Under the Illinois Real Estate License Act, when is a sponsoring broker required to use a written brokerage agreement?
Correct Answer
B) A sponsoring broker entering a brokerage relationship for listing property or representing a person in a transaction must set out the terms of that relationship in a written brokerage agreement.
Under 225 ILCS 454/15-75, a sponsoring broker who enters into a brokerage relationship—whether for listing property or for representing a buyer, seller, landlord, or tenant in a transaction—must set out the terms of that relationship in a written brokerage agreement before or at the time the relationship is established. The written agreement is a precondition to the relationship, not an optional formality.
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