HB500 Alabama 2012 Session

Summary

Primary Sponsor

Mac Buttram

Republican

Session

Regular Session 2012

Title

Auctioneers, State Board of, licensing further provided for, definitions, inactive status, reciprocity, investigations, Secs. 34-4-2, 34-4-20, 34-4-21, 34-4-23, 34-4-25, 34-4-27, 34-4-28, 34-4-29, 34-4-30, 34-4-31, 34-4-33, 34-4-50, 34-4-52, 34-4-54 am'd.; Sec. 34-4-22 repealed

Summary

HB500 updates Alabama's auctioneers licensing system with a two-year license cycle, new inactive status, expanded reciprocity, and stronger board oversight.

What This Bill Does

It shifts licensing from yearly to biennial renewals and creates an inactive license option. It expands reciprocity, including a nonresident one-auction license per year under strict conditions, and adds financial and bonding requirements. It empowers the Board to investigate, hold hearings, and discipline licensees for misconduct, including patterns of frivolous complaints, with penalties up to suspension or revocation. It imposes new operational duties on licensees (escrow accounts, contracts, advertising disclosures, and five-year recordkeeping) and requires continuing education for renewal.

Who It Affects

• Licensed auctioneers, apprentice auctioneers, and auction companies in Alabama, who would see longer license terms, new inactive status, continuing education requirements, bonding/recordkeeping rules, and stricter advertising and supervisory duties.
• Nonresident auctioneers or out-of-state licensees seeking Alabama licensure (reciprocity), who would face new reciprocity rules, potential one-auction-per-year licensing, and financial/bonding requirements.

Key Provisions

• License period changed from 1 year to 2 years; licenses expire on a biennial schedule and renewal fees are capped for biennial licensing.
• New inactive license status allowing licensees to pause active authorization for a fee, with restoration requiring completion of continuing education and appropriate proof.
• Reciprocity expanded: Alabama may recognize out-of-state licenses; nonresidents may obtain a one-auction license per calendar year under specified conditions (including proof of qualifications and a $10,000 bond or irrevocable letter of credit).
• Board empowerment: the State Board of Auctioneers may investigate actions, hold hearings, and suspend or revoke licenses for misconduct, including patterns of frivolous or unfounded complaints, with defined penalties.
• Licensee duties: mandatory escrow/trust accounts, written contracts with owners, disclosure of terms in advertising, timely closing statements, five-year recordkeeping, and sponsorship/supervision requirements for apprentices.
• Governance and sunset: the board's structure, meetings, and duties are defined, continuing education is required, and the board is subject to the Sunset Law with automatic termination in 2015 unless continued; §34-4-22 (register of applicants) is repealed.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Auctioneers, State Board of