Tennessee § 62-19-111 - General licensing provisions.

§ 62-19-111. General licensing provisions.

An individual applying for a license as a bid caller auctioneer must submit an application to the commission on the prescribed form. The application must be accompanied by satisfactory proof that the applicant: Is at least eighteen (18) years of age; and Has successfully completed sixteen (16) hours of classroom or online instruction on the basic fundamentals of auctioneering at an auction school accredited by the commission; and Auction chant instruction is optional and is not to be included in the basic fundamentals of auctioneering, nor may auction chant instruction be completed online. An individual applying for a license as an affiliate auctioneer must submit an application to the commission on the prescribed form. The application must be accompanied by a nonrefundable examination fee as set by the commission and must prove that the applicant: Is at least eighteen (18) years of age; and Has successfully completed, in addition to the education requirements under subdivision (a)(1)(B), thirty-four (34) hours of classroom or online instruction in the fundamentals of auctioneering at an auction school accredited by the commission. An individual applying for a license as a principal auctioneer must submit an application to the commission on the prescribed form. The application must be accompanied by a nonrefundable examination fee as set by the commission and must prove that the applicant: Is at least eighteen (18) years of age; Has served as an affiliate auctioneer under the supervision of a licensed, full-time principal or public automobile auctioneer for a period of six (6) months; and Has obtained a high school diploma, general equivalency diploma (GED), or HiSET(r) diploma. The commission may require other proof as necessary, through the application or otherwise, to assess the honesty, trustworthiness, integrity, reputation, and competency of the auctioneer applicant. An individual who meets the requirements of subsections (b)-(d) may take an examination prescribed by the commission to determine the individual's qualifications. The examination must include, but not be limited to, reading, writing, spelling, elementary arithmetic, elementary principles of land economics, ethics, the law of this state relating to bulk sales, auctions and brokerage, and the provisions of this chapter. The examination for a principal auctioneer's license must be more specific in nature and scope than the examination for an affiliate auctioneer's license. An applicant who fails an examination shall pay a fee as set by the commission for each reexamination. The commission shall issue a license and pocket card, upon receipt of the appropriate fee as set by the commission, to an applicant who meets the requirements for licensure under this chapter. The license must be conspicuously displayed at all times in the office of the licensee. Except as provided in § 62-19-117, every auctioneer licensed under this chapter shall maintain a place of business in this state. A bid caller licensee may list their home address as their place of business with the commission. All licenses issued by the commission expire two (2) years from the original date the license was issued. Each license must be renewed on or before its expiration date. If a licensee fails to renew a license on or before its expiration date, the commission may, in its discretion, renew the license upon application within two (2) months of the expiration date. The application must be accompanied by the prescribed fee and payment of a monetary penalty as set by the commission. A person seeking to renew a license later than two (2) months after its expiration must reapply for licensure. The commission may, in its discretion: Waive reexamination or additional education requirements for the applicant; or Reinstate a license subject to the applicant's compliance with reasonable conditions that the commission may prescribe, including payment of an additional reasonable fee to be set by the commission. When fees are remitted by mail to the commission, the date of payment is determined by the official postmark of the mail. When an affiliate auctioneer's employment with an auctioneer is terminated for any reason, the auctioneer shall immediately deliver, or send by registered mail, the affiliate auctioneer's license to the commission. The affiliate auctioneer shall not engage in the business of an auctioneer until the affiliate auctioneer receives a new license and pocket card for the unexpired term bearing the name and address of the new employer. The fee for the new license and pocket card is set by the commission. No more than one (1) license may be issued to an affiliate auctioneer to be in effect at any one (1) time. No license issued by the commission may authorize the licensee to engage in business at a location other than what is stated on the license. A licensee shall immediately notify the commission in writing in the event of a change of business location. The written notice must be accompanied by the current license and pocket card and a fee as set by the commission. Auctions for the sale of registered livestock must be conducted by a licensed auctioneer. The auctioneer is exempt from issuing closing statements and disbursing funds if such responsibilities are performed by a duly chartered livestock association or livestock breed association. An affiliate auctioneer may be employed by a licensed auctioneer who is not designated as the affiliate's sponsor upon receiving written permission from the affiliate's sponsor and notifying the commission of the employment in the proper form and manner as prescribed by rules promulgated by the commission. An auctioneer employing an affiliate who is not under the auctioneer's sponsorship is responsible for the actions of the affiliate while under that auctioneer's employment. The sponsor is responsible for the actions of the affiliate at all other times. The commission may deny an applicant for an affiliate auctioneer or auctioneer the right to take an examination for a period of up to two (2) years