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Pa Rela License LawRela_63ps455HARD

A Pennsylvania broker, Martha, discovers that her salesperson, Carl, has been accepting undisclosed kickbacks from a home inspector in exchange for referrals. Under RELA, what is Martha's potential liability?

Correct Answer

A) Martha may face disciplinary action because brokers are responsible for supervising affiliated salespersons' compliance with RELA

Under RELA (63 P.S. §455.604), a broker is responsible for supervising affiliated salespersons and ensuring their compliance with the Act. Martha may face disciplinary action for failure to adequately supervise Carl, regardless of personal knowledge or benefit.

Answer Options
A
Martha may face disciplinary action because brokers are responsible for supervising affiliated salespersons' compliance with RELA
B
Martha is liable only if she received a portion of the kickbacks personally
C
Martha has no liability because she was unaware of Carl's actions
D
Martha is liable only if she failed to provide Carl with a copy of RELA within 30 days of his hire

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Related Topics & Key Terms

Key Terms:

broker_liabilitysupervisionkickbacksRELAdisciplinary
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