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Real Estate Agents Act 2008

Real Estate Agents Authority - Powers of intervention

27: Administration of trust account in certain cases

You could also call this:

"Someone else manages your trust account if the Authority thinks it's necessary."

Illustration for Real Estate Agents Act 2008

You can have your trust account managed by someone else if the Authority thinks it is necessary. The Authority can choose someone to manage your trust account for a certain time. This happens when the Authority is satisfied that certain grounds apply to you, as stated in section 25. You will not be able to manage your trust account when this happens. The bank must let the new manager administer your trust account when they get a copy of the order. The Authority must give a copy of the order to the bank and the banker. The Authority makes these decisions to ensure your trust account is managed properly. The new manager will take care of your trust account for the time specified by the Authority. This is done according to the rules set out in the legislation.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM1358217.

Topics:
Money and consumer rights > Banking and loansBusiness > Industry rules
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26: Power to take possession of documents, or

"The Authority can ask for documents if they think a real estate agent has done something wrong."

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28: Appointment of interim administrator in certain cases, or

"Protecting trust account money by appointing a temporary manager"

Part 2Real Estate Agents Authority
Powers of intervention

27Administration of trust account in certain cases

  1. If the Authority is satisfied that 1 or more grounds specified in section 25 apply to an agent, the Authority may, if in its opinion it is appropriate to do so, make an order appointing a suitable person as the administrator of the agent's trust account for a period specified by the Authority.

  2. A copy of every order made by the Authority under this section must be served on the banker, and on receipt of that copy the bank in which the trust account is kept must allow the person appointed by the order to administer the trust account.

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