has, the court may impose a sentence of incarceration. New York State law requires county governments and the City of New York to operate probation departments and to provide various state-mandated services that are related to the sentencing function. Standards promulgated by the state require specific education and training for probation officers and regulate the conduct of pre-sentence investigations, the content of presentence reports, and the manner in which probation supervision is provided.

In most New York State counties, intensive supervision probation is also available for felony convicted offenders. The reduced probation caseloads and greater frequency of contact distinguishes this form of probation from regular probation. In selected cases, intensive supervision probation may be appropriate for persons with mental illness who may otherwise face incarcerative sentences.

• Inmates convicted of non-violent felonies may be considered for an early release to the community to serve the remaining portion of their sentence after serving one-third of their sentence. Inmates make an initial appearance before the Board of Parole two months before their eligibility date. The Board has the power and duty to determine which inmates are released and to establish the time of release and the conditions of post/release supervision. Inmates denied release will reappear before the Board for consideration at a later date.
• Inmates denied release by the Board may earn time allowances (good time) of up to one-third of the maximum term of imprisonment for good institutional behavior. When the good time earned is equal to the unserved portion of the maximum term, the inmate may be released on conditional release. Good time allowances do not affect the minimum term of imprisonment but does provide for possible release after serving two-thirds of the sentence.
• Inmates who have been denied release from the Board and have not earned good time, will be released from state prison after serving the maximum term.

Inmates who are granted release by the Parole Board or conditionally released must serve the remainder of their sentence under the supervision of a parole officer. Parole Officers are unique in that they are both peace officers and caseworkers who provide supervision and support services to parolees.

Parole Officers are the bridge between the newly released individual and the community. They coordinate the delivery of available services, help to motivate and guide parolees and report on their progress. Parole Officers can revoke parole for violations of conditions or release and return the parolee to custody (usually in county jail) pending preliminary and final hearings before a Parole Board.

Research indicates that in New York State the possibility of being granted parole was reduced if an inmate had an episode of inpatient psychiatric care while incarcerated. (Townsend, 1989). Jenna’s Law: Eliminates discretionary parole for first time violent felony offenders and requires inmates to serve a period of post release supervision following release from a determinant sentence.

1. Restructuring of sentences for persons convicted of violent felony for the first time: Indeterminate sentences are eliminated; parole in current form is abolished; judges are forced to impose a fixed term of years as sentence; individuals are required to serve 6/7 of their term.
2. Sentencing of domestic violence victims: Court is permitted to be more lenient with domestic violence victims who are convicted of attacking their abusers; court can impose indeterminate sentence in many cases.
3. Post release supervision: After serving determinate sentence, inmate must serve a period of “post release supervision”; post release supervision must be completed before determinate sentence can be fulfilled; defendants convicted of a violent felony who have been convicted of a past violent felony are subject to a five year period of post-release supervision.
4. Notification of crime victims: In cases of violent felony or felony under Article 125 of Penal Law, victim can demand that he or she be notified of the escape, absconding, discharge, parole, conditional release or release to post-release supervision of offender. (Source: Gould’s “Criminal Law and Procedure Reporter,” Vol 9, No.1, Fall, 1998).

Youthful Offender: A judge may find that it is in the interest of justice for a youth between the ages of 14 and 19 to receive what is known as Youthful Offender treatment. To be eligible, defendants must not:

• Be pleading guilty to or be convicted of a crime punishable by death or life imprisonment;
• Be pleading guilty to or be convicted of a violent felony where they were armed with a deadly weapon or display what appeared to be a gun;
• Have previously been convicted of a felony;
• Have previously received a Youthful Offender felony adjudication; or
• Have a previous juvenile delinquency finding against them based on a Family Court Act “designated felony.”

The benefits of Youthful Offender status are:

• A record as a Youthful Offender rather than as a person convicted of the actual crime;
• The defendant may be sent to a special state institution rather than prison;
• Adjudication as a Youthful Offender does not count as a predicate felony conviction for the predicate felony laws;
• The maximum sentence which can be imposed is reduced.

