XN000022-1995-11-29 — Page 39

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The Bill now presented to this Council seeks to:

* first, set up a licensing and regulatory system for the trade, through the establishment of a statutory, self-financing Estate Agents Authority and a licensing system for estate agents;

* second, define the duties of estate agents, which include duties to provide essential information about a property to a client, to inform a vendor of any offer made, to fully disclose his interests, and to conduct transactions in a fair, open and honest manner;

* third, ensure that estate agents meet certain standards of competence such as those related to education, qualifications and working experience, and regulate their conduct and practices;

* fourth, provide sanctions against estate agents for non-compliance;

fifth, provide a venue for aggrieved consumers to complain about estate agents' unsatisfactory services or malpractices;

* sixth, provide a channel for settling disputes relating to the payment of

commission or fees to an estate agent by a client;

* seventh, set up an independent appeal panel to handle appeals against the

decision of the Estate Agents Authority on licensing matters; and

* lastly, permit the EAA to make regulations and rules, subject to the approval

of the Secretary for Housing.

In order to ensure impartiality, EAA members will be drawn from the trade, related professions and the community. Representation from the trade will not exceed one-third of members, excluding the Chairman and the Vice-chairman.

I would like to point out that the proposed licensing system will be introduced in a gradual and planned manner to ensure that it will not cause unnecessary anxieties in the trade or disruption of service to the public. Initially, transitional licences will be issued. There will be sufficient time for estate agents to meet the full licensing requirements to be set by the EAA.

Mr President, I beg to move.

End/Wednesday, November 29, 1995