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STATE OF OKLAHOMA
2nd Session of the 58th Legislature (2022)
SENATE BILL 1752 By: Merrick
AS INTRODUCED
An Act relating to real estate; creating the Real
Estate Owner's Rights Act; providin g short title;
making certain matter of statewide concern;
establishing certain rights of property owners;
granting right for construction and repairs;
requiring certain permits and inspections; construing
requirement to hire licensed persons under certain
condition; authorizing certain assistance to prop erty
owner without licensure; granting right for
management, rental, and leasing; authorizing
delegation of certain functi ons without licensure;
prohibiting disclosur e of certain agreements;
allowing certain services by certain persons relating
to property management; providing exception to real
estate licensure; amending 59 O.S. 20 21, Sections
858-301, 1017, and 1692, which relate to real estate
license exemption, plum bing and electrical
licensures; providing exception to licensures of
certain property own ers; providing an exception to
mechanical licensure; providing for codification; and
providing an effective date .
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. NEW LAW A new section of law to be codif ied
in the Oklahoma Statu tes as Section 858-1000 of Title 59, unless
there is created a duplication in numbering, reads as follows:
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This act shall be known and may be cite d as the "Real Estate
Owner's Rights Act".
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 858 -1001 of Title 59, unless
there is created a duplication in numbering, reads as follows:
As a matter of statewide concern, a n owner of real property in
this state has the following rights:
A. The right to construct, install, and repair.
1. Notwithstanding any provision of law or municipal ordinance
to the contrary, an owner of residential real pro perty or farm
property who resides in this state and whose real property is
located in this state shall be aut horized to, and have the absolute
right to, personally perform any construction, installation, work ,
or repairs to his or her property including, b ut not limited to,
fencing, landscaping, telephone, plumbing, electrical, roofing,
mechanical, carpentry, conc rete, masonry, or painting, without first
obtaining licensure as may be required for such construction,
installation, work or repair; provided, how ever, the owner shall be
required to:
a. obtain all applicable state and local perm its and
inspections to satisfy the state and local building
code requirements, if any,
b. obtain the services of a qualified professional or
obtain applicable authority when working directly
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with, connecting to, or disconnecting from any public
utility system, public service corporat ion system, or
any utility metering device or equipment, and
c. disclose the nature and extent of the construction,
installation, work, or repairs performed by the owner
for purposes of the sale of such property, if
licensure would have been required for suc h work.
2. Nothing in this subsection shall be construed to allow the
owner of any residential real property or farm property to avoid the
hiring of a qualified licensed profe ssional to perform any
construction, installation, work, or repairs to his or her p roperty
where a valid license is required by law or municipal ordinance
should the work be performed by a person other than the actual owner
of the property or by the owner 's family members, relatives, or
employees without such persons being licensed.
3. For purposes of this subsection, an owner is authorized to,
and shall have the absolute right to, be assisted by his or her
family members, relat ives, or employees when perf orming
construction, installation, work , or repairs to his or her
residential real property or farm property.
4. Nothing in this section shall be construed to allow the
owner of any residential real property or farm property to avoid or
breach any Homeowner Association (HOA) agreements or neighborhood
covenants governing the property.
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B. The right to manage, rent, lease, and sell.
1. An owner of residential real property or farm property who
resides in this state and whose prope rty is located in this sta te
shall be authorized to, and have the absolute r ight to, personally
manage, rent, and/or lease or sell his or her property without
obtaining a real estate license or using a licensed real estate
broker, sales associate, or property management company for such
purposes, or paying any fee to or registerin g such property with a
municipality.
2. Any owner of residential real property or farm property who
resides in-state or out-of-state and whose property is located in
this state may delegate, and shall have an absolute right to
delegate, another qualified person to manage, rent, and/or lease his
or her property without the owner or designated agent being required
to obtain a real estate license or obtain the services of a licensed
real estate broker, sales a ssociate, or property management company
if exempt under paragraph 10 of Section 858 -301 of Title 59 of the
Oklahoma Statutes, or pay any fee to or register such property with
a municipality.
3. Notwithstanding any provision of law or municipal ordinance
to the contrary, an owner of residential real prop erty or farm
property, or the designated agent of such owner, shall not be
required to disclose any rental, lease , or property management
agreement to a municipality as a condition of property management,
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rental, or leasing by the property owner or his or her designated
agent.
4. Nothing in this subsection shall be construed to prohibit an
owner of residential real property or farm property from utilizing
the services of a licensed rea l estate broker, sales associate, or
property management company for any purpose or service relating to
his or her property.
