EstatePass
Practice Of Real EstateLicense_lawHARD

Broker Reginald's license was suspended by the LREC for 90 days. During the suspension, his former client Patricia files a civil lawsuit against Reginald in district court for damages arising from the same conduct that led to the LREC suspension. Reginald argues that because the LREC has already punished him administratively, the civil lawsuit constitutes double jeopardy. Which of the following is the most legally accurate assessment of Reginald's argument?

Correct Answer

B) Reginald's argument is invalid; the double jeopardy clause applies only to criminal prosecutions, and LREC administrative sanctions do not bar a civil lawsuit by an injured party

The double jeopardy clause of the Fifth Amendment (and its Louisiana constitutional analog) applies exclusively to criminal prosecutions—it prohibits being tried twice for the same criminal offense. LREC administrative proceedings are civil regulatory actions, not criminal prosecutions. An administrative sanction by the LREC does not bar a separate civil lawsuit by an injured party seeking compensatory damages. Reginald faces three potentially independent tracks: LREC administrative discipline, civil liability to Patricia, and potential criminal prosecution if the conduct was criminal—none of which bars the others.

Answer Options
A
Reginald's argument is valid; once the LREC imposes an administrative sanction, no further civil or criminal action may arise from the same conduct
B
Reginald's argument is invalid; the double jeopardy clause applies only to criminal prosecutions, and LREC administrative sanctions do not bar a civil lawsuit by an injured party
C
Reginald's argument is partially valid; the civil lawsuit may proceed, but the damages award must be reduced by the amount of the LREC fine already paid
D
Reginald's argument is valid only if the LREC proceeding included a finding of fact that is binding on the district court under collateral estoppel

Why This Is the Correct Answer

Sign up free to unlock full analysis

Why the Other Options Are Wrong

Sign up free to unlock full analysis

Deep Analysis of This Practice Of Real Estate Question

Sign up free to unlock full analysis

Background Knowledge for Practice Of Real Estate

Sign up free to unlock full analysis
Sign up free to unlock full analysis

Real World Application in Practice Of Real Estate

Sign up free to unlock full analysis

Common Mistakes to Avoid on Practice Of Real Estate Questions

Sign up free to unlock full analysis

Related Topics & Key Terms

Key Terms:

lrecdouble_jeopardycivil_liabilityadministrative_sanctionsenforcement

Related Concepts

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.

A tie-in arrangement is an illegal antitrust practice in which a seller conditions the purchase of one product or service on the buyer's agreement to purchase a separate product or service.

Was this explanation helpful?

More Practice Of Real Estate Questions

People Also Study

Related Articles

Practice More Questions

Access 2,000+ practice questions and pass your real estate exam.

Start Practicing