If the conviction is for a misdemeanor and the defendant, who is between the ages of 14 and 19, has no previous convictions or has not been previously found to be a Youthful Offender, the court must find the defendant to be a Youthful Offender. Juvenile Offender: In response to public concern about a perceived increase in crimes committed by youths, the New York State Legislature provided, as part of the violent felony offender legislation passed in 1978, that youths between the ages of 13 and 15 could be held criminally responsible for certain serious crimes.

• 13, 14 and 15 year olds who commit acts constituting murder in the second degree; or
• 14 and 15 year olds who commit acts constituting kidnapping in the first degree, arson in the first or second degree, assault in the first degree, manslaughter in the first degree, rape in the first degree, sodomy in the first degree, aggravated sexual abuse, burglary in the first or second degree, robbery in the first or second degree, or attempt to commit murder in the second degree or kidnapping in the first degree.

The law provides that under certain circumstances juvenile offender cases can be transferred to the Family Court instead for processing as juvenile delinquency cases. The District Attorney recommending removal of the action to the Family Court after indictment must submit a written memorandum setting forth the reasons and the judge must accept these reasons.

1. In practice, since the law was passed in 1978, 69% of all juvenile offender cases commenced in New York City were either removed to Family Court, dismissed, or not prosecuted by the District Attorney’s office.
2. New York City has had almost 87% of the juvenile offender arrests in New York State.
3. Alternatives To Incarceration Program In New York State, there are a broad range of existing alternatives to incarceration programs providing supervision and a range of services.

These programs exist at different points in the criminal justice process and vary from community to community. However, Alternatives to Incarceration Programs are frequently operated by private, not-for-profit agencies or are located within an existing criminal justice agency ( e.g.

1. Probation departments that operate pretrial release programs, sheriff’s departments that operate community service sentencing programs).
2. Described below are the major categories of alternatives to incarceration programs available in New York State.
3. While several jurisdictions possess all of the models described, even the sparsely populated counties of New York State often possess one or more program models.

Pretrial Release Services: Pretrial release programs provide the courts with a viable alternative to money bail by identifying those defendants who are likely to appear in court as required. These programs gather and evaluate information about each defendant ( e.g.

1. A defendant’s community ties) and provide this information to the courts, thereby enabling the courts to release defendants who would otherwise be detained.
2. Through the assistance provided to the courts by these programs, defendants may be released on recognizance ( ROR ) or released with court ordered conditions.

This latter form of release holds promise for defendants with a history of mental illness or other individuals with treatment needs. Commonly regular visits to a therapist or mental health clinic is made a condition of pretrial release; this requirement will continue until case disposition.

Defender-Based Advocacy Programs: Defender based advocacy programs work closely with defense attorneys in intervening on behalf of criminal defendants. By evaluating defendant’s personal circumstances ( e.g., need for treatment), preparing reports and memoranda and, in some cases, arranging for a defendant’s participation in treatment programs, defender-based advocacy programs facilitate pretrial release, plea bargaining and non-incarcerative dispositions, and prepare alternative sentencing proposals.

These programs may be known by other titles such as Public Defender’s Program, Client-Specific Planning, and may be based in Public Defender’s Offices or private law offices. Day Reporting Centers: These programs provide a structured, supervised and service enhanced approach to maintaining criminal justice clients in the community.

Individual participation ranges from a brief, daily visit to daylong attendance and the level of service provided varies according to the needs of each client. Day reporting programs provide a regimen that falls between jail and intensive probation supervision. Although this intermediate sanction should not be confused with traditional day treatment programs this program model’s capacity for the coordination of service delivery suits it to the forensic mental health client.

Community Service Sentencing: Community service sentencing programs provide an alternative form of punishment for offenders who would otherwise be sanctioned through the use of imprisonment or some other form of punishment. Offenders are placed in not-for-profit or public agencies where they work for a specified number of court ordered hours or days.

Careful selection of offenders, in combination with appropriate treatment and community support systems, make this intermediate sanction suitable for some offenders with mental illness. Local Conditional Release Commission: As a result of a statute enacted in 1989, all New York State counties now possess a Local Condition Release Commission (LCRC) that has responsibility for reviewing applications for local conditional release made by offenders sentenced to jail.

