PROPERTY MARKET AGENCY ACT

CHAPTER 644

PROPERTY MARKET AGENCY ACT

AN ACT to establish the Property Market Agency and to make

provision for the regulation of the property market.

26th September, 2024

ACT XXVII of 2024.

The short title of this Act is the Property Market Agency

(Article 40(2))

Subsidiary Legislation deemed to have been made under this Act

Subsidiary Legislation

Current

New renumbering

Numbering

Work Experience in Real

Estate Regulations

Determination of Licensing

Applications Regulations

In this Act, unless the context otherwise requires

"Administrative Review Tribunal" means the

Administrative Review Tribunal established by article 5(1) of

the Administrative Justice Act;

"Agency" means

the

Property

Market

Agency

established by article 3;

"authorisation" means an authorisation granted by the

Agency in terms of article 20(5);

"beneficial owner" shall have the same meaning as

assigned to it in the Prevention of Money Laundering and

Funding of Terrorism Regulations;

"Board" means the Board of the Agency;

PROPERTY MARKET AGENCY

"branch manager" means any natural person who is a

licence holder and who acts as an intermediary in the process of

negotiating and carrying out transactions, involving the

acquistion or transfer or lease of land in terms of this Act and

who is also licenced and employed or engaged to supervise any

property consultant;

"Executive Head" means the Executive Head of the

Agency;

"developer" means the owner of the land on which

development is executed in terms of the Development Planning

Act;

"land" means all immovable property as defined in the

Civil Code and which is not extra commercium;

"licence" means a licence issued by the Agency to

exercise the activity of a property broker, real estate agent, or to

act as a branch manager or property consultant or specific

property consultant or other property market intermediary;

"licence holder" means any holder of a licence issued by

the Agency for exercising the activity of a real estate agent or a

property broker or to act as a branch manager or a property

consultant or a specific property consultant, or other property

market intermediary, depending on the type of licence issued by

the Agency;

"Minister" means the Minister responsible for the

property market;

"occasional broker" means an individual who acts as a

broker in property transactions who

(a)

does not advertise his services in printed

media, broadcasting media or on electronic media

networks; and

(b)

restricts his services to occasional

transactions not being more than two (2) transactions

involving the acquisition, transfer or lease of land during

each calendar year; and where the total value of the land

so acquired, transferred or leased in such transactions

does not exceed one million euro (€1,000,000), or any

other amount whether less or more than one million euro

(€1,000,000) as may be established by the Minister by

regulations issued under this Act; and

(c)

does not employ or contract other persons

in the conduct of his business;

"partnership" includes a commercial partnership formed

and registered under the Companies Act or a civil partnership

as provided for in Title X of Part II of Book Second of the Civil

Code;

"property broker" or "immovable property broker"

means any natural person who has a licence to act as an

intermediary in the process of negotiating and carrying out

transactions involving the acquisition, transfer or lease of land

in terms of this Act and neither employs nor engages, whether

under a contract of service or a contract for services, any branch

manager and, or any property consultant and includes an

occasional broker and a specific property consultant;

"property consultant" means any natural person who has

a licence to act as an intermediary in the process of negotiating

and carrying out transactions involving the acquisition, transfer

or lease of land in terms of this Act and is employed or

engaged,whether under a contract of service or a contract for

services, by an estate agent and who acts under the directions of

the same or those of a branch manager;

"property market intermediary" includes a branch

manager, a property broker, a property consultant, a real estate

agent and any other licensee and "property market intermediary

" shall be construed accordingly;

"real estate agent" means any natural person who has a

licence to act as an intermediary in the process of negotiating

and carrying out transactions involving the acquisition, transfer

or lease of land and employs and, or engages, whether under a

contract of service or a contract for services, one (1) or more

branch managers and, or one (1) or more property consultants;

"Register" means the Register of Licence Holders issued

to exercise the activity of property brokers, real estate agents,

branch managers, property consultants, specific property

consultants and occasional brokers, active on the date of

publication, held by the Agency;

"specific property consultant" means a person employed

or engaged by a developer to act as a property consultant

specifically in respect of property developed by that developer.

PART II

The Property Market Agency

(1)

There shall be established a body to be known as the

Property Market Agency.

(2)

Subject to the provisions of this Act and of any other law, it

PROPERTY MARKET AGENCY

shall be the function of the Agency to regulate the activities of

property market intermediaries.

(3)

Without prejudice to the generality of its functions provided

for in sub-article (2), the Agency shall have the following duties and

functions

(a)

to submit proposals and recommendations to the

Government regarding national policy in relation to

intermediaries in the property market with due consideration for

the specific situation and requirements of Malta from time to

time, but in any case not later than five (5) years from the last

proposals and, or recommendations;

(b)

to issue standards in respect of brokerage and

related services, in the property market;

(c)

to participate in any discussions leading to

development planning and, or economic policies;

(d)

to monitor the real estate market, directly by

encouraging and coordinating research and by commissioning,

and where the Agency deems necessary, publish such research,

surveys or other professional studies;

(e)

to act as regulator and to implement any function

related to the property market which may be assigned to it in

accordance with any law;

(f)

to organise and promote educational campaigns

related to the property market and in particular to consumer

protection in relation to the said market;

(g)

to promote and co-ordinate the training of persons

working as property intermediaries;

(h)

to give advice on the property market as the

Minister may from time to time request;

(i)

to undertake periodic reviews of educational

programmes and structures related to the activities of property

market intermediaries, and where the Agency deems necessary to

publish such analysis, in order to recommend improvements in

such programmes and in policies and to identify sources for the

training of persons in relevant fields of activity so as to ensure the

continuous availability of suitably qualified personnel;

(j)

to administer any budgetary allocation as may be

assigned to it for purposes related to the property market or

such other purposes as may be linked to such budgetary

allocation;

(k)

to promote effective communication and

coordination with government entities and private organizations

involved in the formulation of policies related to the activities

of the property market;

(l)

to identify overseas developments related to

property market and which are of direct interest and relevance

to Malta;

(m) to set up databases and obtain access to

international databases in the property market field, not later than

three (3) years from the coming into force of this Act, and ensure

that such databases are continuously updated;

(n)

to act as a contact point with respect to various

regional, interregional and international organizations and to

organize participation in seminars, conferences and in action

groups and working groups of relevance to Malta’s interests in

the field of activity of the Agency;

(o)

to set up networks of professional persons and

organizations to assist in the formulation of policies, and the

implementation of programmes, and to monitor areas of

importance related to the property market of interest to Malta;

(p)

to carry out any other function not covered by this

sub-article related to the activities of the property market as

may be delegated to it by the Minister;

(q)

carry out any other function ancillary or

conducive to the functions, duties and aims of the Agency.

