Beneficial Interests

Lucas Cannan: Beneficial Interest. We get a lot of calls around how does it work and what it is, Brian?

Brian Cannan: Beneficial interest is when someone from your office or a close relative of someone from your office or yourself, buys property through the office, OK, that's beneficial interest. And it's very important how you handle this because there's only two jail sentences in the Property, Stock and Business Agent Act and beneficial interest is one of them. So the penalties can be up to loss of license, $22,000 fine and 2 years in prison. So you need to get a section 49 certificate from Fair Trading, just go on the website and get that and you fill that out, the vendor signs it that they understand that you, an employee or a close relative of someone that works in the office is buying that property and then all of that goes away for you. So I wouldn't be playing around with this. Make sure you get a section 49 signed.

Lucas: Great tips. Thanks Brian.