A Hawaii real estate salesperson is employed by a time share developer and participates in the sale of time share interests at a Maui resort. The salesperson uses high-pressure sales tactics during a presentation, misrepresents the investment value of the time share, and fails to inform purchasers of their right to rescind. Under Hawaii law, which of the following best describes the potential consequences the salesperson may face?
Correct Answer
D) The salesperson may face disciplinary action by the Hawaii Real Estate Commission, including license suspension or revocation, for violations of HRS Chapters 467 and 467B
A Hawaii real estate salesperson who engages in misrepresentation, uses high-pressure tactics, and fails to disclose a purchaser's statutory rescission rights is subject to disciplinary action by the Hawaii Real Estate Commission under both HRS Chapter 467 (the general real estate licensing statute) and HRS Chapter 467B (the time share statute). Violations of these statutes can result in license suspension, revocation, fines, and other disciplinary measures. The salesperson's individual license is at risk regardless of the developer's separate registration obligations.
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Related Topics & Key Terms
Key Terms:
Related Concepts
License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.
Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.
Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.
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