(4)

The Agency shall be a body having a distinct legal

personality and shall be capable, subject to the provisions of this Act,

to enter into contracts, to hold and dispose of property of any kind for

the purpose of its functions, to sue and be sued and to enter into all

such other transactions as are incidental or conducive for the proper

performance of its functions.

(5)

The Agency shall consist of a Board and of a Directorate.

(6) The legal and judicial representation of the Agency shall

vest in the Chairperson

Provided that the Board may appoint the Executive Head or

any one (1) or more of the members of the Directorate staff to appear

in the name and on behalf of the Agency in any judicial proceedings

and in any act, contract, public deed, instrument or other document

whatsoever.

(7) Any document purporting to be an instrument made or

issued by the Agency and signed by the Chairperson on behalf of the

PROPERTY MARKET AGENCY

Agency shall be received in evidence, and shall unless the contrary is

proved, be deemed to be an instrument made or issued by the Agency.

(1)

The Board of the Agency shall be composed of a

Chairperson and four (4) to eight (8) other members appointed by the

Minister from amongst persons who in the opinion of the Minister

have experience and knowledge in the field of activity of the Agency,

or other regulatory experience, or other regulatory experience of non-

governmental associations, or in the exercise of the legal profession of

advocate, or persons who in the opinion of the Minister represent the

wide perspective of the various opinions of the stakeholders in the

sector.

(2)

One (1) of the members of the Board of the Agency shall be

appointed by the Minister as Deputy Chairperson. The Deputy

Chairperson shall have all the powers and perform all duties of the

Chairperson during the absence of the Chairperson or during any

period when the Chairperson cannot perform his functions for any

other cause, or during any vacancy in the office of the Chairperson.

(3) The Board may act notwithstanding any vacancy in its

composition or during the absence of any member as long as the

Chairperson or the Deputy Chairperson and any two (2) other

members are present.

(4) A person shall not be eligible to be appointed, or to continue

to hold office, as a member of the Board if he is

(a)

interdicted or incapacitated;

(b)

has been declared bankrupt; or

(c)

has been found guilty in Malta or abroad of an

offence liable to a punishment of imprisonment of more than

one (1) year other than an offence of an involuntary nature.

(5)

For the purpose of sub-article (4)(c), a person who has been

found guilty of an offence as specified in sub-article (4)(c) shall still be

disqualified to hold office notwithstanding that any punishment

awarded has been suspended, or such person has been conditionally

released, or put under probation without the infliction of any

punishment or such person has been sentenced according to the

Probation Act without the infliction of any punishment.

(6)

The members of the Board, including the Chairperson and

the Deputy Chairperson, shall be appointed for a term of three (3)

years and may be reappointed.

(7)

The members of the Board shall receive such remuneration

as the Minister may determine upon their appointment.

(8)

The Minister shall appoint a person to act as Secretary to the

Board.

(1)

The Board shall be responsible to establish the policy

to be adopted by the Agency in the exercise of its functions under this

Act in consultation with the Minister and it shall also have the

functions established in this article.

(2) The Board shall be responsible to ensure that the Agency

carries out its functions in accordance with this Act and in accordance

with any policy established by it.

(3) The Board may from time to time, where it thinks fit, make

general rules for the guidance of the Agency in the exercise of its

functions under this Act, and may at any time revoke or vary such

rules.

(4) The Board shall also verify and approve the accounts of the

Agency and the draft estimates and the financial plans of the Agency,

prepared by the Executive Head before their final submission to the

Minister in accordance with this Act.

(5) The Board shall be kept informed by the Executive Head on

the general running of the Agency.

(1)

The Directorate of the Agency shall consist of the

Executive Head, Senior Managers and such other officers and

employees of the Agency as may be engaged by the Agency from time

to time.

(2)

The Executive Head shall be in charge of the overall

management and executive action of the Agency and shall keep the

Board informed on the general running of the Agency and of the result

of the operations of the Agency. The Executive Head shall be, in

particular but without prejudice to the generality of the foregoing,

responsible for the carrying out by the Agency of the functions

assigned to it under Part III to Part X of this Act.

(3)

The Executive Head shall be appointed by the Minister,

after consultation with the Board, for such period and on such terms as

the Minister may, in consultation with the Board, determine.

(4)

The Senior Managers and the other officers and employees

of the Directorate shall be selected by the Executive Head and engaged

by the Agency in accordance with the applicable terms and

procedures.

(5)

The Agency may also act by means of such contractors as it

may from time to time engage

Provided that such contractors shall at all times act in

accordance with such instructions as may be given to them by the

Executive Head.

PROPERTY MARKET AGENCY

(6)

The Executive Head and the Directorate staff shall for all

purposes of the Criminal Code be considered as public officers, and

shall be afforded all protection and may incur all liability as such.

(7)

The Executive Head and the Directorate staff shall, subject

to any contrary provision in this Act or in any other law, abide by any

code of ethics applicable to public officers

Provided that the Board may not be precluded in any

manner from making further rules regulating the conduct of the

Executive Head and of the Directorate staff to supplement any such

Code of Ethics.

(1)

The Board shall meet at least ten (10) times a year so

however that the Board shall ensure that the period of time between

one meeting and another shall not exceed eight (8) weeks. Other

meetings of the Board shall be convened as may be necessary.

(2)

The Secretary to the Board shall take minutes of decisions at

its meetings. The minutes shall be signed by the Secretary and the

Chairperson.

(3)

The meeting of the Board shall be chaired by the

Chairperson or in his absence by the Deputy Chairperson.

