What it does
The Real Estate and Business Agents Act 1978 (the Act) establishes a comprehensive licensing, registration and conduct regime for persons acting as real estate agents, business agents, developers and sales representatives in Western Australia. At its core, the Act prohibits unlicensed activity: s.26(1) provides that on and after the appointed day (1 December 1979) a person must not carry on business or hold themselves out as a real estate agent, business agent or both unless licensed and holding a current triennial certificate, with a penalty of a fine of $100 000. Parallel obligations apply to sales representatives under ss.44-46, which require registration before negotiating transactions on behalf of agents or developers.
The Act defines its scope through an expansive interpretation section. Section 4(1) defines "real estate transaction" to include sales, exchanges, leases, lettings, rent collection and options, while "business transaction" covers sales, exchanges or acquisitions of businesses, goodwill and related property but excludes share transactions in bodies corporate. "Agent" means a person who is a real estate agent or business agent (or both), and "developer" means a person selling real estate on their own behalf. These definitions are extended by deeming provisions: s.4(3) treats collection of consideration, terms payments, rent or mortgage payments as services rendered in the course of an agent's business, and s.4(3a) deems moneys collected for community corporations (Community Titles Act 2018) or strata companies (Strata Titles Act 1985) to be collected in respect of a real estate transaction.
Licensing and registration occupy Parts III and IV. An individual applicant for a licence must satisfy the Commissioner under s.27(1) that they are over 18, of good character and fit and proper (including qualifications per Schedule 1), have sufficient material and financial resources, and understand their duties. Firms and bodies corporate face additional requirements under ss.28 and 29, including that at least one (or two, for larger entities) controlling persons be licensed and that the person in bona fide control be licensed. Licences are continuous under s.30(1) but business may only be carried on with a current triennial certificate, which is granted for three years (s.31) and renewable subject to continued satisfaction of character, resources and understanding criteria. Special conditions may be imposed or removed by the Commissioner under ss.34AA and 34AB, with procedural fairness requirements.