SECTION 3. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 858-606 of Title 59, unless
there is created a duplication in numbering, reads as follow s:
Pursuant to this act, an owner of residential real property or
farm property shall not be required to obtain or hold a valid real
estate broker license, sal es associate license , or be in the
business of real property management to manage, re nt, lease, or sell
his or her real property , and an owner's qualified designated agent
shall be exempt from licensure as provided in paragraph 10 of
Section 858-301 of Title 59 of the Oklahoma Statut es.
SECTION 4. AMENDATORY 59 O.S. 2021, Sec tion 858-301, is
amended to read as follows:
Section 858-301. It shall be unlawful for any person to act as
a real estate licensee, or to hol d himself or herself out as such,
unless the person shall have b een licensed to do so under the The
Oklahoma Real Estate License Code. For the purposes of this
section, it shall be considered acting as a real estate licensee for
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any person, partnership, trust , association or corporation, or the
partners, officers or e mployees of any partnership, trust,
association or corporation, to publ icly market for sale an equitable
interest in a contract for the purchase of real property between a
property owner and a pro spective purchaser. However, nothing in
this section shall:
1. Prevent any person, partnership, trust, assoc iation or
corporation, or the partners, officers or employees of any
partnership, trustees or beneficiaries of any trust , association or
corporation, from acquiring real estate for its own use, nor shall
anything in this section prevent any person, partner ship, trust,
association or corporation, or the partners, officers or employees
of any partnership, trustees or benefici aries of any trust,
association or corporation, as owner, lessor or lessee of real
estate, from selling, renting, leasing, exchanging, o r offering to
sell, rent, lease or exchange, any real estate so owned or leased,
or from performing any acts with respec t to such real estate when
such acts are performed in the regular course of, or as an incident
to, the management, ownership or sales of such real estate and the
investment therein; however, it shall be prohibited for any person,
partnership, officers or e mployees of any partnershi p, trustees or
beneficiaries of any trust, association or co rporation to publicly
market for sale an equitable interest in a contra ct for the purchase
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of real property between a property owner and a prospective
purchaser without holding an active Oklahoma real estate license;
2. Apply to persons acting as the atto rney-in-fact for the
owner of any real estate auth orizing the final con summation by
performance of any contract for the sale, lease or exchange of such
real estate;
3. In any way prohibit any att orney-at-law from performing the
duties of the attorney as s uch, nor shall this Code prohibit a
receiver, trustee in bankruptcy, ad ministrator, executor, or his or
her attorney, from performing his or her duties, or any person fro m
performing any acts unde r the order of any court, or acting as a
trustee under the terms of any trust, will, agreement or deed of
trust;
4. Apply to any person acting as the resident manager for the
owner or an employee acting as the resident manager fo r a licensed
real estate broker managing an apartment building, duplex, apartment
complex or court, when such resident manager resides o n the premises
and is engaged in the leasing of property in connection with the
employment of the resident manager;
5. Apply to any person who en gages in such activity on behalf
of a corporation or governm ental body, to acquire easements, rights-
of-way, leases, permits and li censes, including any and all
amendments thereto, and other similar interests in real estate, for
the purpose of, or faciliti es related to, transportation,
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communication services, cable lines, utilities, pipelines, or oil,
gas, and petroleum products;
6. Apply to any person who engages in such activity in
connection with the acquisition of real estate on behalf of an
entity, public or private, which has the right to acquire the real
estate by eminent domain;
7. Apply to any person who is a resident of an apartment
building, duplex, or apartment complex or court, when the person
receives a resident refe rral fee. As used in this paragraph, a
"resident referral fee " means a nominal fee no t to exceed One
Hundred Dollars ($100.00), offered to a resident for th e act of
recommending the property for lease to a family member, friend, or
coworker;
8. Apply to any person or entity manag ing a transient lodging
facility. For purposes of this para graph, "transient lodging
facility" means a furnished room or furnished suite of rooms which
is rented to a person on a daily basis, not as a principal
residence, for a period less than thirty (30 ) days; or
9. Apply to employees of a licensed real estate broker who
lease residential housing units only to eligible persons who qualify
through a state or federal housing subsidized program to lease the
property in an affordab le housing development pro ject. "Affordable
housing development project " means a housing development of four or
more units constructed for lease to specific ally eligible persons as
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required by the particular federal or state housing program ,
including, but not limited to, the U.S. Department of Housing and
Urban Development, the U.S. Depar tment of Agriculture Rural
Development, the U.S. D epartment of Treasury In ternal Revenue
Service, or the Oklahoma Housing Finance Agency ; or
10. Apply to any person acting as the designated agent for an
individual owner of residential real property or farm property who
is a family member, relative, employee, or contractor of such owner
and who is managing, renting, leasing, or offering to rent, lease ,
or exchange the real est ate so owned, or is perfor ming any acts with
respect to such real estate when such acts are performed in the
regular course of, or a s an incident to, the management or ownership
of such real estate and the investment therein; provided, however,
the designated agent must work exclus ively for owner-family members,
owner-relatives, or an owner-employer to be eligible for the license
exemption.
