OREC is investigating a complaint that Broker Allen commingled client funds with his personal bank account. Under Oklahoma license law, which of the following best describes the proper handling of client funds by a licensed Broker?
Correct Answer
B) Client funds must be deposited into a dedicated trust or escrow account separate from the broker's operating and personal accounts
Under Title 59 O.S. § 858-354 and OREC rules, Oklahoma brokers are required to maintain a separate trust or escrow account for all client funds, including earnest money deposits. These funds must never be commingled with the broker's personal funds or general operating account. Commingling is a serious violation and grounds for license revocation.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Brokers in Florida have strict responsibilities for managing escrow accounts, including monthly reconciliation and proper handling of trust funds.
FREC has the authority to impose fines and other disciplinary actions on licensees who violate real estate laws and rules.
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.
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