Rules E 3-8 Flashcards
1
Q
E-3
Licensee must produce records.
HOA records
A
- RE licensee have to produce any document or record necessary for investigation or audit by CREC
- failure to submit documents within the time set by Commission is grounds for disciplinary action unless extension is granted
- broker acting as manager for owners association shall turn over HOA management records and support document to the association at the end of management term
- if broker wanting to maintain a copy must do so at their own expense
2
Q
E-4
Document preparation & Duplicates
A
- Licensee must immediately deliver a duplicate of any original documents to all parties when such prepared by broker, licensee or closing entity.
- Cooperating broker have the same responsibility for record retention.
- broker is not required to obtain and retain copies of existing public records, title commitments, loan applications
3
Q
E-5
Closing responsibility; closing statement distribution
A
- employing or independent broker shall retain a copy of all buyer&seller closing statements
- closing statements shall show the date of closing, the total purchase price of the property, itemization of all adjustments, money or things of value received, balance due, names of the payees
- if closing is conducted by employing broker company, that broker is responsible for accuracy and completeness of settlement statements and documents
- if client’s agent or transaction broker can’t attend closing or review docs, another licensee can be designated to do so
- that licensee has joint responsibility with absent licensee for accuracy, completeness and delivery
4
Q
E-6
Electronic Records
A
- required records may be maintained in electronic format
- records must be produced upon CREC request.
5
Q
E-8
Advertising
A
- no broker shall be licensed to conduct brokerage services at more than one firm
- must conduct business in the name under which the broker or brokerage is licensed
- brokerage firm may use a Trade Name in addition to or instead of the firm’s legal name, with permission of the owner of the Trade Name
- trade name must be filed with the Commission
6
Q
E-8 a 2-4
A
- no broker should advertise in a way that misleads the public concerning identity of Broker or Brokerage firm
- broker advertising property they own but not listed for sale with their Brokerage firm CANNOT advertise the property in the firm’s name
- brokerage firm may use a Trademark in conjunction with the firm name with permission of the Trademark owner.
7
Q
E-8 a 5.
A
- Brokerage firm using a Trade Name or a Trademark owned by a third party must insert the following legend clearly to attract the attention of the public:
“Each (insert general trade name) brokerage business is independently owned and operated”
- commission may allow modification of the above legend upon written request
8
Q
E-8 a 7-8
A
- no brokerage firm can use more than one name
- brokerage can use more than one Trademark if they’ve obtained permission of the Trademark holder and upon written request and permission of the CREC
- broker or firm can’t use professional designation in advertising unless they’re in good standing
- if broker or firm advertises an award, membership or achievement they must be able to provide verification of its validity
9
Q
E-8 b 1.
A
Brokers who form a Team shall not advertise in a manner that misleads the public as to the identity of the team’s brokerage firm.
Teams are prohibited from using the following terms in the Team’s name:
- realty
- real estate
- realtors
- company
- corporation
- corp.
- Inc.
- LLC
- LP or LLP
any other term that would imply a separate entity from the Brokerage Firm where the team members are licensed.
10
Q
E-8 b 2-4
A
- all team advertising must include the name of Brokerage firm
- Brokerage firm must provide names of brokers that belong to any Team advertising when a consumer, CREC or another Brokerage/Broker request them
- Team name can’t be used by other Brokers outside the Team’s Brokerage firm
