Real estate salespeople are persons licensed as real estate
salespersons under Minnesota Statutes, chapter 82. Securities salespeople are
persons licensed as agents under Minnesota Statutes, chapter 80A.
contractor, real estate.
A real estate salesperson who is a qualified real estate agent
under the Internal Revenue Code of 1954, section 3508(b)(1) is an independent
contractor. The Internal Revenue Code of 1954, section 3508(b)(1) is
incorporated by reference as the standard to be used under this chapter. A real
estate salesperson who is not a qualified real estate agent under that standard
is nonetheless an independent contractor if all the following conditions are
A. The salesperson
is licensed to one broker and the cost of the license is paid by the
B. The broker makes
available to the salesperson office facilities and property listing, and
assists the salesperson by giving advice and by cooperating in his or her
C. The broker furnishes
the salesperson with necessary business forms, stationery, cards, and instructs
him or her in office procedures and business policies either verbally or by
means of written instructions, such as sales manuals.
D. The salesperson agrees to work diligently
for the broker and to conduct his or her business and regulate his or her
habits so as to maintain and increase the good will and reputation of the
E. The salesperson agrees
not to sell for other brokers.
The salesperson provides his or her own transportation and pays all expenses
incurred in the solicitation of business.
G. The salesperson generally reports to work
daily but works no fixed number of hours.
H. Meetings are held in the broker's office
on a regular basis, usually weekly, but attendance at these meetings is
I. Sales are closed in
the name of the broker.
money is turned over to the broker who pays the salesperson commissions at
salesperson's success is primarily dependent on his or her own initiative and
Independent contractor, securities.
A securities salesperson is an independent contractor if all
the following conditions are substantially met.
A. The securities dealer engages the
salesperson in the furtherance of the business.
B. The salesperson is licensed to a
C. The dealer
furnishes the salesperson with desk space, telephone and telegraph facilities,
market quotations, statistical and bookkeeping services, and clerical
D. The salesperson
agrees to work diligently for the dealer and to abide by all laws, rules, and
regulations under which the dealer operates the business.
E. The salesperson is not required to work
F. The salesperson
concludes sales in the name of the dealer and pays over the money to the
G. The salesperson is paid
on a commission basis at periodic intervals.
H. Under certain circumstances, the
salesperson may bear a part of the losses resulting from a
I. Sales meetings are
held regularly, but attendance is voluntary.
J. The salesperson's income is primarily
dependent on his or her own initiative and effort.
A salesperson is an employee when all of the following criteria
are substantially met:
salesperson is paid a salary or guaranteed minimum wage;
B. the employer requires fixed hours of
C. the employer requires that
nearly all work be done on the broker's or dealer's premises;
D. the employer requires attendance at
employer's office at specific times;
E. the broker or dealer has the right to
interrupt or set the order of services;
F. the employer provides instruction or
training in how the salesperson approaches prospects, closes sales, and works
on particular problems; and
employer requires the salesperson to report on activities.