Under Montana's Real Estate Licensing Act, the Montana Board of Realty Regulation (MBRR) has authority to take disciplinary action against a licensee for several reasons. Which of the following is NOT a recognized ground for disciplinary action under MCA Title 37, Chapter 51?
Correct Answer
C) Representing a buyer and a seller in the same transaction without proper disclosure and consent
Dual agency — representing both buyer and seller in the same transaction — is NOT automatically a ground for discipline in Montana provided that proper written disclosure is made and informed consent is obtained from all parties. Montana law permits dual agency with appropriate disclosure and consent, so this practice, when done correctly, is lawful and not a disciplinary offense. The question asks for what is NOT a ground for discipline, making C the correct answer.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Advertising regulations govern how real estate licensees may market properties and services, requiring truthful, non-deceptive advertising that includes proper identification of the brokerage.
Antitrust violations in real estate occur when competing brokerages or agents engage in practices that restrain trade, reduce competition, or harm consumers through collusion. These violations are governed by the Sherman Antitrust Act and can result in severe penalties.
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.
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