EstatePass
Practice Of Real EstateLicense_lawHARD

Patricia holds a Washington managing broker license and operates as the designated broker of her own firm. She wants to also work as an affiliated broker under a different firm in a neighboring city. Under RCW 18.85, which of the following accurately describes whether this arrangement is permissible?

Correct Answer

B) Patricia may not affiliate with a second firm because Washington law prohibits a designated broker from being affiliated with any other firm simultaneously

Under RCW 18.85.201, a designated broker is the individual responsible for supervising and managing all licensees within a firm and ensuring the firm's compliance with Washington real estate law. Washington law does not permit a designated broker to simultaneously affiliate with another firm as a broker or in any other capacity, because doing so would create irreconcilable supervisory and fiduciary conflicts. The designated broker role requires exclusive commitment to the firm for which they hold that responsibility.

Answer Options
A
Patricia may affiliate with a second firm as a broker because managing brokers are permitted to hold dual firm affiliations under Washington law
B
Patricia may not affiliate with a second firm because Washington law prohibits a designated broker from being affiliated with any other firm simultaneously
C
Patricia may affiliate with a second firm only if both designated brokers provide written consent filed with the DOL
D
Patricia may affiliate with a second firm as long as she discloses the dual affiliation to all clients in writing at first contact

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 Practice Of Real Estate Question

Sign up free to unlock full analysis

Background Knowledge for Practice Of Real Estate

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

Real World Application in Practice Of Real Estate

Sign up free to unlock full analysis

Common Mistakes to Avoid on Practice Of Real Estate Questions

Sign up free to unlock full analysis

Related Topics & Key Terms

Key Terms:

designated_brokerdual_affiliationfirm_supervisionmanaging_brokerRCW_18.85

Related Concepts

In real estate, the distinction between an independent contractor and an employee determines tax treatment, liability, and the level of control a broker may exercise over the agent's daily activities. Most real estate agents operate as independent contractors.

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.

Was this explanation helpful?

More Practice Of Real Estate Questions

People Also Study

Related Articles

Practice More Questions

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

Start Practicing