(4)

Decisions of the Board shall be adopted by a simple

majority of votes of the members present and voting, and in the event

of an equality of votes the Chairperson, or where the meeting is

presided by the Deputy Chairperson, the Deputy Chairperson shall

have and exercise a second or casting vote. The quorum at Board

meetings shall consist of three (3) members.

(5)

The Executive Head shall be entitled to attend the meetings

of the Board and to take part in the discussions. The Board may invite

any other member of the Directorate staff to attend meetings of the

Board and to participate in the discussions. The Executive Head and

any member of the Directorate staff taking part in any discussion of

the Board shall not have a vote in the meetings in which they

participate

Provided that the Chairperson may, if he considers it proper

to do so, at any time exclude the Executive Head or any member of the

Directorate staff invited to attend at a meeting of the Board from any

meeting or part thereof.

(6)

Any participation in a meeting of the Board of a person not

entitled to be present shall not invalidate the proceedings of the

meeting nor shall such proceedings be invalidated if it is subsequently

discovered that a person acted in good faith as a member and a defect

in his appointment or qualification is afterwards discovered.

(7)

A week’s notice shall be given to the members of the Board

of any meeting thereof

Provided that in case where an urgent situation arises and

decisions are to be taken forthwith, decisions taken by at least two (2)

members of the Board, one (1) of whom being the Chairperson or the

Deputy Chairperson shall be valid as if taken by a meeting of the

Board regularly convened with proper notice.

(8)

Subject to the other provisions of this Act, the Board shall

regulate its own proceedings.

Without prejudice to the other provisions of this Act, the

appointment of officers and other employees of the Agency shall be

made by the Agency. The terms and conditions of employment shall be

established by the Agency with the concurrence of the Minister.

The Agency shall appoint and employ, at such remuneration

and upon such time terms and conditions as it may determine, such

officers and employees of the Agency as may, from time to time, be

necessary for the due and efficient execution of the functions of the

Agency.

(1)

The Prime Minister may, at the request of the

Agency, from time to time direct that any public officer shall be

detailed for duty with the Agency in such capacity and with effect

from such date as may be specified in the Prime Minister’s order.

(2)

The period during which an order shall apply to any officer

specified therein shall, unless the officer retired from the public

service, or otherwise ceases to hold office at an earlier date, or unless a

different date is specified in such order, cease to have effect after one

(1) year from the effective date of such order unless the order is

revoked earlier by the Prime Minister.

(1)

Where an officer is detailed for duty with the Agency

in accordance with the provisions of article 10, such officer shall,

during the time in which such order has effect in relation to him, be

under the authority and administrative control of the Agency but he

shall for other intents and purposes remain and be considered and

treated as a public officer.

(2)

Without prejudice to the generality of sub-article (1), an

officer detailed for duty

(a)

shall not during the time in respect of which he is

so detailed

(i)

be precluded from applying for a transfer

to an Agency of the Government in accordance with the

terms and conditions of service attached to his

appointment with the Government at a date on which he

is so detailed for duty; or

PROPERTY MARKET AGENCY

(ii)

be so employed that his remuneration and

conditions of his service are less favourable than those

which are attached to the appointment under the

Government held by him at the date aforesaid or which

would have become attached to such appointment,

during the said period, had such officer not been detailed

for duty with the Agency; and

(b)

shall be entitled to have his service with the

Agency considered as service with the Government for the

purposes of any pension, gratuity or benefit under the Pensions

Ordinance and, or the Widows’ and Orphans’ Pensions Act, and

of any other right or privilege to which he would be entitled,

and liable to any liability to which he would be liable, but for

the fact of his being detailed for duty with the Agency.

(3)

Where an application is made as provided in sub-article

(2)(a)(i) the same consideration shall be given thereto as if the

applicant had not been detailed for service with the Agency.

(4)

The Agency shall pay to the Government such contributions

as may from time to time be determined by the Minister responsible

for finance in respect of the cost of pensions and gratuities earned by

an officer detailed for duty with the Agency as aforesaid during the

period in which he is so detailed.

(1)

The Agency may, with the approval of the Prime

Minister, offer to any officer detailed for duty with the Agency in

accordance with the provisions of article 10 permanent employment

with the Agency at a remuneration and on terms and conditions not

less favourable than those enjoyed by such officer at the date of such

offer.

(2)

The terms and conditions included in any offer made shall

not be deemed to be less favourable merely because they are not in all

respects identical with or superior to those enjoyed by the officer

concerned at the date of such offer, if such terms and conditions, taken

as a whole, in the opinion of the Prime Minister offer substantially

equivalent or greater benefits.

(3)

Every officer who accepts permanent employment with the

Agency offered to him in accordance with the provisions of sub-article

(1) shall, for all purposes other than those of the Pensions Ordinance

and of the Widows’ and Orphans’ Pensions Act, and saving the

provisions of sub-article (6), be deemed to have ceased to be in service

with the Government and to have entered into service with the Agency

on the date of his acceptance, and for the purposes of the said

Ordinance and of the said Act, so far as applicable to him, service with

the Agency shall be deemed to be service with the Government within

the meanings thereof respectively.

(4)

Every such officer who, immediately before accepting

permanent employment with the Agency, was entitled to benefit under

the Widows’ and Orphans’ Pensions Act, shall continue to be so

entitled to benefit thereunder for all intents as if his service with the

Agency were service with the Government.

(5)

The Agency shall pay to the Government such

contributions, as may from time to time be determined by the Minister

responsible for finance, in respect of the cost of pensions and gratuities

earned by an officer who has accepted performance of employment

with the Agency in accordance with this article during the period

commencing on the date of such officer’s acceptance.

(6)

(a)

For the purposes of this article posts and salary

grades with the Agency shall be classified in the closest corresponding

grades and incremental levels in the service with the Government of

Malta by reference to job description, skills, responsibilities and other

analogous factors.

(b)

The classification referred to in paragraph (a)

shall be carried out by a board composed of a Chairperson

appointed by the Ministry responsible for finance and two (2)

other members, one (1) appointed by the Ministry centrally

responsible for personnel policies in the public service and one

(1) appointed by the Agency. The classification shall be subject

to the final approval of the Minister responsible for finance.

