Oregon Revised Statutes

Or. Rev. Stat. § 696.396 (2026)

Investigation of complaints and progressive discipline; rules

✓ current as of May 2026
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      696.396 Investigation of complaints and progressive discipline; rules. (1) The Real Estate Commissioner shall provide by rule for the progressive discipline of real estate licensees and an objective method for investigation of complaints alleging grounds for discipline under ORS 696.301.

      (2) The rules adopted by the commissioner under this section:

      (a) Must establish procedures for the discovery of material facts relevant to an investigation and for the reporting of those facts without conclusions of violation or grounds for discipline to the commissioner or the commissioner’s designee by the individual assigned to investigate the complaint.

      (b) Must provide for progressive discipline designed and implemented to correct inappropriate behavior.

      (c) May not authorize imposition of a suspension or a revocation of a real estate license unless the material facts establish a violation of a ground for discipline under ORS 696.301 that:

      (A) Results in significant damage or injury;

      (B) Exhibits incompetence in the performance of professional real estate activity;

      (C) Exhibits dishonesty or fraudulent conduct; or

      (D) Repeats conduct or an act that is substantially similar to conduct or an act for which the real estate licensee was disciplined previously. [2005 c.393 §5]

Notes of Decisions
Cited in 3 cases, 2014–2019 · leading case: Fox v. Real Est. Agency, 426 P.3d 179 (Or. Ct. App. 2018).
Fox v. Real Est. Agency, 426 P.3d 179 (Or. Ct. App. 2018). · cites it 11× “" The legislature enacted ORS 696.396 in 2005 as part of a comprehensive act governing professional real estate activity.”
Sawyer v. Real Est. Agency, 342 P.3d 104 (Or. Ct. App. 2014). “301 provides: “Subject to ORS 696.396 [relating to rules for progressive discipline and investigation of complaints], the Real Estate Commissioner may suspend or revoke the real estate license of any real estate licensee, reprimand any licensee or deny the issuance or renewal of…”
Berrey v. Real Est. Agency, 457 P.3d 306 (Or. Ct. App. 2019). “301 (identifying grounds for discipline, including license revocation) and ORS 696.396 (2)(c) (authorizing revocation only where a violation has resulted in “significant damage or injury,” exhibits incom- petence, dishonesty or fraudulent conduct, or involves con- duct…”
— Or. Rev. Stat. § 696.396(1) — 1 case
Fox v. Real Est. Agency, 426 P.3d 179 (Or. Ct. App. 2018). “" The legislature enacted ORS 696.396 in 2005 as part of a comprehensive act governing professional real estate activity.”
— Or. Rev. Stat. § 696.396(2)(c) — 1 case
Fox v. Real Est. Agency, 426 P.3d 179 (Or. Ct. App. 2018). “" The legislature enacted ORS 696.396 in 2005 as part of a comprehensive act governing professional real estate activity.”
— Or. Rev. Stat. § 696.396(2)(c)(A) — 1 case
Fox v. Real Est. Agency, 426 P.3d 179 (Or. Ct. App. 2018). “" The legislature enacted ORS 696.396 in 2005 as part of a comprehensive act governing professional real estate activity.”
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