Under the New Jersey Real Estate License Act, which of the following individuals is authorized to maintain a real estate escrow trust account in New Jersey?
Correct Answer
C) A licensed broker who operates an independent brokerage
Under N.J.S.A. 45:15-17(n) and NJREC regulations, only a licensed broker who operates an independent brokerage is authorized to maintain a real estate escrow trust account. The authority to hold client funds in trust is a privilege of the broker's license, not the salesperson's or broker-salesperson's license. This reflects the broker's higher level of responsibility and accountability under New Jersey law.
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Related Topics & Key Terms
Key Terms:
Related Concepts
License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.
Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.
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.
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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