(c)

Such classification shall take place within three

(3) months of any adjustment of salaries of employees in

Government service and, or of employees of the Agency.

(d)

No post shall be classified in a grade higher than

that of Grade 3 in the service of the Government or other grade

that the Minister responsible for finance, may from time to

time, by notice in the Gazette determine.

(e)

Without prejudice to article 113 of the

Constitution, no person may, following a classification, be

entitled to rights in accordance with the Pensions Ordinance

less favourable than those to which he would have been entitled

to prior to such classification.

The financial year of the Agency shall commence on the 1st

of January and end on 31st of December

Provided that the first financial year of the Agency shall

commence on the date of coming into force of this Act and shall end

on the 31st day of December of the following year.

(1)

The Executive Head shall, not later than sixteen (16)

weeks before the end of each financial year, submit to the Board

estimates of the income and expenditure of the Agency for the

PROPERTY MARKET AGENCY

following financial year.

(2)

In the preparation of such estimates the Agency shall

endeavour to ensure that the sums to be allocated to the Agency are at

least sufficient to meet all sums properly chargeable to its income and

expenditure accounts including, but without prejudice to the generality

of that expression, depreciation.

(3)

The estimates shall be made in such form, and shall contain

such information and such comparisons with previous years, as the

Board may direct.

(4)

Not later than three (3) weeks from the receipt of such

estimates from the Executive Head, the Board shall consider such

estimates and shall transmit the same with, or without amendments to

the Minister for his approval.

(5)

Before the end of the financial year, the Minister shall

approve and adopt such estimates with or without amendments.

(6)

If in respect of any financial year it is found that the amount

so approved is not sufficient or a need has arisen for expenditure for a

purpose not provided for in the estimates, the Executive Head shall

cause supplementary estimates to be prepared and to be sent forthwith

to the Board for transmission to the Minister for his approval, and in

any such case the provisions of this article shall, as far as practicable,

apply to the supplementary estimates.

The Minister may, acting in accordance with appropriation

legislation, make advances and provide such funds to the Agency for

carrying out its functions under this Act, in accordance with such

estimates approved in accordance with article 14.

The Agency shall keep proper books of accounts. Such

accounts shall be audited by auditors appointed by the Board with the

concurrence of the Minister from among persons qualified to be

appointed as auditors in accordance with the Accountancy Profession

Act. Such accounts shall moreover be subject to audit by the Auditor

General.

(1)

The Board shall as soon as practicable, but not later

than six (6) months after the close of each financial year, transmit to

the Minister an annual report consisting of

(a)

a copy of the annual accounts certified by the

auditors;

(b)

a report on the operations of the Agency during

the previous financial year; and

(c)

any research, survey or other professional studies

and analysis of educational programmes and structures related to

the activities of intermediaries in the real estate market that the

Agency deems necessary.

(2)

The Minister shall, and in any case by not later than six (6)

weeks after the receipt of the annual report of the Agency, or where the

House is during that period not in session, not later than the second week

after the House reconvenes, ensure that the annual report is laid on the

Table of the House and the House shall, if a request is made by at least

one member of the House within thirty (30) days after it is so laid,

discuss the annual report during a dedicated parliamentary sitting which

shall be held within a period of sixty (60) days after the said laying.

PART III

Licensing of Real Estate Agents, Property Brokers, Branch

Managers and Property Consultants

(1)

The activity of a property broker or real estate agent

consists of acting as an intermediary in the process of negotiating and

carrying out transactions involving the acquistion or transfer or lease

of land, including when the said activity is carried out through the

engagement or the employment of a branch manager or a property

consultant or specific property consultant.

(2)

No person shall exercise the activity of a property broker or

real estate agent or be employed or engaged as a branch manager or

property consultant or specific property consultant unless such person

is in possession of a valid licence issued under this Act

Provided that specific property consultants shall be required

to obtain a licence in terms of this Act, in cases where the Minister may

so establish by regulations issued under this Act.

(3)

Notwithstanding the other provisions of this Act, a person

registered with the Agency as an occasional broker shall not require a

licence in accordance with this Act to act as an occasional broker

Provided that such person shall, prior to his involvement

whatsoever in any transaction, still be required to request approval

from the Agency prior to the commencement of any activity in the

form prescribed by the Agency for the purpose of informing the

Agency of the intention to carry out such occasional activity and to

provide any other information which the Agency may require

Provided further that the Agency shall ensure that an

occasional broker provides the Agency with information on the number

and value of transactions on an annual basis and, or on an ad hoc basis

as the Agency may deem necessary

Provided further that the registration of any such person as

an occasional broker shall only be valid for a period of one (1)

calendar year and may be renewed by the Agency, unless there exists a

PROPERTY MARKET AGENCY

valid reason for the Agency to determine otherwise, and provided that

it is shown to the satisfaction of the Agency that any such person has

during the period of his registration conformed with the requirements

set out in this Act, in the exercise of his trade as an occasional trader.

(4)

Where a real estate agent or a property broker intends to

carry out his activity with some other person, they shall form a

partnership, having as its main object the activity envisaged under sub-

article (1), and they shall seek the authorisation of the Agency prior to

the commencement of activity.

(5)

(a)

Any person who fails to comply with the provisions

of this article shall be liable to an administrative penalty not exceeding

twenty thousand euro (€20,000) to be imposed by the Agency;

(b)

Any real estate agent, or developer of real estate who

employs or engages any property consultant, or specific property

consultant or branch manager who acts in breach of this article shall

also be personally liable for such breach and for the payment of an

administrative penalty as is provided for in paragraph (a).

(1)

Any person is eligible to obtain a licence to act as a

property broker or real estate agent or a branch manager provided such

person

(a)

has attained the age of eighteen (18) years or has

been emancipated to trade in accordance with article 9 of the

Commercial Code; and

(b)

holds a certificate in real estate having as its

subject matter the legal, financial, technical and communication

aspects related to real estate, its marketing and sale, at a

minimum of twelve (12) ECTS at level four (4) of the Malta

Qualifications Framework attained from a fully licensed

training institution by the National Commission for Further and

Higher Education; or

(c)

holds any other qualifications which the Malta

Qualifications Recognition Information Centre recognises as

being equivalent

Provided that where the Agency considers the

equivalence of the qualifications to be only partial, the

applicant may provide alternative evidence as a proof of his

competence which the Agency may deem satisfactory or

otherwise.

