Angela is a licensed Massachusetts salesperson who has been working for Metro Realty for five years. Her broker, John, instructs her to tell all prospective buyers that the neighborhood crime rate is 'very low' even though Angela knows this claim is inaccurate. Angela follows John's instructions and makes this misrepresentation to several buyers. Under Massachusetts General Laws Chapter 93A, which of the following is most accurate?
Correct Answer
B) Angela and John may both face liability under Chapter 93A, and injured buyers may recover double or treble damages plus attorney's fees
Massachusetts General Laws Chapter 93A prohibits unfair or deceptive acts and practices in trade or commerce, and real estate licensees are subject to its provisions. Making a knowingly false statement about neighborhood crime rates to induce a purchase is a deceptive act. Under Chapter 93A, injured consumers may recover actual damages, and if the violation is found to be willful or knowing, the court may award double or treble damages plus attorney's fees. Both Angela (who made the misrepresentation) and John (who directed it) can be held liable.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Commingling is the illegal act of mixing client trust funds with a broker's personal or business operating funds; conversion is the misappropriation of those funds.
Continuing education (CE) refers to the ongoing coursework that licensed real estate professionals must complete during each renewal cycle to maintain an active license. CE ensures agents stay current with changes in laws, regulations, and industry practices.
The National Do Not Call Registry is a federal program administered by the FTC that allows consumers to opt out of receiving unsolicited telemarketing calls, including calls from real estate agents soliciting business.
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?
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