Under Illinois law, which statement accurately describes a designated managing broker's responsibilities when a newly licensed broker in the office begins entering into brokerage agreements with clients?
Correct Answer
A) The designated managing broker must review the new broker's brokerage agreements and assist in supervising offer negotiation and related transaction activity.
Option A is correct. Under 68 Ill. Adm. Code 1450.710, the designated managing broker is responsible for supervising the activities of all licensees in the office, which expressly includes reviewing brokerage agreements executed by newly licensed brokers and providing guidance on offer negotiation and transaction management. This proactive, ongoing supervision — not post-closing review or co-signature — is what Illinois administrative rules require.
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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?
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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?
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