Standards for Real Estate Auctions

For auctions of real property in this state: (1) the auctioneer or auction company shall: (a) be licensed as a principal broker under the Real Estate Licensing and Practices Act; or (b) affiliate with a licensed principal broker for purposes of advertising and conducting each aspect of the auction; (2) the auctioneer or auction company shall not advertise the services of the auctioneer or auction company directly to an owner of real property who is already subject to an agency agreement; (3) if an auctioneer or auction company affiliates with a principal broker as provided in R162-2f-401i(1)(b), the principal broker shall: (a) ensure that each aspect of the auction complies with the requirements of this section and any other law applicable to real estate licensees in real estate transactions; (b) ensure that advertising and promotional materials associated with an auction name the principal broker; (c) attend and supervise the auction; (d) ensure that any purchase agreement used at the auction is completed by an individual holding an active Utah real estate license and is filled out in compliance with Section 61-2f-306; (e) ensure that any money deposited at the auction is placed in trust pursuant to Utah Administrative Code R162-2f-401c(1)(i); and (f) ensure that adequate arrangements are made for the closing of any real estate transaction arising out of the auction.