Kevin is a licensed real estate broker in Massachusetts who frequently works with clients interested in purchasing property in Connecticut. He has not obtained a Connecticut real estate license. Which of the following actions may Kevin lawfully perform in Connecticut under the concept of cooperative brokerage without violating Connecticut license law?
Correct Answer
B) Kevin may co-broker a Connecticut transaction by working through and cooperating with a Connecticut licensed broker who handles the in-state activities
Connecticut does not have a blanket reciprocity agreement that automatically allows out-of-state licensees to practice independently in Connecticut. However, an out-of-state broker may participate in Connecticut transactions through a cooperative brokerage arrangement with a Connecticut licensed broker. In this arrangement, the Connecticut broker handles the in-state activities that require a Connecticut license, while the out-of-state broker's role is coordinated through that Connecticut licensee. This is the lawful mechanism for cross-border cooperation.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Florida brokers are required to maintain transaction records and escrow records for a minimum of five years.
A tie-in arrangement is an illegal antitrust practice in which a seller conditions the purchase of one product or service on the buyer's agreement to purchase a separate product or service.
A trust account, also called an escrow account, is a separate bank account maintained by a broker to hold funds belonging to others, such as earnest money deposits, security deposits, or other client funds.
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