A Maryland brokerage is selling a new development and the developer has asked the brokerage to advertise the properties using only the developer's brand name, 'Harborview Living,' with no mention of the brokerage. The developer argues this is standard practice for new construction marketing. How should the broker respond under MREC advertising regulations?
Correct Answer
A) The broker must ensure the brokerage name appears in all advertising, even when marketing under a developer's brand, and cannot delegate this obligation to the developer
Maryland MREC advertising regulations impose the brokerage identification obligation on the licensed broker and affiliated licensees — this duty cannot be waived, delegated, or contractually transferred to a developer or any other third party. Even when marketing new construction under a developer's brand, the licensed brokerage must ensure its name appears in all advertising. The broker's duty to comply with MREC advertising rules is non-delegable, and a contractual arrangement with the developer does not insulate the broker from MREC disciplinary action for non-compliant advertising.
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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.
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