EstatePass
AgencyAgency_types_and_definitionsMEDIUM

The BIC at Lowcountry Properties, Broker Helen, unexpectedly resigns and surrenders her license. The office has three affiliated salespersons still actively working with clients. Under South Carolina law, what is the immediate consequence for the salespersons?

Correct Answer

D) The salespersons' licenses become inactive and they cannot perform licensed activities until a new BIC is designated

Under South Carolina law, salespersons and brokers must be affiliated with a licensed brokerage that has a designated Broker-in-Charge. When an office loses its BIC, the affiliated licensees' ability to perform licensed real estate activities is suspended — their licenses effectively become inactive for that office — until a new BIC is properly designated. This requirement ensures that all licensed activity occurs under proper supervision as mandated by SCREC regulations.

Answer Options
A
The salespersons may transfer to another brokerage and continue working without interruption
B
The most senior salesperson automatically assumes BIC responsibilities on a temporary basis
C
The salespersons may continue working independently until a new BIC is appointed within 30 days
D
The salespersons' licenses become inactive and they cannot perform licensed activities until a new BIC is designated

Why This Is the Correct Answer

Sign up free to unlock full analysis

Why the Other Options Are Wrong

Sign up free to unlock full analysis

Deep Analysis of This Agency Question

Sign up free to unlock full analysis

Background Knowledge for Agency

Sign up free to unlock full analysis
Sign up free to unlock full analysis

Real World Application in Agency

Sign up free to unlock full analysis

Common Mistakes to Avoid on Agency Questions

Sign up free to unlock full analysis

Related Topics & Key Terms

Key Terms:

broker_in_chargelicense_inactivesupervisionbic_resignation

Related Concepts

A non-agency relationship where the broker facilitates a real estate transaction without representing either party, owing limited duties of honesty, fairness, and competence to both.

The legal principle that holds a broker responsible for the actions of their agents and employees performed within the scope of the agency relationship.

An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.

Was this explanation helpful?

More Agency Questions

People Also Study

Related Articles

Agency Questions

Practice More Questions

Access 2,000+ practice questions and pass your real estate exam.

Start Practicing