(2)

Any person is eligible to act as a property consultant or as a

specific property consultant, provided such person

(a)

has attained the age of eighteen (18) years or has

been emancipated to trade in accordance with article 9 of the

Commercial Code; and

(b)

holds a certificate in real estate having as its

subject matter the legal, financial, technical and communication

aspects related to real estate, its marketing and sale, at a

minimum of eight (8) ECTS at level four (4) of the Malta

Qualifications Framework attained from a fully licensed

training institution by the National Commission for Further and

Higher Education; or

(c)

holds any other qualifications which the Malta

Qualifications Recognition Information Centre recognizes as

being equivalent

Provided that where the Agency considers the equivalence

of the qualifications to be only partial, the applicant may provide

alternative evidence as proof of his competence which the Agency

may deem satisfactory or otherwise.

(3)

Notwithstanding sub-articles (1) and (2), no person shall

apply for, or obtain, or be eligible to hold a licence, or for the renewal

of a licence, in accordance with this Act if

(a)

he is interdicted or incapacitated in terms of civil

law or is bankrupt and has not obtained the order of discharge

issued by the competent Court, or if he has obtained the order of

discharge, it is suspended for a term which has not yet expired

or is subject to conditions which are not yet fulfilled; and

(b)

he does not present a certificate of conformity

issued by the Commissioner for Tax and Customs; or

(c)

having regard to the applicant’s conduct and

repute, his financial position and the interests of the public, the

applicant is not a fit and proper person to carry out the activity

of property broker or real estate agent or to act as branch

manager, property consultant, or specific property consultant.

(4)

The Minister, after consulting the Agency, may by

regulations establish

(a)

the minimum subject matter requirements of any

courses or other training leading to the granting of a certificate

in real estate in terms of this article;

(b)

the minimum subject matter requirements of any

continuous professional development organised in respect of

estate agents, property brokers, branch managers, property

consultants or specific property consultants;

PROPERTY MARKET AGENCY

(c)

the level or length of experience which a person

shall require in order to be exempt from producing formal

qualifications or from undergoing further training in order to be

eligible to continue to perform any activity which requires a

licence under this Act; and

(d)

the content of any aptitude test to which a person

exercising an activity which requires a licence in accordance

with this Act may be required to sit for.

(1)

Every person who intends to obtain a licence in

accordance with this Act shall submit an application to the Agency in

the prescribed form.

(2)

Every application under sub-article (1)

(a)

shall declare the locations of activity where the

applicant intends to carry out the activity; and

(b)

shall, where the applicant has or proposes to have

two (2) or more locations of activity, specify which of those

locations of activity is to be his principal place of activity.

(3)

Real estate agents or property brokers who intend to carry

out their activity through a partnership in compliance with the

provisions of article 18(4) shall submit an application to the Agency in

the prescribed form.

(4)

Every application under sub-article (3) shall declare

(a)

the official full name and registration number of

the partnership;

(b)

the date of incorporation or registration of the

partnership;

(c)

the registered address or principal place of

activity of the partnership;

(d)

the names and identity reference numbers of all

directors, partners, company secretary and beneficial owners;

and

(e)

the licence number of any licence holders.

(5)

The Agency shall authorise the exercise of the activity as

envisaged under article 18(4) upon being satisfied that

(a)

the requirements of article 18(4) have been

complied with; and

(b)

having regard to all directors, partners, company

secretary and the beneficial owners’ conduct and repute, their

financial position, and the interests of the public, all directors,

partners, company secretary and beneficial owners are fit and

proper persons to be involved in a partnership which has as its

main object the activity envisaged under article 18(1).

(6)

There shall be no change in beneficial ownership, in the

board of directors or partners or company secretary of a partnership

where such is required under any other law, formed for the purpose of

sub- article 18(4), unless the said change is notified to the Agency in

the prescribed form and the Agency, gives its approval thereto upon

being satisfied that the criteria set out in articles 18(4) and 20(5) are

satisfied.

(7)

In case of a change in beneficial ownership, in the board of

directors or partners, or company secretary of a partnership where such

is required under any other law, formed for the purpose of article

18(4), the partnership may not resume its activity unless such changes

are approved by the Agency.

(8)

When the Agency decides to refuse a request for an

approval of a change as provided for in sub-article (6), the Agency

shall inform the applicant and state in the notice the grounds for the

decision.

(9)

The Agency shall also be informed whenever

(a)

any one (1) director or partner or company

secretary or beneficial owner of a partnership formed for the

purposes of sub-article (4) of article 18 resigns or is otherwise

removed; or

(b)

it is resolved or otherwise decided that a

partnership formed for the purposes of the said sub-article (4)

of article 18 is to be dissolved and consequently wound up.

(1)

The applicant shall submit to the Agency a copy of

his application together with such other information and

documentation filed in support of the application or which may be

requested by the Agency to reach a determination relative to the said

application. The Agency shall acknowledge receipt of a complete

application without delay and shall process the application within two

(2) months

Provided that when the Agency requires more time to

process the application or requires further documentation, the Agency

may extend the processing time established under sub-article (1) by

further periods

Provided further that when an extension of time is required,

the Agency shall notify the applicant without delay.

PROPERTY MARKET AGENCY

(2)

The Agency shall determine whether the applicant satisfies

the criteria of eligibility to be awarded a licence or authorisation.

(3)

(a)

When issuing a licence or authorisation the Agency

may subject such licence or authorisation to any conditions as it may

deem appropriate and objectively justified. The conditions of a licence

or authorisation may be varied or revoked, from time to time, by the

Agency and new conditions may also be so imposed. Before varying

or revoking the conditions of a licence or authorisation and before

imposing new conditions the Agency shall grant the licence holder an

opportunity to make submissions about the proposed variation,

revocation or imposition of proposed new conditions;

(b)

licences and other authorisations issued in accordance with

this Act may be made subject to the payment of fees as may be

established by the Minister with the concurrence of the Minister

responsible for finance by regulations made in accordance with this

article

Provided that in establishing the said fees the Minister with

the concurrence of the Minister responsible for finance may specify

that the Agency shall be the sole user of revenue collected from the

said fees and that such revenue shall be used to defray costs incurred

by the Agency to properly establish, operate, maintain and promote its

obligations or any part thereof.

