§ 34-27-2. Definitions; exemptions from chapter.

(a) For purposes of Articles 1 and 2 of this chapter, the following terms
shall have the respective meanings ascribed by this section:
(1) ASSOCIATE BROKER. Any broker other than a qualifying broker.
(2) BROKER. Any person licensed as a real estate broker under Articles 1
and 2 of this chapter.
(3) COMMISSION. The Alabama Real Estate Commission, except where the
context requires that it means the fee paid to a broker or salesperson.
(4) COMMISSIONER. A member of the commission.
(5) COMPANY. Any sole proprietorship, corporation, partnership, branch
office, or lawfully constituted business organization as the Legislature may
provide for from time to time, which is licensed as a company under Articles
1 and 2 of this chapter.
(6) ENGAGE. Contractual relationships between a qualifying broker and an
associate broker or salesperson licensed under him or her whether the
relationship is employer-employee, independent contractor, or otherwise.
(7) INACTIVE LICENSE. A license which is being held by the commission
office by law, order of the commission, at the request of the licensee, or
which is renewable but is not currently valid because of failure to renew.
(8) LICENSEE. Any broker, salesperson, or company.
(9) LICENSE PERIOD. That period of time beginning on October 1 of a year
designated by the commission to be the first year of a license period and
ending on midnight September 30 of the year designated by the commission
as the final year of that license period.
(10) PERSON. A natural person.
(11) PLACE OF BUSINESS.
a. A licensed broker living in a rural area of this state who operates
from his or her home, provided that he or she sets up and maintains an
office for the conduct of the real estate business, which shall not be used
for living purposes or occupancy other than the conduct of the real estate
business. The office shall be used by the broker only and not as a place
of business from which any additional licensee operates under his or her
license. The office shall have a separate business telephone, separate
entrance, and be properly identified as a real estate office.
b. All licensees located within the city limits or police jurisdiction of a
municipality shall operate from a separate office located in the city limits
or police jurisdiction. The office shall have a business telephone, meet all
other regulations of the Real Estate Commission, and be properly identified
as a real estate office. Hardship cases may be subject to waiver of
this regulation upon application and approval by the commission.
c. All business records and files shall be kept at the place of business
as required by law or Real Estate Commission rules.
(12) QUALIFYING BROKER. A broker under whom a sole proprietorship,
corporation, partnership, branch office, or lawfully constituted business
organization as the Legislature may from time to time provide is licensed,
or a broker licensed as a company to do business as a sole proprietorship
who is responsible for supervising the acts of the company or
proprietorship and all real estate licensees licensed therewith.
(13) RECOVERY FUND. The Alabama Real Estate Recovery Fund.
(14) SALESPERSON. Any person licensed as a real estate salesperson under
Articles 1 and 2 of this chapter.
(b) The licensing requirements of Articles 1 and 2 of this chapter shall not
apply to any of the following persons and transactions:
(1) Any owner in the managing of, or in consummating a real estate
transaction involving, his or her own real estate or the real estate of his or
her spouse or child or parent.
(2) An attorney-at-law performing his or her duties as an attorney-atlaw.
(3) Persons acting without compensation and in good faith under a duly
executed power of attorney authorizing the consummation of a real estate
transaction.
(4) Persons or a state or federally chartered financial institution acting as
a receiver, trustee, administrator, executor, or guardian; or acting under a
court order or under authority of a trust instrument or will.
(5) Public officers performing their official duties.
(6) Persons performing general clerical or administrative duties for a
broker so long as the person does not physically show listed property.
(7) Persons acting as the manager for an apartment building or complex.
However, this exception shall not apply to a person acting as an on-site
manager of a condominium building or complex.
(8) Persons licensed as time-share sellers under Article 3 of this chapter
performing an act consistent with that article.
(9) Transactions involving the sale, lease, or transfer of cemetery lots.

(Acts 1951, No. 422, p. 745, § 3; Acts 1963, No. 290, p. 734, § 1; Acts 1971,
No. 2485, p. 3966, § 3; Acts 1971, 3rd Ex. Sess., No. 310, p. 4599, § 1; Acts
1975, No. 563, p. 1276, § 1; Acts 1982, No. 82-231, p. 282, § 1; Acts 1983,
No. 83-516, p. 781, § 1; Acts 1984, No. 84-282, p. 472, § 1; Acts 1985, No.
85-750, § 1; Acts 1989, No. 89-284, p. 447, § 3; Acts 1992, No. 92-177, p.
305, § 3; Acts 1996, No. 96-791, p. 1471, § 1; Act 2003-298, p. 701, § 1.)

See RULE 790-X-1.03; RULE 790-X-1.04.