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Practice Of Real EstateLicense_lawMEDIUM

The Arkansas Real Estate Commission receives a formal complaint against licensee David alleging that he commingled client funds with his personal bank account. After investigating, AREC schedules a formal hearing. Which of the following best describes AREC's authority in conducting this hearing?

Correct Answer

D) AREC may conduct the administrative hearing, make findings of fact, and impose disciplinary sanctions including license revocation

Under Ark. Code Ann. § 17-42-401 and the Arkansas Administrative Procedure Act, AREC has full authority to conduct administrative hearings, make findings of fact and conclusions of law, and impose disciplinary sanctions including license suspension, revocation, probation, and administrative fines. AREC functions as an administrative tribunal for licensee discipline and does not need to refer matters to courts or the Governor for approval.

Answer Options
A
AREC must refer the matter to a state circuit court judge to conduct the hearing and issue a ruling
B
AREC may conduct the hearing but can only recommend sanctions, which must be approved by the Governor
C
AREC may only issue a written warning and must refer all sanctions to the state Attorney General
D
AREC may conduct the administrative hearing, make findings of fact, and impose disciplinary sanctions including license revocation

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Related Topics & Key Terms

Key Terms:

arec_authoritydisciplinary_hearingcomminglingcommission_powers

Related Concepts

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.

FREC has the authority to impose fines and other disciplinary actions on licensees who violate real estate laws and rules.

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