To be eligible for local conditional release, an offender must be sentenced to ninety days or more and must serve at least sixty days of that sentence. In reviewing applications for local conditional release, the LCRC may consider proposals for treatment ( e.g.

• Outpatient treatment, or participation in a community-based mental health residence) in lieu of incarceration.
• Offenders who are released under the terms of this statute are subject to a mandatory one year term of probation and any treatment conditions are made a special condition of that probation.

Other Alternative Programs: Across New York State, a variety of other programs serve criminal justice clients who, in the absence of these programs would otherwise likely be confined in jail or prison. Some of these programs are formally established for this purpose and serve exclusively a clientele who are incarcerated bound.

TASC (Treatment Alternative to Street Crime) programs provide alternatives to incarceration, and may serve persons with mental illness. Other examples of such programs include domicile restriction or house arrest programs (some of which use electronic surveillance equipment to ensure compliance) and special offender treatment programs ( e.g.

, sex offender treatment, residential and transitional programs and programs for women and youthful offenders). Other programs serve a broad range of clientele, including those who are involved with the criminal justice system. Police Lockups and Court Pens Police Lockups are local detention facilities used to hold individuals 16 years of age or older who have been arrested but not yet arraigned.

• Detainees are usually brought to a lockup to be booked and interrogated immediately following arrest, or these facilities may be used to hold inmates from jail who are awaiting action by a court after their initial arraignment.
• Lockups are usually administered by a local police chief who has been appointed by the mayor or other local governmental body.

State law mandates that all persons taken into custody be arraigned “forthwith.” Consequently detainees are seldom held in a lockup for more than a day, or if a judge is unavailable, a weekend. While an individual is detained at a lockup, information regarding pending cases can be developed and decisions regarding disposition can be made.

1. Due to security considerations and the brief length of time that detainees stay at lockups, no programming or recreational opportunities of any kind are offered.
2. Most lockups do not have kitchen or health facilities.
3. Detainees are usually served meals that are purchased from nearby restaurants and eat meals in their cells.

Outside providers are relied on for health care services. There are about 200 police lockups in New York State. Many have only three or four cells with larger metropolitan facilities having the capacity to hold 20 detainees or more. Smaller police jurisdictions may not maintain lockups at all.

• Few departments designate a distinct group of officers for permanent assignment to the lockup.
• Rather, officers tend to rotate through this assignment or dispatchers have responsibility for supervising the cells.
• County and Municipal Jails A jail is a locally administered detention/correctional institution that is used to confine individuals at least 16 years of age.

Younger persons who are taken into custody must be held at separate facilities operated exclusively for juveniles by the New York State Office of Child and Family Services. Inmates are admitted directly from the local courts following arraignment. Legislation enacted in 1990 (Chapter 681 or the Laws of 1990) provides that when bench warrants or arrest warrants have been executed and no appropriate court is available, a police officer may bring the arrestee to a county correctional facility.

• Persons who have been arrested, arraigned and are awaiting trial in either criminal or family court. Those who fall into this category either do not have the resources needed to post bail set by the judge, are unable to secure their release on personal recognizance, have not yet had bail set, or have had jail denied by the court.
• Persons who have been convicted but not yet sentenced.
• Persons who have been convicted and are serving a sentence of confinement of up to one year.
• Persons who have been convicted and sentenced to a term of confinement in excess of one year and are awaiting transfer to a state prison (“state ready”).
• Material witnesses who are jailed to guarantee their appearance in court and/or their personal safety prior to testifying.
• Persons who are detained for parole violations.
• Persons who are in custody of a Federal law enforcement agency and are being temporarily housed in a county jail.

The task of managing jails is a responsibility of local government. In New York, most of these facilities are administered by county sheriff’s, for whom the operation of the jail is but one part of broader court related and law enforcement duties. Some jurisdictions, such as New York City and Westchester County, have established a separate Department of Correction to manage their jails.

It is important to note that each jurisdiction may have more than one type of jail, the types being distinguished by the kind of inmate in custody. Some jails are used solely to detain people awaiting trial. County penitentiaries hold only inmates who are serving a court imposed sentence. Separate facilities for detainees and sentenced prisoners are seldom found outside of large metropolitan areas because of cost considerations and the small number of inmates who require confinement.

