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Pa Rela License LawRela_63ps455HARD

Rachel, a Pennsylvania salesperson, helps a friend buy a property without disclosing to the seller that she holds a real estate license. Under RELA, which provision has Rachel violated?

Correct Answer

D) The requirement that a licensee must disclose their license status when involved in a transaction on behalf of a family member or associate

Under RELA (63 P.S. §455.605), a licensee must disclose their license status in any transaction in which they have an interest or in which they are acting for a family member or associate. Rachel's failure to disclose her license status violates this requirement.

Answer Options
A
The requirement to provide a Consumer Notice at initial interview
B
The requirement to maintain errors and omissions insurance
C
The requirement to affiliate with a broker before performing any real estate activity
D
The requirement that a licensee must disclose their license status when involved in a transaction on behalf of a family member or associate

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Related Topics & Key Terms

Key Terms:

license_disclosurepersonal_interestRELAtransparency

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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