An Illinois managing broker discovers that one of their sponsored licensees refused to show properties in certain neighborhoods based on the buyer's national origin. Beyond potential federal and state fair housing liability, what additional professional consequence may the sponsored licensee and managing broker face under Illinois law?
Correct Answer
D) Disciplinary action against the licensee's real estate license, and potentially the managing broker's license, for failure to comply with Illinois licensing standards and supervision requirements.
Under the Illinois Real Estate License Act of 2000 (225 ILCS 454/), discriminatory conduct by a licensee constitutes grounds for disciplinary action, including suspension or revocation of the real estate license. A managing broker also bears supervisory responsibility under the Act, meaning failure to train, supervise, or correct a sponsored licensee's discriminatory conduct can expose the managing broker to separate disciplinary consequences — in addition to any civil liability under the Illinois Human Rights Act.
Why This Is the Correct Answer
Why the Other Options Are Wrong
Deep Analysis of This Practice Of Real Estate Question
Background Knowledge for Practice Of Real Estate
Real World Application in Practice Of Real Estate
Common Mistakes to Avoid on Practice Of Real Estate Questions
Related Topics & Key Terms
Key Terms:
Related Concepts
FREC has the authority to impose fines and other disciplinary actions on licensees who violate real estate laws and rules.
A group boycott is an illegal antitrust practice in which two or more competing real estate businesses agree to refuse to work with a specific person, company, or entity in order to harm that party's ability to compete.
In real estate, the distinction between an independent contractor and an employee determines tax treatment, liability, and the level of control a broker may exercise over the agent's daily activities. Most real estate agents operate as independent contractors.
More Practice Of Real Estate Questions
In Wyoming real estate practice, an associate broker or salesperson is not associated with a responsible broker at renewal. What should the licensee remember?
In Wyoming real estate practice, a first-time salesperson applicant completes coursework. What should the licensee remember?
A Wyoming licensee is reviewing an out-of-state salesperson applicant prepares for testing. What is the best answer?
In Wyoming real estate practice, a salesperson applicant age is reviewed. What should the licensee remember?
A responsible broker in Wyoming asks about a nonresident applicant provides home-state evidence. Which answer follows Wyoming law?
- → A responsible broker in Wyoming asks about a first-time salesperson applicant prepares for Wyoming-specific licensing. Which answer follows Wyoming law?
- → Which Wyoming rule applies when an out-of-state salesperson applies for Wyoming licensure?
- → A responsible broker in Wyoming asks about the Commission director receives a complaint about real estate practice. Which answer follows Wyoming law?
- → For the Wyoming salesperson state portion, a first-time Wyoming salesperson applicant starts the application process. Which statement is correct?
- → A Wyoming licensee is reviewing all first-time salesperson steps are otherwise complete. What is the best answer?
- → For the Wyoming salesperson state portion, a licensee asks how long Wyoming renewal periods are. Which statement is correct?
- → Which Wyoming rule applies when a licensee does not timely submit the complete renewal application, proof of CE, and renewal fees?
- → Which Wyoming rule applies when the Commission acts on license issuance and discipline?
- → In Wyoming real estate practice, a written sworn complaint or Commission motion starts a disciplinary matter. What should the licensee remember?
- → A Wyoming licensee is reviewing a first-time salesperson applicant asks which prelicense courses are required. What is the best answer?
People Also Study
Buyer Representation Agreement
8% of exam
Property Ownership
10% of exam
Land Use Controls and Regulations
8% of exam
Valuation and Market Analysis
10% of exam
Related Articles
Property Flyer Generator — 2026 Guide for U.S. Agents: Step-by-Step + Best Practices
Learn how Property Flyer Generator works and how U.S. real estate agents use it in 2026. Includes setup steps, practical examples, and best-practice tips.
Why Real Estate Exam Notes Stop Helping Once You Avoid Mixed Practice
A topic that feels clear in notes can still fail in practice if recall has not caught up with recognition. If you are searching for real estate exam notes...
How to Review Wrong Answers So Real Estate Practice Questions Actually Help