Under KRS Chapter 324, KREC has authority to take disciplinary action against a Kentucky licensee for all of the following violations EXCEPT:
Correct Answer
D) Representing a client in a real estate transaction while licensed in a reciprocal state but not yet holding an active Kentucky license
KREC's disciplinary authority under KRS Chapter 324 applies to Kentucky licensees and their conduct in Kentucky real estate transactions. A person who is licensed only in a reciprocal state and has not yet obtained an active Kentucky license is not a Kentucky licensee subject to KREC's disciplinary jurisdiction. KREC cannot discipline someone who does not hold a Kentucky license; the appropriate remedy would be an unlicensed activity enforcement action, not a licensee disciplinary proceeding. This option describes a non-licensee and therefore falls outside KREC's disciplinary authority over licensees.
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Related Topics & Key Terms
Key Terms:
Related Concepts
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.
Florida brokers are required to maintain transaction records and escrow records for a minimum of five years.
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