if the applicant is found by the commission to have conducted business within this state as an affiliate auctioneer or auctioneer without being licensed. An individual applying for a license as a public automobile auctioneer must submit an application to the commission on the prescribed form. The application must be accompanied by a nonrefundable examination fee as set by the commission and satisfactory proof that the applicant: Is at least twenty-one (21) years of age; Has served as a principal auctioneer for a period of two (2) years; and Has successfully completed, in addition to the education required by subdivision (b)(2), fifteen (15) hours of more rigorous classroom or online instruction in automobile auctioneering as approved by the commission. An individual who receives a public automobile auctioneer license may exercise all activities authorized under a principal auctioneer license or bid caller license without having to meet additional licensure requirements. Acts 1967, ch. 335, § 12; 1971, ch. 161, § 2; 1971, ch. 218, § 1; 1976, ch. 824, § 5; 1978, ch. 569, §§ 4, 5; impl. am. Acts 1978, ch. 934, §§ 22, 36; Acts 1981, ch. 416, §§ 6, 7; T.C.A., § 62-1912; Acts 1983, ch. 250, § 8; 1986, ch. 915, § 3; 1989, ch. 360, § 10; 1989, ch. 523, §§ 158-165; 1990, ch. 1026, § 42; 1991, ch. 485, §§ 1-3; 1997, ch. 91, §§ 1, 2, 5; 1999, ch. 358, §§ 4-6; 2008, ch. 724, § 3; 2019, ch. 471, § 10. Compiler's Notes. Acts 1999, ch. 358, § 13 provided for authorization of the commissioner to promulgate rules and regulations to effectuate the purposes of that act and that all such rules and regulations shall be promulgated in accordance with the provisions of the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. Acts 1999, ch. 358, § 14 provided that the provisions of that act do not apply to any court sale. Acts 2008, ch. 724, § 8 provided that the Tennessee auctioneer commission is authorized to promulgate rules and regulations to effectuate the purposes of the act, which added subsection (s). All the rules and regulations shall be promulgated in accordance with the Uniform Administrative Procedures Act, compiled in title 4, chapter 5. Amendments. The 2019 rewrote the section which read: “(a) Any individual who desires a license as an apprentice auctioneer shall submit an application to the commission on the prescribed form. The application shall be accompanied by a nonrefundable examination fee as set by the commission and satisfactory proof that the applicant has:“(1) Reached at least eighteen (18) years of age; and“(2) Successfully completed eighty (80) hours of classroom instruction in the fundamentals of auctioneering at an auction school accredited by the commission.“(b) Any individual who desires a license as an auctioneer shall submit an application to the commission on the prescribed form. The application shall be accompanied by a nonrefundable examination fee as set by the commission and satisfactory proof that the applicant has:“(1) Reached at least eighteen (18) years of age;“(2) Served as an apprentice auctioneer under the supervision of a licensed, full-time auctioneer for a period of two (2) years;“(3) Successfully completed, in addition to the education required by subdivision (a)(2), thirty (30) hours of more rigorous classroom instruction in an auctioneering-related subject approved by the commission; and“(4) Obtained a high school diploma or general equivalency diploma (GED(R)).“(c) The commission may require other proof, through the application or otherwise, that it deems desirable as to the honesty, trustworthiness, integrity, reputation and competency of the auctioneer or apprentice auctioneer applicant.“(d) Any person who meets the requirements of subsections (a)-(c) is entitled to an examination prescribed by the commission to determine the person's qualifications. The examination shall include, but not be limited to, reading, writing, spelling, elementary arithmetic, elementary principles of land economics, ethics, the law of this state relating to bulk sales, auctions and brokerage and the provisions of this chapter. The examination for an auctioneer's license shall be of more exacting nature and scope than the examination for an apprentice auctioneer's license.“(e) Any applicant who fails an examination must pay a fee as set by the commission for each reexamination.“(f) The commission shall issue to a qualified applicant a license and pocket card upon receipt of the appropriate fee as set by the commission. The license shall be conspicuously displayed at all times in the office of the licensee.“(g) Except as provided in § 62-19-117(a) , every auctioneer licensed under this chapter shall maintain a place of business in this state at a firm that has been duly licensed by the commission.“(h)(1) A person who desires a license for a firm shall submit an application to the commission on the prescribed form. A firm license must be issued in the name of the firm with a specific person acting as principal and holder of a valid auctioneer's license. The application shall be accompanied by a nonrefundable examination fee as set by the commission and satisfactory proof that:“(A) The applicant has reached at least eighteen (18) years of age;“(B) The applicant, if not a holder of a principal auctioneer's license, has completed thirty (30) hours of rigorous classroom instruction in an auctioneering-related subject approved by the commission; and“(C) The applicant has obtained a high school diploma or general equivalency diploma (GED(R)).“(2) The commission may require other proof, through the application or otherwise, that it deems desirable as to the honesty, trustworthiness, integrity, reputation and competency of the auctioneer or apprentice auctioneer applicant.“(3) Any person who meets the requirements of subdivisions (h)(1) and (2) shall be entitled to an examination prescribed by the commission to determine the person's qualifications. The examination shall include, but shall not be limited to, reading, writing, spelling, elementary arithmetic, elementary principles of land economics, ethics, the law of this state relating to bulk sales, auctions and brokerage and the provisions of this chapter.