SECTION 5. AMENDATORY 59 O.S. 20 21, Section 1017, is
amended to read as follows:
Section 1017. The provisions of The Plumbing License Law of
1955 shall not apply to:
1. Minor repairs, consisting of repairing or replacing f aucets
or minor working parts of plumbing fixtures;
2. Farm buildings located outside any city or town unless such
buildings are connected to a public water or sewer system;
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3. Maintenance work for state in stitutions and school
districts;
4. The installation, maintenance, repair, renovation of
automatic sprinkler systems and related mechanical appurtenances
beginning at a point where the pipe or piping system provides water
used exclusively for these automa tic sprinklers and their related
appurtenances and to standpipes connected to automatic sprinkler
systems;
5. The construction, installation, maintenance, repair,
renovation, and/or removal of pipe or piping systems and related
mechanical appurtenances in cluding backflow preventers, appliances
and/or equipment used in connection therewith, directly or
indirectly within or without any building or structure, from a point
or location in a source of potable water supply at which point or
location there exists any backflow preventer, provided that said the
pipe and/or piping systems are for:
a. heating, except radiant -floor heating systems as
defined in subparagraph d of paragraph 9 of Section
1003 of this title,
b. cooling,
c. air conditioning,
d. refrigeration, or
e. boilers and other pressure vessels of wh atsoever kind
and character.
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A "backflow preventer," as used herein, means any permanent
mechanical device, or combination of permanent mechanical devices,
of whatever material, which, after installation acts to prevent a
reversal of the normal directional flow of potable water within the
piping system in which it is installed, and shall include, but not
be limited to, metal checkvalves and airgaps, either naturally or
artificially created. Provided, further, that the exclusionary
provisions of this paragr aph shall apply only to and within
governmental agencies, counties, cities and towns which now have or
which hereafter may adopt separate laws relating to the licensing,
registration and regulating of persons engaged, for business
purposes, in any of the a reas of trade hereinbefore specified in
this paragraph; the exemptions herein being provided to apply only
to these items specifically regulated by any such local laws and
ordinances; and
6. An individual wh o performs plumbing work on such
individual's residential or farm property of residence owned by the
individual or an owner who performs plumbing work on his or her
property with the assistance of his or her family members, relatives
or employees as author ized by this act.
SECTION 6. AMENDATORY 59 O.S. 2021, Section 1692, is
amended to read as follows:
Section 1692. A. The provisions of the Electrical License Act
shall not apply to:
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1. Minor repairs, consisting of repairing or rep lacing outlets
or minor working parts of electri cal fixtures;
2. Maintenance work for state and federal institutions;
3. The construction, installation, maintenance, repair , and
renovation by a public utility regulated by the Corporation
Commission;
4. Public service corporations, telephone and telegraph
companies, rural electric associations or municipal utilities;
5. The construction, installation, maintenance, repair , and
renovation of telephone equipment or computer systems by a person,
firm, or corporation engaged in the telecommunications or
information systems industry when such activities involve work
exclusively for communication of data, voice , or for other signaling
purposes; except fire alarm systems, security systems , and
environmental control systems that are not an integral part of a
telecommunications system; or
6. The installation, maintenance, repair or replacement of
water supply pumps, provided such work is performed from the output
side of a fused disconnect or breaker box.
B. Nothing in the Electrical License Act shall be construed to
require:
1. Employment of a licensed electrical contractor, journeyman
electrician or electrical apprentice except as required by local
ordinances and resolutions;
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2. Any regular employee of any firm or corporation to hold a
license before doing a ny electrical work on the property of the firm
or corporation whether or not the property is owned, leased or
rented except as may be required by local ordinances and
resolutions; or
3. An individual to hold a license before doing electrical work
on his or her own property or residence except as may be required by
local ordinances and resolutions or an owner who performs electrical
work on his or her property or residence with the assistance of his
or her family members, relatives, or employees as authorize d by this
act.
SECTION 7. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 1850.7a of Title 59, unless
there is created a duplication in numbering, read s as follows:
The provisions of the Mechanical Li censing Act shall not apply
to an individual who performs mechanical work on residential or farm
property owned by the individual or an owner of property who
performs mechanical work with the assistance of h is or her family
members, relatives, or employees as authorized by this act.
SECTION 8. This act shall become effective November 1, 2022.
58-2-2567 MR 1/20/2022 6:28:25 PM