Real Estate Disciplinary Actions Quiz

If a broker’s license expires, all salesperson’s licenses are placed on ______ status.

A broker may conduct business under a fictitious name if the broker files a fictitious name statement with the ______ clerk.

A fictitious name may not be misleading, previously used, or include the name of a salesperson instead of the ______.

If a licensee is delinquent in child support payments, the DRE may suspend the ______.

A real property securities dealer must have a real estate broker’s license, unless licensed as a securities ______.

If accusation is proved, the Commissioner may suspend or revoke ______

Maximum fine for disciplinary action can be up to $_____

Licensee disciplined by Commissioner may face criminal prosecution by the ______

False promise is making a promise likely to persuade someone to do or refrain from doing something, which is considered a violation of ______

Acting as a dual agent without the consent of both parties can lead to ______ of license

Failing to put definite termination date in exclusive listing agreement is grounds for disciplinary action.

Performing licensee activities negligently or incompetently is grounds for disciplinary action.

As a broker, failing to exercise reasonable supervision over salespersons is grounds for disciplinary action.

Failing to disclose personal interest in property to a buyer is grounds for disciplinary action.

Illegal compensation for referring customers to escrow, pest control, home warranty, or title insurance companies is grounds for disciplinary action.

Advance fees must be handled as ______ funds.

Salesperson/broker must obtain prior approval from DRE for: advertising, and advance fee ______.

Broker must keep real estate transaction documents for at least 3 years after ______ date.

Trust fund records must be kept for at least 3 years after date of ______.

Receipts and disbursements must be in ______ order.

Good faith deposits belong to the ______ before the seller accepts the offer.

Broker may hold a check only with the seller's written authorization after the offer is ______.

If parties dispute who is entitled to the deposit when the transaction fails to close, the broker files an interpleader action and turns funds over to ______.

Commingling is illegally mixing trust funds with other ______.

Funds in the trust account should always equal the broker's trust fund ______.

A real property securities dealer must have a real estate broker’s license, unless licensed as a securities ______.

If parties dispute who is entitled to the deposit when the transaction fails to close, the broker files an interpleader action and turns funds over to ______.

Advance fees must be handled as ______ funds.

Funds in the trust account should always equal the broker's trust fund ______.

Receipts and disbursements must be in ______ order.

Commingling is illegally mixing trust funds with other ______.

If a broker’s license expires, all salesperson’s licenses are placed on ______ status.

A real property securities dealer must have a real estate broker’s license, unless licensed as a securities ______

If a licensee is delinquent in child support payments, the DRE may suspend the ______

Receipts and disbursements must be in ______ order

Advance fees must be handled as ______ funds

If accusation is proved, the Commissioner may suspend or revoke ______

Good faith deposits belong to the ______ before the seller accepts the offer

A broker may conduct business under a fictitious name if the broker files a fictitious name statement with the ______ clerk

A real estate license can be issued to a corporation if one corporate officer is designated to act as broker for the corporation, and that person meets qualifications for broker’s license. This designated officer is sometimes referred to as the ______.

Penalties for unlicensed activities include a fine of up to $20,000 and/or 6 months in prison for individuals, and a fine of up to $60,000 for a ______.

Exceptions to the licensing requirement include a person buying or leasing property for himself or on behalf of a group to which he belongs, such as a partnership or corporation, is exempt from needing a license. These individuals are known as ______.

One of the exceptions to licensing requirements is an Attorney in fact who is authorized by a ______.

An attorney providing legal services to a client is exempt from the licensing requirement as per the exception for ______.

When a person is acting under a court order, such as a receiver in bankruptcy, they are exempt from the licensing requirement as they are considered to be acting under ______.

Trustees under a deed of trust are also exempt from the licensing requirement as they are considered to be acting as a ______.

Rule against ______ makes it difficult for broker to dip into trust funds for her own benefit.

If trust funds were in broker’s general account, creditor with judgment against broker might seize the trust ______.

Reconciliation: Process of comparing trust fund balance to sum of individual ______.

When reconciled, trust account balance must equal total of balances due to individual beneficiaries (clients and ______).

Broker may not deduct her commission from trust fund until after transaction ______.

Once earned commission is transferred to broker’s general account, money may be used to pay obligations, such as ______ commission.

A broker may conduct business under a fictitious name if the broker files a fictitious name statement with the ______ clerk.

Desk cost is brokerage’s operating cost per ______

In 100% brokerage, salesperson keeps all of his commissions but must pay desk fee to pay for firm’s operating ______

The company dollar is money left over for brokerage firm to pay its operating expenses after all commissions have been ______

Brokerage may need to pay business license tax based on its gross ______

Good faith deposits belong to the ______ before the seller accepts the offer

False promise is making a promise likely to persuade someone to do or refrain from doing something, which is considered a violation of ______

Broker may hold a check only with the seller's written authorization after the offer is ______

Broker must keep real estate transaction documents for at least 3 years after ______ date

Trust fund records must be kept for at least 3 years after date of ______