Administrative Law

Real Estate Agent Act Violation Lawyer

Real Estate Agent Act Violation Lawyer | Understanding the criminal charge and the license sanction together

Summary

The Licensed Real Estate Agents Act (공인중개사법) regulates who may broker real estate transactions, how much they may charge, and what representations they may make to clients. Violations range from operating without a license to charging fees above the statutory cap or making false statements in a listing, and many of these acts carry criminal penalties under the Act in addition to administrative sanctions such as business suspension or license revocation issued by the relevant mayor, county head, or district head (공인중개사법 제38조, 제39조). Because a single incident can be investigated by police and separately reviewed by the licensing authority, the two proceedings need to be managed with a coordinated strategy rather than treated as unrelated matters.

Administrative · Criminal Related law: Licensed Real Estate Agents Act (공인중개사법)

Real Estate Agent Act Violation | What Counts as a Violation Under the Licensed Real Estate Agents Act

Most cases we see fall into one of the following categories. Which one applies determines both the criminal exposure and the type of administrative sanction that follows.

Unlicensed Brokerage

Brokering without registration
Acting as a real estate broker without registering as a licensed agent, or continuing to broker after registration has been revoked or suspended, is prohibited (공인중개사법 제9조, 제48조). This is treated as one of the more serious violations because it removes the consumer protections the registration system is designed to provide, and it is punishable by imprisonment or a fine.

Fee Cap Violation

Charging brokerage fees above the statutory limit
Local ordinances set a maximum brokerage commission rate depending on the transaction type and price. Receiving fees, or any other money framed as a fee, above that ceiling — including through a side agreement disguised as a separate service charge — is a violation (공인중개사법 제33조, 제38조). Whether an amount is a 'fee' at all is often contested when payments are labeled as consulting or administrative costs.

Dual Agency / Direct Dealing

Prohibited direct transaction or double agency
An agent is barred from becoming a party to the transaction they are brokering (직접거래), and from representing both sides of a sale without proper disclosure in certain cases (공인중개사법 제33조). These cases often turn on whether the agent's family member or affiliated entity was the true buyer or seller.

False Advertising

False or exaggerated listing information
Advertising a property that does not exist, or advertising with false details about price, area, or rights attached to the property, is separately regulated (공인중개사법 제18조의2). This provision is increasingly enforced against online listing platforms and individual agents alike.

Confirmation & Explanation Duty

Failure to prepare or explain the disclosure statement
Agents must prepare a confirmation and explanation document (중개대상물 확인·설명서) and explain its contents to the client before a contract is signed (공인중개사법 제25조). Skipping this step, or preparing it inaccurately, is frequently cited when a transaction later turns into a civil dispute and the client also files a complaint with the licensing authority.

One act, two separate proceedings

Because criminal investigation and administrative sanction are handled by different authorities under different standards of proof, a case can end in a criminal fine but still result in license revocation, or vice versa. Each track needs its own evidence and its own timeline to be tracked carefully.

Real Estate Agent Act Violation | How the Criminal Case and the License Sanction Run in Parallel

Understanding which authority does what — and on what timeline — is often the first thing a client needs clarified, because notices from each side can arrive months apart.

Police and prosecutor investigation

A complaint from a client, a competitor agent, or a routine local government inspection can trigger a police referral. Once the case moves to the prosecutor's office, the outcome can range from a non-prosecution disposition to summary indictment (fine by written order) or formal indictment, depending on the amount involved and whether it is a repeat violation.

Administrative sanction by the local government

Separately, the mayor, county head, or district head who issued the agent's registration can open its own review and impose a warning, business suspension of up to six months, or registration revocation (공인중개사법 제38조, 제39조). This process follows the Administrative Procedure Act's prior notice and opportunity-to-be-heard requirements, so a written opinion statement matters here.

Why the outcomes can diverge

A criminal case ending in non-prosecution does not automatically stop the administrative sanction, because the two proceedings apply different standards — criminal liability requires proof beyond reasonable doubt of intent or negligence for the specific offense, while the administrative sanction can be based on a broader finding that the statutory grounds for suspension or revocation exist. Preparing evidence for one track with an eye toward the other is often necessary.

Real Estate Agent Act Violation | What Penalties and Sanctions Actually Look Like

The Act sets tiered penalties depending on the type of violation, and administrative sanctions are graded separately by severity and repetition.

