Under the Illinois Real Estate License Act, when is a sponsoring broker required to establish a brokerage relationship in a written brokerage agreement?
Correct Answer
C) Whenever the sponsoring broker enters a brokerage relationship to list property or represent a person in a transaction
225 ILCS 454/15-75 requires that whenever a sponsoring broker enters into a brokerage relationship — whether to list property for sale or to represent a buyer, seller, landlord, or tenant in a transaction — the terms of that relationship must be set out in a written brokerage agreement. This requirement protects all parties by clearly defining the scope, duties, and compensation of the relationship from the outset.
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