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Practice Of Real EstateLicense_lawMEDIUM

Tom is a licensed Alabama salesperson working under broker Carol. Tom's license certificate shows Carol's brokerage address in Montgomery. Tom wants to begin working from his home office in Tuscaloosa and handle transactions there without notifying AREC or Carol. Which statement best describes the Alabama regulatory requirement in this situation?

Correct Answer

C) Tom must work under Carol's supervision and any change in office location requires proper notification to AREC through the responsible broker

Under Alabama Administrative Code Chapter 790-X, a salesperson must work under the direct supervision of their responsible broker, and any change in business location must be properly reported to AREC. The responsible broker (Carol) is accountable for the salesperson's activities and must be involved in any changes to the salesperson's working arrangements. A salesperson cannot unilaterally establish a new office location without the broker's involvement and proper AREC notification.

Answer Options
A
Tom may work from any location because Alabama law only requires that a salesperson's license be associated with a licensed broker
B
Tom must notify AREC of his home office address, but Carol's approval is not required under Alabama law
C
Tom must work under Carol's supervision and any change in office location requires proper notification to AREC through the responsible broker
D
Tom may work from his home office as long as he registers the home office as a branch office independently with AREC

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Related Topics & Key Terms

Key Terms:

broker_supervisionsalesperson_obligationsoffice_locationarec_rules

Related Concepts

Continuing education (CE) refers to the ongoing coursework that licensed real estate professionals must complete during each renewal cycle to maintain an active license. CE ensures agents stay current with changes in laws, regulations, and industry practices.

The National Do Not Call Registry is a federal program administered by the FTC that allows consumers to opt out of receiving unsolicited telemarketing calls, including calls from real estate agents soliciting business.

Brokers in Florida have strict responsibilities for managing escrow accounts, including monthly reconciliation and proper handling of trust funds.

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