Criminal penalty tiers

The Act separates violations into those punishable by imprisonment of up to three years or a fine of up to 30 million won (such as unlicensed brokerage) and lower-tier violations punishable by a fine of up to 5 million won or 10 million won depending on the provision (공인중개사법 제48조, 제49조). Which tier applies depends on exactly which article was violated, not just the general description of the conduct.

Administrative sanction tiers

Administrative sanctions range from a warning or a fine for administrative order violations up to business suspension of up to six months and, for serious or repeated violations, registration revocation (공인중개사법 제38조, 제39조). The specific violation history recorded for the agent (누적 위반 횟수) is often a decisive factor in which tier is applied.

Civil exposure running alongside

A client who suffered financial loss from a violation — for example, an overcharged fee or a transaction based on a false listing — can also pursue a separate civil claim for damages or a refund. This civil claim proceeds independently of the criminal and administrative outcomes, and a favorable result in one does not resolve the other.

⚠ Registration cancellation can bar re-entry for a period

If a registration is revoked for certain grounds, the individual may be barred from obtaining a new registration for a set period (공인중개사법 제10조). Checking which specific ground applies matters because the bar period differs by ground.

Real Estate Agent Act Violation | From Initial Consultation to Case Resolution

Case review and document check
We review the complaint, police notice, or administrative sanction notice you received, along with the brokerage contract, fee receipts, and any confirmation and explanation document, to identify which specific provision is at issue.

Strategy for the criminal track
If a police or prosecutor investigation is underway, we prepare a written statement of position and supporting evidence, and represent you at investigative interviews where needed.

Response to the administrative sanction notice
For a pending business suspension or revocation notice, we prepare an opinion statement during the prior-notice period and, if a sanction is issued, evaluate whether an administrative appeal or lawsuit for cancellation is appropriate.

Coordinating both tracks
Because statements made in one proceeding can be used in the other, we sequence submissions and interview responses to avoid creating inconsistencies between the criminal file and the administrative file.

Resolution and follow-up
Once the criminal case and the administrative case both reach a resolution, we advise on any remaining civil exposure and, where relevant, on the conditions for reapplying for registration.

Real Estate Agent Act Violation | How Legal Fees Are Structured

Retainer fee
Set based on which tracks are involved — a criminal investigation only, an administrative sanction only, or both simultaneously — and on the stage the case is at when you engage counsel.

Success fee
Where applicable, discussed separately and tied to a defined outcome such as a non-prosecution disposition, a reduced sanction tier, or a successful administrative appeal, rather than a guaranteed result.

Administrative appeal / lawsuit costs
If a business suspension or revocation is challenged through an administrative appeal or a lawsuit for cancellation, separate filing fees and stamp costs apply in addition to the fee for that stage of work.

Disbursements
Costs such as document certification fees, transcription of investigative records, and expert opinions on fee calculation are billed as actually incurred.

※ Costs vary depending on case complexity and specific circumstances; exact fees will be provided during consultation. No specific outcome is guaranteed.

Real Estate Agent Act Violation | Self-Check Before Your Consultation

1️⃣ If You Received a Police or Prosecutor Notice

Do you know exactly which article of the Licensed Real Estate Agents Act you are alleged to have violated?
Have you kept the brokerage contract and any messages related to the fee that was charged?
Is this the first time you have been investigated for a similar issue, or is there a prior sanction on record?
Have you been summoned for a formal interview, or is the case still at the document-review stage?

2️⃣ If You Received an Administrative Sanction Notice

Does the notice specify a prior-notice period and a deadline to submit a written opinion?
Does the notice state whether the proposed sanction is a warning, suspension, or revocation?
Do you have records showing the actual amount of the fee charged and how it was calculated?
Has the licensing authority previously issued you any warning or sanction for a related matter?

3️⃣ If You Are the Client Considering a Complaint

Do you have the confirmation and explanation document the agent was required to provide before the contract?
Can you show the exact amount you paid as a brokerage fee compared to the statutory fee cap for your transaction?
Do you have evidence of the listing information you relied on, such as a screenshot or the original advertisement?
Have you already reported the matter to the local government, or only discussed it directly with the agent?

