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Practice Of Real EstateLicense_lawMEDIUM

Kevin is a licensed Utah Sales Agent who recently left his brokerage after a dispute. He wants to continue practicing real estate independently while searching for a new Principal Broker. Under Utah law, which of the following statements accurately describes Kevin's situation?

Correct Answer

C) Kevin may not conduct any real estate brokerage activities until he affiliates with a new licensed Principal Broker

Under Utah Code Ann. § 61-2f, a Sales Agent's license is always tied to a Principal Broker. When a Sales Agent is unaffiliated, their license is effectively inactive and they are prohibited from conducting any real estate brokerage activities — including working with existing clients, soliciting new clients, or receiving compensation for real estate services. Kevin must affiliate with a new Principal Broker before resuming any licensed activity.

Answer Options
A
Kevin may continue to conduct real estate transactions for 30 days without a Principal Broker while his license is placed on inactive status
B
Kevin may practice independently as a Sales Agent for up to 90 days, provided he notifies the Utah Division of Real Estate
C
Kevin may not conduct any real estate brokerage activities until he affiliates with a new licensed Principal Broker
D
Kevin may continue working with existing clients only, but may not solicit new clients until he finds a new Principal Broker

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Related Topics & Key Terms

Key Terms:

sales_agentprincipal_brokerinactive_licensesupervision_requirement

Related Concepts

Florida real estate licenses must be renewed biennially, and sales associates have specific post-license education requirements for their first renewal.

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.

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