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Practice Of Real EstateLicense_lawMEDIUM

Salesperson Kevin advertises a property on social media using his personal name only, without identifying his employing broker or including any license information. A buyer contacts Kevin directly and Kevin negotiates the sale without disclosing his broker affiliation. Under Michigan law, which violation has Kevin most likely committed?

Correct Answer

A) Failure to comply with Michigan advertising requirements that mandate disclosure of the employing broker's name

Under LARA-BPL rules implementing the Michigan Occupational Code, all advertising by a licensed salesperson must include the name of the employing broker. A salesperson cannot advertise or hold themselves out to the public in a way that obscures their broker affiliation. Failure to include the broker's name in advertising is a disciplinary violation under Michigan license law.

Answer Options
A
Failure to comply with Michigan advertising requirements that mandate disclosure of the employing broker's name
B
Practicing real estate without a license, because he did not use his broker's name
C
Breach of fiduciary duty to the seller for negotiating without written authorization
D
Violation of the Michigan Elliott-Larsen Civil Rights Act for discriminatory advertising practices

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Related Topics & Key Terms

Key Terms:

advertising_requirementsbroker_disclosuredisciplinary_actionssalesperson_dutiesact_299

Related Concepts

Broker supervision is the legal obligation of a designated or managing broker to oversee and be accountable for the real estate activities of all salespersons and associate brokers operating under their license.

Commingling is the illegal act of mixing client funds with a broker's personal or business operating funds, while conversion is the unauthorized use of client funds for the broker's own benefit. Both are serious violations that can result in license revocation.

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.

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