By far the most common type of jail is the combined detained-sentenced facility where all county or city inmates are taken. All county jails must have a jail physician, and many facilities also employ nurses and part-time medical personnel. By far, the largest category of employees in any jail is that of the correctional officer.

1. Officers supervise inmates, control entry to and exit from the facility, and perform other duties pertaining to overall institutional security and operations.
2. They are organized by a chain of command ( i.e.
3. Officer, sergeant, lieutenant, captain) and in the larger jails are sometimes placed under the command of a deputy or assistant warden.

The New York State Commission of Correction Minimum Standards and Regulations for Management of County Jails and Penitentiaries mandate that officers complete a basic training program prior to beginning their duties or within one year after their appointment.

The Commission of Correction mandates a basic curriculum for new recruits. The curriculum is presented by certified instructors in regional academies. NYS Department Of Correctional Services (NYSDOC) The NYS Department of Correctional Services operates over 70 minimum, medium, and maximum security prisons as well as the Willard Drug Treatment Campus.

The largest facilities accommodate more than 2900 inmates. These facilities are used to confine individuals 16 years and older. Prisons have more comprehensive programming, recreational opportunities and medical/mental health services than county jails.

• In New York State mental health services for state incarcerated prisoners with mental illness are provided via the NYS Office of Mental Health.
• OMH operates a 205 bed secure JCAHO-accredited psychiatric hospital, Central New York Psychiatric Center (CNYPC) at Marcy, NY, which admits sentenced persons diagnosed with mental illness from DOCS facilities and local correctional facilities.

OMH also operates emergency and outpatient on-site programs in the State prison facilities. These programs include 23 outpatient clinics with twelve full Satellite Units providing a total of 154 crisis beds and 534 Intermediate Care Program (ICP) beds.

1. The ICPs are similar to community residences and provide on-site psychiatric rehabilitation services in prison housing units separated from the general population.
2. These ICP programs serve inmates whose functional disabilities prevent them from living in prison general population housing areas.
3. County jails should not be confused with state correctional facilities (prisons), which are run by the New York State Department of Correctional Services.

Prisons house only convicted felons who have been sentenced to terms ranging from one year to life. Inmates sentenced to prison tend to be more violent and have longer criminal records than those held in county jails. New York State Commission Of Correction (NYSCOC) Article 17, Section 5 of the New York State Constitution provides for the establishment of a State Commission of Correction to visit and inspect all institutions used to detain sane adults charged with or convicted of a crime or civil offense.

Its jurisdiction encompasses all county jails, county penitentiaries, county lockups, city jails, police lockups, court detention pens, hospital prison wards, secure facilities of the Office of Children and Family Services and all institutions that comprise the state correctional system. Three Commissioners are appointed by the Governor with the consent of the Senate.

The basic functions of the Commission are defined in the State Correction Law. These functions include:

• Promulgating minimum standards (codes) for the care, custody and safety of all persons confined in state and local correctional institutions;
• Investigating reportable incidents (deaths, assaults, escapes, etc.) and the management of all institutions within its purview;
• Approving or rejecting plans for construction or renovation;
• Advising the officials of such institutions in the performance of their lawful duties.

Any correctional facility employee who refuses to admit a member or officer of the Commission for the purpose of visitation and inspection or who does not furnish information required by the Commission is subject to civil or criminal sanctions. The Commission has the authority to subpoena witnesses and documents.

• It can also close any correctional facility subject to inspection if it is unsafe, unsanitary or unable to provide for the classification of prisoners as required by law or which has not complied with the rules and regulations promulgated by the Commission.
• Medical and mental health practitioners are most likely in interact with staff members representing the Commission of Correction’s Medical Review Board (MRB).

This Board is chaired by one of the Commissioners. New York State Correction Law mandates that the Board have six members including an attorney, a board certified forensic psychiatrist, and a board certified forensic pathologist. Each member is appointed to a five year term of office by the Governor, with the advice and consent of the Senate.