Frequently Asked Questions

Q. Can I be charged criminally even if my real estate license itself is not revoked?

A. Yes. Criminal liability and the administrative sanction are decided by different authorities on different standards, so it is possible to face a criminal fine or prosecution while the license itself is only suspended, or even left untouched, depending on the specific facts (공인중개사법 제38조, 제48조).

Q. What happens if I only helped with a transaction without formally acting as the broker of record?

A. Assisting with a transaction without registration can still be treated as unlicensed brokerage if you performed functions the Act reserves for registered agents, such as arranging terms or collecting a fee for the introduction (공인중개사법 제9조, 제48조). Whether your specific role falls within 'brokerage' is a factual question that is often disputed.

Q. Is charging a fee above the local cap always a criminal matter?

A. Receiving a fee above the statutory ceiling is generally treated as a violation subject to penalty, though the specific tier and whether it is prosecuted as a criminal matter can depend on the amount and whether other aggravating conduct, such as coercion or repeated overcharging, is present (공인중개사법 제33조, 제38조).

Q. Can I get my registration back after it is revoked?

A. Depending on the ground for revocation, the Act sets a period during which a person cannot obtain a new registration (공인중개사법 제10조). The length of that bar period differs by the specific ground for revocation, so checking exactly which provision applied to your case is necessary before assuming a fixed waiting period.

Q. If the police case ends without prosecution, does that mean I am safe from a license suspension?

A. Not necessarily. A non-prosecution disposition addresses only criminal liability and does not bind the licensing authority's separate administrative review, so a suspension or other sanction proceeding can still move forward independently.

Q. My client is threatening to report me to the district office over a fee dispute — what should I do first?

A. Before responding, gather the brokerage contract, the fee calculation, and any messages showing what was agreed, since the key question will be whether the amount charged actually exceeds the statutory cap for that type of transaction. Getting the facts organized early makes it easier to prepare a written opinion if a sanction notice follows.

Q. Does a false listing complaint only affect the agent, or also the platform where it was posted?

A. The Act's false advertising provision is primarily directed at the person who caused the false or exaggerated listing to be posted, which is often the agent, but the specific facts of who controlled the listing content can matter (공인중개사법 제18조의2).

Q. Do I need separate lawyers for the criminal case and the administrative sanction case?

A. It is not required, but because statements and evidence in one proceeding can affect the other, having the two tracks handled with a coordinated strategy — whether by one lawyer or a coordinated team — helps avoid inconsistent positions being taken in each file.

Q. How long does a typical administrative sanction proceeding take from notice to final decision?

A. It varies by local government and by whether an opinion statement or a hearing is requested, but the prior-notice period itself is set by the Administrative Procedure Act's general notice requirements, and the overall timeline can extend further if an administrative appeal or lawsuit follows the initial decision.

Official References

개인정보처리방침

법무법인 프런티어(이하 “사무소”)는 개인정보보호법에 따라 정보주체의 개인정보 및 권익을 보호하고 개인정보와 관련된 정보주체의 고충을 신속하고 원활하게 처리하기 위하여 본 개인정보 처리방침을 수립·공개합니다.

제 1 조 수집하는 개인정보의 항목, 목적, 방법
제 2 조 개인정보의 처리 및 보유기간
제 3 조 개인정보의 제3자 제공
제 4 조 개인정보 처리업무의 위탁
제 5 조 정보주체의 권리·의무 및 그 행사방법
제 6 조 개인정보의 파기
제 7 조 의견수렴 및 불만처리
제 8 조 개인정보 처리방침의 변경
제 9 조 개인정보의 안전성 확보 조치

제 1 조 (수집하는 개인정보의 항목, 목적, 방법)
① 게시판 글 작성 시 필수 항목에 대한 수집목적은 ‘별도의 구체적 상담을 위하여’이며 수집항목은 ‘이름, 이메일, 연락처’입니다.
② 전항 외에 고객의 서비스 이용 과정이나 요청 사항 처리 과정에서 ‘IP주소, 접속로그, 단말기 및 환경정보, 서비스 이용기록, 쿠키’와 같은 정보들이 자동으로 수집 및 저장될 수 있으며, 이 때의 수집목적은 ‘사용자 홈페이지 이용, 사이트 이용에 대한 문의 민원 등 고객 고충 처리’입니다.
③ 사무소는 ‘홈페이지 고객 문의/고충 처리 시 전화 또는 인터넷을 통한 상담’과 같은 방법으로 개인정보를 수집합니다

제 2 조 (개인정보의 처리 및 보유기간)
관계법령의 규정에 따라 개인정보를 보존하여야 하는 의무가 있는 경우가 아닌 한, 정보주체의 개인정보는 원칙적으로 해당 개인정보의 처리목적이 달성될 때까지 보유 및 이용되며, 그 목적이 달성되면 지체 없이 파기됩니다.