(4)

When the Agency decides to refuse a request to issue a

licence or authorisation, it shall inform the applicant and state in the

notice the grounds for the decision.

(5)

Without prejudice to the preceding articles, when for

justified and valid reasons the Agency is unable to reach a decision

within a time period stipulated in this Act or in any regulations made

thereunder the said time period shall be extended for further periods

each of which shall not exceed two (2) months. The applicant shall be

informed of any such extension.

(1)

No licence holder shall exercise the activity of an

intermediary in the process of negotiating or carrying out transactions

involving the acquisition, transfer, or lease of land in terms of this Act

under any name unless the name has first been approved by the

Agency.

(2)

An applicant for a licence or a licence holder may, at any

time apply in writing to the Agency to approve a name for the

purposes of sub-article (1), which name shall not be approved if the

Agency considers that the name closely resembles the name of any

other person, firm, or company exercising the activity as a licensed

property broker or real estate agent in or outside Malta which is likely

to deceive, or that the name is that of any person, firm, or company.

(3)

The Agency shall issue a licence document to a licence

holder in accordance with this Act. The identity document shall

contain a photograph of the licence holder and such other information

as the Agency may deem necessary. The said information shall

include, inter alia, the name, the licence type, registration number and

term of validity. The identity document shall remain the property of

the Agency and shall be returned to the Agency on the suspension or

revocation of a licence issued under this Act.

(4)

The licence holder has the obligation to indicate the licence

rgistration number when he advertises, promotes or negotiates any

property.

(5)

Any licence holder who breaches the provisions of sub-

article (1) or of sub-article (2) shall be liable on conviction, to an

administrative penalty of not more than twenty thousand euro

(€20,000) to be imposed by the Agency.

A licence shall, unless it is revoked earlier in accordance

with the provisions of this Act, remain valid until the expiration of five

(5) years from when it is issued, and shall be renewed after the

expiration of the said period unless there are grounds not to renew the

licence as provided under this Act.

(1)

The Agency shall refuse to renew a licence on any of

the following grounds

(a)

the licence holder is found to be in breach of any

provision specified under this Act;

(b)

the licence holder has permitted any person, other

than a licence holder in terms of this Act, to act as his

representative in the exercise of his activity;

(c)

having regard to the character or fitness and

propriety of licence holders, it is not in the public interest that

the licence be renewed;

(d)

the licence holder failed to undertake a set

minimum of hours of continuing professional development set

by the Agency during the preceding five (5) years;

(e)

the licence holder failed to pay any fees or other

dues payable to the Agency in accordance with this Act;

(f)

the licence holder does not present a certificate of

conformity issued by the Commissioner for Tax and Customs.

(2)

When the Agency decides not to renew a licence,

the Agency shall inform the licence holder by notice in writing

giving reasons for its decision.

PROPERTY MARKET AGENCY

(1)

A licence holder may at any time surrender his

licence by forwarding a written notice to that effect, together with the

identity document, to the Agency.

(2)

Licence holders may at any time notify the Agency that they

do not intend to keep operating through a partnership as envisaged

under article 18(4) by forwarding a written notice to that effect to the

Agency.

(3)

The Agency shall list on the notice the date on which it

receives the notice, and the licence or authorisation shall as from that

date, cease to have effect.

(4)

The surrender of a licence or authorisation under this article

shall not affect the licence holder’s or partnership’s liability, as the

case may be

(a)

to pay any fees or other dues payable to the

Agency in accordance with this Act on or before the date on

which the licence would, but for its surrender, expire;

(b)

to perform any obligation required to be

performed under this Act on or before that date;

(c)

for any act done or default made before the date

on which the licence or authorisation ceased to have effect; and

(d)

where the Agency receives reports from any other

agency, including from authorities responsible for safety and

enforcement of any other obligation that the licence holder may

be subject to;

(5)

A licence or authorisation may be cancelled or suspended by

the Agency in any of the following instances

(a)

where the Agency determines that the licence

holder no longer fulfils or meets the requirements of, or has

breached, any of the provisions of this Act or of any rules

issued thereunder, or has failed to satisfy or comply with any

obligation or condition to which the licence is subject by virtue

of, or under this Act;

(b)

where any beneficial owner, member of the board

of directors or partner, or company secretary of a partnership

formed for the purpose of article 18(4), where such is required

under any other law, no longer meets the conditions set out in

article 20(5);

(c)

where a partnership formed for the purposes of

article 18(4) is to be dissolved and consequently wound up;

(d)

when the Agency receives any negative reports

from any other Agency including other authorities responsible

for the supervision and enforcement of any other obligations to

which the exercise of the activity of any licensee may be

subject.

(6)

In the circumstances referred to in sub-article (5), the

Agency may instead of the suspension or cancellation of a licence or

authorisation, order the removal and replacement of any such person

who may be involved in the partnership.

(7)

When the Agency decides to suspend or cancel a licence or

authorisation, the Agency shall inform the licence holder or licence

holders by notice in writing giving reasons for its decision.

PART IV

Registration

(1)

For the purpose of this Act, the Agency shall

maintain an internal Register which shall be kept in a secure manner,

and which shall include the following details

(a)

in the case of the issue of a licence, the name of

the licence holder, the date on which the licence was issued, the

term of validity, the type of licence issued and the registration

number;

(b)

in the case of real estate agents or property

brokers exercising their activity through a partnership

(i)

the official full name and registration

number of the partnership;

(ii)

the registered address or principal place of

activity;

(iii) the date of incorporation or registration of

the partnership;

(c)

where real estate agents employ or engage

property consultants, an updated list including the details of all

property consultants who are employed or engaged with the real

estate agent;

(d)

in the case of the renewal of a licence, the date on

which the licence was renewed;

(e)

in the case of the cancellation of a licence or

certificate of approval or the suspension of a licence holder or

holder of a certificate of approval, the date on which the

cancellation or suspension was made;

(f)

in the case of an occasional broker, the name of the

PROPERTY MARKET AGENCY

occasional broker, the date on which the approval was issued by

the Agency, the period of validity and the registration number

Provided that the Agency shall only make publicly

available that information which is strictly necessary to enable

the public to verify whether an intermediary is licensed or

authorised to operate.