The Medical Review Board is mandated to investigate the cause and circumstances surrounding the death of any inmate of a correctional facility and, when appropriate, to make recommendations to the facility administrator and health services providers to prevent the recurrence of such deaths. When there is a questionable inmate death (including but not limited to homicide or suicide), a Correction Facility Specialist from the Commission conducts a field investigation involving the facility in question.

The purpose of this inquiry is twofold: first, to answer case specific questions such as the adequacy of supervision or treatment and the timeliness of emergency response efforts; and second, to identify potential problems of a larger systemic nature such as the lack of specific facility or health service procedures for identifying and managing high risk inmates.

• The police and District Attorney’s Office also investigate inmate deaths, but their interest in such cases is generally limited to the single issue of whether a crime was committed.
• Commission staff are frequently in contact with these agencies in the course of investigations.
• Commission staff investigating a case will usually begin the on-site segment of the investigation by consulting the Medical Examiner or pathologist who conducted the autopsy and toxicological examinations.

In the case of a suicide, the investigator will then go to the jail or lockup where the incident occurred to review pertinent facility and medical records (supervisory logs, officer statements, clinical records, etc.) and to interview officers, health services providers and inmates who knew or had contact with the deceased.

• The location where the inmate died will also be inspected.
• Finally, the investigator will interview any “significant others” ( e.g.
• The inmates’ friends and relatives) who might have additional insights into the death.
• A subpoena will be automatically issued for all medical, mental health and hospital records.

The report that the investigator subsequently writes about the death will be reviewed at two levels. The report and all supporting documents such as photographs and health records are first submitted to the Medical Review Board. The Medical Review Board reviews the case material and will ask the investigator to answer any clarifying questions that the Board members may have.

• The Board then prepares a summary report.
• The report presents major findings of fact that describe what happened along with specific recommendations, where appropriate, to help prevent recurrence.
• This report is submitted to the Commission.
• The Commission has the final authority for issuing the official case report.

The Chief Administrator of the facility where the death occurred then has a specific period of time to respond to the Commission’s draft report. The report then becomes a public document. All other case materials and evidence remain confidential. The Board is also responsible for investigating the delivery of medical and mental health care to inmates and for recommending such changes as it deems necessary to improve the quality and availability of such care.

The Commission promulgates “Minimum Standards and Regulations for the Management of County Jails and Penitentiaries” which include the requirement that the jail “make maximum use of community medical and mental health facilities, services and personnel” (Chapter I, Part 7010.2 (i)) Minimum Standards also require jails to complete “initial screening and risk assessment” for each inmate (Chapter I, Part 7013.3 (2) and 7013.7 (b)), including “history of mental illness or treatment” and “potential for self-injury or suicide.” The New York City Board Of Corrections New York Charter, Section 626, empowers the NYC Board of Corrections to monitor and evaluate the performance of the NYC Department of Corrections.

The primary objective of the nine-member Board of Corrections is to insure that all individuals within the City’s Correctional Institutions, both officers and prisoners, are provided with an environment which is safe, secure, healthy, humane and responsive to the needs of the individuals.

• establishes and enforces compliance
• insures that timely responses are provided to complaints, grievances or requests for assistance from prisoners
• makes recommendations to improve the delivery of medical, mental health, social service, as well as food service throughout DOC,

The Board has a paid staff of compliance workers who regularly monitor housing and inmate service areas for compliance with minimum standards and who investigate reportable incidents.

What is a violation in Oregon?

Violations General Information – Violations are offenses that are punishable by a fine, but are not punishable by a term of imprisonment. The most common types of violations include Traffic, Boating, and Fish & Wildlife. The court will not appoint or pay for you to have an attorney for violation cases, but if you wish, you may hire an attorney at your own expense.

Whether you have been charged with a CRIME or a VIOLATION; Where you must appear: Municipal, Juvenile, Justice, or Circuit Court; The type of offense(s) committed; The presumptive fine amount imposed for each offense; and Your court appearance Date, Time and Location.

If you are charged with a CRIME or a violation requiring a mandatory personal court appearance, you MUST COME TO COURT at the time and place indicated on the bottom of your summons (citation) and/or in the Notice of Scheduled Appearance sent by the Court.