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Practice Of Real EstateLicense_lawMEDIUM

Patricia is a licensed Nevada salesperson who has been working with Buyer Garcia for several months. Patricia's broker, without notifying Patricia, terminates Patricia's association with the brokerage effective immediately. Under Nevada law, what is the status of Patricia's license and her ability to continue working with Buyer Garcia?

Correct Answer

A) Patricia's license becomes inactive upon termination from her broker, and she cannot perform licensed activities until she affiliates with a new broker.

Under NRS 645.230 and NRS 645.560, a salesperson's license is tied to their supervising broker. When the broker-salesperson relationship is terminated — whether by the broker or the salesperson — the salesperson's license becomes inactive. Patricia cannot perform any licensed real estate activities, including working with Buyer Garcia, until she affiliates with a new licensed Nevada broker and her license is reactivated under that broker. The license itself is not revoked; it becomes inactive.

Answer Options
A
Patricia's license becomes inactive upon termination from her broker, and she cannot perform licensed activities until she affiliates with a new broker.
B
Patricia's license is automatically revoked upon termination, and she must reapply for a new license before working with any clients.
C
Patricia may continue working with Buyer Garcia independently for up to 60 days while she searches for a new broker.
D
Patricia's license remains active for 30 days so she can complete any pending transactions with Buyer Garcia.

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Related Topics & Key Terms

Key Terms:

license_statusbroker_terminationinactive_licensesalesperson_supervision

Related Concepts

A group boycott is an illegal antitrust practice in which two or more competing real estate businesses agree to refuse to work with a specific person, company, or entity in order to harm that party's ability to compete.

In real estate, the distinction between an independent contractor and an employee determines tax treatment, liability, and the level of control a broker may exercise over the agent's daily activities. Most real estate agents operate as independent contractors.

Florida real estate licenses must be renewed biennially, and sales associates have specific post-license education requirements for their first renewal.

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