(2)

The Agency shall also, in respect of any registration, record

such other particulars as may be required by this Act or, as may from

time to time, be prescribed.

(3)

The Agency shall ensure that any personal data contained in

the Register shall not be further processed in a manner that is

incompatible with the purpose of this Act.

(4)

The Agency shall provide the data subjects with all the

information in relation to the processing of their personal data in

accordance with article 13 and 14 of Regulation (EU) 2016/679 of the

European Parliament and of the Council of 27 April 2016 on the

protection of natural persons with regard to the processing of personal

data and on the free movement of such data, and repealing Directive

95/46/EC (General Data Protection Regulation), which is necessary to

ensure fair and transparent processing.

(5)

The Agency shall amend the Register every three (3) months

and shall seek to keep the information found therein accurate and

continuously up-to-date as may be established by the Minister by means

of regulations made under this Act.

(1)

Any processing of personal data by the Agency for

the purpose of this Act shall fully comply with the provisions of

Regulation (EU) 2016/679 of the European Parliament and of the

Council of 27 April 2016 on the protection of natural persons with

regard to the processing of personal data and on the free movement of

such data, and repealing Directive 95/46/EC (General Data Protection

Regulation) and the Data Protection Act, including the regulations

made thereunder, and the right to the protection of personal data

pertaining to natural persons.

(2)

The Agency, whilst taking into account the nature, scope,

context and purposes of the processing, as well as the risks of varying

likelihood and severity for the rights and freedoms of the data subjects,

shall implement appropriate technical and organisational measures in

an effective manner and integrate the necessary safeguards into the

processing, in order to protect the rights of the data subjects and to

ensure a level of security appropriate to the risk.

(3)

For the purposes of ensuring and to be able to demonstrate

compliance with all the principles relating to the processing of

personal data as held in Article 5 of Regulation (EU) 2016/679 of the

European Parliament and of the Council of 27 April 2016 on the

protection of natural persons with regard to the processing of personal

data and on the free movement of such data, and repealing Directive

95/46/EC (General Data Protection Regulation), the controller shall

implement appropriate data protection policies, which policies shall be

periodically reviewed and updated where necessary.

(4)

The data protection officer designated by the Agency in

accordance with Article 37 of Regulation (EU) 2016/679 of the

European Parliament and of the Council of 27 April 2016 on the

protection of natural persons with regard to the processing of personal

data and on the free movement of such data, and repealing Directive

95/46/EC (General Data Protection Regulation) shall be involved and

consulted properly and in a timely manner on all issues in relation to

the processing of personal data.

PART V

Consumer shall be given Information, Brokerage shall be

Declared, Annual Returns

Licence holders and occasional brokers shall inform the

parties with regard to the fees that shall be charged for their services in

advance

Provided that if the licence holder or occasional broker were

active during negotiations between the parties in such a manner as to

entitle them to fair compensation despite the fact that the transaction was

not finalised, such compensation shall be determined by a court.

In every contract concluded after the 1 st December

(1)

2024 whereby land is acquired, transferred or leased the parties shall

declare whether or not the services of a real estate agent, a property

broker, an occasional broker, a property consultant or a specific

property consultant were engaged and whether brokerage is due in

respect of the transaction, and if brokerage is so due, the parties shall

identify the natural or legal person receiving or who shall receive

brokerage fees.

(2)

Any party to a contract and any property broker, occasional

broker, property consultant, specific property consultant or real estate

agent, who acts in contravention of this article shall be liable to an

administrative penalty of not more than ten thousand euro (€10,000).

to be imposed by the Agency.

Every licence holder and registered partnership shall by not

later than the 30th of June of each year file an annual return with the

Agency on such form as the Agency shall prescribe indicating all

transactions in respect of which the licence holder received brokerage

fees during the previous calendar year

Provided that the first return under this article shall be due

PROPERTY MARKET AGENCY

to be filed by the 30th of June 2025 in respect of brokerage fees

received during the calendar year 2024.

PART VI

Special Powers of the Agency

(1)

For the purposes of this Act, the Executive Head or

an officer of the Agency authorised by him shall have the power, at

any reasonable time

(a)

to enter and to inspect any area or premises in the

execution of his functions under this Act;

(b)

without prejudice to any obligation of

professional secrecy under any other law, to require any person

to answer any question and, or produce any records under that

person’s control concerning any activities relating to this Act

carried out in any area or premises;

(c)

to inspect, to extract, or to take any copy of any

record relevant to the administration of this Act;

(d)

to give any order under this Act that he may deem

necessary;

(e)

to refer any matter to the Board of the Agency.

(2)

An authorised officer shall, when exercising a power

delegated to him by the Executive Head under the provisions of this

Act

(a)

provide an identification document issued by the

Agency when requested by the owner or administrator of any

area or premises under inspection; and

(b)

give reasonable notice, unless such notice would

defeat the objective of the intended exercise or inspection.

(3)

The Executive Head and any officer of the Agency

authorised by him, while exercising any power under this Act, may

request the assistance of a police officer or of any other person as they

may require.

Without prejudice to the provisions of the Freedom of

Information Act, the members of the Board of the Agency, the

Executive Head and the Agency’s officers, employees and agents,

whether still in service of the Agency or otherwise, shall treat any

information and documents acquired in the performance of their duties

or the exercise of their functions under this Act as confidential, and

shall not disclose any information or document relating to the affairs

of any licence holder or occasional broker, which they have acquired

in the performance of their duties or the exercise of their functions

under this Act except

(a)

for the purpose of the performance of their duties

or the exercise of their functions under this Act;

(b)

before any competent court or tribunal in any

proceedings to which the Agency is a party thereto or in any

criminal proceedings unless such document is a privileged or

confidential document which is exempt from disclosure before

a court of law under the provisions of any other law;

(c)

to a public agency explicitly authorised to

demand such information under any law;

(d)

for the purpose of the enforcement of any penalty

imposed by the Agency under this Act; and

(e)

in the form of an aggregation of data or other

statistical information, which in the opinion of the Agency does

not lead to the identification of any specific person.

