Broker-in-Charge Kevin manages a busy real estate office in Myrtle Beach. One of his affiliated salespersons, Dana, is discovered to have made material misrepresentations to a buyer without Kevin's knowledge. Under South Carolina law, which of the following best describes Kevin's potential liability?
Correct Answer
B) Kevin may face disciplinary action by the SCREC for failing to adequately supervise Dana, even if he had no actual knowledge of the misconduct
Under S.C. Code Ann. § 40-57-360 and SCREC regulations, a broker-in-charge has a statutory duty to supervise all affiliated licensees. If a salesperson engages in misconduct, the SCREC may investigate whether the BIC fulfilled their supervisory obligations. Even without actual knowledge of Dana's specific misrepresentations, Kevin may face disciplinary action if the Commission finds that his supervision was inadequate. The BIC's supervisory responsibility is a core element of the role.
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Related Topics & Key Terms
Key Terms:
Related Concepts
License requirements are the mandatory qualifications—including pre-licensing education, examination, and background checks—that a person must satisfy before legally practicing real estate. These requirements are established and enforced by each state's real estate commission.
Market allocation is an illegal antitrust practice in which competing real estate brokerages agree to divide markets among themselves by geographic area, property type, or price range, thereby eliminating competition.
Price fixing is an illegal antitrust practice in which competing real estate brokerages agree to charge the same commission rates, fees, or other pricing for their services. It is a per se violation of the Sherman Antitrust Act.
More Practice Of Real Estate Questions
In Wyoming real estate practice, an associate broker or salesperson is not associated with a responsible broker at renewal. What should the licensee remember?
In Wyoming real estate practice, a first-time salesperson applicant completes coursework. What should the licensee remember?
A Wyoming licensee is reviewing an out-of-state salesperson applicant prepares for testing. What is the best answer?
In Wyoming real estate practice, a salesperson applicant age is reviewed. What should the licensee remember?
A responsible broker in Wyoming asks about a nonresident applicant provides home-state evidence. Which answer follows Wyoming law?
- → A responsible broker in Wyoming asks about a first-time salesperson applicant prepares for Wyoming-specific licensing. Which answer follows Wyoming law?
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- → A responsible broker in Wyoming asks about the Commission director receives a complaint about real estate practice. Which answer follows Wyoming law?
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- → A Wyoming licensee is reviewing all first-time salesperson steps are otherwise complete. What is the best answer?
- → For the Wyoming salesperson state portion, a licensee asks how long Wyoming renewal periods are. Which statement is correct?
- → Which Wyoming rule applies when a licensee does not timely submit the complete renewal application, proof of CE, and renewal fees?
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- → A Wyoming licensee is reviewing a first-time salesperson applicant asks which prelicense courses are required. What is the best answer?
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