“(4) The examination for a firm license shall be of a more exacting nature and scope than the examination for an apprentice auctioneer's license, except that a nonauctioneer applying for a firm license shall not be required to take the oral part of the auctioneer's test consisting of actual bid calling.“(5) Any applicant who fails an examination must pay a fee as set by the commission for each reexamination.“(6) The commission shall issue to qualified applicants a license and pocket card upon receipt of the appropriate fee as set by the commission. The firm license shall be conspicuously displayed at all times in the office of the licensee.“(7) Any person currently holding a valid auctioneer firm license may renew the license by filing an application for renewal and paying the required fee before the expiration date of the firm license.“(8) If the applicant for a firm license maintains more than one (1) place of business within the state, the applicant shall apply for and obtain an additional firm license for each branch office.“(9) A firm license shall automatically be suspended if no licensed auctioneer is engaged in business in the firm. The license may be reinstated by the commission for the unexpired term upon proof that a duly licensed auctioneer has been affiliated with the firm.“(10) Any person in this state who for a fee is in the business of managing auctions to the extent the person is responsible for the advertising, consignments, promotion or distribution of funds must hold a valid firm license.“(11) All contracts for services to be performed by an auction firm, except an auto auction as defined in § 55-17-102 , must be negotiated for and signed by an auctioneer who is a member of the firm or by the auctioneer's attorney.“(i) All licenses issued by the commission shall expire two (2) years from the original date the license was issued. Each license must be renewed on or before its expiration date.“(j) If a licensee fails to renew a license on or before its expiration date, the commission may, in its discretion, renew the license upon application within two (2) months thereafter. The application shall be accompanied by the prescribed fee plus a penalty as set by the commission. Any person wishing to renew a license later than two (2) months after its expiration shall reapply for licensure; provided, that the commission may, in its discretion:“(1) Waive reexamination or additional education requirements for such an applicant; or“(2) Reinstate a license subject to the applicant's compliance with reasonable conditions that the commission may prescribe, including payment of an additional reasonable fee to be set by the commission.“(k) When fees are remitted by mail to the commission, the date of payment shall be determined by the official postmark of the mail.“(l) When an apprentice auctioneer's employment with an auctioneer is terminated for any reason, the auctioneer shall immediately deliver or send by registered mail the apprentice auctioneer's license to the commission. The apprentice auctioneer shall not engage in any activity defined in § 62-19-101(3) until the apprentice auctioneer receives a new license and pocket card for the unexpired term, bearing the name and address of the new employer. The fee for the new license and pocket card shall be set by the commission.“(m) No more than one (1) license shall be issued to any apprentice auctioneer to be in effect at any one time.“(n) No license issued by the commission shall authorize the licensee to engage in business at any location other than that set forth on the license. A licensee shall immediately notify the commission in writing in the event of a change of business location. The written notice shall be accompanied by the current license and pocket card and a fee as set by the commission.“(o) Notwithstanding subdivision (b)(2), any individual who otherwise would qualify for the auctioneer's examination by January 1, 1984, need complete only one (1) year of apprenticeship in order to be eligible for the examination.“(p) Auctions for the sale of registered livestock must be conducted by a licensed auctioneer. The auctioneer shall be exempt from the responsibilities of issuing closing statements and disbursing funds if the responsibilities are performed by a duly chartered livestock association or livestock breed association.“(q) An apprentice auctioneer may be employed by a licensed auctioneer who is not designated as the apprentice's sponsor upon receiving written permission from the apprentice's sponsor and notifying the commission of the employment in the proper form and manner as prescribed by the rules of the commission. An auctioneer employing an apprentice who is not under that auctioneer's sponsorship shall be responsible for the actions of the apprentice while under that auctioneer's employment, and the sponsor shall be responsible for the actions of the apprentice at all other times.“(r) The commission may deny any applicant for an apprentice, auctioneer or firm license the right to take an examination for a period up to two (2) years if the applicant is found by the commission to have conducted business within this state as an apprentice auctioneer, auctioneer or firm owner without first having been properly licensed.“(s) Any individual who desires a license as public automobile auctioneer shall submit an application to the commission on the prescribed form. The application shall be accompanied by a nonrefundable examination fee as set by the commission and satisfactory proof that the applicant has:“(1) Reached at least twenty-one (21) years of age;“(2) Served as an auctioneer for a period of two (2) years; and“(3) Successfully completed, in addition to the education required by subdivision (a)(2), thirty (30) hours of more rigorous classroom instruction in automobile auctioneering approved by the commission.” Effective Dates. Acts 2019, ch. 471, § 21. July 1, 2019. Cross-References. Certified mail instead of registered mail, § 1-3-111 . Director of division of regulatory boards to promulgate rules concerning certain license renewal dates, § 56-1-302 .