제 3 조 (개인정보의 제3자 제공)
사무소는 정보주체의 개인정보를 본 처리방침에서 명시한 목적에 한해서만 처리하며 정보주체의 사전동의가 있는 경우 또는 개인정보보호법 등 관계법령의 규정에 의거한 경우에만 개인정보를 제3자에게 제공합니다. 사무소는 현재 개인정보를 제3자에게 제공하지 않고 있습니다.

제 4 조 (개인정보 처리업무의 위탁)
사무소는 현재 귀하의 개인정보 보호를 위해 귀하의 개인정보를 직접 취급 관리하고 있습니다. 단, 향후 보다 전문적인 서비스를 제공하기 위하여 제3의 전문기관에 귀하의 정보를 위탁할 필요가 있다고 판단되는 경우, 귀하의 사전 동의 하에 개인정보에 대한 취급을 위탁할 수 있습니다.

제 5 조 (정보주체의 권리·의무 및 그 행사방법)
① 정보주체는 개인정보보호법 등 관계법령이 정하는 바에 따라 사무소에 대해 개인정보의 열람, 정정 및 삭제, 처리정지 요구 등 개인정보 보호 관련 권리를 행사할 수 있습니다.
② 제1항에 따른 권리행사는 정보주체의 법정대리인이나 위임을 받은 사람을 통해서도 할 수 있습니다. 다만, 이 경우에는 개인정보보호법 시행규칙에 따른 위임장을 사무소에 제출하여야 합니다.
③ 사무소는 정보주체의 권리행사에 대하여 개인정보보호법 등 관계법령이 정하는 바에 따라 지체 없이 조치하겠습니다.

제 6 조 (개인정보의 파기)
① 사무소는 원칙적으로 개인정보의 처리목적이 달성된 경우 등 그 개인정보가 불필요하게 되었을 때에는 지체 없이 해당 개인정보를 파기합니다.
② 사무소가 관계법령의 규정에 따라 개인정보를 파기하지 아니하고 보존하여야 하는 경우에는 해당 개인정보 또는 개인정보파일을 다른 개인정보와 분리해서 저장·관리 합니다.
③ 사무소는 파기사유가 발생한 개인정보를 선정하여 개인정보 보호책임자의 승인을 받아 해당 개인정보를 파기합니다.
④ 사무소는 파기하여야 할 개인정보가 전자적 파일 형태인 경우 복원이 불가능한 방법으로 영구 삭제하며, 이외의 기록물, 인쇄물, 서면, 그 밖의 기록매체인 경우 파쇄 또는 소각합니다.

제 7 조 (의견수렴 및 불만처리)
정보주체는 개인정보 보호 관련 문의, 불만처리, 피해구제 등에 관한 사항을 아래 개인정보 보호책임자 또는 담당부서에 문의하실 수 있습니다. 사무소는 정보주체의 문의에 대하여 신속하고 충분한 답변을 드릴 것입니다.

개인정보 보호 책임자 : 변호사
연락처 : 02.

제 8 조 (개인정보 처리방침의 변경)
사무소의 개인정보 처리방침은 관련 법령, 지침 및 사무소 내부규정에 따라 변경될 수 있으며, 개인정보 처리방침이 변경되는 경우 관련 법령이 정하는 방법에 따라 공개합니다.

제 9 조 (개인정보의 안전성 확보 조치)
사무소는 개인정보의 안전성 확보를 위해 다음과 같은 조치를 취하고 있습니다.
관리적 조치 : 내부관리계획의 수립 및 시행, 구성원에 대한 정기적인 개인정보 보호교육 등
기술적 조치 : 개인정보처리시스템 등의 접근권한 관리, 접근통제시스템 설치, 고유식별정보 등의 암호화, 보안프로그램의 설치 등
물리적 조치 : 전산실, 자료보관실 등 개인정보 보관장소에 대한 접근통제