The members of the Board of the Agency, the Executive

Head and the Agency’s officers, employees and any person authorised

to act on behalf of the Agency under this Act shall, when acting in the

performance of their functions under this Act or under any regulations

made thereunder, not be liable for any loss or damage suffered by any

person by reason of anything done or omitted to be done by them in

good faith in the course of the administration of this Act or of any

regulations made thereunder.

PART VII

Power to make Regulations

The Minister may make regulations for the better carrying

out of the provisions of this Act and such regulations may also provide

for the better implementation of any other law which the Agency is

entitled to enforce, for the elimination of difficulties or the setting of

time frames and conditions, in respect of the implementation of such

law and without prejudice to the generality of the foregoing, such

regulations may make provision in respect of

(a)

any matter relating to the activities of property

brokers, real estate agents, property consultants, specific

property consultants, occasional brokers or persons acting as an

intermediary in the process of negotiating or concluding

transactions involving the purchase, sale, disposal or lease of

land, even if on an occasional basis;

(b)

the establishment of rules, conditions, codes of

conduct and bye-laws in respect of the activities referred to in

paragraph (a);

PROPERTY MARKET AGENCY

(c)

the establishment of academic, training or other

professional or aptitude requirements for the exercise of the

activities referred to in paragraph (a);

(d)

the granting of exemptions from any provisions

of this Act in respect of specific activities or transactions or for

a specified period of time or to enable transitory arrangements;

(e)

the extension of the provisions of this Act to any

activity related or being of substantially the same nature as the

activities referred to in paragraph (a);

(f)

regulating the procedure according to which it

shall be determined whether an administrative penalty provided

for in this Act or in any regulations made thereunder shall

become due and for providing for the payment of administrative

penalties by way of settlement of proceedings leading to the

imposition of an administrative penalty as aforesaid;

(g)

prescribing anything that may be prescribed

under this Act.

PART VIII

Appeals from Decisions of the Agency

(1)

The Administrative Review Tribunal shall be

competent to hear and determine objections made by any person

aggrieved by any decision of the Agency under this Act or under any

regulations made thereunder

Provided that, unless otherwise prescribed by law, an

objection submitted in terms of this sub-article to the Administrative

Review Tribunal shall be filed within twenty (20) days from the

receipt of the Agency’s decision.

(2)

There shall be a right of appeal in accordance with the

provisions of Part IV of the Administrative Justice Act from decisions

of the Administrative Review Tribunal under sub-article (1) and such

appeal shall be to the Court of Appeal (Inferior Jurisdiction).

PART IX

Administrative Penalties

(1)

Except as otherwise provided in this Act and without

prejudice to any higher punishment to which a person acting in breach

of any regulations made thereunder may be liable under any other law,

any person acting in breach of the provisions of this Act or any

regulations made thereunder shall be liable for the payment of an

administrative penalty of not more than twenty thousand euro

(€20,000).

(2)

Any administrative penalty imposed in terms of this Act or

any regulations made thereunder shall be recoverable as a civil debt by

the Agency.

(3)

Where the Agency requires to sue in court for the recovery

of a debt due to it under this Act or any regulations made thereunder,

the Executive Head or an officer duly authorised by him to act on

behalf of the Agency, may make a declaration on oath before the court

Registrar or before any other officer authorised to administer the oath

in judicial matters, where he states the nature of the debt and the name

of the debtor and confirms that it is due.

(4)

The declaration referred to in sub-article (3) shall be served

upon the debtor by means of a judicial letter and it shall have the same

effect as a final judgement of the competent court unless the debtor

shall, within a period of twenty (20) days from service upon him of the

said declaration, oppose the claim by filing a court application

demanding that the court declares the claim is unfounded.

(5)

The court application filed in terms of sub-article (4) shall

be served upon the Agency, which shall be entitled to file a reply

within a period of twenty (20) days. The Court shall appoint the

application for a hearing on a date after the lapse of that period.

(6)

Any debts due to the Agency shall be prescribed by the

lapse of the period of five (5) years from the date on which the debt

was due.

(7)

No licence and, or authorisation shall be issued or renewed

in terms of this Act in favour of any person who has not yet settled any

pending debts due to the Agency.

PART X

Transitory Provisions

The Real Estate Agents, Property Brokers and Property

Consultants Act is hereby repealed without prejudice to anything done

or still to be done thereunder and to the provisions of this Part.

Subject to the provisions of the Property Market Agency

Act, 2024, all laws, rules, regulations, orders, judgements, documents,

warrants and working arrangements, subsisting immediately before the

coming into force of the same Act, affecting the Licensing Board

established under the Real Estate Agents, Property Brokers and

Property Consultants Act shall have effect against or in favour of the

Agency and shall be enforceable in its entirety as if, instead of the

PROPERTY MARKET AGENCY

Licensing Board, the Agency had been named therein or had been a

party thereto, as the case may be.

(1)

Where anything has been commenced by, or under

the authority of the Licensing Board prior to the coming into force of

the Property Market Agency Act, 2024 such matter may be carried on

and completed by the Agency.

2024. (2)

Where upon the coming into force of this Act any legal

proceeding is pending to which the Licensing Board is a party, or is

entitled to be a party, the Agency shall be substituted for the Licensing

Board in such proceedings, or shall be entitled to be a party thereto.

(3)

The Minister may by order make such incidental,

consequential and supplemental provisions as may be necessary or

expedient for the purpose of securing and giving full effect to the

transfer of any right or liability to the Agency by, or under this Act and

may make such orders as may be necessary to make any powers and

duties exercised by the Licensing Board exercisable by the Agency.

(1) The Declaration of Intent Regulations are hereby

repealed without prejudice to anything done or omitted to be done

thereunder.

2024. (2)

Upon the coming into force of the Property Market Agency

Act, 2024 the subsidiary legislation listed in the first column of the

Schedule shall be deemed to have been made under the corresponding

provisions of this Act, and shall be renumbered accordingly as

specified in the third column of the said Schedule.